A mixed third quarter of the year has seen US fresh produce multinational Fresh Del Monte record higher net income both before and after asset impairment and other charges, but lower revenue as banana sales dropped.
Net income climbed from US$12.2m (€9.4m) in 2011 to US$23.5m (€18.2m) in the same period this year, while income stood at US$26.4m (€20.4m) excluding asset impairment and other charges.
However, net sales fell to US$788.8m (€611m) from US$795.2m (€771m) last year, primarily the result of lower sales in the company's banana business, particularly banana sales volumes in the Middle East secondary markets and Europe.
'We are very pleased with the strong bottom-line performance Fresh Del Monte Produce achieved in the third quarter of 2012,' said Mohammad Abu-Ghazaleh, chairman and chief executive officer. 'We saw excellent growth in our global fresh-cut business. The decision to take full control of the marketing, sales and distribution of our products at the beginning of the year in Southern Europe contributed to our improved performance.
'We also realised efficiency improvements in our logistics and cost control initiatives that directly improved our bottom-line performance,' he added. 'We will continue to manage our business to maximise growth and enhance shareholder value.'
By segment, banana sales dropped 4 per cent and other fresh produce revenue fell 1 per cent on the prior year, while there were also declines in gold pineapple (-5 per cent), melons (-46 per cent) and tomatoes (-3 per cent).
Del Monte did see increases in fresh-cut sales, up 6 per cent to US$98.4m (€76.2m), non-tropical produce (+14 per cent) and prepared food (+13 per cent).
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