Calavo Growers, Inc. Announces First Quarter 2021 Financial Results

About this update from Calavo Growers, Inc.

[{"type":"text","content":"SANTA PAULA, Calif., March 10, 2021 (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 first quarter ended January 31, 2021. First Quarter Highlights Total revenue of $220.6 million, a 19% decrease year over year, reflecting 2% growth in avocado volume offset by lower avocado prices and lower revenue in the Renaissance Food Group (“RFG”) and Foods segments.Gross profit of $17.8 million, or 8.1% of revenue, compared to $15.8 million, or 5.8% of revenue, for the comparable period last year. The increase in gross profit margin percentage was attributable to improvements in the Fresh segment.Net income of $5.3 million, or $0.30 per diluted share, compared to net loss of $0.9 million, or ($0.05) per diluted share for the comparable period last year. Adjusted net income was $3.0 million, or $0.17 per diluted share, compared to $0.8 million, or $0.04 per share last year.Adjusted EBITDA of $9.4 million, compared to $4.5 million for the same period last year.Renewed credit agreement adding $20 million of availability and five years to its term. The facility is now a $100 million, syndicated senior unsecured revolving credit facility (with a total facility size of $150 million when including the exercise of its $50 million accordion feature).Paid $1.15 per share dividend ($20.3 million in total), which is an increase of 4.5% over prior year and is the 9th consecutive year of increasing dividends, and representing an approximate 1.5% yield to Calavo’s shareholders. Adjusted net income and adjusted EBITDA are non-GAAP financial measures. See “Non-GAAP Financial Measures” below. Management Commentary “Our first quarter results reflect a continuation of trends that we experienced in the fourth quarter of last year,” said James E. Gibson, CEO of Calavo Growers. “Market demand for avocados is increasing, albeit at a slower pace due to the pandemic, and supply remains plentiful, given the strong crop out of Mexico. These dynamics weighed on prices, which on average, were down 14% year-over-year. However, we delivered higher avocado gross margins in the quarter, as we did a good job of managing our pricing spread and sales mix. “Our RFG segment was impacted by a number of factors, including industry-wide delivery delays a...

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