Beyond Meat announced a widening loss in Q3 as U.S. demand for its meat substitutes contracted, according to a press release by Beyond Meat on Wednesday.

  • Beyond Meat reported a Q3 net loss of $5.4 billion, wider than the net loss of $19.3 billion, a year earlier.
  • The company indicated that it faced higher transportation and warehousing costs and increased its inventory write-offs that hampered its profits. Nearly $9 million was written off after water damage at one of its plants that disrupted packaging.
  • Net sales expanded by 127% to $106.4 million, missing estimates of $109.2 million. Compared with the prior second quarter, the revenues dropped, matching normal seasonal trends for the company’s products.
  • The company posted strong growth outside of the United States, with international grocery and restaurant units each recording more sales than double during the quarter.

The company’s fourth-quarter forecast signaled that sales were not expected to recover immediately. BYND down -20.09%, Pre-market trading