Mission Produce Shares Surge 8% on Better-Than-Expected Q4 Results

OXNARD, Calif. - Avocado producer Mission Produce, Inc. (NASDAQ:AVO) shares rose 8.7% after the market closed on Thursday. The company reported that its fourth-quarter earnings and revenues significantly exceeded analyst expectations due to strong performance in the Marketing and Distribution segment.

The company posted a adjusted earnings of $0.28 per share, comfortably surpassing the analyst estimate of -$0.01. Revenue increased by 37% year-over-year, reaching $354.4 million, greatly exceeding the consensus estimate of $215.4 million.

CEO Steve Barnard stated, "Mission has reported a strong fourth quarter result, completing an outstanding fiscal year 2024 performance." Barnard noted that the Marketing and Distribution segment contributed to strong results by effectively leveraging the company’s global supply network in a high pricing environment.

For the entire fiscal year 2024, Mission Produce’s revenue increased by 29% to $1.23 billion. Adjusted EBITDA more than doubled from $48.4 million in the previous year, reaching $107.8 million.

In its guidance for the first quarter of fiscal year 2025, the company expects avocado volumes in the industry to be consistent compared to the same period last year, with pricing anticipated to be approximately 20% higher year-over-year. However, Mission expects that the decline in blueberry prices will negatively impact the adjusted EBITDA for that segment.