000165521012/312020Q3falseP2Yus-gaap:AccountingStandardsUpdate201602Member442100016552102020-01-012020-09-26xbrli:shares00016552102020-11-06iso4217:USD00016552102020-09-2600016552102019-12-31iso4217:USDxbrli:shares00016552102020-06-282020-09-2600016552102019-06-302019-09-2800016552102019-01-012019-09-280001655210us-gaap:RetainedEarningsMember2020-06-282020-09-260001655210us-gaap:CommonStockMember2019-12-310001655210us-gaap:AdditionalPaidInCapitalMember2019-12-310001655210us-gaap:RetainedEarningsMember2019-12-310001655210us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-12-310001655210us-gaap:RetainedEarningsMember2020-01-012020-03-2800016552102020-01-012020-03-280001655210us-gaap:CommonStockMember2020-01-012020-03-280001655210us-gaap:AdditionalPaidInCapitalMember2020-01-012020-03-280001655210us-gaap:CommonStockMember2020-03-280001655210us-gaap:AdditionalPaidInCapitalMember2020-03-280001655210us-gaap:RetainedEarningsMember2020-03-280001655210us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-03-2800016552102020-03-280001655210us-gaap:RetainedEarningsMember2020-03-292020-06-2700016552102020-03-292020-06-270001655210us-gaap:CommonStockMember2020-03-292020-06-270001655210us-gaap:AdditionalPaidInCapitalMember2020-03-292020-06-270001655210us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-03-292020-06-270001655210us-gaap:CommonStockMember2020-06-270001655210us-gaap:AdditionalPaidInCapitalMember2020-06-270001655210us-gaap:RetainedEarningsMember2020-06-270001655210us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-06-2700016552102020-06-270001655210us-gaap:CommonStockMember2020-06-282020-09-260001655210us-gaap:AdditionalPaidInCapitalMember2020-06-282020-09-260001655210us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-06-282020-09-260001655210us-gaap:CommonStockMember2020-09-260001655210us-gaap:AdditionalPaidInCapitalMember2020-09-260001655210us-gaap:RetainedEarningsMember2020-09-260001655210us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-09-2600016552102018-12-310001655210us-gaap:CommonStockMember2018-12-310001655210us-gaap:AdditionalPaidInCapitalMember2018-12-310001655210us-gaap:RetainedEarningsMember2018-12-310001655210us-gaap:RetainedEarningsMember2019-01-012019-03-3000016552102019-01-012019-03-300001655210us-gaap:CommonStockMember2019-01-012019-03-300001655210us-gaap:AdditionalPaidInCapitalMember2019-01-012019-03-3000016552102019-03-300001655210us-gaap:CommonStockMember2019-03-300001655210us-gaap:AdditionalPaidInCapitalMember2019-03-300001655210us-gaap:RetainedEarningsMember2019-03-300001655210us-gaap:RetainedEarningsMember2019-03-312019-06-2900016552102019-03-312019-06-290001655210us-gaap:IPOMember2019-06-290001655210us-gaap:IPOMemberus-gaap:CommonStockMember2019-03-312019-06-290001655210us-gaap:IPOMemberus-gaap:AdditionalPaidInCapitalMember2019-03-312019-06-290001655210us-gaap:IPOMember2019-03-312019-06-290001655210us-gaap:CommonStockMember2019-03-312019-06-290001655210us-gaap:AdditionalPaidInCapitalMember2019-03-312019-06-2900016552102019-06-290001655210us-gaap:CommonStockMember2019-06-290001655210us-gaap:AdditionalPaidInCapitalMember2019-06-290001655210us-gaap:RetainedEarningsMember2019-06-290001655210us-gaap:RetainedEarningsMember2019-06-302019-09-2800016552102019-09-280001655210us-gaap:CommonStockMember2019-06-302019-09-280001655210us-gaap:AdditionalPaidInCapitalMember2019-06-302019-09-280001655210us-gaap:CommonStockMember2019-09-280001655210us-gaap:AdditionalPaidInCapitalMember2019-09-280001655210us-gaap:RetainedEarningsMember2019-09-280001655210us-gaap:SubsequentEventMember2020-10-302020-10-30xbrli:pure0001655210us-gaap:GeographicConcentrationRiskMembercountry:USbynd:LongLivedAssetsMember2020-01-012020-09-260001655210us-gaap:BuildingMember2020-01-012020-09-260001655210us-gaap:FurnitureAndFixturesMember2020-01-012020-09-260001655210us-gaap:EquipmentMembersrt:MinimumMember2020-01-012020-09-260001655210srt:MaximumMemberus-gaap:EquipmentMember2020-01-012020-09-260001655210srt:MinimumMemberbynd:ResearchAndDevelopmentEquipmentMember2020-01-012020-09-260001655210srt:MaximumMemberbynd:ResearchAndDevelopmentEquipmentMember2020-01-012020-09-260001655210us-gaap:SoftwareAndSoftwareDevelopmentCostsMember2020-01-012020-09-260001655210us-gaap:VehiclesMember2020-01-012020-09-260001655210bynd:FrozenMemberus-gaap:ProductConcentrationRiskMemberus-gaap:SalesRevenueNetMember2019-01-012019-12-310001655210bynd:FrozenMemberus-gaap:ProductConcentrationRiskMemberus-gaap:SalesRevenueNetMember2018-01-012018-12-310001655210country:USus-gaap:SalesChannelDirectlyToConsumerMember2020-06-282020-09-260001655210country:USus-gaap:SalesChannelDirectlyToConsumerMember2019-06-302019-09-280001655210country:USus-gaap:SalesChannelDirectlyToConsumerMember2020-01-012020-09-260001655210country:USus-gaap:SalesChannelDirectlyToConsumerMember2019-01-012019-09-280001655210us-gaap:SalesChannelThroughIntermediaryMembercountry:US2020-06-282020-09-260001655210us-gaap:SalesChannelThroughIntermediaryMembercountry:US2019-06-302019-09-280001655210us-gaap:SalesChannelThroughIntermediaryMembercountry:US2020-01-012020-09-260001655210us-gaap:SalesChannelThroughIntermediaryMembercountry:US2019-01-012019-09-280001655210country:US2020-06-282020-09-260001655210country:US2019-06-302019-09-280001655210country:US2020-01-012020-09-260001655210country:US2019-01-012019-09-280001655210us-gaap:NonUsMemberus-gaap:SalesChannelDirectlyToConsumerMember2020-06-282020-09-260001655210us-gaap:NonUsMemberus-gaap:SalesChannelDirectlyToConsumerMember2019-06-302019-09-280001655210us-gaap:NonUsMemberus-gaap:SalesChannelDirectlyToConsumerMember2020-01-012020-09-260001655210us-gaap:NonUsMemberus-gaap:SalesChannelDirectlyToConsumerMember2019-01-012019-09-280001655210us-gaap:SalesChannelThroughIntermediaryMemberus-gaap:NonUsMember2020-06-282020-09-260001655210us-gaap:SalesChannelThroughIntermediaryMemberus-gaap:NonUsMember2019-06-302019-09-280001655210us-gaap:SalesChannelThroughIntermediaryMemberus-gaap:NonUsMember2020-01-012020-09-260001655210us-gaap:SalesChannelThroughIntermediaryMemberus-gaap:NonUsMember2019-01-012019-09-280001655210us-gaap:NonUsMember2020-06-282020-09-260001655210us-gaap:NonUsMember2019-06-302019-09-280001655210us-gaap:NonUsMember2020-01-012020-09-260001655210us-gaap:NonUsMember2019-01-012019-09-280001655210bynd:DistributorOneMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2020-06-282020-09-260001655210bynd:DistributorOneMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2019-06-302019-09-280001655210bynd:DistributorTwoMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2019-06-302019-09-280001655210bynd:DistributorOneMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2020-01-012020-09-260001655210bynd:DistributorOneMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2019-01-012019-09-280001655210bynd:DistributorTwoMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2019-01-012019-09-280001655210us-gaap:ShippingAndHandlingMember2020-06-282020-09-260001655210us-gaap:ShippingAndHandlingMember2019-06-302019-09-280001655210us-gaap:ShippingAndHandlingMember2020-01-012020-09-260001655210us-gaap:ShippingAndHandlingMember2019-01-012019-09-280001655210srt:MinimumMember2020-09-260001655210srt:MaximumMember2020-09-2600016552102019-01-012019-12-310001655210us-gaap:AccountingStandardsUpdate201602Member2020-01-010001655210us-gaap:CostOfSalesMember2020-06-282020-09-260001655210us-gaap:CostOfSalesMember2020-01-012020-09-260001655210us-gaap:ResearchAndDevelopmentExpenseMember2020-06-282020-09-260001655210us-gaap:ResearchAndDevelopmentExpenseMember2020-01-012020-09-260001655210us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-06-282020-09-260001655210us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-01-012020-09-260001655210srt:MinimumMember2019-12-310001655210srt:MaximumMember2019-12-310001655210us-gaap:EquipmentMember2020-09-260001655210us-gaap:EquipmentMember2019-12-310001655210bynd:ResearchAndDevelopmentEquipmentMember2020-09-260001655210bynd:ResearchAndDevelopmentEquipmentMember2019-12-310001655210us-gaap:LeaseholdImprovementsMember2020-09-260001655210us-gaap:LeaseholdImprovementsMember2019-12-310001655210us-gaap:BuildingMember2020-09-260001655210us-gaap:BuildingMember2019-12-310001655210us-gaap:AssetsHeldUnderCapitalLeasesMember2019-12-310001655210us-gaap:SoftwareAndSoftwareDevelopmentCostsMember2020-09-260001655210us-gaap:SoftwareAndSoftwareDevelopmentCostsMember2019-12-310001655210us-gaap:FurnitureAndFixturesMember