LOS ANGELES--(BUSINESS WIRE)--American Business Bank Promotes Dole, Basirico to Executive Officers. ...

YORBA LINDA, Calif.--(BUSINESS WIRE)--Sunday Swagger, the performance golf and lifestyle apparel company that never sacrifices comfort for personality, today announced a new partnership with Dole Food Company, one of the world's largest producers of high-quality fresh fruits and vegetables. Performance golf and lifestyle apparel company partners with one of the world's largest produce companies in new product launch Share Inspired by the tropical fruits Dole is known for, this unique brand collaboration is ...

We came across a bullish thesis on Dole plc on Value Don't Lie’s Substack. In this article, we will summarize the bulls’ thesis on DOLE. Dole plc's share was trading at $14.48 as of November 28th. DOLE’s trailing and forward P/E were 11.49 and 9.20 respectively according to Yahoo Finance. Dole plc engages in sourcing, processing, marketing, and distribution of fresh fruit and vegetables worldwide. DOLE is a vertically integrated fresh produce supplier with leading positions in bananas, pineapples, and gr ...

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh. ...

Core Insights - Dole plc is a significant player in the agriculture industry, focusing on fresh produce and competing globally with other major agricultural firms [1] Financial Performance - Dole reported an EPS of $0.16, slightly below the estimated $0.168, representing a 5.88% negative surprise compared to the Zacks Consensus Estimate [2][6] - Revenue reached approximately $2.28 billion, surpassing the estimated $2.15 billion, marking a 1.33% beat over the Zacks Consensus Estimate and an increase from $2.06 billion in the previous year [3][6] Valuation Metrics - The company has a P/E ratio of 54.45, indicating strong investor confidence in its earnings potential [4][6] - Dole's price-to-sales ratio is 0.15 and the enterprise value to sales ratio is 0.28, reflecting a favorable market valuation relative to revenue [4] Financial Stability - Dole's balance sheet shows a debt-to-equity ratio of 1.06, indicating a moderate level of leverage [5] - The current ratio of 1.26 suggests a reasonable liquidity position to cover short-term liabilities, supporting the company's ability to navigate market challenges [5]

Core Insights - Dole plc reported third-quarter adjusted earnings below expectations, with adjusted earnings per share at $0.16 compared to the analyst consensus of $0.18, while revenue was $2.28 billion, exceeding estimates of $2.19 billion and reflecting a 10.5% year-over-year increase [1][2] Financial Performance - Net income declined by 35.7% to $13.8 million, primarily due to a $10.2 million loss from discontinued operations related to the sale of its Fresh Vegetables division [2] - Adjusted EBITDA for the Fresh Fruit segment fell by 36.7% to $27.2 million, impacted by higher banana costs due to Tropical Storm Sara in Honduras and rising sourcing costs for pineapples and plantains [3] Business Outlook - Despite the earnings shortfall, Dole reaffirmed its confidence in the outlook, expecting full-year adjusted EBITDA to reach the upper end of its target range of $380 million to $390 million [4]

Market Overview - U.S. equity markets are experiencing robust gains, driven by optimism over a potential resolution of the government shutdown and a strong rebound in the technology sector [1][3] - Major indexes are recovering from last week's declines, with the Nasdaq Composite leading the charge, climbing between 1.4% and 1.9% [2][3] Sector Performance - Growth-oriented sectors, particularly technology, are showing strong performance, with AI-related stocks leading the recovery despite previous valuation concerns [4] - Energy and industrial stocks are also contributing positively, while health insurers are declining due to uncertainty over healthcare tax credits [4] Corporate Earnings - Approximately 82% of S&P 500 companies have exceeded earnings estimates this reporting season, marking the highest rate in four years [6] - Notable companies reporting include CoreWeave, Barrick Mining, and Paramount Skydance, with Cisco Systems set to report later this week [6] Major Stock Movements - Nvidia is a standout performer, surging between 3.7% and 4%, recently reaching a $5 trillion valuation [11] - Pfizer is acquiring Metsera for approximately $10 billion, impacting both companies' stock prices [11] - Tesla shares are up around 4% following shareholder approval of CEO Elon Musk's pay package [11] - Palantir Technologies is bouncing back, jumping between 6.7% and 8% after a prior decline [11] - Taiwan Semiconductor Manufacturing Co. saw its stock rise 3.1% to 3.2% after reporting nearly 17% year-over-year revenue growth [11] - Plug Power Inc. plans to generate over $275 million through asset monetization and operational efficiencies [11]

