Beyond Meat on Thursday reported better-than-expected fourth quarter sales despite flagging consumer demand and lower prices.
The plant-based meat maker said its revenue fell 21% to $80 million in the October-December period. Still, that beat Wall Street's expectations. Analysts polled by FactSet were forecasting revenue of $75.8 million.
Beyond Meat’s shares jumped 13% in after-hours trading.
The El Segundo, California-based maker of plant-based burgers, sausages, nuggets and other products said its sales volumes continued to decline despite price cuts in the U.S. and Europe. The strong dollar also cut into profits from abroad, the company said.
Beyond Meat’s net loss narrowed to $66.9 million for the quarter, or $1.05 per share. That also beat Wall Street’s forecast of a $1.18 per-share loss.
The results came amid a broader slowdown in demand for fresh plant-based meats like burger patties and sausages. U.S. sales of fresh meat alternatives fell 11% in 2022, wiping out the 11% gain they had seen in 2021, according to NielsenIQ.
But the news wasn’t all bad. U.S. sales of fully cooked meat alternatives like frozen nuggets and steak tips rose 5% last year.
Beyond also got a boost this month when McDonald’s introduced plant-based McNuggets in Germany. The McNuggets are the second product McDonald’s has co-produced with Beyond Meat; it also sells a McPlant burger in several European markets.