Calavo Growers, Inc. Announces First Quarter 2025 Financial Results
Calavo Growers (NASDAQ: CVGW) reported strong Q1 2025 financial results with total net sales of $154.4 million, up 21.0% year-over-year. The Fresh segment saw a 23.7% increase in sales, while Prepared segment remained flat.
Key highlights include:
- Gross profit increased 46.2% to $15.7 million
- Net income of $4.4 million ($0.25 per share) vs. net loss of $2.6 million year-over-year
- Adjusted EBITDA tripled to $9.3 million
- SG&A expenses decreased 23.6% to $10.3 million
The Fresh segment benefited from a 30.5% increase in average avocado prices, despite a 4.6% volume decline. The company declared a quarterly dividend of $0.20 per share and ended Q1 with $48.5 million in cash and $96.7 million in available liquidity.
Calavo Growers (NASDAQ: CVGW) ha riportato risultati finanziari solidi per il primo trimestre del 2025, con vendite nette totali di 154,4 milioni di dollari, in aumento del 21,0% rispetto all'anno precedente. Il segmento Fresh ha registrato un incremento delle vendite del 23,7%, mentre il segmento Prepared è rimasto stabile.
I punti salienti includono:
- Il profitto lordo è aumentato del 46,2% a 15,7 milioni di dollari
- Utile netto di 4,4 milioni di dollari (0,25 dollari per azione) rispetto a una perdita netta di 2,6 milioni di dollari rispetto all'anno precedente
- EBITDA rettificato triplicato a 9,3 milioni di dollari
- Le spese SG&A sono diminuite del 23,6% a 10,3 milioni di dollari
Il segmento Fresh ha beneficiato di un aumento del 30,5% dei prezzi medi degli avocado, nonostante un calo del volume del 4,6%. L'azienda ha dichiarato un dividendo trimestrale di 0,20 dollari per azione e ha chiuso il primo trimestre con 48,5 milioni di dollari in contante e 96,7 milioni di dollari in liquidità disponibile.
Calavo Growers (NASDAQ: CVGW) reportó resultados financieros sólidos para el primer trimestre de 2025, con ventas netas totales de 154.4 millones de dólares, un aumento del 21.0% en comparación con el año anterior. El segmento Fresh vio un incremento del 23.7% en las ventas, mientras que el segmento Prepared se mantuvo estable.
Los puntos destacados incluyen:
- El beneficio bruto aumentó un 46.2% a 15.7 millones de dólares
- Ingreso neto de 4.4 millones de dólares (0.25 dólares por acción) frente a una pérdida neta de 2.6 millones de dólares en comparación con el año anterior
- El EBITDA ajustado se triplicó a 9.3 millones de dólares
- Los gastos SG&A disminuyeron un 23.6% a 10.3 millones de dólares
El segmento Fresh se benefició de un aumento del 30.5% en los precios promedio de los aguacates, a pesar de una disminución del volumen del 4.6%. La empresa declaró un dividendo trimestral de 0.20 dólares por acción y cerró el primer trimestre con 48.5 millones de dólares en efectivo y 96.7 millones de dólares en liquidez disponible.
Calavo Growers (NASDAQ: CVGW)는 2025년 1분기 재무 결과를 발표했으며, 총 순매출이 1억 5440만 달러로 전년 대비 21.0% 증가했습니다. Fresh 부문은 23.7% 매출 증가를 보였고, Prepared 부문은 제자리에 머물렀습니다.
주요 하이라이트는 다음과 같습니다:
- 총 이익이 46.2% 증가하여 1570만 달러에 달했습니다
- 순이익 440만 달러(주당 0.25 달러)로, 전년 대비 순손실 260만 달러에서 개선되었습니다
- 조정 EBITDA가 930만 달러로 세 배 증가했습니다
- SG&A 비용이 23.6% 감소하여 1030만 달러에 이르렀습니다
Fresh 부문은 평균 아보카도 가격이 30.5% 증가했음에도 불구하고 4.6%의 물량 감소로 혜택을 보았습니다. 회사는 주당 0.20 달러의 분기 배당금을 선언했으며, 1분기 말에 현금 4850만 달러와 9670만 달러의 유동성을 보유하고 있습니다.
