# Mission Produce, Inc. (AVO)

Informational only - not investment advice.

CIK: 0001802974
SIC: 0700 Agricultural Services
SIC breadcrumb: [Agriculture, Forestry, And Fishing](/division/A/) > [SIC Major Group 07](/major-group/07/) > [SIC 0700 Agricultural Services](/industry/0700/)
Latest 10-K filed: 2025-12-18
SEC page: https://www.sec.gov/edgar/browse/?CIK=1802974
Filing source: https://www.sec.gov/Archives/edgar/data/1802974/000180297425000048/avo-20251031.htm

## At a glance

FY2025 · period end 2025-10-31 · filed 2025-12-18 · accession 0001802974-25-000048 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001802974.json

| Metric | Value | FY | Provenance |
| --- | ---: | ---: | --- |
| Revenue | 1,391,200,000 USD | 2025 | verified |
| Net income | 37,700,000 USD | 2025 | verified |
| Assets | 983,000,000 USD | 2025 | verified |
| Free cash flow | 37,200,000 USD | 2025 | computed |
| Net margin | 2.71% | 2025 | computed |
| Operating margin | 4.69% | 2025 | computed |
| Revenue YoY | +12.68% | 2025 | computed |
| ROE | 6.42% | 2025 | computed |

Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Operating margin = operating income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity.

No market price, no rating, no forecast on this site. Not investment advice.


## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 1391200000 | USD | 2025 | 2025-12-18 |
| Net income | 37700000 | USD | 2025 | 2025-12-18 |
| Assets | 983000000 | USD | 2025 | 2025-12-18 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2025-12-18. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001802974.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue |  | 883,300,000 | 862,300,000 | 891,700,000 | 1,045,900,000 | 953,900,000 | 1,234,700,000 | 1,391,200,000 |
| Net income |  | 71,700,000 | 28,800,000 | 44,900,000 | -34,600,000 | -2,800,000 | 36,700,000 | 37,700,000 |
| Operating income |  | 106,500,000 | 68,400,000 | 60,900,000 | -37,200,000 | 6,900,000 | 65,700,000 | 65,200,000 |
| Gross profit |  | 154,700,000 | 124,600,000 | 124,500,000 | 89,800,000 | 83,300,000 | 152,500,000 | 160,700,000 |
| Diluted EPS |  | 1.13 | 0.45 | 0.63 | -0.49 | -0.04 | 0.52 | 0.53 |
| Operating cash flow |  | 92,600,000 | 78,900,000 | 47,000,000 | 35,200,000 | 29,200,000 | 93,400,000 | 88,600,000 |
| Capital expenditures |  | 29,700,000 | 67,300,000 | 73,400,000 | 61,200,000 | 49,800,000 | 32,200,000 | 51,400,000 |
| Share buybacks |  | 900,000 | 1,900,000 | 0.00 | 0.00 | 600,000 | 0.00 | 6,100,000 |
| Assets |  |  | 777,300,000 | 873,500,000 | 879,500,000 | 914,800,000 | 971,500,000 | 983,000,000 |
| Liabilities |  |  | 303,800,000 | 339,300,000 | 356,600,000 | 386,500,000 | 394,400,000 | 363,100,000 |
| Stockholders' equity | 313,500,000 | 379,000,000 | 473,500,000 | 534,200,000 | 502,100,000 | 503,600,000 | 547,300,000 | 587,300,000 |
| Cash and cash equivalents |  | 64,000,000 | 124,000,000 | 84,500,000 | 52,800,000 | 42,900,000 | 58,000,000 | 64,800,000 |
| Free cash flow |  | 62,900,000 | 11,600,000 | -26,400,000 | -26,000,000 | -20,600,000 | 61,200,000 | 37,200,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin |  | 8.12% | 3.34% | 5.04% | -3.31% | -0.29% | 2.97% | 2.71% |
| Operating margin |  | 12.06% | 7.93% | 6.83% | -3.56% | 0.72% | 5.32% | 4.69% |
| Return on equity |  | 18.92% | 6.08% | 8.41% | -6.89% | -0.56% | 6.71% | 6.42% |
| Return on assets |  |  | 3.71% | 5.14% | -3.93% | -0.31% | 3.78% | 3.84% |
| Liabilities / equity |  |  | 0.64 | 0.64 | 0.71 | 0.77 | 0.72 | 0.62 |
| Current ratio |  |  | 3.18 | 2.77 | 2.24 | 2.26 | 1.87 | 1.95 |

## As-reported value updates

No tracked differences above grepcent's stated thresholds and capped precision rule were found between the earliest XBRL-filed value and the value currently on file for the standardized annual metrics grepcent tracks.


## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-06-08. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001802974.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2022-Q3 | 2022-07-31 |  |  | 0.26 | reported discrete quarter |
| 2023-Q1 | 2023-01-31 |  |  | -0.12 | reported discrete quarter |
| 2023-Q2 | 2023-04-30 |  |  | -0.07 | reported discrete quarter |
| 2023-Q3 | 2023-07-31 | 261,400,000 | 6,600,000 | 0.09 | reported discrete quarter |
| 2023-Q4 | 2023-10-31 | 257,900,000 | 4,000,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2024-Q1 | 2024-01-31 | 258,700,000 | 0.00 | 0.00 | reported discrete quarter |
| 2024-Q2 | 2024-04-30 | 297,600,000 | 7,000,000 | 0.10 | reported discrete quarter |
| 2024-Q3 | 2024-07-31 | 324,000,000 | 12,400,000 | 0.17 | reported discrete quarter |
| 2024-Q4 | 2024-10-31 | 354,400,000 | 17,300,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2025-01-31 | 334,200,000 | 3,900,000 | 0.05 | reported discrete quarter |
| 2025-Q2 | 2025-04-30 | 380,300,000 | 3,100,000 | 0.04 | reported discrete quarter |
| 2025-Q3 | 2025-07-31 | 357,700,000 | 14,700,000 | 0.21 | reported discrete quarter |
| 2025-Q4 | 2025-10-31 | 319,000,000 | 16,000,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2026-01-31 | 278,600,000 | -700,000 | -0.01 | reported discrete quarter |
| 2026-Q2 | 2026-04-30 | 290,900,000 | -7,200,000 | -0.10 | reported discrete quarter |

## Filed narrative (10-K & 10-Q)

## Business

Verbatim Item 1 Business section from AVO's latest 10-K: [/company/AVO/business/](/company/AVO/business/).

## Risk Factors

Verbatim Item 1A Risk Factors from AVO's latest 10-K: [/company/AVO/risk-factors/](/company/AVO/risk-factors/).

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/1802974/000180297426000033/avo-20260430.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Published MD&A gate trimmed front/tail over-capture.
Confidence: high
Filing date: 2026-06-08
Report date: 2026-04-30

Item 2.        Management’s Discussion and Analysis of Financial Condition and Results of Operations

You should read the following discussion and analysis of our financial condition and results of operations together with our unaudited financial statements and related notes included elsewhere in this quarterly report. This discussion and analysis contains forward-looking statements based upon our current beliefs, plans and expectations that involve risks, uncertainties and assumptions. Our actual results may differ materially from those anticipated in these forward-looking statements as a result of various factors. Please refer to the section of this report under the heading “Forward-Looking Statements.”

Overview

We are a world leader in sourcing, producing, growing and distributing Hass avocados, serving retail, wholesale and foodservice customers. We source, produce, pack and distribute avocados along with other fruits, including mangos, to our customers and provide value-added services including ripening, bagging, custom packaging and logistical management. In addition, we provide our customers with merchandising and promotional support, insights on market trends and training designed to increase their retail avocado sales.

We have three operating segments which are also reportable segments:

•Marketing & Distribution. Our Marketing & Distribution reportable segment sources fruit from growers and then distributes the fruit through our global distribution network.

•International Farming. International Farming owns and operates orchards from which the vast majority of fruit produced is sold to our Marketing & Distribution segment. The segment’s farming activities range from cultivating early-stage plantings to harvesting from mature trees. It also earns service revenues for packing and processing fruit for both our Blueberries segment, as well as for third-party producers of other crops. Operations are principally located in Peru and Guatemala.

•Blueberries. The Blueberries segment consists of farming activities that include cultivating early-stage blueberry plantings and harvesting mature bushes. Substantially all blueberries produced are sold to a single distributor under an exclusive marketing agreement.

Acquisition of Calavo

On May 28, 2026, we consummated our acquisition of 100% of outstanding common stock of Calavo. Calavo is a leading provider of fresh avocados, tomatoes, papayas, and value-added prepared foods, including a variety of ready-to-eat products such as guacamole and salsas. Its products are sold under the Calavo brand name, proprietary sub-brands, as well as private labels and store brands.

The transaction enhances our position in the North American avocado category with expanded supply reliability across Mexico and California. The transaction also represents our entry into the prepared food sector, complementing our existing value-added avocado business. The transaction also provides a significant value opportunity for us to realize cost synergies and SG&A savings. The results of Calavo and interest costs associated with the debt incurred will be included in our results for periods following the closing date.

Tariffs

On February 20, 2026, the U.S. Supreme Court issued a ruling striking down certain tariffs previously imposed under the International Emergency Economic Powers Act (IEEPA), and remanded related matters to the Court of International Trade. Following the Supreme Court’s decision, the U.S. presidential administration announced its intention to invoke other laws to collect tariffs and announced new tariffs on imports from all countries, in addition to any existing non-IEEPA tariffs. There remains substantial uncertainty regarding the duration of existing and newly announced tariffs, potential changes or pauses to such tariffs, tariff levels, and whether further additional tariffs or other retaliatory actions may be imposed, modified, or suspended, and the impacts of such actions on our business.

Subsequently, the U.S. Customs and Border Protection (CBP) has created the Consolidated Administration and Processing of Entries (CAPE) system to administer refunds for tariffs imposed under IEEPA. While progress has been made regarding the establishment of the CAPE system, there remains substantial uncertainty regarding the submission process for refunds, and the timing, magnitude, and completeness of potential refunds. The ability to recover, and the timing and amount of any potential refunds are uncertain, and at this time we cannot reasonably estimate the financial impact to us, if any. As of June 8, 2026, we have not recognized any amounts associated with potential refunds related to these tariffs.

We are monitoring the situation closely for further information about how the U.S. government intends to proceed.

Results of Operations

The operating results of our businesses are significantly impacted by the price and volume of fruit we farm, source and distribute. In addition, our results have been, and will continue to be, affected by quarterly and annual fluctuations due to a number of factors, including but not limited to: tariffs; pests and disease; weather patterns; changes in demand by consumers; food safety advisories; the timing of the receipt, reduction or cancellation of significant customer orders; the gain or loss of significant customers; the availability, quality and price of raw materials; the utilization of capacity at our various locations; and general economic conditions.

Our financial reporting currency is the U.S. dollar. The functional currency of our most significant subsidiaries is the U.S. dollar and the majority of our sales are denominated in U.S. dollars. A significant portion of our purchases of avocados are denominated in the Mexican Peso and a significant portion of our growing and harvesting costs are denominated in Peruvian Soles. Fluctuations in the exchange rates between the U.S. dollar and these local currencies usually do not have a significant impact on our gross margin because the impact typically affects our pricing by comparable amounts. Our margin exposure to exchange rate fluctuations is short-term in nature, as our sales price commitments are generally limited to less than one month and orders can primarily be serviced with procured inventory. Over longer periods of time, we believe that the impact exchange rate fluctuations will have on our cost of goods sold will largely be passed on to our customers in the form of higher or lower prices.

[[GREPCENT_TABLE]]
[["","Three Months Ended April 30,","","Six Months Ended April 30,"],["","2026","","2025","","2026","","2025"],["(In millions, except for percentages)","Dollars","%","","Dollars","%","","Dollars","%","","Dollars","%"],["Net sales","$","290.9","","100","%","","$","380.3","","100","%","","$","569.5","","100","%","","$","714.5","","100","%"],["Cost of sales","270.4","","93","%","","351.9","","93","%","","517.4","","91","%","","654.6","","92","%"],["Gross profit","20.5","","7","%","","28.4","","7","%","","52.1","","9","%","","59.9","","8","%"],["Selling, general and administrative expenses","21.1","","7","%","","21.4","","6","%","","43.2","","8","%","","43.5","","6","%"],["Transaction advisory costs","6.4","","2","%","","0.1","","\u2014","%","","13.4","","2","%","","0.2","","\u2014","%"],["Operating (loss) income","(7.0)","","(2)","%","","6.9","","2","%","","(4.5)","","(1)","%","","16.2","","2","%"],["Interest expense","(1.9)","","(1)","%","","(2.5)","","(1)","%","","(3.6)","","(1)","%","","(4.7)","","(1)","%"],["Equity method income","1.3","","\u2014","%","","0.9","","\u2014","%","","2.8","","\u2014","%","","1.7","","\u2014","%"],["Other (expense) income, net","(1.1)","","\u2014","%","","(0.6)","","\u2014","%","","(2.4)","","\u2014","%","","0.9","","\u2014","%"],["(Loss) income before income taxes","(8.7)","","(3)","%","","4.7","","1","%","","(7.7)","","(1)","%","","14.1","","2","%"],["(Benefit) provision for income taxes","(1.3)","","\u2014","%","","1.7","","\u2014","%","","(0.2)","","\u2014","%","","4.9","","1","%"],["Net (loss) income","(7.4)","","(3)","%","","3.0","","1","%","","(7.5)","","(1)","%","","9.2","","1","%"],["Less:Net (loss) income attributable to noncontrolling interest","(0.2)","","\u2014","%","","(0.1)","","\u2014","%","","0.4","","\u2014","%","","2.2","","\u2014","%"],["Net (loss) income attributable to Mission Produce","$","(7.2)","","(2)","%","","$","3.1","","1","%","","$","(7.9)","","(1)","%","","$","7.0","","1","%"]]
[[/GREPCENT_TABLE]]

Net sales

Our net sales are generated predominantly from the shipment of fresh avocados to retail, wholesale and foodservice customers worldwide. Our net sales are affected by numerous factors, including the balance between the supply of and demand for our produce and competition from other fresh produce companies. Our net sales are also dependent on our ability to supply a consistent volume and quality of fresh produce to the markets we serve.

[[GREPCENT_TABLE]]
[["","Three Months Ended April 30,","","Six Months Ended April 30,"],["(In millions)","2026","","2025","","2026","","2025"],["Net sales by segment:"],["Marketing and Distribution","$","277.2","","","$","362.5","","","$","512.0","","","$","658.3"],["International Farming","2.7","","","2.1","","","5.7","","","4.1"],["Blueberries","11.0","","","15.7","","","51.8","","","52.1"],["Total net sales","$","290.9","","","$","380.3","","","$","569.5","","","$","714.5"]]
[[/GREPCENT_TABLE]]

Net sales decreased $89.4 million or 24% in the three months ended April 30, 2026 compared to the same period last year, primarily driven by our Marketing & Distribution segment, where a decrease in per-unit avocado sales prices of 36% was partially offset by an increase in avocado volume sold of 15%. Volume and price movements were driven by increased Mexican avocado supply due to higher yields in the current year.

Net sales decreased $145.0 million or 20% in the six months ended April 30, 2026 compared to the same period last year, primarily driven by our Marketing & Distribution segment, where a decrease in per-unit avocado sales prices of 33% was partially offset by an increase in avocado volume sold of 14%. Volume and price movements were driven by increased Mexican avocado supply due to higher yields in the current year.

Gross profit

Cost of sales is composed primarily of avocado procurement costs from independent growers and packers, logistics costs, packaging costs, labor, costs associated with cultivation (the cost of growing crops), harvesting and depreciation. Avocado procurement costs from third-party suppliers can vary significantly between and within fiscal years and correlate closely with market prices for avocados. While we have long-standing relationships with our growers and packers, we predominantly purchase fruit on a daily basis at market rates. As such, the cost to procure products from independent growers can have a significant impact on our costs.

Logistics costs include land and sea transportation and expenses related to port facilities and distribution centers as well as tariffs/import duties. Land transportation costs consist primarily of third-party trucking services to support North American distribution, while sea transportation cost consists primarily of third-party shipping of refrigerated containers from supply markets in South and Central America to demand markets in North America, Europe and Asia. Fuel prices as well as variations in containerboard prices, which affect the cost of boxes and other packaging materials, impact our product cost and our profit margins. Variations in production yields and other input costs also affect our cost of sales.

