Fresh Del Monte Produce Reveals Sales Boost in Second Quarter Financial Report; Mohammad Abu-Ghazaleh Comments
CORAL GABLES, FL - Although the pandemic restrictions have put a slight damper on some summer activities for consumers, as restrictions have started to lift in certain areas, shoppers are celebrating by loading up their baskets with high-quality fruits and vegetables for all their upcoming gatherings. For Fresh Del Monte Produce, this influx of produce purchases has led to strong second quarter sales as the company recently released its financial results.
“Our strong performance during the second quarter of 2021 reflects relaxed restrictions on social gatherings in some of our key markets, compared to the prior-year period,” said Mohammad Abu-Ghazaleh, Chairman and Chief Executive Officer. “Our pineapple, fresh-cut fruit, and prepared food products led sales and profitability growth, despite inflationary and cost pressures, which are expected to continue.”
Overall, net sales for the company increased to $1.14 billion for the second quarter of 2021, a five percent increase from the same period the year prior which saw $1.09 billion in sales. According to the release, the increase was primarily driven by higher net sales across Fresh Del Monte’s fresh and value-added product categories. Other financial highlights include:
- Gross profit of $110.0 million for the second quarter of 2021, which represents an increase of 40 percent compared with the prior-year period, and gross profit margin increase from 7.2 percent in the prior-year period to 9.6 percent in the second quarter of 2021
- Adjusted Diluted EPS of $0.98 for the second quarter of 2021, compared with $0.54 in the prior-year period
- Adjusted EBITDA of $83.6 million for the second quarter of 2021, compared with $63.5 million in the prior-year period
For the company’s fresh and value-added products, there was an increase of six percent in net sales compared to the same period the year prior, totaling a $37.8 million increase to $674 million. Fresh Del Monte also reported higher net sales across both its fresh cut fruit and vegetable lines as well as its pineapple products.
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