(The Canadian Press)

Beyond Meat’s sales jump as more try plant-based burgers

KFC announced it is testing a Beyond Meat chicken nugget in the U.S.

More people are throwing plant-based burgers on the grill this summer.

Beyond Meat, which makes pea protein-based burgers and sausages, said Tuesday its second quarter revenue jumped 69% to $113 million as more households tried its products in the U.S. and elsewhere.

Sales far outpaced Wall Street’s forecast of $99 million, according to analysts polled by FactSet.

The El Segundo, California-based company reported a net loss of $10 million for the April-June period. Adjusted for one-time items, including coronavirus-related expenses, Beyond Meat lost 2 cents per share. That was in line with analysts’ expectations.

Normally, Beyond Meat sells half its output to restaurants and food service, Beyond Meat President and CEO Ethan Brown said. The company had to make a rapid pivot when those sales cratered this spring due to coronavirus-related closures.

Burgers and sausages that were packaged for food service were returned to factories and repackaged for consumers. In mid-June, for example, the company launched a 10-burger value pack for $15.99 at Walmart, Target and other groceries. Normally, two four-ounce patties cost $5.99.

As a result, Beyond Meat’s U.S. retail sales nearly doubled during the quarter, even as food service sales dropped 61%.

“It’s not a small exercise, when it’s physical goods, to make a change like that over a quarter,” Brown said. The company spent $5.9 million repackaging goods during the quarter.

Brown said that by June, 4.9% of U.S. households had tried Beyond Meat products, up from 3.5% in January. More important, half of those who bought Beyond products bought them again, up from 45% in January, Brown said.

International retail sales were up 167%. Brown said Beyond Meat is now sold in 84 countries, up from 51 a year ago. International food-service sales, however, dropped 56.5%.

Beyond Meat continued to invest in international expansion during the quarter. In June, it opened a manufacturing facility in the Netherlands with its Dutch partner, Zandbergen. Brown said Beyond Meat also plans to start production in China by the end of this year.

“We believe the magnitude of the opportunity in Asia merits significant investment,” Brown said.

In April, Beyond Meat debuted in at Starbucks, which sells the company’s imitation beef in lasagna, pasta and a spicy wrap. Brown said Beyond Meat products were also offered for a limited time at Pizza Hut, Taco Bell and KFC restaurants in China through a partnership with their parent company, Yum Brands.

KFC is also testing a Beyond Meat chicken nugget in the U.S.

Beyond Meat declined to give forward-looking financial guidance, citing the pandemic.

It shares rose 6% to close at $142.25 Tuesday. But they fell 7.5% in after-hours trading following the release of the earnings report.

Dee-Ann Durbin, The Associated Press

Like us on Facebook and follow us on Twitter.

Want to support local journalism? Make a donation here.

Vegan and Vegetarian

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Fraser-Nicola BC Liberal Party candidate Jackie Tegart with supporters on the Ashcroft bridge, Oct. 21, 2020. Tegart is the frontrunner in the riding after the initial vote count, with mail-in ballots to be counted starting on Nov. 6. (Photo credit: Barbara Roden)
Liberal incumbent Jackie Tegart holds narrow lead over Aaron Sumexheltza of NDP

Initial count is complete, and mail-in ballots will determine who wins in Fraser-Nicola

John Horgan has been re-elected the MLA for Langford-Juan de Fuca. (File-Black Press)
Horgan trounces challengers to be re-elected in his Vancouver Island riding

MLA has represented constituency of Langford-Juan de Fuca and its predecessors since 2005

B.C. Green Party leader Sonia Furstenau outlines her party's climate action platform at Nanaimo's Vancouver Island Conference Centre earlier this month. (News Bulletin file photo)
Green leader Furstenau declared victor in her home riding on Vancouver Island

Cowichan Valley voters elect freshly minted party leader for her second term

(from l) Fraser-Nicola candidates Jonah Timms (BC Green Party), Jackie Tegart (BC Liberal Party), and Aaron Sumexheltza (BC NDP). The polls have now closed and the counting has started. (Photo credit: Submitted)
Results awaited in Fraser-Nicola as polls have now closed

Counting of advance and election day votes has begun; mail-in votes to be counted starting Nov. 6

NDP headquarters on election night, Oct. 24, 2020. (Katya Slepian/Black Press Media)
ELECTION 2020: Live blog from B.C. party headquarters

BC NDP projected to win majority government – but celebrations will look different this election

(Image by Ulrike Leone from Pixabay)
QUIZ: A celebration of colour

Fall in British Columbia is a time to enjoy a spectrum of vivid colours

The Canadian border is pictured at the Peace Arch Canada/USA border crossing in Surrey, B.C. Friday, March 20, 2020. More than 4.6 million people have arrived in Canada since the border closed last March and fewer than one-quarter of them were ordered to quarantine while the rest were deemed “essential” and exempted from quarantining. THE CANADIAN PRESS/Jonathan Hayward
Majority of international travellers since March deemed ‘essential’, avoid quarantine

As of Oct. 20, 3.5 million travellers had been deemed essential, and another 1.1 million were considered non-essential

Canada’s Chief Public Health Officer Theresa Tam responds to a question during a news conference Friday October 23, 2020 in Ottawa. Canada’s top physician says she fears the number of COVID-19 hospitalizations and deaths may increase in the coming weeks as the second wave continues to drive the death toll toward 10,000. THE CANADIAN PRESS/Adrian Wyld
Canada’s top doctor warns severe illness likely to rise, trailing spike in COVID-19 cases

Average daily deaths from virus reached 23 over the past seven days, up from six deaths six weeks ago

Chastity Davis-Alphonse took the time to vote on Oct. 21. B.C’s general Election Day is Saturday, Oct. 24. (Chastity Davis-Alphonse Facebook photo)
B.C. reconciliation advocate encourages Indigenous women to vote in provincial election

Through the power of voice and education Chastity Davis-Alphonse is hopeful for change

Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

White Rock RCMP Staff Sgt. Kale Pauls has released a report on mental health and policing in the city. (File photos)
White Rock’s top cop wants to bill local health authority for lengthy mental-health calls

‘Suggestion’ included in nine-page review calling for ‘robust’ support for healthcare-led response

A Le Chateau retail store is shown in Montreal on Wednesday July 13, 2016. Le Chateau Inc. says it is seeking court protection from creditors under the Companies’ Creditors Arrangement Act to allow it to liquidate its assets and wind down its operations.THE CANADIAN PRESS/Ryan Remiorz
Clothing retailer Le Chateau plans to close its doors, files for CCAA protection

Le Chateau said it intends to remain fully operational as it liquidates its 123 stores

RCMP stock photo (Black Press)
Charges laid against Prince George man, 39, in drug trafficking probe

Tyler Aaron Gelowitz is scheduled to appear in court Nov. 18

Most Read