2020-09-260001655210us-gaap:FurnitureAndFixturesMember2019-12-310001655210us-gaap:VehiclesMember2020-09-260001655210us-gaap:VehiclesMember2019-12-310001655210us-gaap:LandMember2020-09-260001655210us-gaap:LandMember2019-12-310001655210us-gaap:AssetUnderConstructionMember2020-09-260001655210us-gaap:AssetUnderConstructionMember2019-12-310001655210us-gaap:CostOfSalesMember2019-06-302019-09-280001655210us-gaap:ResearchAndDevelopmentExpenseMember2019-06-302019-09-280001655210us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-06-302019-09-280001655210us-gaap:CostOfSalesMember2019-01-012019-09-280001655210us-gaap:ResearchAndDevelopmentExpenseMember2019-01-012019-09-280001655210us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-01-012019-09-280001655210us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember2020-09-260001655210us-gaap:OtherNoncurrentAssetsMember2020-09-260001655210us-gaap:RevolvingCreditFacilityMemberus-gaap:LineOfCreditMember2020-04-210001655210us-gaap:RevolvingCreditFacilityMemberus-gaap:LineOfCreditMember2020-04-212020-04-210001655210us-gaap:LineOfCreditMember2020-04-212020-04-210001655210us-gaap:DebtInstrumentRedemptionPeriodOneMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:BaseRateMemberus-gaap:LineOfCreditMember2020-04-212020-04-210001655210us-gaap:DebtInstrumentRedemptionPeriodOneMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:LineOfCreditMember2020-04-212020-04-210001655210srt:MinimumMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:BaseRateMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMemberus-gaap:LineOfCreditMember2020-04-212020-04-210001655210srt:MaximumMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:BaseRateMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMemberus-gaap:LineOfCreditMember2020-04-212020-04-210001655210srt:MinimumMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMemberus-gaap:LineOfCreditMember2020-04-212020-04-210001655210srt:MaximumMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMemberus-gaap:LineOfCreditMember2020-04-212020-04-2100016552102020-04-210001655210us-gaap:RevolvingCreditFacilityMemberus-gaap:LineOfCreditMember2020-09-260001655210us-gaap:RevolvingCreditFacilityMemberus-gaap:LineOfCreditMember2019-12-310001655210us-gaap:RevolvingCreditFacilityMemberbynd:SVBCreditFacilitiesMemberus-gaap:LineOfCreditMember2020-09-260001655210us-gaap:RevolvingCreditFacilityMemberbynd:SVBCreditFacilitiesMemberus-gaap:LineOfCreditMember2019-12-310001655210bynd:A2018TermLoanFacilityMemberus-gaap:LineOfCreditMember2020-09-260001655210bynd:A2018TermLoanFacilityMemberus-gaap:LineOfCreditMember2019-12-310001655210bynd:EquipmentLoanFacilityMemberus-gaap:LineOfCreditMember2020-09-260001655210bynd:EquipmentLoanFacilityMemberus-gaap:LineOfCreditMember2019-12-310001655210us-gaap:LineOfCreditMember2019-06-302019-09-280001655210us-gaap:LineOfCreditMember2020-06-282020-09-260001655210us-gaap:LineOfCreditMember2020-01-012020-09-260001655210us-gaap:LineOfCreditMember2019-01-012019-09-280001655210bynd:EquipmentLoanFacilityMemberus-gaap:LineOfCreditMember2020-06-282020-09-260001655210bynd:EquipmentLoanFacilityMemberus-gaap:LineOfCreditMember2019-06-302019-09-280001655210bynd:EquipmentLoanFacilityMemberus-gaap:LineOfCreditMember2020-01-012020-09-260001655210bynd:EquipmentLoanFacilityMemberus-gaap:LineOfCreditMember2019-01-012019-09-2800016552102020-01-010001655210us-gaap:RestrictedStockUnitsRSUMember2020-09-260001655210us-gaap:RestrictedStockUnitsRSUMember2019-12-310001655210us-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:EmployeeStockOptionMember2020-01-012020-09-260001655210us-gaap:ShareBasedCompensationAwardTrancheTwoMemberus-gaap:EmployeeStockOptionMember2020-01-012020-09-260001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:EmployeeStockOptionMember2020-01-012020-09-260001655210us-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:EmployeeStockOptionMember2019-01-012019-09-280001655210us-gaap:ShareBasedCompensationAwardTrancheTwoMemberus-gaap:EmployeeStockOptionMember2019-01-012019-09-280001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:EmployeeStockOptionMembersrt:ExecutiveOfficerMember2019-08-012019-08-010001655210us-gaap:EmployeeStockOptionMember2020-06-282020-09-260001655210us-gaap:EmployeeStockOptionMember2019-06-302019-09-280001655210us-gaap:EmployeeStockOptionMember2020-01-012020-09-260001655210us-gaap:EmployeeStockOptionMember2019-01-012019-09-280001655210us-gaap:EmployeeStockOptionMember2020-09-260001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:RestrictedStockUnitsRSUMemberbynd:NewEmployeesMember2019-01-012019-09-280001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:RestrictedStockUnitsRSUMemberbynd:NewEmployeesMember2020-01-012020-09-260001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:ShareBasedCompensationAwardTrancheTwoMemberus-gaap:RestrictedStockUnitsRSUMemberbynd:NewEmployeesMember2020-01-012020-09-260001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:ShareBasedCompensationAwardTrancheTwoMemberus-gaap:RestrictedStockUnitsRSUMemberbynd:NewEmployeesMember2019-01-012019-09-280001655210srt:DirectorMemberus-gaap:ShareBasedPaymentArrangementNonemployeeMemberus-gaap:RestrictedStockUnitsRSUMember2020-01-012020-09-260001655210bynd:ShareBasedPaymentArrangementTrancheFiveMemberus-gaap:ShareBasedPaymentArrangementNonemployeeMemberus-gaap:RestrictedStockUnitsRSUMember2020-01-012020-09-260001655210us-gaap:ShareBasedCompensationAwardTrancheThreeMemberus-gaap:ShareBasedPaymentArrangementNonemployeeMemberus-gaap:RestrictedStockUnitsRSUMemberbynd:BrandAmbassadorMember2020-01-012020-09-260001655210bynd:ShareBasedPaymentArrangementTrancheFourMemberus-gaap:ShareBasedPaymentArrangementNonemployeeMemberus-gaap:RestrictedStockUnitsRSUMemberbynd:BrandAmbassadorMember2020-01-012020-09-260001655210us-gaap:RestrictedStockUnitsRSUMember2020-01-012020-09-260001655210us-gaap:RestrictedStockUnitsRSUMemberus-gaap:CommonStockMember2020-01-012020-09-260001655210us-gaap:RestrictedStockUnitsRSUMember2020-06-282020-09-260001655210us-gaap:RestrictedStockUnitsRSUMember2019-06-302019-09-280001655210us-gaap:RestrictedStockUnitsRSUMember2019-01-012019-09-280001655210us-gaap:CommonStockMember2020-06-282020-09-260001655210us-gaap:CommonStockMember2020-01-012020-09-260001655210us-gaap:CommonStockMember2019-01-012019-09-280001655210us-gaap:CommonStockMember2019-06-302019-09-280001655210us-gaap:CommonStockMember2020-09-260001655210us-gaap:CommonStockMember2019-12-310001655210us-gaap:RestrictedStockMember2019-12-310001655210us-gaap:RestrictedStockMember2019-01-012019-12-310001655210us-gaap:RestrictedStockMember2020-01-012020-09-260001655210us-gaap:RestrictedStockMember2020-09-260001655210us-gaap:RestrictedStockMember2020-06-282020-09-260001655210us-gaap:RestrictedStockMember2019-06-302019-09-280001655210us-gaap:RestrictedStockMember2019-01-012019-09-280001655210bynd:A2018EmployeeStockPurchasePlanMemberus-gaap:EmployeeStockMember2020-09-260001655210bynd:A2018EmployeeStockPurchasePlanMemberus-gaap:EmployeeStockMember2020-01-012020-01-010001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:RestrictedStockUnitsRSUMember2019-01-012019-09-280001655210us-gaap:ShareBasedPaymentArrangementEmployeeMemberus-gaap:RestrictedStockUnitsRSUMember2020-01-012020-09-260001655210bynd:ShareBasedPaymentArrangementTrancheFourMemberus-gaap:ShareBasedPaymentArrangementNonemployeeMemberus-gaap:RestrictedStockUnitsRSUMember2020-01-012020-09-260001655210us-gaap:ShareBasedPaymentArrangementNonemployeeMemberus-gaap:RestrictedStockUnitsRSUMemberbynd:BrandAmbassadorMember2020-01-012020-09-2600016552102020-03-16utr:sqft00016552102020-05-26bynd:contract00016552102020-05-262020-05-260001655210bynd:AdministrativeCommitteeOfJiaxingEconomicTechnologicalDevelopmentZoneMember2020-09-220001655210bynd:AdministrativeCommitteeOfJiaxingEconomicTechnologicalDevelopmentZoneMembersrt:MinimumMember2020-09-220001655210bynd:AdministrativeCommitteeOfJiaxingEconomicTechnologicalDevelopmentZoneMember2020-09-222020-09-2200016552102020-01-102020-01-1000016552102020-01-100001655210us-gaap:CapitalAdditionsMember2020-09-26bynd:defendant0001655210us-gaap:PendingLitigationMemberbynd:FormerCoManufacturerComplaintMember2018-10-012018-10-310001655210us-gaap:PendingLitigationMemberbynd:FormerCoManufacturerComplaintMember2020-01-242020-01-240001655210us-gaap:PendingLitigationMemberbynd:FormerCoManufacturerComplaintMember2020-01-272020-01-27bynd:numberOfEmployees