Financial Data and Key Metrics Changes - Revenue for the third quarter was $2.3 billion, reflecting a 10.5% increase on a reported basis and an 8% increase on a like-for-like basis, indicating strong underlying growth across segments [13][14] - Net income decreased due to a $10 million loss in discontinued operations and an $8 million non-cash fair value charge, partially offset by $10 million in insurance proceeds and higher earnings from equity method investments [13][14] - Adjusted EBITDA decreased by $1.3 million, primarily due to declines in the fresh fruit segment, while adjusted net income decreased by $3 million [13][14] Business Line Data and Key Metrics Changes - Fresh fruit revenue increased by 11%, driven by higher volumes and pricing of bananas, pineapples, and plantains, but faced higher sourcing costs impacting Adjusted EBITDA [15][16] - Diversified EMA segment reported an 11% revenue increase, with Adjusted EBITDA rising by $10 million or 34%, supported by strong performances in Scandinavia, Spain, and the Netherlands [16] - Diversified Americas segment saw an 8% revenue increase, with Adjusted EBITDA up by $4 million or 46%, driven by strong performance in the southern hemisphere export business and North American market [16] Market Data and Key Metrics Changes - Demand for bananas remains robust in North American and European markets, contributing to tight supply and cost pressures [10] - The company is experiencing strong underlying growth in key markets, particularly in Spain and the Netherlands, with positive momentum continuing into the third quarter [10][11] Company Strategy and Development Direction - The company completed the sale of its non-core fresh vegetable division, enhancing capital allocation flexibility and focusing on core operations [5][6] - A $100 million share repurchase program was announced to enhance shareholder value, indicating a strategic approach to capital allocation [6][20] - The launch of the new Dole Collada Royale Pineapple represents a significant innovation, aimed at enhancing the tropical product portfolio and community support [7][8] Management's Comments on Operating Environment and Future Outlook - Management acknowledged macroeconomic volatility and industry-specific factors affecting results, particularly in the banana supply chain [20] - The company expects full-year Adjusted EBITDA to be at the upper end of the targeted range of $380-$390 million, reflecting confidence in business momentum despite challenges [20] - Management remains optimistic about the long-term growth potential and strategic positioning within the sector [20][21] Other Important Information - Cash capital expenditure for the quarter was $20.9 million, with a reduction in full-year routine capital expenditure expectations to approximately $85 million [17][18] - The company declared an $8.50 dividend for the third quarter, to be paid in January [19] Q&A Session Summary Question: Outlook for the fourth quarter and cost pressures - Management highlighted challenges in forecasting due to macroeconomic volatility and specific headwinds in sourcing costs, particularly for bananas, impacting guidance for Q4 [24][25] Question: Updates on tariff exclusions for agricultural products - No new updates were provided regarding tariff exclusions, but management expressed confidence in the long-term resolution of tariff issues affecting tropical produce [27][28] Question: Insights on capital allocation and buyback program - The buyback program is part of a broader capital allocation strategy, allowing for flexibility in pursuing growth opportunities while maintaining a progressive dividend policy [37][39] Question: Status of annual contracting negotiations - Management indicated that negotiations are ongoing, with awareness of supply conditions among customers, and expressed optimism about future discussions [51][53] Question: Performance in diversified fresh produce - Management noted strong market positions in Europe and North America, with ongoing investments enhancing operational efficiency and customer offerings [55][57]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $2.3 billion, representing a 10.5% increase on a reported basis and an 8% increase on a like-for-like basis, reflecting strong underlying growth across segments [13][19] - Net income decreased due to a $10 million loss in discontinued operations and an $8 million non-cash fair value charge, partially offset by $10 million in insurance proceeds and higher earnings in equity method investments [13][19] - Adjusted EBITDA decreased by $1.3 million, primarily due to declines in the fresh fruit segment, while adjusted net income decreased by $3 million [14][19] Business Line Data and Key Metrics Changes - Fresh fruit revenue increased by 11%, driven by higher volumes and pricing of bananas, pineapples, and plantains, but faced higher sourcing costs leading to decreased adjusted EBITDA [15][16] - Diversified EMA segment reported an 11% revenue increase, with adjusted EBITDA rising by $10 million or 34%, driven by strong performance in Scandinavia, Spain, and the Netherlands [16][10] - Diversified Americas segment saw an 8% revenue increase, with adjusted EBITDA up by $4 million or 46%, attributed to strong performance in the southern hemisphere export business and North American market [16][11] Market Data and Key Metrics Changes - Demand for bananas remained robust in North American and European markets, contributing to tight supply and cost pressures [10][9] - The company is experiencing strong underlying growth in key markets, particularly in Spain and the Netherlands, with positive momentum continuing into Q4 [10][11] Company Strategy and Development Direction - The company completed the sale of its non-core fresh vegetable division, enhancing capital allocation flexibility and allowing for a $100 million share repurchase program [5][6] - The