Mission Produce (NASDAQ:AVO) Posts Earnings Results, Misses Estimates By $0.01 EPS

Mission Produce (NASDAQ:AVO) announced its quarterly earnings results on Thursday. The company reported $0.22 EPS for the quarter, missing the consensus estimate of $0.23 by ($0.01), FiscalAI reports. The firm had revenue of $319.00 million for the quarter, compared to analysts’ expectations of $301.60 million. Mission Produce had a net margin of 2.71% and a return on equity of 8.29%. The business’s quarterly revenue was down 10.0% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.28 EPS.

Here are the key takeaways from Mission Produce’s conference call:

• The company announced a planned leadership transition effective at the April annual meeting, with John Pawlowski promoted to CEO and Steve Barnard moving to Executive Chairman, emphasizing continuity and succession planning.
• Fiscal 2025 delivered record revenue of $1.39 billion (up 13%) and a record fourth-quarter Adjusted EBITDA, plus more than $180 million of operating cash flow generated over the past two years.
• Volume-driven growth was highlighted—marketing & distribution avocado volumes rose 7% for the year (13% in Q4), aided by a return to normal yields in Peru that more than doubled exportable avocado production and supported strong international expansion (UK revenue +60%, European volume +40%).
• The company warned of a softer pricing environment—average per-unit avocado prices fell ~27% in the quarter and management expects Q1 FY26 avocado prices to be ~25% lower year-over-year with ~10% higher industry volumes, implying near-term margin compression.
• Financial flexibility improved as long-term debt was reduced (~$18M), net leverage sits well below 1x EBITDA, cash was $64.8M at year-end, and management expects CapEx to step down to ~$40M in FY26 (roughly half maintenance / half growth), positioning the company to boost free cash flow and pursue buybacks or organic/inorganic growth.

Mission Produce Stock Up 0.5%

NASDAQ:AVO opened at $13.20 on Friday. The company’s 50-day simple moving average is $12.05 and its 200-day simple moving average is $12.15. The company has a debt-to-equity ratio of 0.25, a quick ratio of 1.30 and a current ratio of 2.04. Mission Produce has a fifty-two week low of $9.56 and a fifty-two week high of $15.25. The stock has a market capitalization of $932.18 million, a P/E ratio of 25.39 and a beta of 0.58.

Insider Activity at Mission Produce

In other news, major shareholder Holdings Venture Globalharvest bought 72,165 shares of the firm’s stock in a transaction that occurred on Thursday, November 6th. The stock was bought at an average price of $11.94 per share, with a total value of $861,650.10. Following the completion of the transaction, the insider directly owned 7,237,192 shares of the company’s stock, valued at approximately $86,412,072.48. The trade was a 1.01% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In the last three months, insiders have purchased 130,811 shares of company stock worth $1,552,487. Insiders own 35.41% of the company’s stock.

Institutional Trading of Mission Produce

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Quarry LP acquired a new stake in shares of Mission Produce in the 3rd quarter worth $29,000. Tower Research Capital LLC TRC increased its position in Mission Produce by 211.8% during the 2nd quarter. Tower Research Capital LLC TRC now owns 4,649 shares of the company’s stock valued at $54,000 after buying an additional 3,158 shares in the last quarter. Virtus Advisers LLC purchased a new stake in Mission Produce in the third quarter valued at about $95,000. Brooklyn Investment Group grew its stake in shares of Mission Produce by 11,842.6% during the third quarter. Brooklyn Investment Group now owns 11,226 shares of the company’s stock worth $135,000 after acquiring an additional 11,132 shares during the last quarter. Finally, Walleye Capital LLC purchased a new stake in shares of Mission Produce during the second quarter worth about $137,000. Hedge funds and other institutional investors own 63.57% of the company’s stock.

More Mission Produce News

Here are the key news stories impacting Mission Produce this week:

• Positive Sentiment: Q4 EPS and conference call transcripts show the company beat street EPS expectations (management highlighted improved margins in the quarter), which helped lift sentiment and the share price. Mission Produce, Inc. (NASDAQ:AVO) Q4 2025 Earnings Call Transcript
• Positive Sentiment: Mission reported a record fiscal 2025 full year revenue of $1.39B (up ~13% YoY) — a sign that annual topline growth was solid despite near‑term pricing headwinds. Mission Produce Announces Fiscal 2025 Fourth Quarter and Full Year Financial Results
• Positive Sentiment: International Farming was a standout — sales jumped sharply (~97% YoY in coverage) and helped expand adjusted EBITDA and margins, improving the company’s earnings quality. AVO Q4 Earnings Beat, International Farming Sales Soar 97% Y/Y
• Positive Sentiment: Management announced a leadership succession (President/COO to become CEO) and signaled a $40M capex step‑down while refocusing on global expansion — a combination that may improve free cash flow and capital discipline. Mission Produce signals $40M capex step-down and global expansion focus as new CEO takes helm
• Neutral Sentiment: Higher Mexican and Peruvian supply is increasing volumes and giving Mission more pricing flexibility — positive for volume growth but could pressure realized prices if market supply outstrips demand. Mission Produce Rides Mexico Supply Boost: How Long Can It Last?
• Negative Sentiment: Despite the earnings beat, the quarter showed a ~10% YoY decline in revenue and management flagged pricing challenges in the avocado market — a near‑term headwind that could limit margin upside until pricing stabilizes. Mission Produce Inc (AVO) Q4 2025 Earnings Call Highlights: Record Revenue Amidst Pricing Challenges

Wall Street Analysts Forecast Growth

AVO has been the topic of several recent research reports. Roth Capital increased their target price on shares of Mission Produce from $16.00 to $17.00 and gave the stock a “buy” rating in a report on Tuesday, September 9th. Zacks Research cut shares of Mission Produce from a “strong-buy” rating to a “hold” rating in a research report on Monday, November 10th. Stephens initiated coverage on shares of Mission Produce in a research note on Friday, September 12th. They set an “overweight” rating and a $17.00 price objective on the stock. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Mission Produce in a research note on Wednesday, October 8th. Two investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $17.00.

About Mission Produce

Mission Produce, Inc is a leading global supplier, packer and distributor of fresh avocados, serving retail, foodservice and industrial customers. The company manages a vertically integrated supply chain that spans sourcing, post-harvest handling, packing and ripening. Through proprietary ripening technologies and cold-chain logistics, Mission Produce delivers consistent quality and extended shelf life for its avocado offerings.

Founded in 1983 and headquartered in Oxnard, California, Mission Produce grew from a regional packing operation into a publicly traded company listed on the Nasdaq under the ticker AVO.