Mission Produce sees Q4 industry volumes flat to slightly lower

The company said, “Industry volumes are expected to be flat to slightly lower in the fiscal 2024 fourth quarter versus the prior year period. The California and Peru harvest seasons will conclude, and the Company will transition to a Mexico-centric source model during the latter part of the quarter. Sales of exportable avocado production from Mission’s owned farms is expected to be slightly below the fiscal third quarter 2024 volume of approximately 25 million pounds. Pricing is expected to decrease on a sequential basis, but remain approximately 15% higher than the $1.39 per pound average experienced in fourth quarter of fiscal 2023. The blueberries harvest season in Peru will begin to ramp up during the quarter. The Company expects to see meaningful volume increases from our owned farms, but the impact on revenue will likely be offset by lower average sales prices. The lower prices are expected to impact segment adjusted EBITDA during the quarter, as compared to the previous year when supply constraints led to abnormally high sales prices. Capital expenditures are expected to remain in the range of $40 to $45 million for the full year fiscal 2024.”