Dole posts strong financial performance for "transformational year"
Dole plc has posted a significant increase in revenue and Adjusted EBITDA for the 2021 fiscal year, which the group's CEO describes as a "transformational year" for the leading fruit and vegetable company.
On July 29, 2021, Total Produce completed the acquisition of the remaining 55 percent of Dole Food Company (DFC), to create Dole plc. It acquired the first 45 percent in July 2018.
Following the 2021 acquisition, Dole plc has increased significantly in scale and geographical footprint, the company said in a release.
Revenue has increased 48.5 percent to $6.5 billion for the full year 2021 compared to 2020. Revenue for 2021 includes five months of DFC revenue for the period of July 30, 2021 to Dec. 31, 2021.
Adjusted EBITDA has increased 15.3 percent to $290.1 million for the full year 2021 compared to 2020. Those figures for 2021 includes five months of DFC Adjusted EBITDA for the period of July 30, 2021 to Dec. 31, 2021, and Total Produce's 45.0 percent share of DFC Adjusted EBITDA for seven months for the period of Jan. 1, 2021 to July 29, 2021.
Total assets has increased 147.5 percent to $4.7 billion following the acquisition.
Dole plc now has a strategic and valuable asset base, including over 114,000 acres of owned land and other land holdings, over 160 distribution and manufacturing facilities, 75 packing houses, 12 cold storage facilities, five salad manufacturing plants and 13 owned vessels.
Commenting on the results, Carl McCann, Executive Chairman said: “2021 marked a transformational year for the Group following the acquisition of the remaining 55.0 percent of DFC by Dole plc and the subsequent IPO of the Group on NYSE. Our scale and footprint have increased significantly and we are well positioned to deliver long term sustainable growth.
"The Group delivered a strong performance for the full year of 2021, with growth across key metrics in line with guidance.
"Our diversified business model has continued to provide resilience within a challenging macroeconomic environment, while our strategic asset base and multi-continental sourcing model provide a competitive advantage. Our people have once again been the driver of this strong performance and we thank them for their dedication and determination."
For the 2022 financial year, McCann said the group is targeting revenue in the range of $9.6 billion to $9.9 billion and Adjusted EBITDA of $370.0 million to $380.0 million.
"The year on year expected reduction in Adjusted EBITDA is primarily due to the significant impact of the Value Added Salads product recall and temporary plant closures," he said.
"We are monitoring the ongoing geopolitical situation in Ukraine and Russia; however, it is difficult to predict today what impact this may have on the macroeconomic environment and our business.”