Beyond Meat’s QQ3 2024 results show a modest year-over-year top-line improvement but ongoing profitability challenges. Revenue of $81.0 million rose 7.15% year over year, while gross profit reached $14.31 million for a gross margin of 17.66%. Despite the brighter gross line, operating losses persisted, with operating income of -$30.91 million and EBITDA of -$20.22 million, yielding an EBITDA margin of -24.96%. Net income was -$26.58 million, or -$0.41 per share on a weighted average of 64.9 million shares, underscoring continued burn on SG&A and higher operating costs relative to revenue.
The company maintains a robust liquidity buffer in the near term, with cash and cash equivalents of approximately $121.7 million on the balance sheet and a total cash position of $134.9 million at period end. However, the balance sheet remains structurally leveraged, with total debt of about $1.222 billion, negative shareholders’ equity of approximately -$612 million, and a leverage profile that weighs on the investment thesis. Net debt stood at around $1.101 billion, contributing to an implied debt-to-capitalization dynamic near 2.0x. Cash flow from operations was negative at -$22.05 million, and free cash flow printed at -$24.07 million, signaling continued cash burn in the quarter. The current ratio stood at 3.43, underscoring near-term liquidity resilience, but the negative equity base and ongoing cash burn remain material overhangs for the stock.
Given the absence of management-provided forward guidance in the data, the forward outlook hinges on margin normalization, continued top-line stabilization, and strategic cost containment. Investors should monitor gross margin progression (target lift from 17.7%), SG&A discipline, supply-chain costs, and any operational improvements that could translate into a sustainable positive free cash flow trajectory. The competitive landscape in plant-based proteins remains intense, with peers showing materially stronger profitability metrics in the provided peer set, underscoring the precision needed in Beyond Meat’s cost and category execution to defy macro headwinds and scale profitability.