Calavo Growers (NASDAQ: CVGW) a annoncé des résultats financiers solides pour le premier trimestre 2025, avec des ventes nettes totales de 154,4 millions de dollars, en hausse de 21,0 % par rapport à l'année précédente. Le segment Fresh a connu une augmentation des ventes de 23,7 %, tandis que le segment Prepared est resté stable.
Les points forts incluent:
- Le bénéfice brut a augmenté de 46,2 % pour atteindre 15,7 millions de dollars
- Bénéfice net de 4,4 millions de dollars (0,25 dollar par action) contre une perte nette de 2,6 millions de dollars l'année précédente
- EBITDA ajusté triplé à 9,3 millions de dollars
- Les dépenses SG&A ont diminué de 23,6 % pour atteindre 10,3 millions de dollars
Le segment Fresh a bénéficié d'une augmentation de 30,5 % des prix moyens des avocats, malgré une baisse de volume de 4,6 %. L'entreprise a déclaré un dividende trimestriel de 0,20 dollar par action et a terminé le premier trimestre avec 48,5 millions de dollars en liquidités et 96,7 millions de dollars en liquidités disponibles.
Calavo Growers (NASDAQ: CVGW) berichtete über starke Finanzresultate für das erste Quartal 2025 mit einem Gesamtumsatz von 154,4 Millionen Dollar, was einem Anstieg von 21,0% im Vergleich zum Vorjahr entspricht. Der Fresh-Segment verzeichnete einen Umsatzanstieg von 23,7%, während der Prepared-Segment stabil blieb.
Wichtige Highlights sind:
- Der Bruttogewinn stieg um 46,2% auf 15,7 Millionen Dollar
- Nettoergebnis von 4,4 Millionen Dollar (0,25 Dollar pro Aktie) im Vergleich zu einem Nettoverlust von 2,6 Millionen Dollar im Vorjahr
- Das bereinigte EBITDA verdreifachte sich auf 9,3 Millionen Dollar
- Die SG&A-Ausgaben sanken um 23,6% auf 10,3 Millionen Dollar
Der Fresh-Segment profitierte von einem Anstieg der durchschnittlichen Avocado-Preise um 30,5%, trotz eines Rückgangs des Volumens um 4,6%. Das Unternehmen erklärte eine vierteljährliche Dividende von 0,20 Dollar pro Aktie und schloss das erste Quartal mit 48,5 Millionen Dollar in bar und 96,7 Millionen Dollar an verfügbarer Liquidität ab.
- Net income turned positive to $4.4 million from a loss of $2.6 million year-over-year
- Fresh segment gross profit increased 88.8% to $12.1 million
- Total net sales grew 21.0% to $154.4 million
- SG&A expenses reduced by 23.6%
- Strong liquidity position with $96.7 million available and no credit facility borrowings
- Fresh segment volume declined 4.6%
- Prepared segment gross profit decreased 17.1%
- Ongoing SEC and DOJ investigations relating to FCPA
- Higher fruit input costs affecting Prepared segment margins
Insights
Calavo's Q1 2025 results demonstrate a remarkable turnaround with total net sales increasing
The Fresh segment is the standout performer, with sales up
Management's cost discipline is evident in the
The company's balance sheet remains solid with
While the Prepared segment shows some weakness with a
Calavo's Q1 performance highlights the company's strategic advantage in the volatile avocado market. The
Looking at the tomato business specifically, the
The challenges in the Prepared segment reflect the classic margin squeeze faced by food processors when raw material costs rise. Higher fruit input costs couldn't be fully passed through to consumers, resulting in margin compression despite a
Management's comments about monitoring Mexican import tariffs merit attention. While they don't expect meaningful operational impacts, any changes to cross-border trade policies could affect their supply chain dynamics, particularly as they enter peak California avocado season. Their confidence suggests robust sourcing alternatives and pricing flexibility.
