Fresh Del Monte Produce has reported financial results for the third quarter (Q3), with year-on-year increases in group sales and net income.
Net sales for the period were US$936.1m, compared with US$884.6m in the third quarter of 2014. The increase in net sales was led by higher sales in all of the company's business segments, partially offset by a US$27m exchange rate variance over the prior year period.
Net income, meanwhile, was US$28.5m, up from US$19.9m.
“We are very pleased with our financial performance in the third quarter," said Mohammad Abu-Ghazaleh, chairman and chief executive. "We saw excellent growth in our fresh-cut and avocado businesses. We hold a commanding position as the global leader in the fresh-cut space, and avocados are becoming one of our fastest growing categories. We look to aggressively capitalise on our position as a leader in avocados to meet growing customer demand.
"Our results were further shaped by our focus on higher value products, continued expansion of our geographic presence, further leveraging of our distribution and marketing channels, innovative opportunities with new customers globally, and closer relationships with existing customers," he continued. "Higher banana production and procurement costs, unfavourable foreign exchange rates, and lingering effects of a tough Chilean season were adverse factors we had to overcome in order to achieve these results.
“Over the years, our team has done an exceptional job in transforming our Company for long-term growth and profitability by focusing on our fundamental strengths, and further leveraging our healthy and convenient product lines and geographic presence, allowing us to build a formidable strategic advantage for our company as demonstrated by our third quarter achievements."