Q2'25 Financial Highlights - Revenue reached $2.4 billion, a 14% increase LFL(Like-for-like) [10] - Adjusted EBITDA was $137 million, up 12% LFL [10] - Adjusted Diluted EPS stood at $0.55, reflecting a 9% increase [10] Segment Performance - Fresh Fruit revenue increased by 14.2% to $972 million [32, 35], with Adjusted EBITDA up by 3% to $72.7 million [32, 35] - Diversified Fresh Produce – EMEA saw a revenue increase of 16.5% to $1.101 billion [37, 40], with Adjusted EBITDA up 14.7% to $49 million [37, 40] - Diversified Fresh Produce – Americas & ROW experienced an 8.5% increase in revenue to $386 million [42, 45], and Adjusted EBITDA increased by 27% to $15.4 million [42, 45] Capital Allocation and Debt - Cash CAPEX for continuing operations was $(19.4) million in Q2'25 and $(72.2) million in H1'25 [46] - Free Cash Flow from continuing operations was $(1.0) million in Q2'25 and $(132.6) million in H1'25 [46] - Net Debt stood at $(788.8) million with a Net Leverage of 2.0x as of June 30, 2025 [47] FY'25 Outlook - The company anticipates Adjusted EBITDA for continuing operations to be approximately $380 - $390 million [51] - Maintenance CAPEX for continuing operations is projected to be around $100 million [51] - Interest expense is expected to be approximately $67 million [51]

Financial Data and Key Metrics Changes - For the full year 2024, group revenue increased by 6.7% to $8.5 billion, and adjusted EBITDA increased by 6.7% to $392 million, exceeding adjusted EBITDA guidance by $12 million [11][7] - Adjusted net income for the full year was $120.9 million, with adjusted diluted EPS increasing by 2.4% to $1.27 per share [11][27] - Net debt at the end of 2024 was $637 million, with net leverage at 1.6 times, indicating a strong financial position [12][10] Business Line Data and Key Metrics Changes - Fresh Fruit segment delivered adjusted EBITDA of $214.8 million for the full year, an increase of $5.9 million compared to 2023, driven by volume growth in bananas and plantains [12][13] - Diversified EMEA segment achieved adjusted EBITDA of $131.5 million for the full year, with like-for-like revenue growth of 4.4% [16][17] - Diversified Fresh Produce Americas segment reported a like-for-like revenue increase of 16.1%, with adjusted EBITDA increasing by 52.3% for the full year [32][33] Market Data and Key Metrics Changes - In North America, the Fresh Fruit segment saw good volume growth in bananas and plantains, while European markets benefited from high volumes and lower shipping costs [13][14] - The EMEA segment faced headwinds due to supply challenges and weather events, but anticipates continued revenue growth in 2025 [17][18] - The Diversified Americas segment performed well, particularly in the export business, with strong growth in cherries and grapes [19][33] Company Strategy and Development Direction - The company is focused on capital allocation and managing invested capital, with strategic investments in expanding shipping capacity and improving operational performance [8][10] - There is an ongoing process to determine the best strategic alternative for the Fresh Vegetables business, which is expected to enhance long-term outcomes for stakeholders [20][21] - The company plans to maintain a baseline level of capital expenditure in 2025, while exploring development opportunities to drive further growth [41][42] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in 2025, including the impact of Tropical Storm Sara and geopolitical uncertainties affecting sourcing costs and supply chains [40][41] - The company aims for adjusted EBITDA in the range of $370 million to $380 million for 2025, reflecting a more normalized year compared to 2024 [41][38] - Management remains optimistic about the underlying fundamentals of the business and is focused on addressing challenges while capitalizing on growth opportunities [15][38] Other Important Information - The company declared a dividend of $0.08 for the fourth quarter, to be paid on April 3, 2025 [37] - Free cash flow from continuing operations was $180.3 million for the full year, benefiting from strong adjusted EBITDA performance and good working capital management [36] Q&A Session Summary Question: Could you unpack the EBITDA guidance and the factors affecting it? - Management indicated that the guidance reflects known headwinds, including the impact from Tropical Storm Sara and macroeconomic uncertainties, with expectations for a slower start to 2025 [45][49][54] Question: What mitigation strategies are in place regarding potential tariffs? - Management believes that the demand for fresh produce will remain strong, and they are prepared to adjust pricing and sourcing strategies if tariffs are implemented [56][58][60] Question: What is the company's approach to capital allocation moving forward? - Management emphasized a focus on leveraging while also considering targeted M&A opportunities, with ongoing internal development projects to enhance growth [65][67][71] Question: Can you provide insights on the profit weakness in the EMEA segment? - Management noted that while there are ups and downs across different markets, they see more opportunities than challenges in the EMEA segment [75][77] Question: Is there a risk of elasticity in pricing for high-value products like avocados? - Management expressed confidence that demand for avocados and other products will remain stable, despite potential tariff impacts [78][80]