BEYOND MEAT, INC. Q1 FY2026 earnings call

Three main buckets of recovery activities: transition to Beyond the plant protein company and entry into adjacent functional food and beverage categories (e.g., Beyond Immerse drink), distribution and portfolio strategy activities around core product narrative and development (e.g., rolling out Beyond Chicken Pieces Spicy Buffalo, Beyond Breakfast Sausage lineup), and operations and manufacturing initiatives (e.g., consolidated production network, activated continuous production line, implemented RFP actions, exited less profitable lines, finalized plans to exit China).

First quarter net revenues were $58.2 million, down year over year. Gross margin was up sequentially and year over year but below achievable target. Adjusted EBITDA showed sequential and year-over-year improvement. Cash use for the quarter was $11.8 million, down significantly sequentially and year-over-year. U.S. retail net revenues decreased 15.3% to $26.6 million, U.S. food service net revenues decreased 29.7% to $6.6 million, international retail net revenues increased 8.1% to $13.7 million, international food service net revenues decreased 25.9% to $11.3 million. Gross profit in Q1 2026 was approximately $2 million, or a gross margin of 3.4%. Net loss was $28.5 million, or 6 cents per common share.

In the second quarter of 2026, expect net revenues to be in the range of approximately $60 million to $65 million.

Q: Good afternoon, Ethan, Luby. Two quick ones, first about gross margin sequentially into the second quarter.

A: Luby mentioned second quarter typically has higher volume and seasonally better for gross margin, and the older higher-cost inventory impact should be less in Q2.

Q: About rollout of the beverage portfolio, where are we and marketing plan?

A: Leveraging expertise of board members, focusing on New York launch with Big Geyser, targeting active people like athletes, fitness enthusiasts, using storyline related to recovery and muscle building, targeting run clubs, fitness studios, etc.