The favorable resolution of the Mexican VAT refund issue (
SANTA PAULA, Calif., March 12, 2025 (GLOBE NEWSWIRE) -- Calavo Growers, Inc. (Nasdaq-GS: CVGW), a global avocado industry leader and provider of value-added fresh food, today reported its financial results for the fiscal first quarter ended January 31, 2025.
First Quarter Financial Overview
- Total net sales of
$154.4 million , a21.0% increase from the prior year quarter.- Fresh1 segment sales increased
$26.8 million , or23.7% , from the prior year quarter. - Prepared segment sales remained essentially flat from the prior year quarter.
- Fresh1 segment sales increased
- Gross profit of
$15.7 million , a46.2% increase from the prior year quarter.- Fresh segment gross profit of
$12.1 million , an88.8% increase from the prior year quarter. - Prepared segment gross profit of
$3.6 million , a17.1% decrease from the prior year quarter.
- Fresh segment gross profit of
- Selling, general, and administrative (SG&A) expenses of
$10.3 million , a decrease of23.6% from the prior year quarter. - Net income from continuing operations of
$4.4 million , or$0.25 per diluted share, compared to a net loss from continuing operations of$2.6 million , or$(0.15) per diluted share from the prior year quarter. - Adjusted net income2 of
$5.9 million , or$0.33 per diluted share, compared to adjusted net loss of$1.4 million in the prior year quarter or$(0.08) per share. - Adjusted EBITDA2 of
$9.3 million , compared to adjusted EBITDA of$3.1 million in the prior year quarter.
Adjusted net income (loss)2, adjusted net income (loss) per diluted share, and adjusted EBITDA2 are non-GAAP financial measures. See “Non-GAAP Financial Measures” below.
1 As part of our financial reporting under ASC 280, we have updated the name of our ‘Grown’ segment to ‘Fresh’ to better reflect the nature of our operations. This is a name change only and does not impact the composition or financial reporting of the segment.
2 During the first quarter of fiscal 2025, we modified our calculation of Adjusted Net Income and Adjusted EBITDA to remove income (loss) from unconsolidated entities from excluded items. Management believes this change enhances comparability with industry peers and provides a clearer representation of our core operating performance. Prior-period amounts have been recast for comparability where applicable. This adjustment does not impact previously reported GAAP financial results.
First Quarter Highlights for Continuing Operations
- Fresh segment sales had significant revenue growth, driven by a
30.5% increase in average price per carton, which more than offset a4.6% decline in volume. - Prepared segment net sales remained steady as a
7.3% increase in volume was largely offset by lower average selling prices per pound. - Gross profit benefited from stronger avocado margins primarily due to the combination of higher average selling prices and lower fruit costs.
- SG&A expenses declined significantly as a result of our ongoing focus on cost discipline and lower professional expenses.
- We continue to cooperate fully with the Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) investigations relating to the Foreign Corrupt Practices Act (FCPA). On February 18, 2025, the SEC notified us that activity in the investigation has been postponed after President Trump issued Executive Orders on February 10 and February 18, 2025. Given the Attorney General’s February 5, 2025 Memo and the President’s Executive Orders, indicating a shift in DOJ and SEC priorities, we do not currently anticipate any near-term action from the government’s FCPA inquiry that would likely have a material impact on our short-term financial outlook.
- The Board of Directors declared a quarterly cash dividend of
$0.20 per share to be paid on April 29, 2025, to shareholders of record on April 1, 2025. - After quarter end, we achieved a significant milestone in our tax strategy, as the Mexican tax authorities (SAT) refunded 13.7 million Mexican pesos in VAT (approximately
$0.7 million USD), including inflationary adjustments, for March 2019. We believe this favorable resolution—secured directly from the tax authority rather than through the court system—reinforces the strength of our approach and provides positive momentum as we continue working to recover additional outstanding refunds. For further discussion on our VAT recovery efforts, please see Note 9 to our consolidated financial statements in our Form 10-Q for the quarter ended January 31, 2025.
