Calavo Growers Shows Nearly Doubled Income in Q4 2016 Financial Report

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Tue. December 20th, 2016 - by Jessica Donnel

SANTA PAULA, CA - It’s been a big and bountiful quarter for Calavo Growers. In the company’s latest FY and Q4 2016 financial report, Calavo revealed it has nearly doubled its net income over last year, with plans to again increase revenues by double digits in the year to come.

Lee Cole, Chairman & CEO, Calavo Growers

“It is extremely gratifying that Calavo registered such a strong performance in the fourth quarter to cap yet another record-breaking year,” shared Chairman and Chief Executive Officer Lee E. Cole upon the results. “Our fourth-quarter operating results helped propel full-year revenues, gross margin, net income, and EPS to new record levels, including double-digit growth of those latter three metrics. In the final quarter, the company achieved solid revenue increases in each of the company’s three business segments: Fresh, Renaissance Foods Group (RFG), and Calavo Foods.”

As a result of these big income increases, Calavo’s stock shot up substantially. As of December 20 at 4:30 PM EST, Calavo’s stock was up 15.75%, the highest the company has reached in the past one month.

Credited to Google Finance.

In total, net income for the quarter grew 93% to reach $9.2 million, equal to $0.53 per diluted share. Quarterly revenues increased over 19 percent to reach $247.7 million, a record for the company’s yearly final quarter, up from $208.0 million in last year’s fourth quarter. Fiscal year 2016 brought net income soaring by nearly 40%, reaching a record of record $38.0 million, approximating $2.18 per diluted share. Full-year revenues increased to a record $935.7 million, a 9 percent increase from fiscal 2015.

“Our nearly 40 percent increase in full-year net income is an even more impressive achievement when placed into the context of expenses Calavo absorbed in fiscal 2016 related to growth initiatives across our company,” Cole continued. “We intend to build upon this success and expect fiscal 2017 to be yet another record breaking year for Calavo. Growth initiatives put in motion over the past 18 months will help propel continued growth in revenue and net income for Calavo in 2017.”

In Calavo’s full fiscal report, other highlights for Q4 included:

  • Diluted EPS Rises to 53 Cents Versus 28 Cents in the Prior Year
  • Gross Margin Jumps 34 Percent to $27.1 Million from $20.2 Million
  • Fresh business segment revenues rose to $143.4 million, a 24 percent increase
  • RFG business segment revenues rose to $87.9 million, a 14 percent increase

As we look to fiscal year 2017, AndNowUKnow will continue to share all the latest industry financial news straight to your inbox.

Calavo Growers