Calavo Growers Q2 2021 Earnings Report
Key Takeaways
Calavo Growers reported a revenue of $276.8 million, aligning with the high end of guidance and signaling a recovery towards pre-pandemic levels. The company's net income increased to $8.8 million, or $0.50 per diluted share, compared to a net loss in the previous year. Adjusted EBITDA also saw a rise, reaching $15.0 million.
Total revenue reached $276.8 million, indicating a return to pre-pandemic levels.
Fresh segment revenue decreased 5%, with avocado volume growth offset by lower prices and tomato revenue.
Net income was $8.8 million, or $0.50 per diluted share, a significant improvement from the previous year's net loss.
Adjusted EBITDA grew by 9.5% to $15.0 million.
Calavo Growers
Calavo Growers
Calavo Growers Revenue by Segment
Forward Guidance
The Company is providing the following expectations for the third fiscal quarter of 2021: ·Revenue in a range of $280 million to $300 million; and ·Adjusted EBITDA in a range of $11 million to $15 million.
Positive Outlook
- Working on pricing initiatives with our business partners
- Accelerating development of internal operational efficiencies
- Strategic initiatives designed to enhance our long-term growth prospects
- Capitalize on opportunities to increase operating leverage
- Further our sustainability initiatives
Challenges Ahead
- Near-term inflationary pressure on labor
- Near-term inflationary pressure on raw materials
- Near-term inflationary pressure on freight
- Monitoring inflation
- Monitoring the labor market