Beyond Meat has reported financial results for its fourth quarter and full year ended December 31, 2019. Net revenues were $98.5 million, an increase of 212%, compared to net revenues of $31.5 million in the year-ago period. The forecast for the full year of 2020 is net revenues in the range of $490 million to $510 million.
- Gross profit was $33.5 million, or 34.0% of net revenues, compared to gross profit of $7.9 million, or 25.0% of net revenues, in the year-ago period;
- Net loss was $0.5 million, or $0.01 per common share, compared to net loss of $7.5 million, or $1.10 per common share in the year-ago period; and
- Adjusted EBITDA, which is a non-GAAP financial measure, was $9.5 million compared to an Adjusted EBITDA loss of $3.8 million in the year-ago period.
“Our outstanding fourth quarter and full-year 2019 results are a testament to the vitality of the movement that we continue to lead,” said Ethan Brown, Beyond Meat’s President and Chief Executive Officer. “With our simple objective of building a perfect piece of meat from plants, our greater mission is much larger than us and seeks to address some of the key challenges of our time—improving health and nutrition, enhancing the sustainability of our global food supply, while lowering our environmental impact, and promoting animal welfare.”
Gross profit was $33.5 million, or 34.0% of net revenues, in the fourth quarter of 2019, compared to $7.9 million, or 25.0% of net revenues, in the year-ago period. The increase in gross profit and gross margin was primarily due to an increase in the volume of products sold, production efficiency improvements, and more favorable mix as the Company’s Fresh platform contributed a greater proportion of gross revenues in the fourth quarter of 2019 compared to the year-ago period. Temporary disruptions related to capacity expansion projects at two co-manufacturing partners’ plants partially offset the year-over-year improvements in gross margin in the fourth quarter of 2019 and contributed to the sequential decline in gross margin relative to the third quarter of 2019.
2020 Outlook
For the full year 2020, the Company is providing the following guidance and expects:
- Net revenues in the range of $490 million to $510 million, an increase of 64% to 71% from 2019;
- Gross margin in the range of 33% to 35%; and
- Adjusted EBITDA as a % of net revenues approximately equivalent to 2019 levels, as the Company anticipates accelerated investments in marketing, R&D and international expansion initiatives in 2020.