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 26, 2020

OR

☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to

                  

Commission File Number: 001-38879

BEYOND MEAT, INC.

(Exact name of registrant as specified in its charter)

Delaware			26-4087597
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

119 Standard Street

El Segundo, CA 90245

(Address, including zip code, of principal executive offices)

(866) 756-4112

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, $0.0001 par value

BYND

The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.                                                Yes ☒     No   ☐

    

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).   Yes  ☒   No  ☐

    

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☐

Non-accelerated filer

☒

Smaller reporting company

☐

Emerging growth company

☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.                                        ☒

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).                                                Yes  ☐   No  ☒

As of November 6, 2020, the registrant had 62,655,659 shares of common stock, $0.0001 par value per share, outstanding.

---

TABLE OF CONTENTS
			Page
Part I. Financial Information
Item 1. Financial Statements (Unaudited):			1
Condensed Consolidated Balance Sheets			1
Condensed Consolidated Statements of Operations			3
Condensed Consolidated Statements of Comprehensive (Loss) Income			4
Condensed Consolidated Statements of Convertible Preferred Stock and Stockholders’ Equity (Deficit)			5
Condensed Consolidated Statements of Cash Flows			6
Notes to Unaudited Condensed Consolidated Financial Statements			8
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations			32
Item 3. Quantitative and Qualitative Disclosures About Market Risk			54
Item 4. Controls and Procedures			56
Part II. Other Information
Item 1. Legal Proceedings			57
Item 1A. Risk Factors			66
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds			67
Item 3. Defaults Upon Senior Securities			67
Item 4. Mine Safety Disclosures			67
Item 5. Other Information			67
Item 6. Exhibits			68
Signatures			69

i

---

Note Regarding Forward-Looking Statements

This report includes forward-looking statements within the meaning of the federal securities laws. We have based these forward-looking statements largely on our current opinions, expectations, beliefs, plans, objectives, assumptions and projections about future events and financial trends affecting the operating results and financial condition of our business. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on information available at the time those statements are made and/or management’s good faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. Important factors that could cause such differences include, but are not limited to:

•the effects of the coronavirus (“COVID-19”) pandemic on our business, financial condition and results of operations, including on our supply chain, the demand for our products, and, in particular in our foodservice channel, our product and channel mix, the timing and level of retail purchasing, our manufacturing facilities and operations, our inventory levels, our ability to expand and produce in new geographic markets or the timing of such expansion efforts, the pace and success of new product introductions, the timing of new foodservice launches, and on overall economic conditions and consumer confidence and spending levels;

•the impact of adverse and uncertain economic and political conditions in the U.S. and international markets;

•the volatility of capital markets and other macroeconomic factors;

•estimates of our expenses, future revenues, capital expenditures, capital requirements and our needs for additional financing;

•our ability to effectively manage our growth;

•the failure of acquisitions and other investments to be efficiently integrated and produce the results we anticipate;

•the effects of increased competition from our market competitors and new market entrants;

•changes in the retail landscape, including the timing and level of trade and promotion discounts, our ability to grow market share and increase household penetration, repeat buying rates and purchase frequency, and our ability to maintain and increase sales velocity of our products;

•the success of distribution expansion and new product introductions in increasing revenues and market share;

•the timing and success of strategic partnership launches and limited time offerings resulting in permanent menu items;

•our estimates of the size of our market opportunities;

•our ability to effectively expand our manufacturing and production capacity;

•our ability to accurately forecast demand for our products and manage our inventory;

•variations in product selling prices and costs, and the mix of products sold;

•our ability to successfully enter new geographic markets, manage our international expansion and comply with any applicable laws and regulations;

•the effects of global outbreaks of pandemics or contagious diseases or fear of such outbreaks, such as the COVID-19 pandemic;

•the success of our marketing initiatives and the ability to grow brand awareness, maintain, protect and enhance our brand, attract and retain new customers and grow our market share;

•our ability to attract, maintain and effectively expand our relationships with key strategic foodservice partners;

•our ability to attract and retain our suppliers, distributors, co-manufacturers and customers;

•our ability to procure sufficient high quality, raw materials to manufacture our products;

•the availability of pea protein that meets our standards;

•our ability to diversify the protein sources used for our products;

•our ability to differentiate and continuously create innovative products, respond to competitive innovation and achieve speed-to-market;

•our ability to successfully execute our strategic initiatives;

ii

---

•the volatility associated with ingredient, packaging and other input costs;

