Californa avocado supplier outlines ambitious growth plan at New York Investor Day
Mission Produce has unveiled an ambitious five-year growth strategy and a plan to double sales and triple profit by 2035.
The California-based avocado specialist, speaking at its 2026 Investor Day in New York, said that after more than four decades of building the global supply network, infrastructure and customer capabilities behind its category leadership, it is now “entering a new chapter focused on generating more growth, earnings and cash flow from its platform”.
The company said that its largest value-creation initiatives are already underway, including the integration of Calavo Growers, expansion of higher-margin prepared foods, and improved utilisation of Mission’s asset base.
Connected goals
Mission’s five-year plan is built around four connected goals for long-term shareholder value creation, the business explained.
The first goal is centred around growing faster than the markets the company serves, supporting mid-single-digit organic sales growth over the five-year period.
The second focuses on margin expansion, with the objective of expanding margins by approximately 300 basis points over five years through an improved portfolio mix, Calavo synergies, SG&A (selling, general and administrative expenses) leverage and greater asset utilisation.
Thirdly, Mission aims to convert more than 90 per cent of adjusted net income into free cash flow over time.
And fourthly, it pledged to invest in the core business, reduce net leverage (total debt less cash) below 1.5 times adjusted EBITDA, pursue disciplined M&As, and execute opportunistic share repurchases.
Together, the company said, these initiatives are expected to support high-single-digit organic adjusted EBITDA growth over the five-year period. Combined with disciplined M&A and opportunistic share repurchases, the framework is designed to support high-single-digit to double-digit annual shareholder returns over time.
’Broad and compelling’ growth opportunity
John Pawlowski, president and CEO of Mission, said: “Mission was built to lead. Over more than 40 years, we built the modern avocado category and created a platform that would be difficult to replicate.
”Our next chapter is about fully leveraging that platform and compounding the value we deliver to shareholders by growing faster than our markets, expanding margins, converting more earnings into cash and deploying that cash with discipline.
“Our growth opportunity is broad and compelling. US avocado remains one of the most durable growth stories in food. International markets offer substantial consumption headroom.
“Prepared foods extends our avocado leadership into a higher-margin, growing category, and mango gives us a capital-efficient path to develop the next fresh platform. With Calavo synergies and better utilisation of the assets already in place, we believe Mission can become a larger, more productive and higher-return company.”
Calavo integration
Giving an update on the integration of Calavo Growers into the business, Mission said it has pooled supply, closed the Temecula operation and established its future-state US distribution footprint.
The company is now advancing network and systems transitions, and that will be followed by the integration of remaining operations, including Mexico packing and Prepared Foods.
On the financial front, Mission reaffirmed its previous outlook for the second half and fourth quarter of the 2026 financial year, with second-half fiscal 2026 adjusted EBITDA of $84-88mn, including fourth-quarter adjusted EBITDA of $52-55mn.
Mission Peru exportable volume is set to be 120-130 million pounds in the second half, including 67-77 million pounds in the fourth quarter.
