Oatly Group AB
OTLY,
-20.81%

shares plunged 14.8% in Monday premarket trading after the plant-based dairy company reported a third-quarter revenue miss and issued a revenue warning for the year. Net losses totaled $41.2 million, or 7 cents per share, after a loss of $10.4 million, or 2 cents per share, last year. Revenue totaled $171.1 million, up from $114.7 million. The FactSet consensus was for a loss of 10 cents per share and revenue of $185.6 million. For the year, Oatly is guiding for revenue that exceeds $635 million. The FactSet consensus is for revenue of $694.1 million. The company is investigating a quality issue in one of its production facilities and says it will likely have to destroy inventory and will lose sales in the EMEA region. “In EMEA, we are starting to build supply to meet consumer demand, but the pace at which we expected to increase revenue in new and existing retailers and to open new markets is slower than we anticipated as we navigate a dynamic COVID operating environment,” said Chief Executive Toni Petersson, in a statement. “We believe this is primarily a timing issue and in the first half of 2022, we expect to have an increased share of shelf space at retail given our strong velocities and current supply levels.” Oatly shares, which began trading in May, have fallen 30% over the past three months. The S&P 500 index
SPX,
-0.00%

has gained 4.8% for the period.

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