•real or perceived quality or health issues with our products or other issues that adversely affect our brand and reputation;

•our ability to accurately predict consumer taste preferences, trends and demand and successfully innovate, introduce and commercialize new products and improve existing products, including in new geographic markets;

•significant disruption in, or breach in security of our information technology systems and resultant interruptions in service and any related impact on our reputation;

•the attraction and retention of qualified employees and key personnel and our ability to maintain our company culture as we continue to grow;

•the effects of natural or man-made catastrophic events particularly involving our or any of our co-manufacturers’ manufacturing facilities or our suppliers’ facilities;

•the impact of marketing campaigns aimed at generating negative publicity regarding our products, brand and the plant-based industry category;

•the effectiveness of our internal controls;

•our indebtedness and ability to pay such indebtedness, as well as our ability to comply with covenants under our credit agreement;

•changes in laws and government regulation affecting our business, including the U.S. Food and Drug Administration (“FDA”) and the U.S. Federal Trade Commission (“FTC”) governmental regulation, and state, local and foreign regulation;

•new or pending legislation, or changes in laws, regulations or policies of governmental agencies or regulators, both in the U.S. and abroad, affecting plant-based meat, the labeling or naming of our products, or our brand name;

•the financial condition of, and our relationships with our suppliers, co-manufacturers, distributors, retailers, and foodservice customers, and their future decisions regarding their relationships with us;

•the ability of our suppliers and co-manufacturers to comply with food safety, environmental or other laws or regulations;

•seasonality;

•the sufficiency of our cash and cash equivalents to meet our liquidity needs and service our indebtedness;

•economic conditions and the impact on consumer spending;

•outcomes of legal or administrative proceedings, or new legal or administrative proceedings filed against us;

•our, our suppliers’ and our co-manufacturers’ ability to protect our proprietary technology, intellectual property and trade secrets adequately;

•the impact of tariffs and trade wars;

•foreign exchange rate fluctuations; and

•the risks discussed in Part I, Item 1A, “Risk Factors,” included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2019 filed with the Securities and Exchange Commission (“SEC”) on March 19, 2020 (the “2019 10-K”), Part II, Item 1A, “Risk Factors” included herein, and those discussed in other documents we file from time to time with the SEC.

In some cases, you can identify forward-looking statements by the use of words such as “believe,” “may,” “will,” “will continue,” “could,” “will likely result,” “estimate,” “continue,” “anticipate,” “intend,” “plan,” “predict,” “project,” “expect,” “potential” and variations of these terms and similar expressions, or the negative of these terms or similar expressions. These forward-looking statements are based on our current expectations and assumptions that are subject to risks and uncertainties, which could cause our actual results to differ materially from those anticipated or implied in the forward-looking statements.

This report also contains estimates and other statistical data obtained from independent parties and by us relating to market size and growth and other data about our industry and ultimate consumers. The number of retail and foodservice outlets are derived from data through September 26, 2020. This data involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates and data.

All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above. Forward-looking statements speak only as of the

iii

---

date of this report. You should not put undue reliance on any forward-looking statements. We assume no obligation to publicly update or revise any forward-looking statements because of new information, future events, changes in assumptions or otherwise, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.

As used herein, the terms “Beyond Meat,” “we,” “us,” “our” and the “Company” refer to Beyond Meat, Inc., a Delaware corporation, including its consolidated subsidiaries unless the context otherwise requires.

“Beyond Meat,” “Beyond Burger,” “Beyond Beef,” “Beyond Sausage,” “Beyond Breakfast Sausage,” “Beyond Meatball,” the Caped Steer Logo, “GO BEYOND,” “Eat What You Love” and “The Cookout Classic,” are registered or pending trademarks of Beyond Meat, Inc. in the United States and, in some cases, in certain other countries. All other brand names or trademarks appearing in this report are the property of their respective holders. Solely for convenience, the trademarks and trade names contained herein are referred to without the ® and ™ symbols, but such references should not be construed as any indicator that their respective owners will not assert, to the fullest extent under applicable law, their rights thereto.

iv

---

Part I. Financial Information

ITEM I. FINANCIAL STATEMENTS

BEYOND MEAT, INC.
Condensed Consolidated Balance Sheets
(In thousands, except share and per share data)
(unaudited)
			September 26, 2020						December 31, 2019
Assets
Current assets:
Cash and cash equivalents			$	214,615					$	275,988
Accounts receivable			29,760						40,080
Inventory			132,359						81,596
Prepaid expenses and other current assets			14,195						5,930
Total current assets			$	390,929					$	403,594
Property, plant, and equipment, net			77,002						47,474
Operating lease right-of-use assets			13,736						—
Other non-current assets, net			4,970						855
Total assets			$	486,637					$	451,923
Liabilities and Stockholders’ Equity:
Current liabilities:
Accounts payable			$	30,531					$	26,923
Wages payable			2,289						1,768
Accrued bonus			43						4,129
Current portion of operating lease liabilities			2,481						—
Accrued expenses and other current liabilities			10,241						3,805
Short-term borrowings under revolving credit facility and bank term loan			—						11,000
Current portion of finance lease liabilities			72						72
Total current liabilities			$	45,657					$	47,697
Long-term liabilities:
Revolving credit facility			$	50,000					$	—
Operating lease liabilities, net of current portion			11,413						—
Long-term portion of bank term loan, net			—						14,637
Equipment loan, net			—						4,932
Finance lease obligations and other long-term liabilities			167						567
Total long-term liabilities			$	61,580					$	20,136
Commitments and Contingencies (Note 10)
(continued on the next page)

1

---

BEYOND MEAT, INC.
Condensed Consolidated Balance Sheets
(In thousands, except share and per share data)
(unaudited)
			September 26, 2020						December 31, 2019
Stockholders’ equity:
Preferred stock, par value $0.0001 per share—500,000 shares authorized, none issued and outstanding			$	—					$	—
Common stock, par value $0.0001 per share—500,000,000 shares authorized; 62,625,629 and 61,576,494 shares issued and outstanding at September 26, 2020 and December 31, 2019, respectively			6						6
Additional paid-in capital			548,706						526,199
Accumulated deficit			(169,790)						(142,115)
Accumulated other comprehensive income			478						—
Total stockholders’ equity			$	379,400					$	384,090
Total liabilities and stockholders’ equity			$	486,637					$	451,923

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

2

---

BEYOND MEAT, INC.

Condensed Consolidated Statements of Operations

(In thousands, except share and per share data)

(unaudited)

						Three Months Ended												Nine Months Ended
						September 26, 2020						September 28, 2019						September 26, 2020						September 28, 2019
Net revenues						$	94,436					$	91,961					$	304,848					$	199,418
Cost of goods sold						68,908						59,178						207,978						133,123
Gross profit						25,528						32,783						96,870						66,295
Research and development expenses						8,278						5,951						20,488						14,661
Selling, general and administrative expenses						33,560						20,944						95,167						47,636
Restructuring expenses						2,146						2,319						6,028						3,560
Total operating expenses						43,984						29,214						121,683						65,857
(Loss) income from operations						(18,456)						3,569						(24,813)						438
Other (expense) income, net:
Interest expense						(689)						(855)						(1,963)						(2,329)
Remeasurement of warrant liability						—						—						—						(12,503)
Other, net						(85)						1,385						(829)						2,424
Total other (expense) income, net						(774)						530						(2,792)						(12,408)
(Loss) income before taxes						(19,230)						4,099						(27,605)						(11,970)
Income tax expense						55						—						70						21
Net (loss) income						$	(19,285)					$	4,099					$	(27,675)					$	(11,991)
Net (loss) income per share available to common stockholders—basic						$	(0.31)					$	0.07					$	(0.45)					$	(0.33)
Weighted average common shares outstanding—basic						62,487,152						60,415,866						62,114,399						35,806,520
Net (loss) income per share available to common stockholders—diluted						$	(0.31)					$	0.06					$	(0.45)					$	(0.33)
Weighted average common shares outstanding—diluted						62,487,152						66,026,490						62,114,399						35,806,520

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

3

---

BEYOND MEAT, INC.

