Mission Produce announces 2022 financial results
4 ene 2023
Global avocado supplier Mission Produce recently unveiled its numbers for the fourth quarter ended on Oct. 31, highlighting a total revenue of $1B in the 2022 fiscal year.
This represents a 17% increase year-on-year for the company, driven by average selling price increases of 28%, partially offset by an 11% decrease in avocado volume sold.
The fourth quarter revenue reached $238 million, which was flat with the prior year period. Average avocado selling price decreased by 10%, partially offset by a 6% increase in volume sold, compared to the same period last year.
The company experienced a net loss of $42 million, which includes a non-cash charge of $49.5 million related to goodwill impairment. This is compared to a net income of $16.9 million for the same period last year.
Owned exportable avocado production volume rose by 15% to 117 million pounds for the 2022 harvest season..
“While we are pleased with the commercial traction we are having with customers for our Peruvian production, our fiscal fourth quarter financial performance was impacted by a confluence of variables, especially with regard to the rapid decline in pricing,” said Steve Barnard, Founder and CEO of Mission Produce.
Barnard quoted persistent cost inflation, lesser owned production and a delayed seasonal transition to Mexican production as main causes for 2022’s lower relative pricing and temporary margin compression.
Regarding the upcoming year, the executive shared his excitement for the Super Bowl season, which is well known for high avocado sales.
“With respect to 2023, we see a more normal marketplace emerging, highlighted by better and more consistent supply conditions, which provides a constructive foundation for the industry to drive consumption and expand growth in new geographies”, he said.
“We are prepared to meet demand during the upcoming peak Super Bowl season, and expect to produce improved operating performance for the full year 2023.”