Net sales and income both increase year-on-year despite “continued macroeconomic headwinds”

Fresh Del Monte has reported its results for the third quarter ended 30 September, with net sales and earnings rising on the same period of 2021.

Mohammad Abu-Ghazaleh Del Monte CEO

Mohammad Abu-Ghazaleh

The group said that net sales climbed to US$1.05bn from US$1bn in the corresponding period last year, primarily benefiting from inflation-justified price increases.

The increase in net sales was partially offset by the negative impact of fluctuations in exchange rates, primarily versus the euro, Japanese yen, Korean won and British pound compared with the prior-year period, Del Monte noted.

Net income attributable to the company was US$33.3m, up from US$1.3m in the prior-year period, while adjusted net income was US$25.9m compared with US$0.7m.

Del Monte said it had seen higher consolidated net sales and product mix in its fresh and value-added products segment, although this had been partially offset by higher per unit production and distribution costs, including packaging material, fertiliser, ocean and inland freight, fuel and labour.

 “We delivered solid performance across our business generating strong net sales and profitability despite continued macroeconomic headwinds,” said Mohammad Abu-Ghazaleh, chairman and CEO.

“We continue to make investments to grow our business focused on technology, product innovation, and diversification, including new higher-margin product offerings in the ready-to-eat and convenience category and an investment in blockchain-driven traceability technology,” he said.

“Our team’s efforts enabled us to thrive this quarter in the face of wide-range challenges, including persistent inflation, geopolitical risks, and volatility in the fuel market,” Abu-Ghazaleh added.

”I remain confident in our growth path grounded on profitable sales, disciplined expense management, digital transformation, and sustainability — all while remaining true to our core mission of high-quality fresh and fresh-cut fruit and vegetables.”

Click here for the full breakdown of Del Monte’s third-quarter results