Oxnard, Calif.-based avocado marketer Mission Produce, Inc. has reported a 6% increase in total revenue for the quarter ending April 30.
Fiscal 2021 second quarter results showed total revenue of $234.7 million, a 6% increase compared to the same period last year, according to a news release. Avocado volume sold increased 22% and average selling price decreased 14% compared to the same period last year, according to the release. The price and volume dynamics were driven by strong industry supply from Mexico in the second quarter, though monthly pricing improved throughout the quarter, according to the release.
Gross profit increased 26% to $27.1 million over a year ago, the company said, and net income of $7.4 million compared with a net loss of $14.8 million for the same period last year.
“Our blue-chip customer base and the flexibility our network provides allowed us to distribute 22% greater volume than prior year,” Steve Barnard, CEO of Mission Produce, said in the release. “With our vertical integration and key intelligence, we are in excellent position to grow our leadership position.”
As the company moves to the second half of fiscal 2021, Barnard said that Mission Produce will transition to the Southern Hemisphere season where the firm’s Peruvian harvest comes online. The company’s avocado harvest season for its Peruvian farms typically runs from April through August of each year, according to the release.
“The growing season was very productive, and we are expecting solid yields from our crop and with prices firming up, we are in a great position to deliver a strong second half operating performance, led by our International Farming segment,” Barnard said in the release. “For the third quarter-to-date period, retail pricing is steady, along with consumption patterns versus the prior year, which is common going into the summer months.”
The company said full year fiscal 2021 net sales are expected in the range of $900 million to $920 million, which assumes total annual volume in the range of 670 million to 680 million pounds. Expectations for avocado production from owned farms is in the range of 95 million to 105 million pounds, according to the release.
