EarningsQ4’24 results disappointed, as market tailwinds only provided some lift, while a series of modest internal factors collectively drove margins and EBITDA down despite the strong macro backdrop.
Financial PerformanceMultiple individual dynamics converged, including a $5M YoY tomato revenue decline, higher year-end compensation expenses, continued elevated legal costs associated with the FCPA investigation, and Prepared segment volume/margin pressure via rising input costs.
Market SentimentThe market is clearly skeptical and will not give Calavo the benefit of the doubt until it is proven.