Fresh produce company Dole has today reported higher revenues and adjusted EBITDA for the three months to the end of September.
Dole said its third quarter revenues rose by 4.2% to $2 billion, while its adjusted EBITDA increased by 7.6% to $85.2m.
The company said that revenue at its Fresh Fruit division decreased by 0.3% due to lower banana prices in North America.
This dip was partially offset by higher worldwide volumes of bananas sold, an increase in worldwide pricing of pineapples and stronger pricing of bananas in Europe.
The division's adjusted EBITDA decreased 8.6% on the back of lower revenue, higher fruit sourcing costs and a decrease in commercial cargo activity. This was partially offset by lower shipping and logistics costs, as well as by strong pricing excluding the impact of fuel surcharges.
Meanwhile, revenue at its Diversified Fresh Produce - EMEA division rose by 12.7%, mainly driven by a favourable impact from foreign currency translation, inflation-justified price increases across the segment and a positive impact from acquisitions of $5.5m.
Adjusted EBITDA climbed by 13.8% with strong performances in Ireland, the UK, Spain and Holland, Dole added.
Revenue at its Diversified Fresh Produce - Americas & ROW division fell by 2%, or $9.8 million, on the back of lower revenue for berries in North America, as well as by lower volumes of most other commodities, partially offset by inflation-justified price increases.
But its adjusted EBITDA soared by 693% due to continued strong performance in most products that it markets in North America, as well as by a favourable comparison to the same time last year which had a challenging end to the Chilean grapes season due to abnormal supply chain disruption.
Looking ahead, Dole said that while the wider macro-environment continues to remain complex and impacts from weather events remain unpredictable, it remains confident in the strength of its diversified supply base and the experience and quality of it operating teams across the globe to deal with challenges as they arise.
Carl McCann, Dole's Executive Chairman, said the momentum from the first half of the year has continued into the third quarter.
"We delivered another strong set of results, with revenue growth of 4.2% and adjusted EBITDA growth of 7.6%. As we move towards the end of the financial year, our strong result for the first nine months positions us to deliver a good result for the year and we are now targeting Adjusted EBITDA for 2023 of at least $365m," he added.
