Crash at Beyond Meat
When Beyond Meat went public in 2019, they had big plans. The company experienced incredibly high growth . New products in new stores were launched to maintain momentum . However, after reaching a critical point, demand weakened. Possibly also because of the very high food inflation , which particularly depressed sales of high-priced and lifestyle foods . This was and can be observed not only in America , but also in Germany and Europe .
Veggie crisis: Other manufacturers are also suffering
New competitors are threatening the company. And the fact that it hasn't penetrated the meat eater market as expected . According to Motley Fool analysts . Beyond Meat isn't the only company in this situation. Other meat substitute companies are struggling with the same decline in demand as customers make purchases that show they may prefer real meat , says Motley Fool.
The fact is that Beyond Meat competitor “The Tattooed Chef ” filed for bankruptcy protection in June and “ Impossible Foods ” never went ahead with the IPO that had been announced several times.
Beyond Meat is fighting for survival
In the second quarter, sales at Beyond Meat fell by 31 percent compared to the previous year. This reflects the market for alternative meat products, according to Motley Fool analysts. If you believe the stock market data , Beyond Meat is fighting for survival. The company has also shifted to cutting costs and increasing profitability . The aim is to generate higher growth. At the same time, management lowered its forecast for the full year to a decline in sales of around 9% to 14% compared to 2022.
The mountain of debt is almost impossible to clear
The company's financial situation is not particularly encouraging. While it has $226 million in cash and reserves - it also has $1.1 billion in debt , meaning it doesn't have a very long lifespan if it can't raise new funds. In addition, an industry report from management consultancy Deloitte from September 2022 showed that sales of “ plant-based meat” were stagnating overall. The data also showed that fewer consumers viewed plant-based meat alternatives as healthier, more environmentally sustainable and more value for money in 2022 compared to 2021 .
PigUA.info by materials agrarheute.com