NYSE$FDP

Fresh Del Monte Produce Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Reported solid results for Q3 2023, driven by higher gross margins and adjusted earnings per share growth.

Fresh Del Monte reported net sales of $1,003.1 million for the third quarter of 2023, compared to $1,053.5 million in the prior-year period. The company's net income for the third quarter was $8.4 million, compared to $33.3 million in the prior-year period.

  • Net sales for the third quarter of 2023 were $1,003.1 million compared with $1,053.5 million in the prior-year period.
  • Gross profit for the third quarter of 2023 was $74.4 million compared with $88.0 million in the prior-year period.
  • Operating income for the third quarter of 2023 was $25.4 million compared with $51.0 million in the prior-year period.
  • Long-term debt reduced by 26% to $401.0 million at the end of the third quarter 2023 from $539.8 million at end of fiscal year 2022.

Headline financials

Total Revenue

$1B

Previous: $1.05B-4.8%
EPS (adj)

$0.35

Previous: $0.54-35.2%
Gross Margin

7.4%

Previous: 8.3%-10.8%
Dividend Per Share

$0.20

Previous: $0.15+33.3%
Capital Expenditures

-$21.8M

No prior period
Free Cash Flow

$8.4M

Previous: $33.3M-74.8%
Net Income

$8.4M

Previous: $33.3M-74.8%
Operating Income

$25.4M

Previous: $51M-50.2%
Gross Profit

$74.4M

Previous: $88M-15.5%
Cash & Equivalents

$77.9M

Previous: $27.9M+179.2%
Total Assets

$3.35B

Previous: $3.4B-1.4%
Stock-Based Comp

$2.5M

Previous: $2.1M+19.0%

Revenue & EPS history

Fresh Del Monte · Revenue · Quarterly

$1B

Q3 2023-4.8%vs Q3 2022
Beat estimate in 3 of 14 quarters(21%)
ActualEstimate

Revenue by segment

Fresh Del Monte · $1B total across 3 segments · Q3 2023

  • Fresh & Value-Added
    $574M-4.3%
  • Banana
    $385M-1.0%
  • Other Products & Services
    $44.4M-32.0%

Forward guidance

This press release and the related earnings call contain certain forward-looking statements regarding the intent, beliefs or current expectations of the Company.

Tailwinds

  • commitment to asset optimization
  • strategic partnerships and product innovations and the impact on the Company’s results of operations
  • ability to improve efficiencies and lower debt
  • anticipated demand for the Company’s core products
  • ability to launch a new pineapple variety

Headwinds

  • macroeconomic factors, including inflation, interest rates and foreign exchange rates
  • the Company’s ability to leverage technologies to introducing new products and enhance process, including its ability to successfully bring the new pineapple variety to market
  • trends and other factors affecting consumer preferences, including whether consumers are receptive to the ideas and innovations made by the Company
  • the ability of the new rebranding of the Company’s inland logistics solution to drive financial growth s
  • ability to identify opportunities to leverage our experience in smart farming, sustainability and marketing to enhance shareholder value

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 Q3 2023

Historical avgQ3 2023

-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%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro