Mission Produce, Inc. Files 10-Q for Period Ending January 31, 2024

TL;DR

<b>Mission Produce, Inc. filed its quarterly 10-Q report for the period ending January 31, 2024, providing an update on its financial performance.</b>

AI Summary

Mission Produce, Inc. (AVO) filed a Quarterly Report (10-Q) with the SEC on March 11, 2024. Mission Produce, Inc. reported financial results for the fiscal quarter ended January 31, 2024. The filing is a 10-Q, indicating a quarterly report. The company's fiscal year ends on October 31st. Key dates include the reporting period from November 1, 2023, to January 31, 2024. The filing was submitted on March 11, 2024.

Why It Matters

For investors and stakeholders tracking Mission Produce, Inc., this filing contains several important signals. This 10-Q filing provides investors with the latest financial data for Mission Produce, Inc., crucial for assessing the company's performance and making informed investment decisions. Understanding the quarterly results allows stakeholders to track trends in revenue, profitability, and debt levels, which are key indicators of the company's financial health and operational efficiency.

Risk Assessment

Risk Level: medium — Mission Produce, Inc. shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q) which typically contains detailed financial information but does not inherently signal significant positive or negative developments without further analysis of the specific numbers.

Analyst Insight

Review the detailed financial statements within the 10-Q to identify trends in revenue, cost of goods sold, and operating expenses to assess profitability and operational efficiency.

Key Numbers

• 2024-01-31 — Reporting Period End Date (Quarterly report)
• 2024-03-11 — Filing Date (10-Q submission date)
• 1031 — Fiscal Year End (Annual fiscal year closing date)

Key Players & Entities

• Mission Produce, Inc. (company) — Filer of the report
• 2024-01-31 (date) — End of the reporting period
• 2024-03-11 (date) — Filing date
• 0001802974-24-000018 (filing_id) — Accession number for the filing
• AVO (ticker) — Ticker symbol for Mission Produce, Inc.

FAQ

Industry Context

Mission Produce, Inc. operates in the agriculture services sector, specifically focusing on the production and distribution of avocados.

Regulatory Implications

The filing is a standard 10-Q, a quarterly report required by the SEC for publicly traded companies to disclose financial and operational information.

What Investors Should Do

1. Analyze the revenue and cost of goods sold for the reported quarter to understand gross profit margins.
2. Examine the company's operating expenses and net income to assess overall profitability.
3. Review the balance sheet for changes in assets, liabilities, and equity, paying attention to debt levels.

Key Dates

• 2024-01-31: Quarterly Period End — End of the reporting period for the 10-Q
• 2024-03-11: Filing Date — Date the 10-Q was officially submitted to the SEC

Year-Over-Year Comparison

This is the initial 10-Q filing for the fiscal year 2024, covering the first quarter. Comparative data from the previous year's first quarter will be available within the document itself.

Key Financial Figures

• $0.001 — ich registered Common Stock, par value $0.001 per share AVO NASDAQ Global Select Mark

Filing Documents

• avo-20240131.htm (10-Q) — 950KB
• exhibit311_2024-q1.htm (EX-31.1) — 9KB
• exhibit312_2024-q1.htm (EX-31.2) — 9KB
• exhibit321_2024-q1.htm (EX-32.1) — 4KB
• exhibit322_2024-q1.htm (EX-32.2) — 4KB
• 0001802974-24-000018.txt (&nbsp;) — 5415KB
• avo-20240131.xsd (EX-101.SCH) — 36KB
• avo-20240131_cal.xml (EX-101.CAL) — 88KB
• avo-20240131_def.xml (EX-101.DEF) — 141KB
• avo-20240131_lab.xml (EX-101.LAB) — 471KB
• avo-20240131_pre.xml (EX-101.PRE) — 337KB
• avo-20240131_htm.xml (XML) — 721KB

- FINANCIAL INFORMATION

PART I- FINANCIAL INFORMATION 5 Item 1.

Financial Statements

Financial Statements 5 Condensed Consolidated Balance Sheets (Unaudited) 5 Condensed Consolidated Statements of Income (Loss) (Unaudited) 6 Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) 7 Condensed Consolidated Statements of Changes in Equity (Unaudited) 8 Condensed Consolidated Statements of Cash Flows (Unaudited) 9 Notes to Unaudited Condensed Consolidated Financial Statements 10 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 18 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 26 Item 4.

Controls and Procedures

Controls and Procedures 26

- OTHER INFORMATION

PART II- OTHER INFORMATION 27 Item 1.

Legal Proceedings

Legal Proceedings 27 Item 1A.

