The revenue jump of 26% more than compensated for a 9% decline in per-unit avocado prices, demonstrating the scale of the company's recent expansion. Adjusted earnings reached 18 cents a share, significantly outperforming the 12 cents projected by FactSet analysts. Chief Executive John Pawlowski credited the performance to robust distribution channels and the successful absorption of Calavo, a rival firm acquired in a $483.3 million deal earlier this year.
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Mission Produce Revenue Surges on Record Avocado Volume
A 38% spike in avocado volume propelled Mission Produce to $450 million in third-quarter revenue, comfortably outpacing analyst expectations. While the company recorded a $6.5 million net loss due to one-time costs, the top-line growth signals a strong integration of its recent acquisition, Calavo Growers.
Pawlowski emphasized that the firm is successfully capturing greater U.S. retail market share despite volatile supply conditions. Following the report, shares climbed 7.9% to $13.88 in after-hours trading. Looking ahead to the fourth quarter, the company anticipates a 10% increase in industry-wide volumes alongside a matching drop in pricing. Mission Produce also raised its target for annualized synergy gains from the Calavo merger to $30 million, with adjusted quarterly earnings before interest and taxes projected between $52 million and $55 million.
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