Beyond Meat cuts quarterly revenue guidance due to COVID-19 uncertainty

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Beyond Meat Inc (NASDAQ:BYND). extended its losses in premarket trading after cutting revenue guidance for the fourth quarter.

The faux meat producer said net revenues are expected to be US$85mln-US$110mln in the last three months of the year, due to slower sales, labour and supply chain issues as well as COVID-19 uncertainty.

The period also contains five fewer shipping days compared to the fourth quarter of 2020 and some orders scheduled at this stage were completed early in the third quarter.

In the quarter to 2 October, net revenues climbed 13% to US$106mln thanks to a 142% jump in international sales, as the US tumbled 14%.

Net loss swelled nearly three-fold to US$54mln due to inventory write-offs and reserves and product repacking costs.

The plant-based firm also invested more money into operations, innovation and marketing capabilities as well as hiring new people to support its growth plans.

“Although we see continued uncertainty for the balance of this year, we look to 2022 with enthusiasm,” said president and chief executive Ethan Brown.

Shares lost a fifth of their value to US$75.47 on Thursday in premarket trading.


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