Peruvian agro-industrial company Camposol experienced a slight drop in sales last year, to US$119.3m (€86.7m) compared with US$122.7m (€89.2m) a year before, although the firm’s earnings rose significantly as a result of higher crop yields and cost savings.
The company, which produces and markets a range of products including avocados, mangoes, grapes, peppers and asparagus, saw its Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) increase to US$20.4m (€14.8m) from US$8.8m (€6.4m) in 2009.
In a statement, Camposol said the rise in earnings despite the fall in sales was the result of lower unitary costs that were achieved through a combination of higher yields, a reduction in variable costs and “price improvements” in avocados, peppers and asparagus.
The company also recorded its best results for the year during the final quarter of 2010, with sales reported at US$35.8m (€26m), around 9.5 per cent greater then the same quarter a year before.
During 2010, Camposol agreed a new US$60m (€43.6m) loan facility, which was used to pay off outstanding amounts to the Credit Suisse bank, as well as to finance the additional planting of 350ha of table grapes.
The company also exported its first two containers of avocados to the US in July 2010. However, although it said the fruit was marketed successfully, it revealed that tough US phytosanitary requirements would limit future volumes exported to the market, as it claimed the regulations affected the quality of the product’s consistency.
Despite this, Camposol described the long-term growth prospects for the exotic fruits and vegetables markets as being “excellent”, with good demand expected in all main markets.
