US produce group Calavo Growers has seen fourth-quarter profits more than treble, driving annual earnings to a record level.
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The company said yesterday (7 January) that fourth-quarter net income jumped from US$1.2m a year ago to $4m for the three months to 31 October.
Revenue rose 10% to $85.3m, Calavo said.
The buoyant fourth-quarter numbers meant Calavo’s annual net income reached a record $7.7m, up from $7.3m a year ago. Annual sales climbed 19% to $361.5m.
Chairman, president and CEO Lee Cole said Calavo had delivered an “outstanding” performance.
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By GlobalData“We patiently invested in and built a formidable processed operation with appealing products that continues to notch impressive sales gains to the retail and foodservice channels. This operation has now come fully into its own and we are realising the efficiencies and economies of scale that come with considerably higher volume,” Cole said.
“The company begins 2009 from a highly enviable position. We believe that Calavo has not yet fully realized all the gross margin benefits resulting from globalised sourcing and strong management of operating costs, and expect these factors – both fundamental components of the company’s competitive advantage – to favourably impact fresh and processed operations moving forward.”
