# AVO earnings call intelligence LOPJLB CallCard / temporal rollup · freemium · [stock page](https://www.lopjlb.com/stock/AVO) · [Earnings tab](https://www.lopjlb.com/stock/AVO?tab=earnings) Updated: 2026-09-08T10:27:00 Quarters analyzed: 8 ## Latest CallCard · Q2 Mission Produce Q2 2026 revenue fell 24% as low avocado prices and a supply‑demand size mismatch squeezed margins, but volume grew 15% and the Calavo acquisition closed, positioning the company for margin recovery and higher H2 EBITDA. **Guidance:** maintained — Management provided Q3 adjusted EBITDA guidance of $28‑$32 M and H2 guidance of $84‑$88 M, expecting margin recovery as supply normalizes and the Calavo integration ramps. **Tone:** mgmt 0.6 · Q&A pressure 0.4 · divergence 0.2 Prepared remarks emphasized supply normalization, multi‑region sourcing, strong demand growth and confidence in the combined Calavo platform. ### Demand visibility Strong demand growth and expanding household penetration. U.S. avocado consumption hit new highs with double‑digit growth and >1.6 million new households; Europe and Asia show early‑stage expansion opportunities. ### Margins / costs Margins were pressured in Q2 but are expected to improve. A temporary mismatch of core fruit sizes and low avocado prices compressed per‑unit margins; supply transition to California and Peru and better sizing curves should lift margins in H2. ### Capital allocation Focus on integration synergies, modest capex and share repurchases. Targeting $25 M of annualized cost synergies within 18 months, $45 M capex for FY2026 (including Calavo), and an expanded share‑repurchase program. ### Milestones - **Calavo acquisition closure** [delivered]: Closed May 28, enabling combined platform and early integration work. - **Integration workgroup** [on_track]: Internal experts and external advisors are executing planned integration steps. - **Peruvian avocado harvest** [on_track]: Forecast 120‑130 M lbs, ~20% higher than last year, to drive H2 volume. - **Guacamole & prepared foods expansion** [new]: Leveraging Calavo's product lines to open new retail and food‑service opportunities. - **Cost‑synergy program** [on_track]: Targeting $25 M annualized savings within 18 months by eliminating redundant SG&A and operations. - **Supply transition from Mexico** [on_track]: Increasing sourcing from California and Peru to reduce reliance on Mexican crop. - **CapEx plan FY2026** [on_track]: Planned $45 M capex, including modest Calavo‑related spend. - **Share repurchase program extension** [new]: Board approved extension to provide opportunistic buy‑backs. ### Fears / risks - **Weather risk**: Potential El Nino impacts on Mexican and Peruvian avocado yields in 2027. - **Margin compression**: Low avocado prices and size‑curve mismatches pressured Q2 margins. - **Integration risk**: Achieving $25 M synergies depends on effective integration of Calavo operations. - **Supply concentration**: Reliance on Mexican crop historically; transition to other regions may face execution challenges. - **Seasonality**: Cash flow and earnings are seasonal, tied to Peruvian harvest timing. - **Pricing volatility**: Avocado prices can swing sharply with supply shifts, affecting per‑unit margins. - **Competitive pressure**: Peers may not have the same multi‑region sourcing flexibility, but could respond to price moves. - **Prepared‑foods margin uncertainty**: Guacamole and ready‑to‑eat segment has different CPG pricing dynamics that are not yet fully quantified. ### Key quotes > “We drove 15% avocado volume growth in the quarter, attracting new consumers and occasions, which should support category demand growth in the future.” ## Quarter one-liners - **2026 Q2:** Mission Produce Q2 2026 revenue fell 24% as low avocado prices and a supply‑demand size mismatch squeezed margins, but volume grew 15% and the Calavo acquisition closed, positioning the company for margin recovery and higher H2 EBITDA. - **2026 Q1:** Mission Produce Q1 2026: 14% avocado volume growth, gross margin expansion, adj EBITDA +5% despite 30% price drop; Calavo acquisition on track for Q3 close with $25M+ synergies; Q2 headwinds from lower pricing, delayed California harvest, blueberry yield pressure. - **2025 Q4:** Mission Produce reports record $1.39B revenue and 7% avocado volume growth, announces CEO transition, notes pricing pressure, exits heavy capex cycle and targets continued global expansion. - **2025 Q3:** Mission Produce delivered record Q3 revenue of $357M (+10%) driven by 10% volume growth, strong Peruvian production, and global sourcing execution; Q4 pricing expected 20-25% lower on higher volumes. - **2025 Q2:** Mission Produce posted record Q2 revenue and strong avocado pricing, highlighted mango and blueberry growth, noted early‑quarter supply and tariff headwinds that have eased, and kept FY2025 capex guidance unchanged. - **2025 Q1:** Mission Produce posted record Q1 2025 revenue up 29% while facing Mexican avocado supply constraints that compressed margins, but diversification into blueberries, mangoes and new acreage, plus steady capex, underpin a positive outlook despite tariff uncertainty. - **2024 Q4:** Mission Produce posted record Q4 revenue and EBITDA, driven by higher avocado prices and a diversified sourcing network, while shifting capex projects to FY2025 and emphasizing cash flow and debt reduction. - **2024 Q3:** Mission Produce delivered record Q3 revenue of $324M (+24% YoY) and adjusted EBITDA of $31.5M (+49%), overcoming Peru El Nino impacts via California sourcing agility, achieving UK facility profitability, and accelerating blueberry expansion with $30M YTD free cash flow. ## Guidance path 2024 Q3:vague → 2024 Q4:maintained → 2025 Q1:maintained → 2025 Q2:maintained → 2025 Q3:vague → 2025 Q4:maintained → 2026 Q1:vague → 2026 Q2:maintained --- Research context only. Not personalized investment advice. API: `GET /bff/api/bigfive/earnings-intel/AVO`