Condensed Consolidated Statements of Comprehensive (Loss) Income

(In thousands)

(unaudited)

						Three Months Ended												Nine Months Ended
						September 26, 2020						September 28, 2019						September 26, 2020						September 28, 2019
Net (loss) income						$	(19,285)					$	4,099					$	(27,675)					$	(11,991)
Other comprehensive income, net of tax:
Foreign currency translation gain, net of tax						645						—						478						—
Comprehensive (loss) income, net of tax						$	(18,640)					$	4,099					$	(27,197)					$	(11,991)

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

4

---

BEYOND MEAT, INC.

Condensed Consolidated Statements of Convertible Preferred Stock and

Stockholders’ Equity (Deficit)

(In thousands, except share data)

(unaudited)

									Common Stock												Additional Paid-in Capital												Accumulated Deficit						Accumulated Other Comprehensive (Loss) Income						Total
															Shares												Amount
Balance at December 31, 2019															61,576,494						$	6					$	526,199											$	(142,115)					$	—					$	384,090
Net income															—						—						—												1,815						—						1,815
Issuance of common stock under equity incentive plans, net															280,883						—						1,002												—						—						1,002
Share-based compensation for equity classified awards															—						—						5,074												—						—						5,074
Balance at March 28, 2020															61,857,377						$	6					$	532,275											$	(140,300)					$	—					$	391,981
Net loss															—						—						—												(10,205)						—						(10,205)
Issuance of common stock under equity incentive plans, net															568,263						—						1,590												—						—						1,590
Share-based compensation for equity classified awards															—						—						6,711												—						—						6,711
Foreign currency translation adjustment															—						—						—												—						(167)						(167)
Balance at June 27, 2020															62,425,640						$	6					$	540,576											$	(150,505)					$	(167)					$	389,910
Net loss															—						—						—												(19,285)						—						(19,285)
Issuance of common stock under equity incentive plans, net															199,989						—						2,162												—						—						2,162
Share-based compensation for equity classified awards															—						—						5,968												—						—						5,968
Foreign currency translation adjustment															—						—						—												—						645						645
Balance at September 26, 2020															62,625,629						$	6					$	548,706											$	(169,790)					$	478					$	379,400

			Preferred Stock															Common Stock												Additional Paid-in Capital												Accumulated Deficit						Total
			Shares						Amount									Shares						Amount
Balance at December 31, 2018			41,562,111						$	199,540								6,951,350						$	1					$	7,921											$	(129,672)					$	(121,750)
Net loss			—						—									—						—						—												(6,649)						(6,649)
Issuance of common stock under equity incentive plans			—						—									169,583						—						366												—						366
Share-based compensation for equity classified awards			—						—									—						—						855												—						855
Balance at March 30, 2019			41,562,111						$	199,540								7,120,933						$	1					$	9,142											$	(136,321)					$	(127,178)
Net loss																		—						—						—												(9,441)						(9,441)
Issuance of common stock pursuant to the IPO, net of issuance costs of $4.9 million			—						—									11,068,750						1						252,452												—						252,453
Issuance of common stock upon conversion of convertible preferred stock			(41,562,111)						(199,540)									41,562,111						4						199,536												—						199,540
Issuance of common stock upon exercise of common stock warrants			—						—									214,875						—						—												—						—
Reclassification of warrant liability to additional paid-in capital upon closing of the initial public offering			—						—									—						—						14,421												—						14,421
Issuance of common stock under equity incentive plans			—						—									200,852						—						167												—						167
Share-based compensation for equity classified awards			—						—									—						—						1,823												—						1,823
Balance at June 29, 2019			—						$	—								60,167,521						$	6					$	477,541											$	(145,762)					$	331,785
Net income			—						—									—						—						—												4,099						4,099
Issuance of common stock pursuant to the secondary public offering, net of offering costs of $1.1 million			—						—									250,000						—						37,450												—						37,450
Issuance of common stock under equity incentive plans			—						—									148,319						—						365												—						365
Share-based compensation for equity classified awards			—						—									—						—						3,129												—						3,129
Balance at September 28, 2019			—						$	—								60,565,840						$	6					$	518,485											$	(141,663)					$	376,828

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

5

---

BEYOND MEAT, INC.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(unaudited)
						Nine Months Ended
						September 26, 2020						September 28, 2019
Cash flows from operating activities:
Net loss						$	(27,675)					$	(11,991)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization						9,276						5,980
Non-cash lease expense						1,573						—
Share-based compensation expense						20,377						5,807
Loss on sale of fixed assets						218						—
Amortization of debt issuance costs						195						124
Loss on extinguishment of debt						1,538						—
Change in preferred and common stock warrant liabilities						—						12,503
Net change in operating assets and liabilities:
Accounts receivable						10,365						(21,856)
Inventories						(50,263)						(30,013)
Prepaid expenses and other assets						(9,444)						(1,878)
Accounts payable						2,442						20,206
Accrued expenses and other current liabilities						245						2,768
Operating lease liabilities						(1,584)						—
Long-term liabilities						—						11
Net cash used in operating activities						$	(42,737)					$	(18,339)
Cash flows from investing activities:
Purchases of property, plant and equipment						$	(38,048)					$	(9,515)
Proceeds from sale of fixed assets						—						307
Purchases of property, plant and equipment held for sale						(2,288)						(7,403)
Proceeds from note receivable on assets previously held for sale						599						—
Payment of security deposits						(9)						(542)
Net cash used in investing activities						$	(39,746)					$	(17,153)
Cash flows from financing activities:
Proceeds from issuance of common stock pursuant to the initial public offering, net of issuance costs						$	—					$	254,868
Proceeds from issuance of common stock pursuant to the secondary public offering, net of issuance costs						—						37,937
Proceeds from revolving credit facility						50,000						—
Debt issuance costs						(1,224)						—
Debt extinguishment costs						(1,200)						—
Repayment of revolving credit line						(6,000)						—
Repayment of term loan						(20,000)						—
Repayment of equipment loan						(5,000)						—
Principal payments under finance lease obligations						(52)						(31)
(continued on the next page)

6

---

BEYOND MEAT, INC.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(unaudited)
						Nine Months Ended
						September 26, 2020						September 28, 2019
Proceeds from exercise of stock options						6,491						898
Payments of minimum withholding taxes on net share settlement of equity awards						(1,736)						—
Net cash provided by financing activities						$	21,279					$	293,672
Net (decrease) increase in cash and cash equivalents						$	(61,204)					$	258,180
Effect of exchange rate changes on cash						(169)						—
Cash and cash equivalents at the beginning of the period						275,988						54,271
Cash and cash equivalents at the end of the period						$	214,615					$	312,451
Supplemental disclosures of cash flow information:
Cash paid during the period for:
Interest						$	2,114					$	2,261
Taxes						$	15					$	21
Non-cash investing and financing activities:
Non-cash additions to property, plant and equipment						$	2,545					$	1,280
Offering costs, accrued not yet paid						$	—					$	487
Non-cash additions to property, plant and equipment held for sale						$	—					$	1,019
Operating lease right-of-use assets obtained in exchange for lease liabilities						$	3,151					$	—
Reclassification of warrant liability to additional paid-in capital in connection with the initial public offering						$	—					$	14,421
Conversion of convertible preferred stock to common stock upon initial public offering						$	—					$	199,540
Note receivable from sale of assets held for sale						$	4,558					$	—
(concluded)

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

7

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements

Note 1. Introduction

The Company

Beyond Meat, Inc., a Delaware corporation (including its consolidated subsidiaries unless the context otherwise requires, the “Company”), is one of the fastest growing food companies in the United States, offering a portfolio of revolutionary plant-based meats. The Company builds meat directly from plants, an innovation that enables consumers to experience the taste, texture and other sensory attributes of popular animal-based meat products while enjoying the nutritional and environmental benefits of eating the Company’s plant-based meat products.

