Last year, Fresh Del Monte's net sales amounted to just over $ 4 billion, as revealed in the annual figures published by the multinational. A disappointing banana market and disappointing results with processed fruit and vegetables resulted in a slightly lower turnover.
The exact sales figure for 2016 stands at 4,011.5 million dollars, while in 2015, net sales amounted to slightly over 4,056.5 million dollars. The decline in income was due to disappointing results with bananas and processed fruit and vegetables, which were partially offset by the good results in other segments.
Higher profit
The gross profit amounted to 461.4 million dollars. This is substantially higher than the $ 342.3 million recorded a year earlier. The higher profit was due to higher gross profits in all segments, mainly driven by lower transportation tariffs and costs for the fruit. Moreover, the sales price for bananas and other fresh produce increased.
As for the net income, it stood at 225.1 million dollars. A year earlier, it amounted to 62.4 million. Comparable net income was 246.4 million dollars against 129.4 million a year earlier.
Banana results disappointing
Different segments recorded different trends. With net sales reaching $ 1,811.5 million, the banana segment performed slightly worse than in the previous year (2015: 1,867.6 million dollars). This decrease is primarily due to the lower sales volume in North America and Europe. Globally, the price was up 1%, or 14 cents, to $ 14.47 per unit. The volume, however, fell by 4%.
Avocados boost sales
The segment that features almost all other products: "Other Fresh Produce", performed slightly better than in the previous year. Net sales amounted to $ 1,852.6 million, compared to 1,826.3 million dollars a year earlier. The increase is largely attributable to a growth of the avocado market. Net avocado sales increased by 31% to 229.6 million dollars. The volume grew by 21% and prices were 8% higher. The price per unit was also 11% higher.
Processed fruit and vegetables also performed well. Net sales increased by 11% to 516.9 million dollars. The volume increased by 11% with stable prices. For pineapples, the results were not as positive. There was a 6% drop, down to 495.1 million dollars. This was due, in part, to the fact that the volume fell by 5%. Prices were comparable to those of the previous financial year. The non-tropical category also achieved lower net sales. With 256.8 million dollars, the result was 5% lower than in the previous year. The volume also came under pressure and was 12% lower, while prices rose by 8%.
The last segment, "Prepared Food", also saw a decline in net sales. In 2015, these reached 362.6 million dollars, while in 2016 they stood at 347.4 million dollars.