Fyffes significantly raises full year earnings forecast
Published 20/06/2015 | 02:30
Irish fruit giant Fyffes has upped its earnings estimate for the year and is now forecasting earnings before deductions to hit between €55m and €61m.
The previous estimate for earnings before interest, taxes, depreciation and amortisation (EBITDA) was for between €44m and €50m. The company took in €48.2m in EBITDA in 2014.
In a trading update the Dublin-based company said that it has performed well throughout the year.
It said the performance was "in response to significant currency headwinds and through its constant focus on operational efficiencies".
It added: "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 firm has also upped its earnings per share estimate for the year.
Whereas previously it had forecast EPS of 10-11.8 cent it is now estimating EPS of 12.2-13.9 cent.
This is the second year in which Fyffes has moved to upgrade its full-year guidance at the mid-point.
Shares in the fruit firm jumped by more than 10pc on the back of the announcement to their highest level since last July.
Earlier this year chairman David McCann ruled out a merger with another big player after the collapse of a combination with Chiquita late last year.
The much-vaunted $1bn merger between Fyffes and its American peer would have created the world's largest banana producer.