Fresh Del Monte Produce Reports Second Quarter Results; Mohammad Abu-Ghazaleh Comments
CORAL GABLES, FL - Fresh Del Monte Produce has been on an upward trajectory for some time now, and the company’s latest announcement only further solidifies that growth. The supplier recently reported its financial results for the second quarter ending July 1, outlining a net sales increase from $1.14 billion to $1.21 billion compared to the same period last year.
"We delivered strong net sales during the second quarter, marking the fifth consecutive quarter of net sales growth compared with the prior-year periods—demonstrating the resilience of our iconic brand. Our net sales increased by $70 million, resulting from necessary pricing actions—generating growth across most product categories," said Mohammad Abu-Ghazaleh, Chairman and Chief Executive Officer.
A press release stated that the net sales increase is due in part to inflation-justified rises in price. Other metrics from the report include:
- Gross profit was $80.7 million compared with $110.0 million in the prior-year period
- Operating income was $34.3 million compared with $59.3 million in the prior-year period
- Adjusted EBITDA was $55.7 million compared with $83.6 million in the prior-year period
"We continue to operate in one of the most volatile and uncertain macroeconomic environments in recent history. As a result, the cost of product sold increased by $100 million, driven by broad-based inflationary, supply chain, and logistical headwinds,” Abu-Ghazaleh commented. “Despite these headwinds, we generated positive earnings—all while maintaining our debt balance in line with last year, generating strong cash flow from operations, and continuing our dividend payout."
Abu-Ghazaleh continued, "As we move forward, I am confident in our team's dedication to drive profitable sales. We plan to do that by focusing on our sustainable growth strategy and delivering against its key elements—organic expansion, product innovation, investments in technology, best-in-class customer relationships, and sustainability."
More is sure to come from this innovative company, so keep clicking back to ANUK.
