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The company said it is exploring ways to shift to a more sustainable business model focused on building a steady cash flow.
“While we believe the current headwinds facing our business and category—including record inflation—are transient, our mission, brand, and long-term opportunity endure,” chief executive Ethan Brown said in a statement. “To manage through the current environment and realize the opportunity ahead, we are significantly reducing expenses and sharpening our focus on a set of key growth priorities.”
As part of the restructuring, the company announced layoffs for 200 employees, about 19% of its staff. The company said its expects that process to cost about $4 million.
The El Segundo, California-based company said it has been hit by reduced demand, increased competition and rising prices. Beyond Meat said it expects revenues of $82 million in the third quarter, representing a 23% decrease from last year. The company’s third quarter results conference call is set for Nov. 9.
Shares of Beyond Meat were down $0.96, or 6.50%, to $13.82 as of 12:30 p.m. ET.
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