Company quoted declining sales and said the layoffs are “based on cost-cutting initiatives aimed at lowering operating costs…
Beyond Meat expects the cuts to be completed before the end of the year.
Shares of the company, which opened on the NASDAQ Friday, already 87% lower from its 52-week high, fell further in midmorning trading following the layoff news. The stock hit a 52-week low of $12.76 earlier this week and last traded around $13.95, bringing the company’s market value below $900 million.
As part of the job cuts, the company said the role of Chief Growth Officer/North America President has been eliminated. Deanna Jurgens, who held that role, will leave the company on October 17.
In addition, financial director Philip Hardin informed the company that he would be stepping down on October 12 “to seize another opportunity”. Lubi Kutua, who was previously Beyond Meat’s vice president of financial planning, analysis and investor relations, was appointed by the board of directors to fill that role, effective October 13.
The company also lowered its full-year revenue guidance, expecting third-quarter net sales of approximately $82 million, down 23% from the same quarter in 2021. expected to be approximately $400 million to $425 million, which will be a decrease of between 14% and 9% from the prior year. The company had previously forecast year-end revenue to be between $470 million and $520 million, the filing said.
A request for comment on Beyond Meat’s changes was not immediately returned.
The company announced that 4% workforce reduction in August, but the news also comes as chief operating officer, Douglas Ramsey, left the company — his last day was Friday — after his recent arrest who accused him of assault after allegedly biting a man’s nose. Jonathan Nelson was promoted to head of operations and supply chain.