Dole reported a 2.9 per cent rise in second-quarter revenue as growth across its diversified fresh produce business offset pressure in its fresh fruit division.

Revenue reached $2.5 billion for the three months to June 30, up from $2.43 billion a year earlier, while net income climbed to $35.1 million from $18 million.

However, adjusted EBITDA fell 14.8 per cent to $116.8 million, driven primarily by higher fruit sourcing costs.

The fresh produce giant said its fresh fruit division had been hit by increased sourcing and shipping costs, higher pineapple growing expenses following adverse weather, and currency pressures.

Fresh fruit revenue remained broadly flat at $972.8 million, while adjusted EBITDA dropped 30.9 per cent to $50.3 million.

Higher banana volumes in Europe and stronger banana pricing in North America were offset by lower North American banana volumes and reduced pineapple availability across markets.

Dole’s diversified fresh produce business in the Americas and rest of the world delivered stronger growth, with revenue rising 13.9 per cent to $440.1 million.

Adjusted EBITDA in the division jumped 33.8 per cent to $20.6 million, supported by higher North American volumes of kiwi and avocados alongside seasonal benefits from cherry sales.

Its Europe, Middle East and Africa division posted a 1 per cent increase in revenue to $1.11 billion, although adjusted EBITDA fell 6.2 per cent to $45.9 million.

Dole executive chairman Carl McCann said: “The quarter once again demonstrated the resilience of our diversified business model and our ability to navigate a challenging operating environment.”

The produce group maintained its target of approximately $400 million in adjusted EBITDA for the full year.

Following the end of the quarter, Dole completed the sale of its Ecuador port for expected net proceeds of around $95 million and completed its acquisition of Greenfood’s fresh produce division in Scandinavia.

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