Fresh Del Monte Produce (FDP) - 2024 Q3 - Quarterly Results

Financial Performance - Net sales for Q3 2024 were $1,019.5 million, a 1.4% increase from $1,003.1 million in Q3 2023, driven by higher sales in fresh and value-added products[2] - Gross profit for Q3 2024 was $93.8 million, up from $74.4 million in the prior-year period, resulting in a gross margin increase to 9.2% from 7.4%[3] - Operating income for Q3 2024 rose to $53.9 million compared to $25.4 million in Q3 2023, primarily due to higher gross profit and gains from asset sales[4] - Net income for Q3 2024 was $42.1 million, significantly higher than $8.4 million in the prior-year period, with adjusted net income at $37.0 million compared to $17.2 million[7] - Basic earnings per share (EPS) for the quarter was $0.88, compared to $0.17 in the prior year[1] - EBITDA for the quarter ended September 27, 2024, was $75.7 million, up from $41.5 million in the same quarter of 2023, reflecting a margin increase from 4.1% to 7.4%[42] - Diluted EPS for the quarter ended September 27, 2024, was $0.88, compared to $0.17 for the same quarter in 2023, marking a substantial increase of 418%[33] Segment Performance - Fresh and value-added products segment net sales reached $623.7 million in Q3 2024, a 8.6% increase from $574.0 million in Q3 2023, with a gross margin of 10.1%[11] - Banana segment net sales decreased to $345.3 million in Q3 2024 from $384.7 million in Q3 2023, with a gross margin decline to 6.2% from 8.3%[14] - Other products and services segment net sales increased to $50.5 million in Q3 2024 from $44.4 million in Q3 2023, with a gross margin improvement to 18.2% from 14.2%[17] Cash Flow and Debt - Net cash provided by operating activities for the first nine months of 2024 was $187.2 million, up from $180.1 million in the prior-year period[19] - Long-term debt decreased to $269.6 million at the end of Q3 2024, down approximately 33% from $401.0 million at the end of Q3 2023[20] - Cash and cash equivalents increased to $50.8 million from $33.8 million at the end of December 2023[2] Dividends and Shareholder Returns - A quarterly cash dividend of $0.25 per share was declared, payable on December 6, 2024, to shareholders of record on November 14, 2024[21] - The company declared dividends of $0.25 per ordinary share, up from $0.20 in the same quarter last year[1] Future Outlook - Future outlook includes continued focus on market expansion and new product development to drive growth in the upcoming quarters[34] - Fresh Del Monte Produce Inc. anticipates focusing on high-margin, value-added products and streamlining operations to enhance profitability and growth[49] - The company expects to expand production and meet ongoing demand for its pineapple varieties and related innovations[49] - Fresh Del Monte Produce Inc. is committed to maintaining a prudent capital structure and creating long-term value for shareholders, with expected capital expenditures in 2024[49]