The news comes amid a challenging year for the meat substitute company, whose share price now sits under $14, far below its 52-week high of $109.95.
Included in the headcount reduction is notorious COO Doug Ramsey. Ramsey was recently suspended from the company after it was reported he bit a man’s nose during an altercation following a University of Arkansas football game.
Beyond Meat claimed the layoffs were “based on cost-reduction initiatives intended to reduce operating expenses.” The company plans to “target cash flow positive operations within the second half of 2023.”
The headcount reduction is expected to be finalized by the end of the year.
As part of the announcement, the company reduced its expected Q3 net revenue. It anticipated $82 million during the quarter, down 23% from the same period in 2021.
For the entire fiscal year, Beyond Meat expects net revenue between $400 million to $425 million, revised downward from previous estimates of $470 million to $520 million. The new projections represent nearly a 14% drop compared to last year.
In addition to the departure of Doug Ramsey, the company has enacted substantial changes to other leadership positions. CFO Philip E. Hardin, who began his role in July last year, stepped down to pursue another opportunity.
Lubi Kutua, VP of financial planning and analysis and investor relations, replaced Hardin effective October 13. Kutua previously held the role of VP of equity research at Jefferies LLC.
Other notable changes include Beyond Meat VP and corporate controller Henry Dieu, who is transitioning to the role of the principal accounting officer.
Jonathan Nelson will become SVP of operations and supply operations, while Deanna Jurgens, the president of North America and global chief growth officer, will depart her position. The role will be eliminated.
President and CEO Ethan Brown issued a statement elaborating on the company’s decision to reduce personnel and expenses. The Beyond Meat executive said the move “reflects an appropriate right-sizing of [the] organization given current economic conditions.”