Mission Produce Reports Fiscal 2023 First Quarter Financial Results; Steve Barnard Comments
OXNARD, CA - Amid general economic uncertainty and fluctuations, Mission Produce has still managed to achieve growth, as was reported in its fiscal first quarter 2023 results for the period ending January 31, 2023. Through its industry prowess, the supplier announced its avocado volume sold increased by 14 percent compared to the same period last year.
“Our unmatched global network of distribution, ripening, and other value-added assets put us in position to achieve volume growth of 14 percent during the first quarter compared to the same period last year, which outpaced that of the industry as a whole, and we are ready to manage the increase in volumes that we anticipate this year,” commented Steve Barnard, Founder and Chief Executive Officer. “While the market is still adjusting to the lower pricing environment and an uncertain macroeconomic backdrop, we are optimistic that lower fruit pricing will ultimately drive greater consumption in the coming year compared to the depressed consumption rates we saw last year.”
Overall, Mission sold 152.3 million pounds of avocados throughout the first quarter, a release stated. This increase was driven by higher industry supply out of Mexico during the quarter. The company’s gross profit also increased by $8.5 million in the first quarter of fiscal 2023 compared to the same period last year, to $9 million.
For the second quarter of the fiscal year 2023, Mission is expecting volumes to be higher versus the prior year, primarily due to anticipation of a larger Mexican harvest, which is expected to be 20 percent higher compared to the prior harvest season.
“Looking ahead, our focus remains on the advancement of our global position through investment in new global facilities, and diversification of our business by leveraging our core competencies in new and creative ways,” added Barnard. “We expect that the improved stability in the avocado marketplace, coupled with easing cost inflation, will also allow us to generate sequential improvements in our per-unit margins, albeit below what has been our historical-targeted range. With this backdrop, we expect to deliver a better year of operating performance in fiscal 2023.”
To view the report in its entirety, click here.
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