In This Article:
-
Net Sales: $198 million, down from $108 million in the prior year.
-
Gross Profit: $92 million, up from $82 million in the prior year.
-
Gross Margin: 8.4%, up from 7.4% in the prior year.
-
Operating Income: $45 million, up from $44 million in the prior year.
-
Net Income: $31 million, up from $26 million in the prior year.
-
Diluted EPS: $0.64 per share, up from $0.55 in the prior year.
-
Adjusted EBITDA: $61 million, 6% of net sales, up from $44 million, 4% in the prior year.
-
Fresh and Value-Added Product Segment Net Sales: $683 million, up from $677 million in the prior year.
-
Banana Segment Net Sales: $364 million, down from $380 million in the prior year.
-
Other Products and Services Segment Net Sales: $51 million, in line with the prior year.
-
Net Cash Provided by Operating Activities: $46 million, up from $19 million in the prior year.
-
Long-Term Debt: $233 million, a 5% reduction from $244 million at fiscal year-end 2024.
-
Quarterly Cash Dividend: $0.30 per share, payable on June 6, 2025.
-
Share Repurchase: $7.6 million or 254,000 shares repurchased during the first quarter of 2025.
Release Date: April 30, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Fresh Del Monte Produce Inc (NYSE:FDP) reported a strong start to 2025 with significant year-over-year improvements in gross profit and gross margin, particularly in the fresh and value-added segment.
-
The company has successfully leveraged its leadership in the pineapple category, with demand consistently exceeding supply.
-
Fresh Del Monte Produce Inc (NYSE:FDP) has demonstrated operational resilience amidst global shipping disruptions, maintaining minimal delays in product movement.
-
The acquisition of a majority stake in a Ugandan avocado oil producer is expected to reduce waste and enhance value in the avocado category.
-
The company has a clear vision for 2025-2027, focusing on quality, innovation, and sustainability, with strategic initiatives aimed at long-term value creation.
Negative Points
-
Net sales in the banana segment decreased due to lower sales volume and unfavorable exchange rate fluctuations.
-
The company faced higher per unit production, procurement, and distribution costs, which partially offset the increase in gross profit.
-
There is ongoing concern about the impact of tariffs and geopolitical developments, which could affect future financial performance.
-
Fresh Del Monte Produce Inc (NYSE:FDP) experienced lower net sales in the fresh cut vegetable and vegetable product lines due to strategic operational reductions.
-
The banana segment's gross margin decreased to 4.6% from 5.7% in the prior year, driven by lower net sales and higher costs.