Mission Produce resilient in Q4 despite "significant headwinds"
Mission Produce has shown resilience in the fourth financial quarter despite headwinds, with total revenue rising and net income only seeing a slight dip.
The company's net income came in at $16.9 million compared to $18.8 million for the same period last year
Total revenue was $237.0 million, a 15% increase compared to the same period last year. This was impacted by average selling price increases of 21%, partially offset by a 5% decrease in avocado volume sold.
Adjusted EBITDA was $26.4 million, down from $32.1 million.
“Our business faced significant headwinds in the fourth quarter. Mexico’s challenging supply dynamic, port delays and logistics issues, and the variability in consumer shopping patterns due to the ever-changing COVID conditions negatively impacted our profitability," Steve Barnard, Founder and CEO of Mission Produce said.
"Despite these challenges, our business remains resilient. We are well positioned to navigate through short-term disruptions while we continue to leverage our competitive advantages to further expand our industry leading position."
"Importantly, our owned production in Peru performed in line with our expectations, producing record volumes in fiscal 2021 and creating a reduced reliance on the fluctuating Mexican supply."
He added that Mission Produce's vertical integration and multiple sources of supply year-round "give us an unparalleled competitive advantage within the industry".
"Further, the strategic investments we have made to increase our capabilities and capacities, such as our mega facility in Laredo, Texas, which significantly increases our capacity during peak times during the year, and the continued expansion of our footprint in key international markets, gives us confidence in our future long-term success," he said.
"As we look to 2022, we are confident in our ability to drive sustainable long-term growth with our forward thinking strategies and global footprint."
For the full 2021 year, total revenue came in at $891.7 million, a 3% increase compared to the prior year, while net income was $44.9 million, up from $28.8 million.