Dole reports Q3 loss of $5.3M
Produce giant Dole Food Co. missed Wall Street expectations as it saw a third-quarter loss of $5.3 million, or 6 cents a share, on revenue of $2 billion.
The loss is an improvement over third-quarter results from last year, when the Westlake Village-based food company reported a loss of $12.1 million, or 14 cents a share.
Analysts estimated that shares of the produce company would increase by 14 cents a share for the third quarter, a prediction that Dole missed by 20 cents.
“The third quarter was challenging on a number of fronts, including the continued quarantine issue between China and the Philippines, as well as adverse growing conditions and foreign exchange rates,” David DeLorenzo, the company’s president and CEO, said in the Nov. 15 earnings release. “We are pleased that despite these events, we were able to improve performance, compared to last year, in most of our operating groups.”
During the third quarter, Dole sold its packaged foods and Asia fresh businesses to Itochu Corp. for $1.7 billion in cash. “We are pleased to say that this transaction is continuing on track, including the required regulatory approval process, and we do not foresee any issues in obtaining all required regulatory approvals as well as approval of our shareholders. We remain optimistic that the sale will be completed by the end of this year,” DeLorenzo said.
Shares of Dole were down 4.5 percent to $11.61 after the earnings announcement.