Management Commentary
“Our first quarter results reflect the strongest Q1 adjusted net income performance we’ve delivered since 2019,” said Lee Cole, President and Chief Executive Officer of Calavo Growers, Inc. “Our strategic focus on margin improvement and operational efficiency is driving tangible results, with Fresh segment sales increasing about
“The pricing strength in our avocado business, combined with disciplined cost management, contributed to a more than
“We also continue to monitor regulatory developments, including changes in FCPA enforcement priorities under the current administration. While it’s too early to assess the full impact, we remain committed to maintaining strong compliance standards while focusing on our long-term growth strategy.
“Our primary goal is to ensure we continue serving our customers efficiently and effectively. Although tariffs on imports from Mexico introduce additional costs, we do not currently expect them to have a meaningful impact on our operations. We believe avocados, tomatoes, and guacamole will remain a compelling value for consumers given their nutritional content and versatility, and we expect strong demand to continue.
“Looking ahead, we are confident in our ability to sustain the momentum we’ve created as we enter the peak California avocado season. With a strong start to the year, we remain focused on executing our growth strategy, enhancing margins, and delivering continued value to our shareholders.”
First Quarter 2025 Consolidated Financial Review for Continuing Operations
Total net sales for the first quarter of 2025 were
Gross profit for the first quarter was
SG&A expenses for the first quarter totaled
Net income for the first quarter was
Adjusted net income was
Adjusted EBITDA nearly tripled, increasing over
Balance Sheet and Liquidity
We ended the first quarter with cash and cash equivalents of
Segment Performance
Fresh
Fresh segment gross profit was
Prepared (continuing operations)
Prepared segment gross profit declined
Non-GAAP Financial Measures
This press release includes non-GAAP measures EBITDA, adjusted EBITDA, adjusted net income (loss) and adjusted net income (loss) per diluted share, which are not prepared in accordance with U.S. generally accepted accounting principles, or “GAAP.” EBITDA is defined as net income (loss) from continuing operations attributable to Calavo Growers, Inc. excluding (1) interest income and expense, (2) income tax (benefit) provision, (3) depreciation and amortization and (4) stock-based compensation expense. Adjusted EBITDA is EBITDA with further adjustments for (1) acquisition-related costs, (2) restructuring-related costs, including certain severance costs, (3) certain litigation, internal investigation and other related costs, (4) foreign currency gain (loss) and, (5) asset impairments, and (6) one-time items. We believe adjusted EBITDA affords investors a different view of the overall financial performance of the Company than adjusted net income (loss) and the GAAP measure of net income (loss) from continuing operations. The adjustments to calculate EBITDA and adjusted EBITDA are items recognized and recorded under GAAP in particular periods but might be viewed as not necessarily coinciding with the underlying business operations for the periods in which they are so recognized and recorded.
Adjusted net income (loss) is defined as net income (loss) from continuing operations attributable to Calavo Growers, Inc. excluding (1) acquisition-related costs, (2) restructuring-related costs, including certain severance costs, (3) certain litigation, internal investigation and other related costs, (4) foreign currency loss (gain) (5) asset impairments, and (6) one-time items. Adjusted net income (loss) and the related measure of adjusted net income (loss) per diluted share exclude certain items that are recognized and recorded under GAAP in particular periods but might be viewed as not necessarily coinciding with the underlying business operations for the periods in which they are so recognized and recorded. We believe adjusted net income (loss) affords investors a different view of the overall financial performance of the Company than adjusted EBITDA and the GAAP measure of net income (loss) from continuing operations.
Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are provided in the financial tables below. Items are considered one-time in nature if they are non-recurring, infrequent or unusual and have not occurred in the past two years or are not expected to recur in the next two years, in accordance with SEC rules. Non-GAAP information should be considered as supplemental in nature and not as a substitute for, or superior to, any measure of performance prepared in accordance with GAAP. None of these metrics are presented as measures of liquidity. The way the Company measures EBITDA, adjusted EBITDA and adjusted net income (loss) may not be comparable to similarly titled measures presented by other companies and may not be identical to corresponding measures used in Company agreements.
About Calavo Growers, Inc.
Calavo Growers, Inc. (Nasdaq: CVGW) is a global leader in the processing and distribution of avocados, tomatoes, papayas and guacamole. Calavo products are sold under the trusted Calavo brand name, proprietary sub-brands, private label and store brands. Founded in 1924, Calavo has a rich culture of innovation, sustainable practices and market growth. The company serves retail grocery, foodservice, club stores, mass merchandisers, food distributors and wholesalers worldwide. Calavo is headquartered in Santa Paula, California, with facilities throughout the U.S. and Mexico. Learn more about The Family of Fresh™ at calavo.com.
Safe Harbor Statement
This press release contains statements relating to future events and results of Calavo (including financial projections and business trends) that are “forward-looking statements,” as defined in the Private Securities Litigation Reform Act of 1995, that involve risks, uncertainties, and assumptions. These statements are based on our current expectations and are not promises or guarantees. If any of the risks or uncertainties materialize or the assumptions prove incorrect, the results of Calavo may differ materially from those expressed or implied by such forward-looking statements and assumptions. The use of words such as “anticipates,” “estimates,” “expects,” “projects,” “intends,” “plans” and “believes,” among others, generally identify forward-looking statements. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including, but not limited to, any projections of revenue, gross profit, expenses, income/(loss) from unconsolidated entities, earnings, earnings per share, tax provisions, cash flows and currency exchange rates; the impact of acquisitions or debt or equity investments or other financial items; any statements of the plans, strategies and objectives of management for future operations, including execution of restructuring and integration (including information technology systems integration) plans; any statements regarding current or future macroeconomic trends or events and the impact of those trends and events on Calavo and its financial performance; statements regarding pending internal or external investigations, legal claims or tax disputes; and any statements of expectation or belief; any statements about future risks associated with doing business internationally (including possible restrictive U.S. and foreign governmental actions, such as restrictions on transfers of funds, restrictions as a result of trade protection measures such as import/export/customs duties, tariffs and/or quotas).
Risks and uncertainties that may cause our actual results to be materially different from any future results expressed or implied by the forward-looking statements include, but are not limited to, the following: the ability of our management team to work together successfully; the impact of weather on market conditions; seasonality of our business; sensitivity of our business to changes in market prices of avocados and other agricultural products and other raw materials including fuel, packaging and paper; changes or actions associated with USDA-APHIS and the Mexican Secretary of Agriculture, Secretariat of Agriculture and Rural Development (SADER) phytosanitary regulations (certification regulation for the importation of Hass avocados to the United States); potential disruptions to our supply chain; risks associated with potential future acquisitions, including integration; potential exposure to data breaches and other cyber-attacks on our systems or those of our suppliers or customers; dependence on large customers; dependence on key personnel and access to labor necessary for us to render services; susceptibility to wage inflation; potential for labor disputes; reliance on co-packers for a portion of our production needs; competitive pressures, including from foreign growers; risks of recalls and food-related injuries to our customers; changing consumer preferences; the impact of environmental regulations, including those related to climate change; risks associated with the environment and climate change, especially as they may affect our sources of supply; our ability to develop and transition new products and services and enhance existing products and services to meet customer needs, including but not limited to the new guacamole products referenced in this press release; risks associated with doing business internationally (including possible non-compliance with U.S. and foreign laws applicable to international trade and dealings and possible restrictive U.S. and foreign governmental actions, such as restrictions on transfers of funds and trade protection measures such as import/export/customs duties, tariffs and/or quotas and currency fluctuations); risks associated with receivables from, loans to and/or equity investments in unconsolidated entities; volatility in the value of our common stock; the impact of macroeconomic trends and events; the effects of increased interest rates on our cost of borrowing and consumer purchasing behavior; the resolution of pending internal and external investigations, legal claims and tax disputes, including an assessment imposed by the Mexican Tax Administrative Service (the “SAT”) and our defenses against collection activities commenced by the SAT; and our ability to realize the expected expense savings from the sale of the Fresh Cut business.
