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Jun 27, 2025
Fresh Del Monte Q2 2025 Earnings Report
Fresh Del Monte's financial results for the second quarter of fiscal year 2025 were reported, showing increased net sales and gross profit driven by strong demand for core products and improved margins in the fresh-cut business.
Key Takeaways
Fresh Del Monte Produce Inc. reported a strong second quarter in 2025, with net sales increasing by 4% to $1,182.5 million and gross profit rising by 6% to $120.1 million. The growth was primarily fueled by higher per unit selling prices and favorable exchange rates in the fresh and value-added products and banana segments. Operating income also saw a slight increase to $68.3 million, and net income attributable to Fresh Del Monte Produce Inc. grew to $56.8 million.
Net sales for Q2 2025 increased by 4% year-over-year, reaching $1,182.5 million, driven by higher selling prices and favorable exchange rates.
Gross profit rose by 6% to $120.1 million, with gross margin expanding to 10.2%, primarily due to strong performance in specialty pineapple varieties and fresh-cut fruit offerings.
Operating income slightly increased to $68.3 million, and net income attributable to Fresh Del Monte Produce Inc. was $56.8 million.
The company maintained a strong balance sheet, reducing long-term debt by 29% to $201.0 million and generating robust cash flow from operations.
Revenue by Segment
Forward Guidance
Fresh Del Monte's forward guidance emphasizes continued focus on high-margin, value-added products, operational streamlining, and leveraging technology to manage costs and meet evolving customer demands. The company aims to strengthen its leadership in key product categories and maintain a prudent capital structure.
Positive Outlook
- Focus on high-margin, value-added products, including proprietary pineapple varieties, fresh-cut fruit, and avocados.
- Ability to streamline operations and leverage AI, biofertilizers, and other technology to effectively manage costs and pricing.
- Commitment to future growth, operational excellence, and meeting evolving customer and consumer demands.
- Expectations for customer growth and the expansion and diversification of product offerings.
- Maintaining a prudent capital structure and creating long-term value for shareholders.
Challenges Ahead
- Ongoing elevated commodity and supply chain costs, including raw materials, packaging, labor, energy, fuel, and transportation.
- Impact of tariffs, reciprocal and retaliatory tariffs.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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