Beyond Meat reported an EPS loss of USD 1.53 in Q2 2022 compared to USD 0.31 last year, missing analyst expectations of USD 1.18. The company’s revenue decreased 1.6% YoY, hitting USD 147 million compared to USD 149.4 million in Q2 2021, missing estimates of USD 149.2 million.

Revenue guidance for FY 2022 decreased to USD 470 million—520 million from its previous range of USD 560 million—620 million, trailing well below analyst expectations of USD 559.4 million. The company plans on reducing expenses by laying off approximately 4% of its global workforce in expectation of total annualized savings of USD 8 million with the exclusion of a one-time separating cost of USD 1 million, which will occur in Q3.

Q2 2022 revenue decline was driven by an approximately 14.2% decrease in net revenue per pound, which was partially offset by a 14.6% increase in volumes. The company attributed this to changes in price, liquidation of channels and list price reductions in the EU, trade discounts, and unfavorable exchange rate conditions.

Loss from operations in the quarter increased to USD 89.7 million from the previous year’s USD 18.6 million, adversely affected by lower gross margins stemming from higher ingredients, manufacturing, and logistics costs coupled with the disappointing performance of Beyond Meat Jerky. Growing non-production headcount expenses, increase in general and administrative expenses, and increased expenditure on marketing activities and production trials also weighed on operating losses.