For further discussion of these risks and uncertainties and other risks and uncertainties that we face, please see the risk factors described in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission and any subsequent updates that may be contained in our Quarterly Reports on Form 10-Q and other filings with the Securities and Exchange Commission. Forward-looking statements contained in this press release are made only as of the date of this press release, and we undertake no obligation to update or revise the forward-looking statements, whether because of new information, future events or otherwise.
Investor Contact
Julie Kegley, Senior Vice President
Financial Profiles, Inc.
calavo@finprofiles.com
310-622-8246
| CALAVO GROWERS, INC. CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands) | ||||||
| January 31, | October 31, | |||||
| 2025 | 2024 | |||||
| Assets | ||||||
| Current assets: | ||||||
| Cash and cash equivalents | $ | 48,490 | $ | 57,031 | ||
| Accounts receivable, net of allowances of | 47,088 | 41,909 | ||||
| Inventories | 39,873 | 34,157 | ||||
| Prepaid expenses and other current assets | 11,514 | 9,976 | ||||
| Advances to suppliers | 10,275 | 14,570 | ||||
| Income taxes receivable | 936 | 936 | ||||
| Total current assets | 158,176 | 158,579 | ||||
| Property, plant, and equipment, net | 52,519 | 54,200 | ||||
| Operating lease right-of-use assets | 17,471 | 18,316 | ||||
| Investments in unconsolidated entities | 3,286 | 2,424 | ||||
| Deferred income tax assets | 7,473 | 7,473 | ||||
| Goodwill | 10,211 | 10,211 | ||||
| Other assets | 49,791 | 49,916 | ||||
| $ | 298,927 | $ | 301,119 | |||
| Liabilities and shareholders' equity | ||||||
| Current liabilities: | ||||||
| Payable to growers | $ | 15,397 | $ | 18,377 | ||
| Trade accounts payable | 6,725 | 8,742 | ||||
| Accrued expenses | 29,516 | 28,149 | ||||
| Income tax payable | 4,115 | 2,767 | ||||
| Other current liabilities | 11,000 | 11,000 | ||||
| Current portion of operating leases | 3,180 | 3,296 | ||||
| Current portion of finance leases | 861 | 874 | ||||
| Total current liabilities | 70,794 | 73,205 | ||||
| Long-term liabilities: | ||||||
| Long-term portion of operating leases | 16,683 | 17,476 | ||||
| Long-term portion of finance leases | 4,069 | 4,274 | ||||
| Other long-term liabilities | 4,512 | 4,388 | ||||
| Total long-term liabilities | 25,264 | 26,138 | ||||
| Commitments and contingencies (Note 6) | ||||||
| Shareholders' equity: | ||||||
| Common stock ( | 18 | 18 | ||||
| Additional paid-in capital | 178,198 | 177,973 | ||||
| Noncontrolling interest | 1,464 | 1,444 | ||||
| Retained earnings | 23,189 | 22,341 | ||||
| Total shareholders' equity | 202,869 | 201,776 | ||||
| $ | 298,927 | $ | 301,119 | |||
| CALAVO GROWERS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (in thousands, except per share amounts) | ||||||||
| Three months ended | ||||||||
| January 31, | ||||||||
| 2025 | 2024 | |||||||
| Net sales | $ | 154,385 | $ | 127,606 | ||||
| Cost of sales | 138,657 | 116,846 | ||||||
| Gross profit | 15,728 | 10,760 | ||||||
| Selling, general and administrative | 10,287 | 13,463 | ||||||
| Expenses related to Mexican tax matters | 395 | 383 | ||||||
