In a press release dated August 4th Beyond Meat (BYND) announced results for the 2nd Quarter ending June 27th.
The following table summarizes the results for the period compared with the values for the corresponding quarter of the previous fiscal year (Values expressed as US$ x 1,000 except EPS)
|
2nd Quarter Ending
|
June 27th 2020
|
June 29th 2019
|
Difference (%)
|
|
Sales:
|
$113,338
|
$67,251
|
+68.5
|
|
Gross profit:
|
$33,651
|
$22,741
|
+48.0
|
|
Operating income:
|
$(8,166)
|
$2,167
|
-476
|
|
Pre-tax Income
Net Income
|
$(10,189)
$(10,205)
|
$(9,420)
$(9,441)
|
-7.9
-8.1
|
|
Diluted earnings per share:
|
$(0.16)
|
$(1.24)
|
-33.3
|
|
Gross Margin (%)
|
29.7
|
33.8
|
-12.1
|
|
Operating Margin (%)
|
-7.2
|
3.2
|
-325.0
|
|
Profit Margin (%)
|
-9.0
|
-14.0
|
+35.7
|
|
Long-term Debt:
|
$22,056
|
$20,136
|
+9.5
|
|
12 Months Trailing:
|
|
Return on Assets (%)
|
0.5
|
|
Return on Equity (%)
|
-1.3
|
|
Operating Margin (%)
|
1.0
|
|
Profit Margin (%)
|
-1.1
|
|
Total Assets
|
$527,818
|
$451,923
|
+16.8
|
|
Market Capitalization
|
$8,260,000
|
Comments:
SGA increased from 23.1 percent in Q2 2019 to 30.2 percent in Q2 2020
Gross margin declined 12.1 percent
Restructuring costs of $1.5 million were incurred in Q2 2020
$6 million in R&D represented 5 percent of sales in Q2 2020 and $4 million in Q2 2019.
In Q2 2020 U.S sales represented 86 percent of revenue, Retail sales amounted to 93 percent of U.S. revenue after the collapse of food service in Q1 2020.
52-Week Range in Share Price: $ 48.18 to $172.27 50-day Moving average $137.68
Market Open: August 4th $128.24: Close post-release $142.16.
Close August 5th $132.68 down 6.7 percent
Forward P/E 666.7
Institutional shareholders represented 31 percent. Short of float 12 percent.
In commenting on Q2 results Ethan Brown CEO of Beyond Meat commented, "I am proud of our record net revenues and growth during a very challenging period. As the toll of the COVID-19 pandemic took hold across the foodservice industry, we repurposed assets and repacked and rerouted products to meet increased consumer activity in the retail aisles. Throughout the quarter, our brand experienced an enviable combination of consumer trends – increasing household penetration; increasing buying levels per household; and strong repeat purchase rates of nearly 50%, well above the success threshold for consumer-packaged goods. Further, we forged ahead with our long-term growth strategy. We invested in expanded operations and sales in the EU and Asia, in innovation, and in targeted pricing measures during this period of high beef prices. Most notable in this regard was the retail introduction of our Cookout Classic™ value pack, which significantly reduced the price of our burgers from nearly twice that of conventional beef patties to an approximate 20% premium, on a per pound basis. Though the Cookout Classic™ only reached stores in the last two weeks of the second quarter, it accounted for 16 points of the year-over-year volume growth in our U.S. retail business. We look forward to continuing to serve our consumers and customers alike as we all hope for a resolution to the COVID-19 pandemic.”