In general, changes in our volume of products sold can have a disproportionate effect on our gross profit. Within any particular year, a significant portion of our cost of products are fixed. Accordingly, higher volumes produced on company-owned farms directly

[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A (excerpt)

Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/1802974/000180297425000048/avo-20251031.htm
Complete FY 2025 MD&A: /company/AVO/mda/fy2025/

Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary.
Confidence: high
Filing date: 2025-12-18
Report date: 2025-10-31

Item 7.        Management’s Discussion and Analysis of Financial Condition and Results of Operations

You should read the following discussion and analysis of our financial condition and results of operations together with our financial statements and related notes included elsewhere in this annual report. This discussion and analysis contains forward-looking statements based upon our current beliefs, plans and expectations that involve risks, uncertainties and assumptions. Our actual results may differ materially from those anticipated in these forward-looking statements as a result of various factors. Please refer to the section of this report under the heading “Forward Looking Statements.”

Overview

We are a world leader in sourcing, producing and distributing Hass avocados, serving retail, wholesale and foodservice customers. We source, produce, pack and distribute avocados and a small amount of other fruits to our customers and provide value-added services including ripening, bagging, custom packaging and logistical management. In addition, we provide our customers with merchandising and promotional support, insights on market trends and training designed to increase their retail avocado sales.

Reportable segments

We have three operating segments which are also reportable segments:

•Marketing & Distribution. Our Marketing & Distribution reportable segment sources fruit from growers and then distributes the fruit through our global distribution network.

•International Farming. International Farming owns and operates orchards from which the vast majority of fruit produced is sold to our Marketing & Distribution segment. The segment’s farming activities range from cultivating early-stage plantings to harvesting from mature trees. It also earns service revenues for packing and processing fruit for both our Blueberries segment, as well as for third-party producers of other crops. Operations are principally located in Peru and Guatemala.

•Blueberries. The Blueberries segment consists of farming activities that include cultivating early-stage blueberry plantings and harvesting mature bushes. Substantially all blueberries produced are sold to a single distributor under an exclusive marketing agreement.

Macroeconomic environment

During fiscal 2025, the United States enacted a series of global trade policies including reciprocal and retaliatory tariffs, and subsequent revisions and exemptions thereof, on imported goods. As a result, tariffs have applied at different dates and rates throughout the year, depending on country of origin. We are continuing to monitor changes to global trade policies, including the impact of proposed and enacted tariffs as future changes could have direct or indirect impacts to our business. For additional information, see the risk factor “Changes to U.S. trade policy, tariff and import/export regulations may adversely affect our operating results” in Section 1A. of this report.

21

Supply chain optimization

The Company closed its Canadian distribution centers within its Marketing & Distribution segment during the first quarter of 2025. In connection with the closure, we recognized approximately $2.7 million in charges for fiscal 2025. Charges consisted of accelerated depreciation expense of property, plant and equipment, accelerated amortization expense of operating lease right-of-use assets, loss on disposal of property, plant and equipment, and severance costs which were partially offset by gains on settlement of asset retirement obligations. Volume from these facilities has been absorbed by our other distribution centers and third-party service providers.

Results of Operations

The operating results of our businesses are significantly impacted by the price and volume of fruit we farm, source and distribute. In addition, our results have been, and will continue to be, affected by quarterly and annual fluctuations due to a number of factors, including but not limited to: tariffs; pests and disease; weather patterns; changes in demand by consumers; food safety advisories; the timing of the receipt, reduction or cancellation of significant customer orders; the gain or loss of significant customers; the availability, quality and price of raw materials; the utilization of capacity at our various locations; and general economic conditions.

