Beyond Meat Denies Bankruptcy Rumors, CEO Vows to Achieve Positive EBITDA by 2026

Beyond Meat has denied rumors of bankruptcy, citing a cash balance of $117.3 million and a goal to achieve positive EBITDA operations by the second half of 2026. The company has been navigating significant financial and competitive challenges, with sales dropping 20% YoY in Q2. Despite the denial, shares are trading lower by 4.87% to $2.65.

Beyond Meat Inc. (NASDAQ: BYND) has firmly denied recent rumors of bankruptcy, asserting that the company has a cash balance of $117.3 million and a goal to achieve positive EBITDA operations by the second half of 2026. The company has been navigating significant financial and competitive challenges, with sales dropping 20% year-over-year (YoY) in the second quarter of 2025. Despite the denial, shares have traded lower by 4.87% to $2.65.

In its earnings call for the second quarter of 2025, Beyond Meat reported revenue of $74.96 million, a 19.6% year-on-year decline and an 8.6% miss compared to analyst estimates of $82.02 million. Adjusted earnings per share (EPS) were -$0.40, a 3.2% miss compared to expectations of -$0.39. Adjusted EBITDA was -$22.12 million, a 29.5% miss compared to analyst estimates of -$19.35 million.

The company cited U.S. retail softness, delays in new distribution, and the lingering impact of moving products from refrigerated to frozen aisles as key factors behind the underperformance. CEO Ethan Brown described the results as "disappointing," highlighting persistent pricing issues and negative perceptions of the plant-based meat category. The company also noted nonrecurring expenses and product mix shifts that further pressured margins.

Analysts have raised concerns about Beyond Meat's cash burn and liquidity, with the convertible note maturity scheduled for 2027. CFO Lubi Kutua explained that recent cash outflows included one-time items such as legal settlements, and that the company is targeting a reduction in underlying cash burn through operational changes.

The company faces significant challenges in expanding beyond its core products and meeting future cash requirements in an increasingly competitive market. Investors and analysts will closely monitor Beyond Meat's progress on U.S. retail distribution rebuild, cost-cutting initiatives, and consumer response to new product launches in the coming quarters.

[1] https://finance.yahoo.com/news/5-insightful-analyst-questions-beyond-053647344.html
[2] https://www.investing.com/news/stock-market-news/beyond-meat-stock-falls-amid-bankruptcy-speculation-93CH-4195573