On January 14, 2020, the Company registered its new subsidiary, Beyond Meat EU B.V., in the Netherlands. On April 28, 2020, the Company registered its new subsidiary, Beyond Meat (Jiaxing) Food Co., Ltd. (“BYND JX”), in the Zhejiang Province in China.

The Company’s primary production facilities are located in Columbia, Missouri, and research and development and administrative offices are located in El Segundo, California. In addition to its own production facilities, the Company uses co-manufacturers in various locations in the United States, Canada and the Netherlands. In the second quarter of 2020, the Company acquired its first manufacturing facility in Europe located in Enschede, the Netherlands. This facility is expected to be operational by the end of 2020. In addition, in June 2020 the Company announced the official opening of a new co-manufacturing facility to be used for Beyond Meat production built by the Company’s distributor in the Netherlands. In the third quarter of 2020, the Company and BYND JX entered into an investment agreement and related factory leasing contract to design and develop manufacturing facilities in the Jiaxing Economic & Technological Development Zone to manufacture plant-based meat products under the Beyond Meat brand in China. Renovations in the leased facility have commenced, with trial production expected by the end of 2020 and full-scale production expected in early 2021.

Subsequent to the quarter ended September 26, 2020, on October 30, 2020, the Company acquired certain assets including land, building, vehicles, machinery and equipment and certain workforce from one of its co-manufacturers for cash consideration of $14.5 million, subject to adjustment for customary prorations, transfer taxes, escrow holdbacks and other adjustments. The Company intends to use this manufacturing facility for the production of its finished goods.

The Company sells to a variety of customers in the retail and foodservice channels throughout the United States and internationally primarily through distributors who purchase, store, sell, and deliver the Company’s products. In addition, the Company sells directly to customers in the retail and foodservice channels who handle their own distribution. In the third quarter of 2020, the Company launched an e-commerce site to sell its products direct to consumers.

As of September 26, 2020, approximately 96% of the Company’s long-lived assets were located in the United States.

COVID-19 Pandemic

On March 11, 2020, the World Health Organization declared COVID-19 a pandemic. The global spread and unprecedented impact of COVID-19 continues to create significant volatility, uncertainty and economic disruption. In the second and third quarters of 2020, the Company’s operations and its financial results including net revenues, gross profit, gross margin and operating expenses were negatively impacted by COVID-19. The extent of COVID-19’s effect on the Company’s operational and financial performance will depend on future developments, including the duration, spread and intensity of the pandemic and the level of social and economic restrictions imposed in the United States and abroad in an effort to curb the spread of the virus, all of which are uncertain and difficult to predict considering the rapidly evolving landscape. As a result, it is not currently possible to ascertain the overall impact of

8

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

COVID-19 on the Company’s business, results of operations, financial condition, or liquidity. While the ultimate health and economic impact of the COVID-19 pandemic is highly uncertain, the Company expects that its business operations and results of operations, including its net revenues, gross profit, gross margin, earnings and cash flows, will be adversely impacted through at least the remainder of 2020, and likely into 2021. Future events and effects related to the COVID-19 pandemic cannot be determined with precision and actual results could significantly differ from estimates or forecasts.

Note 2. Summary of Significant Accounting Policies

Basis of Presentation

The unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, the condensed consolidated financial statements include all adjustments necessary, which are of a normal and recurring nature, for the fair presentation of the Company’s financial position and of the results of operations and cash flows for the periods presented. These interim results are not necessarily indicative of the results to be expected for the fiscal year ending December 31, 2020 or for any other interim period or for any other future fiscal year. These condensed consolidated financial statements should be read in conjunction with the Company's audited financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019 filed with the SEC on March 19, 2020 (the “2019 10-K”). The condensed balance sheet as of December 31, 2019 has been derived from the audited financial statements at that date. There have been no material changes in the Company’s significant accounting policies from those that were disclosed in the 2019 10-K, except as noted below.

Principles of Consolidation

The condensed consolidated financial statements for the periods ended September 26, 2020 include the accounts of the Company and its subsidiaries. All inter-company balances and transactions have been eliminated.

Management’s Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect certain reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant accounting estimates made by the Company include trade promotion accruals; useful lives of property, plant and equipment; valuation of deferred tax assets; valuation of inventory; incremental borrowing rate used to determine operating lease right-of-use assets and operating lease liabilities; assessment of contract-based factors, asset-based factors, entity-based factors and market-based factors to determine the lease term impacting right-of-use assets and lease liabilities; and the valuation of the fair value of stock options used to determine share-based compensation expense. These estimates and assumptions are based on current facts, historical experience and various other factors believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the recording of expenses that are not readily apparent from other sources. Actual results could differ from those estimates and such differences may be material to the condensed consolidated financial statements.

9

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

Property, Plant and Equipment

Property, plant and equipment are carried at cost less accumulated depreciation and are depreciated using the straight-line method over the following estimated useful lives:

Land						Not amortized
Buildings						30 years
Leasehold improvements						Shorter of lease term or estimated useful life
Furniture and fixtures						3 years
Manufacturing equipment						5 to 10 years
Research and development equipment						5 to 10 years
Software and computer equipment						3 years
Vehicles						5 years

Leasehold improvements are depreciated on a straight-line basis over the lesser of the estimated useful life of the asset or the remaining lease term. When assets are sold or retired, the asset and related accumulated depreciation are removed from the respective account balances and any gain or loss on disposal is included in loss from operations. Expenditures for repairs and maintenance are charged directly to expense when incurred. See Note 6.

Foreign Currency

The Company’s foreign entities use their local currency as the functional currency. For these entities, the Company translates net assets into U.S. dollars at period end exchange rates, while revenue and expense accounts are translated at average exchange rates prevailing during the periods being reported. Resulting currency translation adjustments are included in accumulated other comprehensive income and foreign currency transaction gains and losses are included in other, net. Transaction gains and losses on long-term intra-entity transactions are recorded as a component of other comprehensive income. Transactions denominated in a currency other than the reporting entity’s functional currency may give rise to transaction gains and losses that impact the Company’s results of operations.

Unrealized translation gains, net of tax, reported as cumulative translation adjustments through other comprehensive income were $0.5 million as of September 26, 2020. Foreign currency transaction (losses) gains included in other, net were $(15,000) and $0.1 million during the three and nine months ended September 26, 2020, respectively.

Fair Value of Financial Instruments

The fair value measurement accounting guidance creates a fair value hierarchy to prioritize the inputs used to measure fair value into three categories. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input significant to the fair value measurement, where Level 1 is the highest and Level 3 is the lowest.

The three levels are defined as follows:

•Level 1—Unadjusted quoted prices in active markets accessible by the reporting entity for identical assets or liabilities. Active markets are those in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis.

•Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which significant value drivers are observable.

•Level 3—Valuations derived from valuation techniques in which significant value drivers are unobservable.

10

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

The Company’s financial instruments include cash equivalents, accounts receivable, accounts payable, and accrued expenses, for which the carrying amounts approximate fair value due to the short-term maturity of these financial instruments. Based on the borrowing rates currently available to the Company for debt with similar terms, the carrying value of the Company’s revolving credit facility approximates fair value as well.

The Company had no financial instruments measured at fair value on a recurring basis as of September 26, 2020 and December 31, 2019, other than the liability classified share-settled obligation to one of the Company’s executive officers as discussed in Note 9 which represents a Level 1 financial instrument. There was no change in the fair value of the liability-classified share-settled obligation in the three and nine months ended September 26, 2020. There were no transfers of financial assets or liabilities into or out of Level 1, Level 2 or Level 3 for the three and nine months ended September 26, 2020.

Prior to the IPO, the stock warrant liability was measured at fair value using Level 3 inputs upon issuance and at each reporting date. Inputs used to determine the estimated fair value of the warrant liability as of the valuation date included expected term of the warrants, the risk-free interest rate, volatility, and the fair value of underlying shares.