Our financial reporting currency is the U.S. dollar. The functional currency of our most significant subsidiaries is the U.S. dollar and the majority of our sales are denominated in U.S. dollars. A significant portion of our purchases of avocados are denominated in the Mexican Peso and a significant portion of our growing and harvesting costs are denominated in Peruvian Soles. Fluctuations in the exchange rates between the U.S. dollar and these local currencies usually do not have a significant impact on our gross margin because the impact typically affects our pricing by comparable amounts. Our margin exposure to exchange rate fluctuations is short-term in nature, as our sales price commitments are generally limited to less than one month and orders can primarily be serviced with procured inventory. Over longer periods of time, we believe that the impact exchange rate fluctuations will have on our cost of goods sold will largely be passed on to our customers in the form of higher or lower prices.

[[GREPCENT_TABLE]]
[["","Years ended October 31,"],["","2025","","2024","","2023"],["(In millions, except percentages)","Dollar","","%","","Dollar","","%","","Dollar","","%"],["Net sales","$","1,391.2","","","100.0","%","","$","1,234.7","","","100.0","%","","$","953.9","","","100.0","%"],["Cost of sales","1,230.5","","","88.4","%","","1,082.2","","","87.6","%","","870.6","","","91.3","%"],["Gross profit","160.7","","","11.6","%","","152.5","","","12.4","%","","83.3","","","8.7","%"],["Selling, general and administrative expenses","95.5","","","6.9","%","","86.8","","","7.0","%","","76.4","","","8.0","%"],["Operating income","65.2","","","4.7","%","","65.7","","","5.3","%","","6.9","","","0.7","%"],["Interest expense","(9.4)","","","(0.7)","%","","(12.6)","","","(1.0)","%","","(11.6)","","","(1.2)","%"],["Equity method income","5.4","","","0.4","%","","3.7","","","0.3","%","","4.0","","","0.4","%"],["Other income (expense), net","0.7","","","0.1","%","","3.6","","","0.3","%","","(0.2)","","","\u2014","%"],["Income (loss) before income taxes","61.9","","","4.4","%","","60.4","","","4.9","%","","(0.9)","","","(0.1)","%"],["Provision for income taxes","21.4","","","1.5","%","","18.6","","","1.5","%","","2.2","","","0.2","%"],["Net income (loss)","40.5","","","2.9","%","","41.8","","","3.4","%","","(3.1)","","","(0.3)","%"],["Less: Net income (loss) attributable to noncontrolling interest","2.8","","","0.2","%","","5.1","","","0.4","%","","(0.3)","","","\u2014","%"],["Net income (loss) attributable to Mission Produce","$","37.7","","","2.7","%","","$","36.7","","","3.0","%","","$","(2.8)","","","(0.3)","%"]]
[[/GREPCENT_TABLE]]

Net sales

Our net sales are generated predominantly from the shipment of fresh avocados to retail, wholesale and foodservice customers worldwide. Our net sales are affected by numerous factors, including the balance between the supply of and demand for our produce and competition from other fresh produce companies. Our net sales are also dependent on our ability to supply a consistent volume and quality of fresh produce to the markets we serve.

22

[[GREPCENT_TABLE]]
[["","Years ended October 31,"],["(In millions)","2025","","2024","","2023"],["Net sales:"],["Marketing & Distribution","$","1,274.3","","","$","1,152.6","","","$","889.9"],["International Farming","23.8","","","6.4","","","11.6"],["Blueberries","93.1","","","75.7","","","52.4"],["Total net sales","$","1,391.2","","","$","1,234.7","","","$","953.9"]]
[[/GREPCENT_TABLE]]

Net sales increased $156.5 million or 13% in fiscal year 2025 compared to the previous year, primarily driven by a 7% increase in avocado volume sold our Marketing & Distribution segment. Increased sales in our International Farming segment were driven by higher volumes of avocados sold directly to customers in the current year. Volume and price movements resulted from higher Peruvian avocado production driven by more favorable weather conditions in the current year.

Net sales increased $280.8 million or 29% in fiscal year 2024 compared to the previous year, primarily driven by our Marketing & Distribution segment, where average per-unit avocado sales prices increased 30% and avocado volume sold was relatively flat. Blueberry revenue increased $23.3 million or 44%, due primarily to a 37% increase in average per-unit sales price, which was favorably impacted by industry supply constraints during the Peru harvest season.

