Fresh Del Monte posts surprise Q4 profit as sales top estimates
Fresh Del Monte Produce Inc. (FDP) said Wednesday it had net income of $18.3 million, or 38 cents a share, for the fourth quarter, after a loss of $11.2 million, or 24 cents a share, in the year-earlier period. Adjusted per-share earnings came to 45 cents, well ahead of the FactSet consensus for a loss of 4 cents. Sales edged down to $1.040 billion from $1.018 billion a year ago, but also beat the $1.034 billion FactSet consensus. Chief Executive Mohammad Abu-Ghazaleh said the company closed out the year in a stronger position than 2021. Sales growth was driven by "inflation-justified" per unit price increases, which were partially offset by lower sales volume, mostly in the banana and fresh and value-added products segments, and the strong dollar. Banana sales rose 9% to $32.9 million, while fresh and value-added product sales fell 4% to $21.8 million, due to lower sales of avocados, and non-tropical fruit, which was hurt by lower prices and lower volumes. The stock has gained 1.7% in the last 12 months, while the S&P 500 has fallen 7%.
(END) Dow Jones Newswires
February 22, 2023 06:33 ET (11:33 GMT)
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