The following table sets forth a summary of the changes in the fair value of the preferred and common stock warrant liabilities:

						Nine Months Ended
(in thousands)						September 26, 2020						September 28, 2019
Beginning balance						$	—					$	1,918
Fair value of warrants issued during the period						—						—
Change in fair value of warrant liability						—						12,503
Reclassification of warrant liability to additional paid-in capital in connection with the IPO						—						(14,421)
Ending balance						$	—					$	—

The Company remeasured and reclassified the common stock warrant liability to additional paid-in-capital in connection with the IPO. The final re-measurement of the preferred stock warrant was based upon the publicly available stock price on the conversion date. Subsequent to the closing of the IPO, all outstanding warrants to purchase shares of common stock were cashless exercised and no warrants were outstanding as of September 28, 2019.

Revenue Recognition

Revenue is recognized at the point in which the performance obligation under the terms of a contract with the customer have been satisfied and control has transferred. The Company’s performance obligation is typically defined as the accepted purchase order, or the contract, with the customer which requires the Company to deliver the requested products at agreed upon prices at the time and location of the customer’s choice. The Company does not offer warranties or a right to return on the products it sells except in the instance of a product recall.

Revenue is measured as the amount of consideration the Company expects to receive in exchange for fulfilling the performance obligation. Sales and other taxes the Company collects concurrent with the sale of products are excluded from revenue. The Company's normal payment terms vary by the type and location of its customers and the products offered. The time between invoicing and when payment is due is not significant. None of the Company's customer contracts as of September 26, 2020 contains a significant financing component.

11

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

The Company routinely offers sales discounts and promotions through various programs to its customers and consumers. These programs include rebates, temporary on shelf price reductions, buy-one-get-one-free programs, off invoice discounts, retailer advertisements, product coupons and other trade activities. Provision for discounts and incentives are recorded in the same period in which the related revenues are recognized. At the end of each accounting period, the Company recognizes a liability for estimated sales discounts that have been incurred but not paid which totaled $3.3 million and $1.6 million as of September 26, 2020 and December 31, 2019, respectively. The offsetting charge is recorded as a reduction of revenues in the same period when the expense is incurred.

The Company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Company otherwise would have recognized is one year or less. The incremental cost to obtain contracts was not material.

Presentation of Net Revenues by Channel

Effective January 1, 2020, the Company began presenting net revenues by geography and distribution channel as follows:

Distribution Channel						Description
U.S. Retail						Net revenues from retail sales to the U.S. market
U.S. Foodservice						Net revenues from restaurant and foodservice sales to the U.S. market
International Retail						Net revenues from retail sales to international markets, including Canada
International Foodservice						Net revenues from restaurant and foodservice sales to international markets, including Canada

Net revenues from sales to the Canadian market, previously included with net revenues from sales to the U.S. market, have been reclassified to International net revenues. Prior period amounts have been recast to conform to the current period presentation. The foregoing change in presentation had no impact on the Company’s net revenues, results of operations or cash flows.

Effective January 1, 2020, the Company also eliminated the presentation of net revenues by platform as it is no longer material to an understanding of the Company's financial results. Previously, the Company presented net revenues by platform for its “ready-to-cook” or fresh platform, and “ready-to-heat” or frozen platform. Gross revenues from sales of products in the Company's frozen platform were 5.5% of gross revenues in the year ended December 31, 2019, as compared to 16.3% of gross revenues in the year ended December 31, 2018.

The following table presents the Company’s net revenues by channel:

						Three Months Ended												Nine Months Ended
(in thousands)						September 26, 2020						September 28, 2019						September 26, 2020						September 28, 2019
Net revenues:
U.S.:
Retail						$	62,057					$	44,170					$	202,019					$	94,162
Foodservice						16,325						18,359						45,442						43,697
U.S. net revenues						78,382						62,529						247,461						137,859
International:
Retail						7,975						6,295						23,499						10,002
Foodservice						8,079						23,137						33,888						51,557
International net revenues						16,054						29,432						57,387						61,559
Net revenues						$	94,436					$	91,961					$	304,848					$	199,418

12

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

One distributor accounted for approximately 11% of the Company’s gross revenues in the three months ended September 26, 2020; and two distributors accounted for approximately 17% and 15%, respectively, of the Company’s gross revenues in the three months ended September 28, 2019. One distributor accounted for approximately 13% of the Company’s gross revenues in the nine months ended September 26, 2020; and two distributors accounted for approximately 18% and 19%, respectively, of the Company’s gross revenues in the nine months ended September 28, 2019. No other distributor or customer accounted for more than 10% of the Company’s gross revenues in the three and nine months ended September 26, 2020 and September 28, 2019.

Shipping and Handling Costs

Outbound shipping and handling costs included in selling, general and administrative (“SG&A”) expenses in the three months ended September 26, 2020 and September 28, 2019 were $3.3 million and $3.4 million, respectively. Outbound shipping and handling costs included in SG&A expenses in the nine months ended September 26, 2020 and September 28, 2019 were $8.1 million and $7.4 million, respectively.

Recently Adopted Accounting Pronouncements

As an “emerging growth company” (“EGC”), the Jumpstart Our Business Startups Act (the “JOBS Act”) allows the Company to delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. The Company will no longer qualify as an EGC as of the end of the fiscal year ending December 31, 2020, when it becomes a Large Accelerated Filer under Rule 12b-2 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Therefore, the Company has elected to use the adoption dates applicable to public companies beginning in the first quarter of 2020 and the adoption dates for the new accounting pronouncements disclosed below have been evaluated under such premise.

In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, “Leases” (Topic 842) (“ASU 2016-02”), which requires lessees to record most leases on their balance sheets but recognize the expenses on their income statements in a manner similar to Accounting Standards Codification (“ASC”) 840, “Leases” (“ASC 840”). ASU 2016-02 requires that a lessee recognize a lease liability for the obligation to make lease payments and a right-of-use asset for the right to use the underlying asset for the lease term.

On January 1, 2020, the Company adopted ASU 2016-02 using the modified retrospective approach, which permits application of this new guidance at the beginning of the period of adoption, with comparative periods continuing to be reported under ASC 840. The Company also elected the package of practical expedients permitted under the transition guidance within ASU 2016-02, which among other things, permits the Company to not reassess under the new standard the Company’s prior conclusions about lease identification, lease classification and initial direct costs. The Company did not elect the use-of-hindsight practical expedient or the practical expedient pertaining to land easements, the latter not being applicable to the Company. As part of this adoption, the Company elected not to record operating right-of-use assets or operating lease liabilities for leases with an initial term of 12 months or less. Payments on those leases will be recognized on a straight-line basis through the Company’s condensed consolidated statements of operations over the lease term. The Company elected to separate the lease and non-lease components on all new or modified operating leases for the co-manufacturing class of assets for the purpose of recording operating lease right-of-use assets and operating lease liabilities and to combine lease and non-lease components on all new or modified operating leases into a single lease component for all other classes of assets. See Note 4.

On March 12, 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (“ASU 2020-04”). The amendments in ASU 2020-04 provide temporary optional expedients and exceptions for applying GAAP to contract modifications, hedging relationships and other transactions to ease the potential accounting and financial reporting burden associated with transitioning away from reference rates that are expected to be

13

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

discontinued, including the London Interbank Offered Rate (LIBOR). ASU 2020-04 is effective for the Company as of March 12, 2020 through December 31, 2022. The adoption of ASU 2020-04 has not had and is not expected to have a material impact on the Company’s financial position, results of operations, or cash flows.

