CORAL GABLES, FL - Fresh Del Monte Produce has reported its financial results for the first quarter of 2015. Net sales for the first quarter of 2015 were up to $1.01 billion, from $982.3 million in the first quarter of 2014. Net profit, however, was down slightly to $100.4 million.
The increase in sales for the quarter was due to higher net sales in the Company's banana and other fresh produce segments, primarily driven by increased sales volume in North America.
“We are pleased to report that we continued to make progress toward our long-term initiatives during the first quarter of 2015, with positive growth in our banana business, increased volume in several product lines in our other fresh produce business and strategic improvements in the prepared food business in Europe,” said Mohammad Abu-Ghazaleh, Chairman and Chief Executive Officer. “However, we faced a number of challenges that reduced our ability to deliver optimal earnings.”
Abu-Ghazaleh noted higher fruit procurement costs in the banana segment, lower pineapple yields, and quality issues for both tomatoes and grapes as hindering factors for the company’s earnings.
“Our global market reach and logistics flexibility allowed us to better manage these factors. Additionally, we faced unfavorable year-over-year exchange rates. The positive trends, initiatives, and strategic steps to improve profitability during the quarter mitigated the setbacks, and I am confident we will continue to deliver sustainable growth over the long-term,” he added.
Other highlights from the report include:
- Earnings per diluted share were $0.80 for Q1 2015, down from $1.04 for 2014.
- Comparable earnings per diluted share were $0.83 or Q1 2015, down from $1.00 for 2014.
- Gross profit for Q1 2015 was $100.4 million, down from $106.7 million in 2014.
- Operating income for Q1 2015 was $56.3 million, down from $65.2 million in 2014.
- Comparable operating income for Q1 2015 was $58.0 million, down from $63.1 million in 2014.
- Net income for Q1 2015 was $42.5 million, down from $58.6 million in 2014.
- Comparable net income for Q1 2015 was $44.2 million, down from $56.5 million in 2014.
As of 1:45 PM EDT, Fresh Del Monte's stock was down $2.73 to $37.95, a decrease of 6.71%.
Keep checking in with AndNowUKnow for continued financial updates.
