NASDAQ$AVO

Mission Produce Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Mission Produce achieved record first quarter results with improved performance across all segments.

Mission Produce reported a strong start to fiscal year 2024, with a 21% increase in total revenue to $258.7 million. Net income was breakeven, or $0.00 per diluted share, compared to a loss of $(8.8) million, or $(0.12) per diluted share, for the same period last year. Adjusted EBITDA significantly improved to $19.2 million, driven by higher per-unit margins in the Marketing & Distribution and Blueberries segments.

  • Total revenue increased by 21% to $258.7 million, driven by a 23% increase in average per-unit avocado selling prices.
  • Net income was breakeven, or $0.00 per diluted share, compared to a net loss of $(8.8) million, or $(0.12) per diluted share, for the same period last year.
  • Adjusted EBITDA increased significantly to $19.2 million, compared to $2.3 million in the same period last year.
  • Gross profit increased by $19.7 million to $28.7 million, with gross profit percentage increasing to 11.1% of revenue.

Headline financials

Total Revenue

$259M

Previous: $214M+21.2%
EPS

$0.00

Previous: -$0.07+100.0%
Pounds of avocados sold

151.6M

Previous: 152.3M-0.5%
Average sales price per pound

$1.40

Previous: $1.14+22.8%
Capital Expenditures

-$9.9M

Previous: -$17.6M+43.8%
Free Cash Flow

-$9.9M

Previous: -$26.4M+62.5%
Net Income

$0.00

Previous: -$8.8M+100.0%
Operating Income

$8M

Previous: -$10.1M+179.2%
Gross Profit

$28.7M

Previous: $9M+218.9%
Cash & Equivalents

$39.9M

Previous: $39.2M+1.8%
Total Assets

$938M

Previous: $897M+4.5%

Revenue & EPS history

Mission Produce · Revenue · Quarterly

$259M

Q1 2024+21.2%vs Q1 2023
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Mission Produce · $39.6M total across 2 segments · Q3 2023

  • International Farming
    $38.2M+855.0%
  • Blueberries
    $1.4M+366.7%

Forward guidance

The company provided the following industry outlooks that will drive performance for the second quarter of fiscal year 2024.

Tailwinds

  • The industry is expecting avocado volumes to be relatively flat in the fiscal 2024 second quarter versus the prior year period.
  • California harvest volumes should begin to build toward the middle of the quarter, followed by small amounts of Peruvian volume later in the fiscal second quarter.
  • Avocado pricing is expected to be slightly higher on a sequential basis and be approximately 10-15% higher than the $1.30 per pound average experienced in second quarter of fiscal 2023.
  • Harvest timing shifts relative to last year have extended the Company’s Peruvian blueberry season this year.
  • Approximately 20% of the harvest will be sold through in the fiscal second quarter, whereas the season was substantially complete in the prior year period.

Headwinds

  • Industry volumes from Mexico are expected to taper off in the latter part of the quarter as the season nears completion.
  • Sales pricing is expected to decline sequentially in the fiscal second quarter in response to increased industry volume resulting from the expectation for other source regions to begin seasonal harvests on a normal cadence.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-0.8%

Avg return

Earnings day

-1.3%

Avg return

5 days after

-3.4%

Avg return

30 days after

52%

13 / 25 earnings

Positive

+21.1%

Q3 2024

Best reaction

-18.1%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+7.6%+11.0%
Q1 2026-8.2%-5.6%+11.9%
Q4 2025+0.3%-10.4%-5.3%
Q3 2025+1.7%-1.0%-9.0%
Q2 2025+0.0%+1.9%-3.9%
Q1 2025-13.2%-14.5%-17.5%
Q4 2024+14.7%+14.2%-0.9%
Q3 2024+21.1%+22.8%+14.0%
Q2 2024-3.5%-9.7%-15.5%
Q1 2024+9.0%+9.6%+4.1%
Q4 2023+10.4%+14.2%+8.9%
Q3 2023-3.2%+3.1%+5.0%
Q2 2023+6.4%-3.1%-6.0%
Q1 2023-5.4%-4.4%+0.6%
Q4 2022-18.1%-22.9%-20.7%
Q3 2022+0.3%-1.1%-7.3%
Q2 2022+5.3%-0.4%+4.7%
Q1 2022-10.7%-12.9%-2.1%
Q4 2021-11.0%-10.9%-23.8%
Q4 2019-11.0%-10.9%-23.8%
Q3 2021-10.3%-2.9%-7.9%
Q3 2020-10.3%-2.9%-7.9%
Q2 2021+3.5%+2.2%-5.8%
Q1 2021+1.6%-0.7%-6.0%
Q4 2020+3.8%+3.6%+33.1%
Q2 2020
Q1 2020
Q3 2019
Q2 2019
Q1 2019

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