| Operating income (loss) | 5,046 | (3,086 | ) | |||||
| Foreign currency (loss) gain | (962 | ) | 1,708 | |||||
| Interest income | 845 | — | ||||||
| Interest expense | (213 | ) | (824 | ) | ||||
| Other income, net | 112 | 200 | ||||||
| Income (loss) before income taxes and net income from unconsolidated entities | 4,828 | (2,002 | ) | |||||
| Income tax expense | (1,255 | ) | (573 | ) | ||||
| Net income from unconsolidated entities | 862 | 1 | ||||||
| Net income (loss) from continuing operations | 4,435 | (2,574 | ) | |||||
| Net loss from discontinued operations (refer to Note 10) | — | (3,683 | ) | |||||
| Net income (loss) | 4,435 | (6,257 | ) | |||||
| Add: Net income attributable to noncontrolling interest | (20 | ) | (10 | ) | ||||
| Net income (loss) attributable to Calavo Growers, Inc. | $ | 4,415 | $ | (6,267 | ) | |||
| Calavo Growers, Inc.’s net income (loss) per share: | ||||||||
| Basic | ||||||||
| Continuing Operations | $ | 0.25 | $ | (0.15 | ) | |||
| Discontinued Operations | $ | — | $ | (0.21 | ) | |||
| Net income (loss) attributable to Calavo Growers, Inc | $ | 0.25 | $ | (0.35 | ) | |||
| Diluted | ||||||||
| Continuing Operations | $ | 0.25 | $ | (0.15 | ) | |||
| Discontinued Operations | $ | — | $ | (0.21 | ) | |||
| Net income (loss) attributable to Calavo Growers, Inc | $ | 0.25 | $ | (0.35 | ) | |||
| Number of shares used in per share computation: | ||||||||
| Basic | 17,837 | 17,799 | ||||||
| Diluted | 17,901 | 17,799 | ||||||
| CALAVO GROWERS, INC. NET SALES AND GROSS PROFIT BY BUSINESS SEGMENT (UNAUDITED) (in thousands) | |||||||||
| Fresh | Prepared | Total | |||||||
| (All amounts are presented in thousands) | |||||||||
| Three months ended January 31, 2025 | |||||||||
| Net sales | $ | 139,795 | $ | 14,590 | $ | 154,385 | |||
| Cost of sales | 127,658 | 10,999 | 138,657 | ||||||
| Gross profit | $ | 12,137 | $ | 3,591 | $ | 15,728 | |||
| Three months ended January 31, 2024 | |||||||||
| Net sales | $ | 113,026 | $ | 14,580 | $ | 127,606 | |||
| Cost of sales | 106,596 | 10,250 | 116,846 | ||||||
| Gross profit | $ | 6,430 | $ | 4,330 | $ | 10,760 | |||
For the three months ended January 31, 2025 and 2024, intercompany sales and cost of sales of
| CALAVO GROWERS, INC. RECONCILIATION OF ADJUSTED NET INCOME (LOSS) AND ADJUSTED NET INCOME (LOSS) PER DILUTED SHARE (UNAUDITED) (in thousands, except per share amounts) |
The following table presents adjusted net income (loss) and adjusted net income (loss) per diluted share, each a non-GAAP measure, and reconciles them to net income (loss) attributable to Calavo Growers, Inc., and Diluted EPS, which are the most directly comparable GAAP measures. During the first quarter of fiscal 2025, we modified our calculation of Adjusted Net Income and Adjusted EBITDA to remove income (loss) from unconsolidated entities from excluded items. Management believes this change enhances comparability with industry peers and provides a clearer representation of our core operating performance. Prior-period amounts have been recast for comparability where applicable. This adjustment does not impact previously reported GAAP financial results. See “Non-GAAP Financial Measures” earlier in this release.
