Single-product concentration in avocados
Most revenue and operating leverage depend on one main crop, so supply or demand shocks hit the whole business.
- Scope
- Avocado farming, sourcing, marketing, and distribution
- Materiality
- high
Mission Produce, Inc.
Mission Produce, Inc. farms, packs, markets, and distributes avocados, with a smaller blueberry business and limited other fruit activities. The company operates a vertically integrated supply chain that spans owned orchards, third-party sourcing, packing facilities, ripening, and global distribution to retail, wholesale, and foodservice customers.
7,2 %
11,6 %
2,7 %
+12,7 %
1.95
1.35
| % | |
|---|---|
| Avocado Marketing & Distribution | 75% Sourcing fruit from growers and distributing avocados through the global network. |
| International Farming | 18% Owned orchards in Peru and Guatemala that produce avocados and some other crops, plus packing/processing services. |
| Blueberries | 5% Cultivation and harvesting of blueberries, with substantially all output sold under an exclusive marketing agreement. |
| Value-Added Services | 2% Ripening, bagging, custom packaging, merchandising support, and logistical management tied to produce distribution. |
Mission Produce sells primarily to retail, wholesale, and foodservice customers that need consistent avocado supply,...
- Retail customersprimary
Buy avocados for grocery shelves and value-added packaging; they want consistent quality, shelf life, and promotional support.
- Wholesale customersprimary
Buy in volume for redistribution and need dependable supply, pricing, and logistics across markets.
- Foodservice customerssecondary
Buy avocados for restaurants and institutional channels where timing, specification, and continuity matter.
- Third-party growers and producerssecondary
Use the company's packing, processing, and distribution capabilities to move fruit efficiently to market.
- Blueberry distributoremerging
Purchases substantially all blueberry production under an exclusive marketing agreement.
Mission Produce sources avocados mainly from Mexico, Peru, and California, with additional supply from Colombia,...
- •Supply originates mainly in Mexico, Peru, and California
- •Additional sourcing from Colombia, Guatemala, South Africa, and Chile
- •Distribution centers across North America, China, Europe, and the U.K.
- •Farming operations are principally in Peru and Guatemala
- •Packing facilities in Mexico, Peru, and California support supply chain control
The company is focused on securing year-round avocado supply through a diversified sourcing base and its own farming...
01
Grow owned farming outputmedium-term
Owned orchards improve supply control, support customer commitments, and can lift margins versus pure distribution.
02
Optimize supply chain and distribution footprintshort-term
A tighter network lowers cost, improves service levels, and helps absorb volatility in sourcing and freight.
03
Strengthen customer service and market accessmedium-term
Retail and foodservice customers value reliability, specification compliance, and promotional support.
Mission Produce is exposed to concentration risk because avocados are its main product and supply is seasonal,...
Supply chain disruption and logistics inflation
The company relies on trucking, ocean, air, rail, third-party providers, and cold-chain handling to move perishables.
- Scope
- Fuel, freight, packing, and service-provider costs
- Materiality
- high
Customer concentration
Loss or reduced purchasing by a major customer can quickly reduce sales and profits.
- Scope
- Retail, wholesale, and foodservice accounts
- Materiality
- high
Agricultural yield volatility
Weather, pests, disease, and farm productivity directly affect available volume and unit economics.
- Scope
- Owned orchards in Peru, Guatemala, and blueberries
- Materiality
- high
Trade and tariff exposure
Cross-border sourcing and distribution can be affected by tariffs and policy changes, as seen with temporary USMCA-related tariffs.
- Scope
- Mexico-to-U.S. trade and international sourcing
- Materiality
- medium
Seasonality and harvest timing
Quarterly gross profit and segment EBITDA can vary materially
Lease accounting
Operating lease liabilities and depreciation/amortization
Goodwill impairment
Potential non-cash write-downs
Facility closure and restructuring charges
Short-term margin pressure and comparability noise
Debt accounting
Net leverage and financing flexibility
: 28.4.2026