Fyffes raises earnings targets for second straight year

Fruit distributor Fyffes has raised its earnings targets for the year in light of price increases in its main banana markets and another strong melon season.

The company increased its full-year ebitda (earnings before interest, taxes, depreciation, and amortisation) guidance from €36-42 million to €44-50 million, an upgrade of 21 per cent.

This is the second year Fyffes has moved to upgrade its full-year guidance at the mid-point.

In a statement, the company said: “Fyffes has continued to perform well in the year to date including securing necessary increases in selling prices in the banana and pineapple categories in response to significant currency headwinds and through its constant focus on operational efficiencies.”

“ This demonstrates the group’s robust business model and its ability to quickly adapt to prevailing market conditions,” it said, noting it also had another strong performance in the recently ended US melon import season.

“Fyffes is confident about the future prospects of its business and is well placed to compete strongly in its key markets, following important strategic and operational developments in recent years. The group also remains focused on achieving further efficiencies in its operations,” the company added.