| Three months ended January 31, | ||||||||
| 2025 | 2024 | |||||||
| Net income (loss) from continuing operations | $ | 4,435 | $ | (2,574 | ) | |||
| Add: Net income attributable to noncontrolling interest | (20 | ) | (10 | ) | ||||
| Net income (loss) from continuing operations attributable to Calavo Growers, Inc. | 4,415 | (2,584 | ) | |||||
| Non-GAAP adjustments: | ||||||||
| Restructure costs - consulting, management recruiting and severance (a) | — | 487 | ||||||
| Expenses related to Mexican tax matters (b) | 395 | 383 | ||||||
| Professional fees related to internal investigation and legal settlement and related expenses (c) | 677 | 2,380 | ||||||
| Foreign currency (loss) gain (d) | 962 | (1,708 | ) | |||||
| Tax impact of adjustments (e) | (529 | ) | (398 | ) | ||||
| Adjusted net income (loss) from continuing operations | $ | 5,920 | $ | (1,440 | ) | |||
| Calavo Growers, Inc.’s continuing operations per share: | ||||||||
| Diluted EPS from continuing operations (GAAP) | $ | 0.25 | $ | (0.15 | ) | |||
| Adjusted net income (loss) from continuing operations per diluted share | $ | 0.33 | $ | (0.08 | ) | |||
| Number of shares used in per share computation: | ||||||||
| Diluted | 17,901 | 17,799 | ||||||
_________________________
| (a) | For the three months ended January 31, 2024, we incurred |
| (b) | For the three months ended January 31, 2025 and 2024, we incurred |
| (c) | For the three months ended January 31, 2025 and 2024, we incurred |
| (d) | Due to the change in the Mexican peso to the U.S. dollar exchange rates, foreign currency remeasurement gains, net of losses, for the three months ended January 31, 2025 were |
| (e) | Tax impact of non-GAAP adjustments are based on effective year-to-date tax rates. |
| CALAVO GROWERS, INC. RECONCILIATION OF EBITDA AND ADJUSTED EBITDA (UNAUDITED) (in thousands) |
The following table presents EBITDA and adjusted EBITDA, each a non-GAAP measure, and reconciles them to net income (loss) attributable to Calavo Growers, Inc., which is the most directly comparable GAAP measure. During the first quarter of fiscal 2025, we modified our calculation of Adjusted Net Income and Adjusted EBITDA to remove income (loss) from unconsolidated entities from excluded items. Management believes this change enhances comparability with industry peers and provides a clearer representation of our core operating performance. Prior-period amounts have been recast for comparability where applicable. This adjustment does not impact previously reported GAAP financial results. See “Non-GAAP Financial Measures” earlier in this release.
| Three months ended January 31, | ||||||||
| 2025 | 2024 | |||||||
| Net income (loss) from continuing operations | $ | 4,435 | $ | (2,574 | ) | |||
| Add: Net income attributable to noncontrolling interest | (20 | ) | (10 | ) | ||||
| Net income (loss) from continuing operations attributable to Calavo Growers, Inc. | 4,415 | (2,584 | ) | |||||
| Interest Income | (845 | ) | (125 | ) | ||||
| Interest Expense | 213 | 824 | ||||||
| Provision for Income Taxes | 1,255 | 573 | ||||||
| Depreciation and Amortization | 1,942 | 2,032 | ||||||
| Stock-Based Compensation | 272 | 892 | ||||||
| EBITDA from continuing operations | $ | 7,252 | $ | 1,612 | ||||
| Adjustments: | ||||||||
| Restructure costs - consulting, management recruiting and severance (a) | — | 487 | ||||||
| Expenses related to Mexican tax matters (b) | 395 | 383 | ||||||
| Professional fees related to internal investigation and legal settlement and related expenses (c) | 677 | 2,380 | ||||||
| Foreign currency (loss) gain (d) | 962 | (1,708 | ) | |||||
| Adjusted EBITDA from continuing operations | $ | 9,286 | $ | 3,154 | ||||
See prior page for footnote references
FAQ
What drove Calavo Growers (CVGW) revenue growth in Q1 2025?
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What was Calavo Growers' (CVGW) EBITDA performance in Q1 2025?