Gross profit

Cost of sales is composed primarily of avocado procurement costs from independent growers and packers, logistics costs, packaging costs, labor, costs associated with cultivation (the cost of growing crops), harvesting and depreciation. Avocado procurement costs from third-party suppliers can vary significantly between and within fiscal years and correlate closely with market prices for avocados. While we have long-standing relationships with our growers and packers, we predominantly purchase fruit on a daily basis at market rates. As such, the cost to procure products from independent growers can have a significant impact on our costs.

Logistics costs include land and sea transportation and expenses related to port facilities and distribution centers. Land transportation costs consist primarily of third-party trucking services to support North American distribution, while sea transportation cost consists primarily of third-party shipping of refrigerated containers from supply markets in South and Central America to demand markets in North America, Europe and Asia. Fuel prices as well as variations in containerboard prices, which affect the cost of boxes and other packaging materials, impact our product cost and our profit margins. Variations in production yields and other input costs also affect our cost of sales.

In general, changes in our volume of products sold can have a disproportionate effect on our gross profit. Within any particular year, a significant portion of our cost of products are fixed. Accordingly, higher volumes produced on company-owned farms directly reduce the average cost per pound of fruit grown on company owned orchards, while lower volumes directly increase the average cost per pound of fruit grown on company owned orchards. Likewise, higher volumes processed through packing and distribution facilities directly reduce the average overhead cost per unit of fruit handled, while lower volumes directly increase the average overhead cost per unit of fruit handled.

Gross profit percentage will fluctuate based upon per-unit sales price levels in relation to per-unit costs. Margin is primarily managed on a per-unit basis in our Marketing & Distribution segment, which can lead to movement in gross profit percentage when sales prices fluctuate.

[[GREPCENT_TABLE]]
[["","Years ended October 31,"],["","2025","","2024","","2023"],["Gross profit (in millions)","$","160.7","","$","152.5","","$","83.3"],["Gross profit as a percentage of net sales","11.6","%","","12.4","%","","8.7","%"]]
[[/GREPCENT_TABLE]]

Gross profit increased $8.2 million in fiscal year 2025 compared to the previous year to $160.7 million, and gross profit percentage decreased by 80 basis points to 11.6% of net sales. Gross profit growth was driven by improved avocado and mango yields in our International Farming segment in the current year, while higher volume sold in our Marketing & Distribution segment was partially offset by lower per-unit margins. Marketing & Distribution segment results were negatively impacted by charges incurred in relation to the closure of Canadian facilities totaling $2.7 million and $1.1 million in tariffs levied on

[Excerpt truncated for page length; the complete text is on the linked full-MD&A page.]

Read the full FY 2025 MD&A: /company/AVO/mda/fy2025/
All MD&A years: /company/AVO/mda/


## MD&A history

Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page.

- [FY 2024 MD&A](/company/AVO/mda/fy2024/): filed 2024-12-19; accession 0001802974-24-000053 (https://www.sec.gov/Archives/edgar/data/1802974/000180297424000053/avo-20241031.htm)
- [FY 2023 MD&A](/company/AVO/mda/fy2023/): filed 2023-12-21; accession 0001802974-23-000037 (https://www.sec.gov/Archives/edgar/data/1802974/000180297423000037/avo-20231031.htm)
- [FY 2022 MD&A](/company/AVO/mda/fy2022/): filed 2022-12-22; accession 0001802974-22-000050 (https://www.sec.gov/Archives/edgar/data/1802974/000180297422000050/avo-20221031.htm)
- [FY 2021 MD&A](/company/AVO/mda/fy2021/): filed 2021-12-22; accession 0001802974-21-000049 (https://www.sec.gov/Archives/edgar/data/1802974/000180297421000049/avo-20211031.htm)




## Macro cross-references

Indicators mapped to this company's SIC classification (SIC 0700 Agricultural Services) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim.

No tailored SIC indicator subset is available for this company; use /indicators/.

No macro-to-micro thread currently includes this sector.

All macro indicators: /indicators/


## For LLMs & downloads

Markdown twin: /company/AVO.md · JSON record: /company/AVO.json · verified financials: /company/AVO/financials.json / /company/AVO/financials.csv · machine TOC for the whole site: /llms.txt