Mission Produce Targets $4B Sales, $450M EBITDA by 2035 at Investor Day

Key Points

• Mission Produce targets $4 billion in sales and $450 million in adjusted EBITDA by 2035, implying roughly a doubling of sales and tripling of earnings power from its current base.
• The company raised expected annualized Calavo acquisition synergies to more than $30 million and expects fiscal 2026 second-half adjusted EBITDA of $84 million to $88 million, while targeting leverage below 1.5 times net debt to adjusted EBITDA.
• Growth initiatives include expanding fresh avocados internationally, scaling higher-margin prepared foods and developing the U.S. mango market; Mission is targeting mid-single-digit organic sales growth, high-single-digit-plus EBITDA growth and about 300 basis points of margin expansion over the next five years.

Mission Produce NASDAQ: AVO outlined a long-term growth strategy centered on expanding its avocado leadership, scaling higher-margin prepared foods, developing its mango business and converting a period of heavy investment into stronger cash flow and shareholder returns.

At its 2026 Investor Day, President and CEO John Pawlowski said the company’s ambition for 2035 is to reach $4 billion in sales and $450 million in adjusted EBITDA. The targets imply doubling sales and tripling earnings power from the company’s current base, according to Pawlowski.

“Mission was built to lead. We’re now ready to compound,” Pawlowski said, describing the company’s next phase as one focused on generating more growth, earnings, cash flow and shareholder returns from its existing infrastructure and commercial capabilities.

Calavo integration and fiscal 2026 outlook

Mission said its acquisition of Calavo has expanded its sourcing, packing, customer and prepared-food capabilities. The company raised its expected annualized synergy target from $25 million to more than $30 million, citing greater-than-expected sourcing price-harmonization savings, the elimination of certain broker services and distribution-network optimization.

The company expects the savings to reach a full annualized run rate within 18 months of the acquisition’s close. It expects approximately $5.4 million of annualized savings from consolidating overlapping infrastructure, improving network utilization and moving more volume through company-owned facilities.

Mission also said it sees a path to reducing its leverage ratio by at least 0.5 point by the end of fiscal 2027. It reaffirmed expectations for second-half fiscal 2026 adjusted EBITDA of $84 million to $88 million, including $52 million to $55 million in the fourth quarter. Its Mission Peru exportable-volume outlook remains 120 million to 130 million pounds for the second half, including 67 million to 77 million pounds in the fourth quarter.

Fresh avocado strategy targets growth above market

Senior Vice President of Sales and Marketing Brooke Becker said the U.S. avocado category represented $5.9 billion in sales in 2025. Following the Calavo combination, Mission estimates it holds a 27% share of that market.

Becker said Mission expects the U.S. avocado category to continue growing at a mid-single-digit rate over the next five years and is targeting growth at a mid-single-digit rate above the market. The company cited nutrition trends, demographic growth among Hispanic households, increasing engagement from Gen Z consumers and growth opportunities in breakfast and snacking as category tailwinds.

Mission said its estimated U.S. volume share increased more than 200 basis points between fiscal 2018 and fiscal 2025. The company attributed its position to its grower relationships, multi-origin sourcing, company-owned production, ripening operations and AvoIntel category-management platform.

Internationally, Mission identified Europe and Asia as a $6.4 billion addressable avocado market where its current share is approximately 3%. The company is targeting high-single-digit sales growth in international avocados above expected market growth over the next five years. It pointed to the U.K. as a model, where its avocado volumes increased nearly fourfold during the past three years.

Prepared foods and mango provide additional growth platforms

Pawlowski described prepared foods as Mission’s most direct higher-margin extension of the avocado category. The company estimates the global processed avocado market at approximately $2.7 billion, including guacamole, mashed avocado, oils, frozen avocado and sauces. Mission’s current share is about 3%.

Processed avocado sales have grown at a 7% compound annual rate over the last five years, according to Mission. The company said prepared foods generate an estimated 1,300 basis points more gross margin than its legacy business and that the segment can benefit from Mission’s existing customer relationships, supply network and cold-chain distribution operations.

Mission operates approximately 100,000 square feet of prepared-food manufacturing capacity that can support $140 million in annual sales, Pawlowski said. The company is targeting high-single-digit prepared-food sales growth above the market over the next five years.

The company also identified mango as its next fresh-category expansion opportunity. Mission estimates the U.S. mango market at $900 million in 2025 and said it currently holds a 6% share. It is targeting high-single-digit U.S. mango sales growth above market growth over the next five years.

Mission said U.S. mango consumption is about 4 pounds per person, compared with 11 pounds across major global markets. It intends to apply its sourcing, ripening, cold-chain and category-management capabilities to develop the category, citing bagged mango programs as an example of product innovation that increased category volume without reducing bulk mango sales at one retailer.

Financial framework emphasizes margins, cash conversion and deleveraging

CFO Bryan Giles said Mission is targeting mid-single-digit organic sales growth and high-single-digit-plus adjusted EBITDA growth over the next five years. The company expects approximately 300 basis points of margin expansion over that period, or about 60 basis points annually.

Giles identified four primary margin drivers:

• Growth in higher-margin prepared foods;
• More than $30 million of annualized Calavo synergies;
• Improved utilization across Mission’s supply chain and farming operations; and
• Sales growth that outpaces selling, general and administrative expense growth.

The company is targeting free-cash-flow conversion above 90% of net income over time and capital expenditures of about 3% of sales, below its 2020-2025 average. Mission’s near-term capital allocation priority is to reduce net debt to adjusted EBITDA to below 1.5 times.

Beyond that leverage target, Mission said it may pursue disciplined acquisitions, partnerships and share repurchases. The company has a $100 million repurchase authorization and said it would use buybacks when valuation, balance-sheet conditions and cash outlook support them.

Mission said its operating plan, potential M&A and share repurchases are intended to support high-single-digit to double-digit annual shareholder returns over time.

About Mission Produce (NASDAQ:AVO)

Mission Produce, Inc is a global avocado sourcing, distribution and marketing company headquartered in Oxnard, California. The company supplies fresh avocados to retailers, foodservice operators, wholesalers and other customers, managing activities that include procurement, quality control, ripening, packaging and distribution.

Mission Produce sources avocados from growing regions in North and South America and other international markets. Its operations are supported by ripening and distribution facilities designed to provide customers with avocados at different stages of readiness.

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