CORAL GABLES, Fla.--(BUSINESS WIRE)--Fresh Del Monte Produce Inc. (NYSE: FDP) today reported financial results for the third quarter ended September 29, 2017. The Company reported earnings per diluted share of $0.23 for the third quarter 2017, compared with earnings per diluted share of $0.68 in the third quarter of 2016. Comparable earnings per diluted share were $0.24 in the third quarter, compared with comparable earnings per diluted share of $1.17 in the third quarter of 2016.
“While we faced a number of challenges during the third quarter, we remained firmly focused on our diversification strategy as the catalyst to further strengthen our competitive advantage,” said Mohammad Abu-Ghazaleh, Chairman and Chief Executive Officer. “During the quarter we saw strong sales growth in the other fresh produce business segment, supported by our value-added fresh-cut and avocado product lines. We also increased our penetration within new distribution channels, bringing Del Monte® branded products closer to the end consumer. However, the quarter was marked by one of the industry's worst oversupply of bananas in several years. Looking forward, we are confident we have in place the strategies and capabilities to further enhance our competitive strength to deliver growth and shareholder value over the long-term.”
Net sales for the third quarter of 2017 were $952.7 million, compared with $950.2 million in the third quarter of 2016. The increase in net sales was the result of higher net sales in the Company's other fresh produce business segment, partially offset by lower net sales in the Company's prepared food and banana business segments.
Gross profit for the third quarter of 2017 was $58.3 million, compared with $118.8 million in the third quarter of 2016. Comparable gross profit for the third quarter of 2017 was $58.6 million, compared with $118.8 million in the third quarter of 2016. The decrease in gross profit was principally due to higher fruit cost in the Company's other fresh produce business segment, lower selling prices in the Company's banana business segment, the result of significantly higher industry supply, and lower selling prices in the Company's prepared food business segment, primarily due to lower selling prices in the Company's processed pineapple product lines.
Operating income for the third quarter of 2017 was $16.7 million, compared with operating income of $44.1 million in the third quarter of 2016. Comparable operating income was $17.1 million in the third quarter of 2017, compared with comparable operating income of $69.8 million in the third quarter of 2016. The decrease was due to lower gross profit.
Net income attributable to Fresh Del Monte Produce Inc. for the third quarter of 2017 was $11.5 million, compared with net income attributable to Fresh Del Monte Produce Inc. of $35.2 million in the third quarter of 2016. Comparable net income was $11.9 million in the third quarter of 2017, compared with comparable net income of $60.9 million in the third quarter of 2016. The decrease was primarily due to lower operating income.
