Fresh Del Monte Produce Inc. reported fourth‑quarter and full‑year 2025 results that surpassed earnings expectations while slightly missing revenue forecasts. Adjusted earnings per diluted share rose to $0.70, a $0.42 beat over the consensus estimate of $0.28, while revenue fell $3.63 million to $1.0195 billion, a $3.63 million miss against the $1.023 billion consensus.
Quarterly net sales climbed 0.6% to $1.0195 billion, driven by higher per‑unit selling prices in the banana and pineapple segments and favorable foreign‑exchange rates. The company’s fresh and value‑added products segment, which accounts for roughly 60% of total sales, contributed the bulk of the revenue increase, offset by a modest decline in legacy product volumes.
Gross profit reached $106.0 million, giving a 10.4% gross margin that improved from 6.8% a year earlier. Adjusted gross profit of $109.2 million translated to an 11.3% margin, reflecting the company’s pricing power and the impact of the divestiture of Mann Packing, which removed a lower‑margin business from the financial statements. The full‑year gross margin expanded to 10.4% on an adjusted basis, up from 9.2% a year earlier.
Net income for the quarter was $31.9 million, or $33.2 million on an adjusted basis, while operating income rose to $137.4 million, or $221.9 million adjusted. The earnings beat was largely driven by disciplined cost management and the removal of one‑time charges related to the Mann Packing divestiture, which also contributed to the margin expansion.
The company completed the divestiture of Mann Packing Inc. in Q4 2025, a move aimed at streamlining its portfolio and focusing on higher‑margin categories. In addition, Fresh Del Monte is in the final stages of a $285 million acquisition of Del Monte Foods assets, expected to close in Q1 2026, which will broaden its brand portfolio and strengthen its position in the global produce market.
Chairman and CEO Mohammad Abu‑Ghazaleh said the company’s “solid execution” was supported by pricing discipline, continued demand for core categories, and a focus on cash flow. He added that the firm had improved financial flexibility, reduced debt, and would continue disciplined decision‑making and capital allocation in 2026.
Investors responded positively to the earnings release, with the EPS beat and margin expansion driving enthusiasm despite the modest revenue miss.
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