launch of the new Dole Collada Royale Pineapple aims to provide a competitive edge and stimulate excitement in the tropical category, reinforcing the company's commitment to community support [8][9] - The company is focused on integrating operations and streamlining its business model to enhance efficiency and attractiveness to key customers [57][56] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year adjusted EBITDA at the upper end of the targeted range of $380-$390 million despite macroeconomic volatility and industry-specific challenges [20][19] - The company is optimistic about the future, with ongoing negotiations for annual contracts and a strong consumer demand for affordable and healthy products [59][53] Other Important Information - Cash capital expenditure for the quarter was $20.9 million, with a reduction in full-year routine capital expenditure expectations to approximately $85 million [17][18] - The company declared an $8.50 dividend for Q3, to be paid on January 6th [19][18] Q&A Session Summary Question: Outlook for Q4 and 2026 - Management acknowledged the challenges in forecasting due to macroeconomic volatility and highlighted specific headwinds impacting procurement costs, particularly in the banana segment [25][26] Question: Tariffs and Exclusions - Management stated there is no new information regarding tariff exclusions for tropical produce, but expressed confidence in future positive changes [28][29] Question: Capital Allocation and Buyback Program - The $100 million buyback program is part of a broader capital allocation strategy, allowing for flexibility in pursuing growth opportunities while maintaining a progressive dividend policy [39][38] Question: Annual Contracting Negotiations - Management indicated that negotiations are ongoing and that customers are aware of supply challenges, expressing optimism about the outcomes [53][52] Question: Strength in Diversified Fresh Produce - Management highlighted the strong market position in Europe and North America, emphasizing the benefits of integrating operations and investments in distribution capabilities [56][57]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $2.3 billion, representing a 10.5% increase on a reported basis and an 8% increase on a like-for-like basis, reflecting strong underlying growth across segments [13] - Net income decreased due to a $10 million loss in discontinued operations and an $8 million non-cash fair value charge, partially offset by $10 million in insurance proceeds and higher earnings in equity method investments [13] - Adjusted EBITDA decreased by $1.3 million, primarily due to declines in fresh fruit, while adjusted net income decreased by $3 million [13][14] Business Line Data and Key Metrics Changes - Fresh fruit revenue increased by 11%, driven by higher volumes and pricing of bananas, pineapples, and plantains, but faced higher sourcing costs impacting adjusted EBITDA [14] - Diversified EMA segment reported an 11% revenue increase, with adjusted EBITDA rising by 34%, driven by strong performances in Scandinavia, Spain, and the Netherlands [15] - Diversified Americas segment saw an 8% revenue increase, with adjusted EBITDA up by 46%, attributed to strong performance in the southern hemisphere export business and North American market [15] Market Data and Key Metrics Changes - Demand for bananas remained robust in North America and Europe, contributing to tight supply and cost pressures [10] - The diversified EMA segment continued to show positive momentum, particularly in Spain and the Netherlands, benefiting from increased investments in distribution and logistics [10][11] Company Strategy and Development Direction - The company completed the sale of its non-core fresh vegetable division, enhancing capital allocation flexibility and allowing for a $100 million share repurchase program [5][6] - The launch of the new Dole Collada Royale Pineapple represents a strategic investment in product innovation, aimed at enhancing the tropical portfolio and community support [7] - The company is focused on integrating operations and streamlining its business model to enhance efficiency and customer attractiveness [11][52] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year adjusted EBITDA at the upper end of the targeted range of $380-$390 million, despite macroeconomic volatility and industry-specific challenges [19] - The company is optimistic about the long-term growth potential within the sector, emphasizing the importance of a diversified business model [19][62] Other Important Information - Cash capital expenditure for the quarter was $20.9 million, with a reduction in full-year routine capital expenditure expectations to approximately $85 million [16][17] - The company declared an $8.50 dividend for Q3, to be paid on January 6th [18] Q&A Session Summary Question: Outlook for Q4 and 2026 - Management acknowledged the challenges in forecasting due to macroeconomic volatility and highlighted specific headwinds in sourcing costs, particularly for bananas, impacting Q4 guidance [22][24] Question: Tariffs and Exclusions - Management stated there were no new updates on tariff exclusions for tropical produce but expressed confidence in the long-term positive changes for the industry [26][27] Question: Capital Allocation and Buyback Program - The buyback program was introduced to provide flexibility in capital allocation, with management emphasizing the importance of balancing dividends, buybacks, and investment opportunities [34][36] Question: Annual Contracting Negotiations - Management indicated that negotiations with customers are ongoing, with awareness of supply conditions impacting discussions [46][48] Question: Strength in Diversified Fresh Produce - Management highlighted strong consumer demand and the company's robust position in the diversified segment across various European markets [50][52]