Mission Produce confirms increased global supply and price pressure
The company released its quarterly report after acquiring Calavo, confirming higher global volume and downward pressure on prices.
September 9, 2026.
Mission Produce, a key player in the global avocado industry, released its first financial report covering a full quarter since the acquisition of Calavo Growers was completed.
In addition to the corporate results, the report provides several relevant signals for the global avocado industry: the company traded 38% more volume, while the average price fell 9% compared to the same period of the previous year, a behavior that the company attributed to a greater availability of fruit in international markets.
The combination of increased supply and lower prices also impacted the business's profitability. Gross margin fell 270 basis points to 9.9%.
More volume, but with a better-supplied market
The report identifies two factors behind the increased volume traded. First, the addition of Calavo to Mission's business, and second, greater availability of Mexican avocados during their season, which saw improved yields.
For the company, the volume growth was not due to a price increase, but rather to a broader global supply. This greater availability put downward pressure on the average selling price of avocados and altered trading conditions for the quarter.
The margin also felt the pressure from prices
Although quarterly revenue grew 26% to US$450 million, gross profit remained virtually unchanged compared to the same period last year. The difference lay in the margin, which decreased from 12.6% to 9.9%.
Mission explained that the international agricultural business was the most affected by the decline in average avocado prices.
In contrast, the marketing and distribution segment managed to increase its contribution thanks to the integration of Calavo, although part of that effect was offset by accounting adjustments and costs associated with the acquisition.
The first full quarter after the integration with Calavo
The quarter corresponds to the first full period reported since Mission closed the acquisition of Calavo Growers on May 28, 2016, a transaction that significantly expanded its presence in the North American avocado value chain and added new lines of prepared products, such as guacamole and sauces.
During the results presentation, the company noted that the integration has already begun to generate operational efficiencies and raised its estimate of annual synergies from the initially projected range to more than US$30 million. These synergies would primarily stem from administrative savings and increased efficiency of the combined sales network.
The integration process will continue over the next few quarters, as Mission seeks to consolidate the joint operation without affecting the continuity of supply to its customers.
A signal for the global avocado market
Beyond the company's financial performance, the report provides an insight into the current dynamics of the international avocado market.
Mission maintains that the drop in the average price per unit was directly related to increased global supply. In this context, the increased availability of Mexican fruit stands out. This data is relevant because it comes from one of the world's leading traders and coincides with a period in which various markets have shown greater fruit availability and downward pressure on prices.
In that context, the quarter reflects a scenario in which the growth in traded volume does not necessarily translate into higher margins, but shows how a broader supply can modify profitability conditions even for one of the largest players in the industry.
