Mission Produce Inc Q4 2024 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Ben Klieve - Lake Street Capital Markets, LLC - Analyst : All right. Thanks for taking my questions and congratulations. Great end to a great year here. My first question is the result in the quarter relative to the prerelease information. Both revenue and EBITDA comfortably exceeded what you had laid out in prerelease five or six weeks ago. I'm just wondering kind of what the delta was in the actual results versus what you saw in the prerelease?

Question: Ben Klieve - Lake Street Capital Markets, LLC - Analyst : Got it. Got it. Okay. That's very helpful. A couple of others for me. So first of all, Steve, you noted winding down a couple of facilities here in this current fiscal quarter. I'm wondering if you can comment at all on any costs associated with this, both cash or noncash costs? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 19, 2024 / 10:00PM, AVO.OQ - Q4 2024 Mission Produce Inc Earnings Call

Question: Ben Klieve - Lake Street Capital Markets, LLC - Analyst : Okay. All right. Yeah, that definitely makes sense. Both your comments on the international farming segment both your comments on the international farming segment seems pretty encouraging. I'm wondering if you can just kind of big picture, talk about the especially the EBITDA expectations coming out of that segment here if you anticipate kind of the directional improvement that you saw in '24 to continue in '25, given kind of stabilizing weather conditions and the operational efficiencies that you guys have made on there?

Question: Ben Klieve - Lake Street Capital Markets, LLC - Analyst : Very good. All right. Well, fingers crossed up here. So one more for me, and I will get back in queue. Just kind of a big picture macro question, given how much you are involved in the import export world, how you're thinking about kind of the future of agricultural exports into the US, particularly within Mexico in the context of potential tariffs? Is there is this a dynamic that's changing at all how you think about operating your supply chain or are you really just kind of sitting back and waiting to see kind of how it all shakes out?

Question: Ben Klieve - Lake Street Capital Markets, LLC - Analyst : Got it. Very good. All right. Well, I appreciate that context from you both. Congratulations again on a really great quarter, really great year.

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Hey, good afternoon guys. Thanks for taking my call.

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Just to follow up on Ben's question and then the answer, but it seems like consumers have, maybe for lack of a better phrase, busted through the price barrier and seem more consistent at higher prices than maybe a couple of years ago. Is that fair to say, especially with this past year's results?

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Got it. Does this mean moving forward that retail can keep prices elevated, make more money and maybe help and does that sort of trickle through to Mission's role?

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Yeah. Yeah, I got it. I just curious, it feels like prices, the elasticity is coming back or something like that.

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Got it. Switching gears to blueberries. I mean, blueberries are great. But you also noted, I think, you increased planting. How many more acres this year than last year and two years ago? And then what is the plan for the blueberries for the next couple of years going forward?

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Planning. Yeah.

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Got it. And then obviously, balance sheet's in good shape. You kind of touched on cash flow, but next couple of years, good cash flow, I mean, that would be high in a very excellent spot. I mean any thoughts on what's after that? Do we go back into maybe increasing some planting to a degree? Just curious from that perspective.

Question: Gerry Sweeney - Roth Capital Partners, L.L.C - Analyst : Yeah. Got it. Well, congratulations on a great year. I appreciate it.