Dole's Q2 2025 Earnings Call: Navigating Contradictions in Fresh Vegetables Strategy, Tariffs, and Supply Chain Challenges

Fresh Vegetables strategy and performance, tariff impacts and pricing strategy, supply chain and production forecasts, cost management and price pass-through, tariff and trade dynamics are the key contradictions discussed in Dole plc's latest 2025Q2 earnings call.



Strong Financial Performance:
- Dole plc reported a 14.3% increase in group revenue to $2.4 billion and a 9.3% increase in adjusted EBITDA to $137 million in Q2 2025.
- The growth was driven by strong performance in the Diversified Fresh Produce segments and good growth in Fresh Fruit, despite short-term challenges.

Sale of Fresh Vegetable Division:
- The company completed the sale of its Fresh Vegetable division to Arable Capital Partners, which was a strategic priority since 2023.
- This move aims to concentrate efforts and investments on core business activities, and it was a great outcome for all stakeholders.

Impact of Global Macro and Supply Chain Disruptions:
- Tighter supply conditions in Fresh Fruit continued into Q3, impacting sourcing costs due to factors such as Tropical Storm Sara and disruptions like the Chiquita issue in Panama.
- Despite these challenges, Dole's production and sourcing teams continue to mitigate costs and meet strong customer demand.

Divisional Strength in Diversified EMEA and Americas:
- The Diversified EMEA segment had a strong start to the year, with adjusted EBITDA increasing by 15% in Q2, driven by revenue growth in key markets and favorable FX impacts.
- The Diversified Americas segment delivered an excellent Q2, with a 27% increase in adjusted EBITDA, supported by strong performance in the Southern Hemisphere export business and good growth in North America.