The US alternative meat company Beyond Meat is making significant cuts to its workforce and suspending operations in China as part of efforts to manage costs amid a tough market environment.
The US alternative meat company Beyond Meat has announced plans to reduce its workforce and suspend operations in China as part of ongoing cost-cutting initiatives. The decision comes as the company works to bolster its financial standing amid a challenging market environment.
On 26 February, Beyond Meat disclosed that it has eliminated over $50 million in operating expenses for the fiscal year 2024, excluding a $7.5 million settlement. The company is aiming to strengthen its financial profile, and its most recent financial results indicate that cost-cutting efforts are continuing in line with its long-term objectives.
The workforce reduction will impact approximately 44 employees in North America and the EU, accounting for about 6% of Beyond Meat’s global workforce. Additionally, the company plans to sever its operations in China, ceasing activities there by the end of the second quarter of 2024, which will result in the layoff of roughly 20 employees, making up about 95% of its China staff. In an official statement, Beyond Meat clarified that this decision is part of broader cost-reduction measures aimed at decreasing operating expenses.
Founded in 2012, Beyond Meat first made its foray into the Chinese market in 2020 by offering its products through Alibaba’s Freshippo supermarkets. Despite this expansion into Asia, Ethan Brown, the company’s founder and CEO, did not specify the contribution of the Chinese operations to the overall revenue during a call with analysts, stating, “we don’t break out by that specific geography, the performance.”
Despite the turbulent market environment, Brown expressed optimism regarding the company’s prospects, stating, “In the second half of the year, we registered two consecutive quarters of year-over-year net revenue growth following more than two years of declining sales.” The company’s CFO, Lubi Kutua, echoed this sentiment, noting a positive trend in US retail performance that constitutes nearly half of the total net revenues. The company’s net revenues for the fourth quarter ending on 31 December were reported at $76.7 million, showing a 4% year-on-year increase.
Meanwhile, Beyond Meat’s full-year revenues for 2024 totalled $326.5 million, reflecting a decline of 4.9% from the previous year. The company has reported ways to achieve greater operational efficiency without requiring drastic revenue growth.
In a separate context, the global advertising conglomerate WPP has faced significant challenges, with its share price hitting a four-year low following its forecast for revenue declines. The London-listed firm reported a 0.7% fall in revenues for 2024 and projected a further decline of up to 2% for 2025.
The company’s operating profit fell to £1.7 billion, down from £1.8 billion the previous year. Mark Read, WPP’s CEO, highlighted weakened discretionary spending by clients as a driver of the company’s turbulent financial results, while singling out growth from its top 25 clients as a small silver lining. Despite these challenges, WPP plans to continue investing in data-driven initiatives, particularly within its artificial intelligence-focused platform dubbed WPP Open.
WPP’s workforce has also seen reductions amid restructuring, dropping from over 114,000 employees to about 108,000. The UK advertising market has reported a decline in project-based work, exacerbated by a broader economic downturn that has affected numerous sectors. The company’s share price dropped sharply by 15% following its results, reflecting investor concerns over the outlook for future growth in an uncertain economic landscape.
Overall, the developments involving Beyond Meat and WPP underline the broader challenges faced by companies within the food and advertising sectors as they navigate complex market dynamics and shifting consumer behaviours.
Source: Noah Wire Services
- https://www.grocerygazette.co.uk/2025/02/27/beyond-meat-jobs-china/ – This article supports the claim that Beyond Meat is cutting jobs and suspending operations in China as part of a cost-cutting drive, aiming to reduce operating expenses and improve its financial standing.
- https://www.just-food.com/news/beyond-meat-cuts-jobs-suspends-china-operation/ – This article corroborates the information about Beyond Meat’s job cuts in North America and the EU, as well as the suspension of its China operations, which will result in the layoff of most of its China staff.
- https://www.greenqueen.com.hk/beyond-meat-q4-2024-earnings-revenue-china-layoffs/ – This article provides details on Beyond Meat’s financial performance, including its revenue growth in Q4 and the ongoing cost-cutting efforts to strengthen its financial profile.
- https://www.grocerygazette.co.uk/2025/02/27/beyond-meat-jobs-china/ – This article mentions Beyond Meat’s entry into the Chinese market in 2020 through Alibaba’s Freshippo supermarkets, highlighting its expansion efforts in Asia.
- https://www.greenqueen.com.hk/beyond-meat-q4-2024-earnings-revenue-china-layoffs/ – This article supports the claim that Beyond Meat has seen consecutive quarters of year-over-year net revenue growth, following a period of declining sales, and is focusing on improving operational efficiency.
- https://www.grocerygazette.co.uk/2025/02/27/beyond-meat-jobs-china/ – This article explains Beyond Meat’s long-term goals, including achieving positive EBITDA operations by the end of 2026 and improving its gross margin, reflecting its strategic approach to financial recovery.
- https://www.just-food.com/news/beyond-meat-cuts-jobs-suspends-china-operation/ – Please view link – unable to able to access data
- https://www.independent.co.uk/business/ad-giant-wpp-shares-dive-to-fouryear-low-as-clients-spend-less-money-b2705940.html – Please view link – unable to able to access data
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
9
Notes:
The narrative includes recent financial data and company decisions, such as Beyond Meat’s job cuts and WPP’s revenue forecast, indicating it is up-to-date.
Quotes check
Score:
8
Notes:
Quotes from Ethan Brown and Lubi Kutua are provided, but their original sources or dates are not specified. However, they appear to be recent statements.
Source reliability
Score:
9
Notes:
The narrative originates from a reputable publication, just-food.com, which is known for providing reliable news in the food industry.
Plausability check
Score:
9
Notes:
The claims about company restructuring and financial challenges are plausible given the current economic environment and are supported by specific financial data.
Overall assessment
Verdict (FAIL, OPEN, PASS): PASS
Confidence (LOW, MEDIUM, HIGH): HIGH
Summary:
The narrative is fresh, includes plausible claims, and originates from a reliable source. While specific dates for quotes are not provided, the overall content appears to be recent and accurate.
