Research Desk Line-up: Landec Post Earnings Coverage
LONDON, UK / ACCESSWIRE / September 29, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on Calavo Growers, Inc. (NASDAQ: CVGW), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=CVGW, following the Company's disclosure of its financial results on September 06, 2017, for the third quarter fiscal 2017. The Company's net revenue increased 14.6% on a y-o-y basis. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:
Get more of our free earnings reports coverage from other constituents of the Farm Products industry. Pro-TD has currently selected Landec Corporation (NASDAQ: LNDC) for due-diligence and potential coverage as the Company reported on September 26, 2017, its financial results for Q1 FY18 which ended on August 27, 2017. Register for a free membership today, and be among the early birds that get access to our report on Landec when we publish it.
At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on CVGW; also brushing on LNDC. With the links below you can directly download the report of your stock of interest free of charge at:
For three months ended July 31, 2017, Calavo Growers' net revenue increased 14.6% to $301.65 million from $263.15 million in Q3 FY16. The net revenue surpassed analysts' expectations of $274.16 million.
During Q3 FY17, Calavo Growers' gross profit decreased 23.8% to $24.85 million from $32.64 million in Q3 FY16. For the reported quarter, the Company's gross margin decreased 420 basis points to 8.2% of revenue from 12.4% of revenue in Q3 FY16.
For the reported quarter, Calavo Growers' selling, general, and administrative (SG&A) expenses increased 3.3% to $12.70 million from $12.29 million in Q3 FY16. The increase was primarily due to a change in presentation of broker commission which had previously been accounted for as a reduction of net sales and a one-time legal settlement in the amount of $0.4 million.
During Q3 FY17, Calavo Growers' operating income decreased 4% to $12.15 million from $20.36 million in Q3 FY16. For the reported quarter, the Company's operating margin decreased 370 basis points to 4.0% of revenue from 7.7% of revenue in Q3 FY16.
During Q3 FY17, Calavo Growers' net income decreased 3% to $8.81 million from $12.75 million in Q3 FY16. During Q3 FY17, Calavo Growers' diluted EPS decreased 31.5% to $0.50 from $0.73 in Q3 FY16. The diluted EPS was in-line with analysts' expectations of $0.50.
Calavo Growers' Segment Details
Fresh Products - During Q3 FY17, the Fresh Products segment's net revenue increased 8.1% to $168.92 million from $156.13 million in Q3 FY16. The increase was due to higher proportion of value-added avocado sales. For the reported quarter, the segment's gross profit decreased 7.2% to $16.95 million from $18.28 million in Q3 FY16. During Q3 FY17, the segment's gross margin decreased 170 basis points to 10% of revenue from 11.7% of revenue in Q3 FY16.
Calavo Foods - During Q3 FY17, the Calavo Foods segment's net revenue increased 24.3% to $20.25 million from $16.29 million in Q3 FY16. For the reported quarter, the segment's gross profit decreased 81.3% to $1.08 million from $5.80 million in Q3 FY16. During Q3 FY17, the segment's gross margin decreased 3030 basis points to 5.3% of revenue from 35.6% of revenue in Q3 FY16.
Renaissance Food Group (RFG) - During Q3 FY17, the RFG segment's net revenue increased 23.9% to $112.48 million from $90.73 million in Q3 FY16. For the reported quarter, the segment's gross profit decreased 20.2% to $6.83 million from $8.56 million in Q3 FY16. During Q3 FY17, the segment's gross margin decreased 340 basis points to 6% of revenue from 9.4% of revenue in Q3 FY16.
As on July 31, 2017, Calavo Growers' cash and cash equivalents decreased 35.9% to $8.87 million from $13.84 million in Q4 FY16.
During Q3 FY17, the Company's accounts receivable, net of allowance increased 15.8% to $81.22 million from $70.10 million in Q4 FY16.
For the reported quarter, the Company's net inventories increased 2.7% to $32.71 million from $31.85 million in Q4 FY16.
For the reported quarter, the Company's trade accounts payable increased 36.3% to $30.60 million from $22.45 million in Q4 FY16.
For FY17, Calavo Growers expects double-digit revenue growth.
On Thursday, September 28, 2017, the stock closed the trading session flat at $72.80. A total volume of 58.67 thousand shares have exchanged hands. Calavo Growers' stock price surged 5.13% in the last three months, 21.03% in the past six months, and 9.77% in the previous twelve months. Furthermore, since the start of the year, shares of the Company have rallied 18.57%. The stock is trading at a PE ratio of 35.15 and has a dividend yield of 1.24%. At Thursday's closing price, the stock's net capitalization stands at $1.29 billion.
Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email email@example.com. Rohit Tuli, a CFA® charter-holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.
For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Phone number: (917) 341.4653
Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
SOURCE: Pro-Trader Daily