Beyond Meat Inc

BYND

Beyond Meat Inc

@david
• 6 months ago

What is Beyond Meat's Business Model?

How Do They Make Money?

Right from the annual report, we get their business model:

  • They are tackling four global issues:

    • human health

    • climate change

    • constraints on natural resources

    • animal welfare

Kinda love that. They also call out that all of their products are made from simple ingredients without GMOs, and they aim to make their products nutrionally dense with fewer negative attributes relative to their animal protein alternatives.

Link to annual report

(No CEO letter in the beginning... 🙄)

They also call out that R&D are core elements of their business strategy, and that they want to implement a "cost down strategy"... which basically means they are trying to innovate to get their products to be at price parity with their meat alternatives.

## The Business

Current products:

  • Beef

    • 2024 innovations-- Beyond Burger IV and Beyond beef IV are made with avocado oil

  • Pork

    • Sausage links, breakfast sausage patties and links, and ground pork

  • Poultry

    • Chicken tenders, nuggets, and popcorn chicken

In terms of revenue, majority of sales come from Retail... but very importantly, revenues are falling.

## Key Partnerships

  • McDonald’s: long-term development agreement; McPlant permanent in several European markets (UK, Ireland, Austria, Netherlands); U.S. test ended with no current nationwide U.S. rollout.... not good.

  • Yum! Brands (KFC/Pizza Hut/Taco Bell) and others have run limited/market-specific items; performance has been mixed and is market-dependent.

  • PepsiCo JV (PLANeT Partnership): launched Beyond Jerky in 2022, now discontinued... again, not good.

## What will save this company?

  • Beyond Beef IV needs to perform really well.

  • It appears that it is based off of store ratings

Sentiment: Neutral