Shares of the plant-based meat company Beyond Meat (NASDAQ:BYND) spiked over 73.5% in Tuesday’s after-hours trading, despite the company reporting a wider loss in the fourth quarter. Investors cheered the company’s restructuring initiatives, which focused on reducing costs and achieving sustainable profitability.
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During the Q4 conference call, Beyond Meat’s leadership announced a move towards a leaner operating structure, which should result in cost savings. The business is also focusing on consolidating its product line and streamlining its production network.
BYND: Q4 Financial Results
Beyond Meta delivered net revenue of $73.7 million, down 7.8% year-over-year. The decrease in its top line reflects an adverse product sales mix and increased trade discounts. However, higher volumes in the international business supported its overall sales. Despite the year-over-year decline, BYND’s sales exceeded the Street’s forecast of $66.7 million.
BYND reported a net loss of $155.1 million, or $2.40 per share, in Q4, higher than the net loss of $66.9 million, or $1.05 per share, in the prior year quarter. Analysts expected Beyond Meat to post a net loss of $0.89 per share. It’s worth noting that the Q4 2023 net loss included non-cash charges of $95.6 million.
What is the Forecast for Beyond Meat Stock?
Beyond Meat stock is down about 58% in one year, reflecting softness in the U.S. business. Further, pressure on margins remained a drag.
Meanwhile, BYND stock has a Smart Score of one on TipRanks, implying it is more likely to underperform the broader market averages.