Risk Factors

Risk Factors 27 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 27 Item 3. Defaults Upon Senior Securities 28 Item 4. Mine Safety Disclosures 28 Item 5. Other Information 28 Item 6. Exhibits 28

FORWARD LOOKING STATEMENTS

FORWARD LOOKING STATEMENTS This quarterly report on Form 10-Q contains forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995, which statements involve substantial risks and uncertainties. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as "may", "will", "should", "expects", "plans", "anticipates", "could", "intends", "target", "projects", "contemplates", "believes", "estimates", "predicts", "potential" or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans or intentions. Forward-looking statements involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. We believe that these factors include, but are not limited to, the following: Risks related to our business, including: limitations regarding the supply of fruit, either through purchasing or growing; fluctuations in the market price of fruit; increasing competition; risks associated with doing business internationally, including Mexican and Peruvian economic, political and/or societal conditions; inflationary pressures; establishment of sales channels and geographic markets; loss of one or more of our largest customers; general economic conditions or downturns; supply chain failures or disruptions; disruption to the supply of reliable and cost-effective transportation; failure to recruit or retain employees, poor employee relations, and/or ineffective organizational structure; inherent farming risks, including climate change; seasonality in operating results; failures associated with informa

- FINANCIAL INFORMATION

PART I- FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements MISSION PRODUCE, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (In millions, except for shares) January 31, 2024 October 31, 2023 Assets Current Assets: Cash and cash equivalents $ 39.9 $ 42.9 Restricted cash 0.6 0.3 Accounts receivable Trade, net of allowances of $ 0.8 and $ 0.9 , respectively 85.3 74.1 Grower and fruit advances 1.4 0.9 Other 13.1 12.4 Inventory 85.9 70.8 Prepaid expenses and other current assets 9.1 9.1 Income taxes receivable 9.2 9.6 Total current assets 244.5 220.1 Property, plant and equipment, net 525.2 523.2 Operating lease right-of-use assets 71.4 72.4 Equity method investees 28.6 31.0 Deferred income tax assets, net 8.7 8.5 Goodwill 39.4 39.4 Intangible asset, net 0.2 0.5 Other assets 19.5 19.7 Total assets $ 937.5 $ 914.8 Liabilities and Equity Liabilities Accounts payable $ 26.7 $ 27.2 Accrued expenses 29.1 26.4 Income taxes payable 2.8 1.6 Grower payables 36.9 26.4 Short-term borrowings — 2.8 Notes payable 0.5 — Loans from noncontrolling interest holders—current portion 0.2 0.5 Long-term debt—current portion 3.3 3.4 Operating leases—current portion 7.0 6.6 Finance leases—current portion 1.4 2.6 Total current liabilities 107.9 97.5 Long-term debt, net of current portion 152.8 148.6 Loans from noncontrolling interest holders, net of current portion 1.8 2.5 Operating leases, net of current portion 70.3 71.0 Finance leases, net of current portion 20.1 14.7 Income taxes payable 2.3 2.3 Deferred income tax liabilities, net 22.8 23.5 Other long-term liabilities 27.7 26.4 Total liabilities 405.7 386.5 Commitments and contingencies (Note 7) Shareholders' Equity Common stock ($ 0.001 par value, 1,000,000,000 shares authorized; 70,841,303 and 70,728,404 shares issued and outstanding as of January 31, 2024 and October 31, 2023, respectively) 0.1 0.1 Additional paid-in capital 234.1 233.4 Accumulated other comprehensive loss ( 0.1 ) ( 0.9 ) Retained earnings

Business

Business Mission Produce, Inc. together with its consolidated subsidiaries ("Mission," "the Company," "we," "us" or "our"), is a global leader in the avocado industry. The Company's expertise lies in the farming, packaging, marketing and distribution of avocados to food retailers, distributors and produce wholesalers worldwide. The Company procures avocados principally from California, Mexico and Peru. Through our various operating facilities, we grow, sort, pack, bag and ripen avocados and a small amount of other fruits for distribution to domestic and international markets. We report our results of operations in three operating segments: Marketing and Distribution, International Farming and Blueberries (see Note 12). Basis of presentation and consolidation The unaudited interim condensed consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") for interim financial information and include the Company's consolidated domestic and international subsidiaries and variable interest entity ("VIE") for which we are the primary beneficiary and have a controlling interest. Certain information and disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. Accordingly, these unaudited interim condensed consolidated financial statements and accompanying footnotes should be read in conjunction with the Company's Annual Report for the year ended October 31, 2023. In the opinion of management, all adjustments, of a normal recurring nature, considered necessary for a fair statement have been included in the unaudited condensed consolidated financial statements. Interim results of operations are not necessarily indicative of future results, including results that may be expected for the twelve months ended October 31, 2024. Recently issued accounting standards In December 2023, the Financial Accoun

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View this 10-Q filing on SEC EDGAR