The Beyond Meat company recently stated its sales tripled this quarter in its very first earnings report. The company also said it expects to break even this year. Its shares have taken off substantially since IPO even before the surprisingly good earnings report.
Beyond Meat makes, well, fake meat: the Beyond Burger. So too does Impossible Foods, its major rival (they make the Impossible Burger). Arguably there’s an appetite for them both: just two days ago, The Wall Street Journal reported that purveyors of meat-free burgers are struggling to meet demand from fast food chains. Those chains are turning to veggie burgers to bring in younger customers, who the Journal describes as prioritizing “sustainability and healthfulness.”
Whether or not the products click with customers, they are currently making their investors very happy. Beyond’s investors include Khosla Ventures, Bill Gates, Google Ventures, Jay Z, Katy Perry and Serena Williams.
Startups aren’t just dabbling in fake meat. There’s fake booze from companies like Endless West and Replica Wine. Perfect Day Foods and Ripple Foods are making animal-free milk. NuTek Salt is salt with less sodium (and more potassium). Each promises sustainability or health benefits from their process.
It’s still early for Beyond Meat; the company hasn’t even had a full year of being public yet. But if its success continues, it’s likely to buoy other synthetic foods, particularly because many of these synthetic food companies share the same investors, who have an interest in making a bunch of money from their success. Synthetic Nachos, anyone?
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