Dole (NYSE:DOLE) Releases Quarterly Earnings Results, Misses Expectations By $0.03 EPS

Key Points

• Dole missed quarterly earnings expectations, reporting EPS of $0.33 versus the $0.36 consensus estimate, though revenue still rose 11.6% year over year.
• On its conference call, the company said adjusted EBITDA came in at $100 million and reiterated a full-year goal of at least $400 million, supported by stronger demand and expected benefits later in the year.
• Profitability in the Fresh Fruit segment was pressured by higher sourcing, fuel, and currency-related costs, while Diversified Americas posted strong growth with adjusted EBITDA up 29%.

Dole (NYSE:DOLE - Get Free Report) announced its quarterly earnings results on Monday. The company reported $0.33 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.36 by ($0.03), Briefing.com reports. Dole had a net margin of 0.56% and a return on equity of 7.81%. Dole's revenue was up 11.6% on a year-over-year basis. During the same period in the previous year, the business posted $0.35 earnings per share.

Here are the key takeaways from Dole's conference call:

• Solid Q1 performance with revenue up 12% year‑over‑year and adjusted EBITDA of $100M in line with expectations, driven by strong consumer demand and favorable FX.
• Management reiterates a full‑year target of at least $400M adjusted EBITDA, expecting Q3–Q4 to benefit from bunker surcharge lags, dynamic pricing in diversified divisions, and contract price adjustments.
• Fresh Fruit profitability was pressured by elevated fruit sourcing costs, the appreciating Costa Rican colón and higher input/fuel costs (expected to peak in Q2), causing a year‑over‑year decline in adjusted EBITDA for the segment.
• Diversified Americas outperformed with adjusted EBITDA up 29%, helped by a strong Chilean cherry season, higher export volumes and synergies from the Oppy/DDNA integration.
• Capital allocation plans include routine CapEx of ~$100M, opportunistic share buybacks, a planned ~$100M automation/development investment targeting ~12–15% returns, and expected ~$75M net proceeds from the sale of the Guayaquil port.

Dole Price Performance

Shares of DOLE opened at $14.88 on Monday. The company has a 50 day moving average of $14.90 and a two-hundred day moving average of $14.76. The company has a market cap of $1.42 billion, a price-to-earnings ratio of 28.07, a price-to-earnings-growth ratio of 1.26 and a beta of 0.67. The company has a quick ratio of 0.83, a current ratio of 1.17 and a debt-to-equity ratio of 0.54. Dole has a twelve month low of $12.52 and a twelve month high of $16.57.

Dole Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, April 8th. Investors of record on Wednesday, March 18th were given a dividend of $0.085 per share. The ex-dividend date of this dividend was Wednesday, March 18th. This represents a $0.34 dividend on an annualized basis and a yield of 2.3%. Dole's dividend payout ratio is presently 64.15%.

Analyst Ratings Changes

DOLE has been the subject of several research reports. Weiss Ratings cut Dole from a "hold (c+)" rating to a "hold (c)" rating in a report on Wednesday, April 29th. Wall Street Zen downgraded shares of Dole from a "buy" rating to a "hold" rating in a research report on Saturday, March 7th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating and issued a $15.00 price target (down from $18.00) on shares of Dole in a research report on Monday, March 30th. Three analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus target price of $15.50.

Institutional Investors Weigh In On Dole

A number of large investors have recently modified their holdings of DOLE. Victory Capital Management Inc. raised its position in shares of Dole by 1.0% in the 4th quarter. Victory Capital Management Inc. now owns 4,987,681 shares of the company's stock valued at $74,765,000 after purchasing an additional 48,710 shares during the last quarter. Dimensional Fund Advisors LP grew its position in Dole by 13.7% during the 4th quarter. Dimensional Fund Advisors LP now owns 4,339,203 shares of the company's stock worth $65,044,000 after purchasing an additional 523,287 shares during the last quarter. Nuveen LLC increased its stake in Dole by 0.9% during the 4th quarter. Nuveen LLC now owns 1,643,034 shares of the company's stock valued at $24,629,000 after purchasing an additional 15,418 shares in the last quarter. Ameriprise Financial Inc. increased its stake in Dole by 2.6% during the 2nd quarter. Ameriprise Financial Inc. now owns 1,624,468 shares of the company's stock valued at $22,726,000 after purchasing an additional 41,738 shares in the last quarter. Finally, Panview Capital Ltd raised its holdings in shares of Dole by 104.6% in the fourth quarter. Panview Capital Ltd now owns 1,431,975 shares of the company's stock worth $21,465,000 after buying an additional 731,975 shares during the last quarter.

About Dole

Dole plc is a global producer, marketer and distributor of fresh fruits and vegetables. The company's product range includes bananas, pineapples, berries, grapes, salads and a variety of other fresh and packaged produce, sold under the Dole brand and through private-label arrangements. Dole's operations span the full fresh-produce value chain, from farming and sourcing to packing, ripening, cold‑chain logistics and wholesale and retail distribution, supporting both retail grocery and foodservice customers.

The company traces its commercial heritage to the early 20th century Hawaiian pineapple business founded by James Dole and has evolved through subsequent corporate restructurings and combinations.

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