NYSE$FDP

Fresh Del Monte Produce Inc · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Financial results for the first quarter of 2020 were reported.

Fresh Del Monte Produce Inc. reported a decrease in net sales and earnings per diluted share for the first quarter of 2020, impacted by the COVID-19 pandemic and a voluntary product recall. The company's global presence, diverse product portfolio, and efficient operations allowed it to adapt to the pandemic, but near-term demand in foodservice and higher-priced products remains challenging.

  • Earnings per diluted share were $0.27, compared to $0.74 in Q1 2019.
  • Adjusted earnings per diluted share were $0.34, compared to $0.46 in Q1 2019.
  • Net sales decreased to $1,118.0 million from $1,154.2 million in Q1 2019.
  • Gross profit decreased to $68.5 million from $95.1 million in Q1 2019.

Headline financials

Total Revenue

$1.12B

Previous: $1.15B-3.1%
EPS (adj)

$0.34

Previous: $0.48-29.2%
Dividend Per Share

$0.10

No prior period
Free Cash Flow

$13M

Previous: $36.1M-64.0%
Net Income

$13M

Previous: $36.1M-64.0%
Operating Income

$17.8M

Previous: $41.3M-56.9%
Gross Profit

$68.5M

Previous: $93.3M-26.6%
Cash & Equivalents

$20.7M

Previous: $21.9M-5.5%
Total Assets

$3.4B

Previous: $3.51B-3.3%
Stock-Based Comp

$2.6M

Previous: $4.2M-38.1%

Revenue & EPS history

Fresh Del Monte · Revenue · Quarterly

$1.12B

Q1 2020-3.1%vs Q1 2019
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Fresh Del Monte · $1.12B total across 3 segments · Q1 2020

  • Fresh & Value-Added
    $661M-4.2%
  • Banana
    $427M-1.0%
  • Other Products & Services
    $30.1M-8.0%

Forward guidance

The Company expects that volatility in the supply and demand for its products and reduced demand in its foodservice distribution channel will continue to adversely impact its results of operations in the second quarter of 2020. The extent of the impact of the COVID-19 pandemic on the Company's financial performance, including the ability to execute on the Company's strategic initiatives, will depend on future developments, including the duration and spread of the pandemic and related government restrictions, all of which are uncertain and cannot be predicted.

Tailwinds

  • Cash on hand.
  • Availability under our credit facility.
  • Cash flows from operations will be sufficient to manage our operations.

Headwinds

  • Volatility in the supply.
  • Volatility in the demand for our products.
  • Reduced demand in our foodservice distribution channel will continue to adversely impact our results of operations in the second quarter of 2020.
  • The extent of the impact of the COVID-19 pandemic on the Company's financial performance.
  • The ability to execute on the Company's strategic initiatives, will depend on future developments, including the duration and spread of the pandemic and related government restrictions, all of which are uncertain and cannot be predicted.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

-1.5%

Avg return

Earnings day

-1.6%

Avg return

5 days after

-2.8%

Avg return

30 days after

34%

23 / 67 earnings

Positive

+19.8%

Q1 2021

Best reaction

-21.3%

Q4 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.4%-8.5%-27.0%
Q4 2025+4.5%+3.4%-1.2%
Q3 2025-0.2%+4.6%+5.2%
Q1 2025-0.9%-1.8%-2.7%
Q4 2024-3.0%-1.3%-4.2%
Q3 2024+8.8%+14.5%+16.0%
Q2 2024+8.9%+7.2%+16.7%
Q1 2024-5.4%-6.1%-9.9%
Q4 2023-2.7%+1.9%+8.8%
Q3 2023-9.0%-6.0%-7.1%
Q2 2023+4.6%+7.7%+0.1%
Q1 2023-7.2%-3.8%-6.1%
Q4 2022+7.7%+8.5%+4.1%
Q3 2022+2.5%+7.1%+4.7%
Q2 2022-4.0%-5.8%-10.3%
Q1 2022-5.5%-3.6%-2.2%
Q4 2021-9.9%-8.1%-5.8%
Q3 2021-14.6%-13.7%-27.5%
Q2 2021-1.5%+1.3%+3.6%
Q1 2021+19.8%+17.7%+21.4%
Q4 2020-7.7%-5.1%+5.4%
Q3 2020-8.8%-9.9%+4.0%
Q2 2020-1.3%-1.9%+0.3%
Q1 2020-18.8%-28.0%-29.1%
Q4 2019-10.7%-14.7%+0.9%
Q3 2019+10.8%+12.6%+14.6%
Q2 2019+11.3%+7.6%-6.0%
Q1 2019+3.5%-0.1%-11.5%
Q4 2018-21.3%-20.9%-22.9%
Q3 2018+3.0%+2.5%+3.4%
Q2 2018-8.4%-7.4%-7.8%
Q1 2018+0.5%-1.2%-8.6%
Q4 2017-0.5%+2.2%-3.5%
Q3 2017-9.8%-4.7%-0.2%
Q2 2017-3.3%-2.9%-8.7%
Q1 2017-14.0%-11.5%-16.1%
Q4 2016-3.3%-1.2%-0.4%
Q3 2016+7.0%+0.7%-3.9%
Q2 2016+6.2%+7.1%+3.6%
Q1 2016+8.5%
Q4 2015-3.7%
Q3 2015+6.6%
Q2 2015+8.6%
Q1 2015-7.6%
Q4 2014-1.9%
Q3 2014+5.4%
Q2 2014+1.7%
Q1 2014+8.8%
Q4 2013-4.6%
Q3 2013-3.1%
Q2 2013+0.1%
Q1 2013-9.7%
Q4 2012-2.9%
Q3 2012-1.6%
Q2 2012-0.2%
Q1 2012+1.5%
Q4 2011-10.1%
Q4 2008-10.1%
Q3 2011-3.1%
Q2 2011-3.9%
Q1 2011+1.5%
Q4 2010-5.0%
Q3 2009+0.0%
Q3 2010+0.0%
Q2 2010-0.1%
Q1 2010-0.1%
Q2 2009-0.1%

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