Calavo suffers a 32% drop in its gross profit in the fresh produce category

Calavo presented its financial results for the third quarter of 2025, as well as for the nine-month period ending July 31, 2025. For the third quarter of the year, the company's total net sales remained stable at $178.8 million, with a slight decrease of 1% compared to 2024. Sales of the fresh produce segment also showed little variation, totaling $155.9 million, with a 5% year-over-year decrease. However, the gross profit of this category suffered a 32% drop, amounting to $12.4 million. This impact was strongly reflected in Calavo's total gross profit, which experienced a 9% decrease, totaling $18.2 million compared to the same period last year. In a press release on the financial results, the company noted that these declines were the direct result of approximately $4.2 million in extraordinary costs associated with a temporary hold by the Food and Drug Administration (FDA) on certain avocado imports from Mexico. The hold was due to the detection of traces of Imazalil, a ...