Beyond Meat revenues: overviewBeyond Meat continues facing declining revenues across key marketsInternational retail net revenues rose 16.5%, led by Europe and CanadaGermany, Canada and the UK remain important growth regionsUS demand remains weak amid category pressures and distribution declinesRevenue and volume declines are slowing, signalling possible stabilisation<\/p>\n
Beyond Meat\u2019s woes are not over yet. <\/p>\n
The US plant-based meat company has been seeing consistently falling revenues and sales for more than a year, especially in foodservice, where it saw declines of more than 30% last quarter.<\/p>\n
Yet the company\u2019s struggles are being offset by solid growth in retail internationally, especially in Germany, Canada and the UK. <\/p>\n
Europe and Canada experience retail growth<\/p>\n
International retail, unlike foodservice globally and retail in the US, actually saw growth \u2013 in fact, a 16.5% increase in net revenues, and an 8.2% increase in volume of products sold \u2013 bucking the trends seen elsewhere. <\/p>\n
While both net revenue and volumes saw a slight increase in international retail in Q1, this is far more substantial in the second quarter. <\/p>\n
Canada and Europe, in particular Germany and the UK, are strong growth areas for the company, explains CEO Ethan Brown. <\/p>\n
Brown believes that the success in these regions, in particular in Europe, is due to a lower presence of campaigns against plant-based foods. <\/p>\n
He also suggests that awareness of the links between climate change and food is stronger among European consumers than consumers in the US, and that they take the climate crisis more seriously. <\/p>\n
The company plans to invest in growth in these regions, in order to take advantage of its success there. <\/p>\n
Beyond Meat Q2 in numbers
\nNet revenues declined by 8.2% year-over-year
\nGross margin was 8.5%
\nVolume of products sold decreased by 9.5% year-over-year
\nIn US retail, net revenues decreased by\u00a09.9%, and volume of products sold decreased by 5.7%
\nUS retail net revenues decreased by 9.9%, volume of products sold decreased 5.7%
\nUS foodservice net revenues decreased by 27.6%, volume in products sold decreased 27.4%
\nInternational retail net revenues increased by 16.5%, volume of products sold increased by 8.2%
\nInternational foodservice net revenues decreased by 16%, volume of products sold decreased by 20.4%<\/p>\n
Decline abounds elsewhere, but is slowing<\/p>\n
The company continues to struggle elsewhere, particularly in the US. <\/p>\n
There are some signs of stabilisation there, says CEO Brown, but the plant-based category continues to see pressure from what he describes as \u2018misinformation\u2019 campaigns. <\/p>\n
Alongside weak category demand, points of distribution in the US also decreased. <\/p>\n
Also read \u2192 Beyond Meat Q1 results <\/a><\/p>\n