New Accounting Pronouncements

On December 18, 2019, the FASB issued ASU No. 2019-12, “Simplifying the Accounting for Income Taxes (Topic 740)” (“ASU 2019-12”). ASU 2019-12 eliminates the need for an organization to analyze whether the following apply in a given period (1) exceptions to the incremental approach for intra-period tax allocation, (2) exceptions to accounting for basis differences when there are ownership changes in foreign investments, and (3) exceptions in interim period income tax accounting for year-to-date losses that exceed anticipated losses. ASU 2019-12 also is designed to improve financial statement preparers’ application of income tax-related guidance and simplify GAAP for (1) franchise taxes that are partially based on income, (2) transactions with a government that result in a step-up in the tax basis of goodwill, (3) separate financial statements of legal entities that are not subject to tax, and (4) enacted changes in tax laws in interim periods. For public business entities, the amendments in ASU 2019-12 are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption of the amendments is permitted, including adoption in any interim period for public business entities for periods for which financial statements have not yet been issued. An entity that elects to early adopt the amendments in an interim period should reflect any adjustments as of the beginning of the annual period that includes that interim period. Additionally, an entity that elects early adoption must adopt all the amendments in the same period. ASU 2019-12 is effective for the Company beginning on January 1, 2021. Adoption of ASU 2019-12 is not expected to result in any material changes to the way the tax provision is prepared and is not expected to have a material impact on the Company’s financial position, results of operations, or cash flows.

Note 3. Restructuring

In May 2017, management approved a plan to terminate the Company’s exclusive supply agreement (the “Agreement”) with one of its co-manufacturers, due to non-performance under the Agreement and on May 23, 2017, the Company notified the co-manufacturer of its decision to terminate the Agreement. In the three months ended September 26, 2020 and September 28, 2019, the Company recorded $2.1 million and $2.3 million, respectively, in restructuring expenses related to this dispute, which consisted primarily of legal and other expenses. In the nine months ended September 26, 2020 and September 28, 2019, the Company recorded $6.0 million and $3.6 million, respectively, in restructuring expenses related to this dispute, which consisted primarily of legal and other expenses. See Note 10 for further information. As of September 26, 2020 and December 31, 2019, the Company had $1.1 million in accrued and unpaid restructuring expenses.

Note 4. Leases

Leases are classified as either finance leases or operating leases based on criteria in ASC 842. The Company has operating leases for its corporate offices including its Manhattan Beach Innovation Center where the Company’s research and development facility is located, its manufacturing facilities, warehouses and vehicles, and finance leases for certain of the Company’s equipment. Such leases generally have original lease terms between two and 11 years, and often include one or more options to renew. Some leases also include early termination options, which can be exercised under specific conditions. The Company includes options to extend the lease term if the options are reasonably certain of being exercised. The Company currently considers its renewal options to be reasonably certain to be exercised. The Company does not have residual value guarantees or material restrictive covenants associated with its leases.

14

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

On January 1, 2020, the Company adopted ASU 2016-02 using the modified retrospective approach, which permits application of this new guidance at the beginning of the period of adoption, with comparative periods continuing to be reported under ASC 840.

Operating lease assets represent the right to use an underlying asset for the lease term, and operating lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease right-of-use assets and operating lease liabilities are recognized based on the present value of future minimum lease payments at lease commencement. The Company calculates the present value of its operating leases using an estimated incremental borrowing rate, which requires judgment. The Company estimates the incremental borrowing rate for each operating lease based on prevailing market rates for collateralized debt in a similar economic environment with similar payment terms and maturity dates commensurate with the terms of the lease. Certain leases contain variable payments, which are expensed as incurred and not included in the Company’s operating lease right-of-use assets and operating lease liabilities. These amounts primarily include payments for maintenance, utilities, taxes, and insurance on the Company’s corporate, research and development, and manufacturing facilities and warehouse leases and are excluded from the present value of the Company’s lease obligations.

Previously designated capital leases under ASC 840 are now considered finance leases under ASC 842. The Company calculates the present value of its finance leases using the interest rate implicit in the lease agreement.

Upon adoption of ASU 2016-02, the Company recognized operating lease right-of-use assets of $11.9 million adjusted for $0.3 million previously recorded as deferred rent and $0.2 million previously recorded as prepaid rent on the Company’s condensed consolidated balance sheets. The Company also recorded $1.4 million in current operating lease liabilities and $10.6 million in operating lease liabilities, net of current portion.

As part of this adoption, the Company elected to not record operating lease right-of-use assets or operating lease liabilities for leases with an initial term of 12 months or less. The Company elected to separate the lease and non-lease components on all new or modified operating leases for the co-manufacturing class of assets for the purpose of recording operating lease right-of-use assets and operating lease liabilities and to combine lease and non-lease components on all new or modified operating leases into a single lease component for all other classes of assets.

15

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

												Three Months Ended						Nine Months Ended
(in thousands)						Statement of Operations Location						September 26, 2020						September 26, 2020
Operating lease cost:
Lease cost						Cost of goods sold						$	341					$	993
Lease cost						Research and development expenses						187						470
Lease cost						Selling, general and administrative expenses						136						409
Variable lease cost (1)						Cost of goods sold						—						7
Operating lease cost												$	664					$	1,879
Short-term lease cost						Selling, general and administrative expenses						$	95					$	270
Finance lease cost:
Amortization of right-of use assets						Cost of goods sold						$	19					$	57
Interest on lease liabilities						Interest expense						3						10
Finance lease cost												$	22					$	67
Total lease cost												$	781					$	2,216

____________

(1) Variable lease cost primarily consists of common area maintenance, such as cleaning and repairs.

16

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

Supplemental balance sheet information as of September 26, 2020 related to leases are as follows:

(in thousands)

Balance Sheet Location

September 26, 2020

Assets

Operating leases

Operating lease right-of-use assets

$

13,736

Finance leases, net

Property, plant and equipment, net

230

Total lease assets

$

13,966

Liabilities

Current:

Operating lease liabilities

Current portion of operating lease liabilities

$

2,481

Finance lease liabilities

Current portion of finance lease liabilities

72

Long-term:

Operating lease liabilities

Operating lease liabilities, net of current portion

11,413

Finance lease liabilities

Finance lease obligations and other long-term liabilities

167

Total lease liabilities

$

14,133

The following is a schedule by year of the maturities of lease liabilities with original terms in excess of one year, as of September 26, 2020:

						September 26, 2020
(in thousands)						Operating Leases						Finance Leases
Remainder of 2020						$	681					$	21
2021						2,886						80
2022						2,814						71
2023						2,331						58
2024						1,495						30
2025						1,281						—
Thereafter						3,913						—
Total undiscounted future minimum lease payments						15,401						260
Less imputed interest						(1,507)						(21)
Total discounted future minimum lease payments						$	13,894					$	239

Weighted average remaining lease terms and weighted average discount rates were:

						September 26, 2020
						Operating Leases						Finance Leases
Weighted average remaining lease term (years)						7.1						3.5
Weighted average discount rate						2.9		%				5.3		%

17

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

A schedule of the future minimum rental commitments under the Company’s capital lease agreements and non-cancelable operating lease agreements with an initial or remaining term in excess of one year as of December 31, 2019, in accordance with ASC 840 were as follows:

(in thousands)						Capital Lease Obligations						Operating Lease Obligations
2020						$	86					$	1,878
2021						80						1,813
2022						71						1,817
2023						58						1,840
2024						30						1,353
Thereafter						—						5,167
Total minimum lease payments												$	13,868
Total minimum lease payments						$	325
Less: imputed interest (4.1% to 15.9%)						(34)
Total capital lease obligations						$	291
Less: current portion of capital lease obligations						(72)
Long-term capital lease obligations						$	219

Note 5. Inventories

Major classes of inventory were as follows:

(in thousands)			September 26, 2020						December 31, 2019
Raw materials and packaging			$	83,636					$	36,884
Work in process			18,728						17,958
Finished goods			29,995						26,754
Total			$	132,359					$	81,596

18

---

BEYOND MEAT, INC.

Notes to Unaudited Condensed Consolidated Financial Statements (continued)

Note 6. Property, Plant and Equipment

Property, plant, and equipment are stated at cost and finance lease assets are included. A summary of property, plant, and equipment as of September 26, 2020 and December 31, 2019, is as follows:

(in thousands)						September 26, 2020						December 31, 2019
Manufacturing equipment						$	56,435					$	37,939
Research and development equipment						10,481						8,933
Leasehold improvements						9,104