Dole plc (NYSE:DOLE) ("Dole" or the "Group" or the "Company") today released its financial results for the three months and year ended December 31, 2023.

Highlights for the year ended December 31, 2023:

Very strong full year results achieved following a year of good momentum for the Group
Revenue of $8.2 billion, an increase of 2.8%
Net income of $155.7 million, an increase of 39.3%, and Diluted EPS of $1.30
Adjusted EBITDA¹ of $385.1 million, an increase of $24.7 million, or 6.9%
Adjusted Net Income of $118.1 million and Adjusted Diluted EPS of $1.24
Free Cash Flow from Continuing Operations of $220.6 million
Net Debt of $818.3 million, a reduction of $204.2 million

Financial Highlights - Unaudited

	Three Months Ended		Year Ended
	December 31, 2023	December 31, 2022	December 31, 2023	December 31, 2022
	(U.S. Dollars in millions, except per share amounts)
Revenue	2,072	2,043	8,245	8,024
Income from Continuing Operations²	23.1	21.7	177.5	168.2
Net Income	28.9	13.4	155.7	111.8
Net Income attributable to Dole plc	22.3	6.8	124.1	86.5
Diluted EPS from Continuing Operations	0.17	0.16	1.53	1.51
Diluted EPS	0.23	0.07	1.30	0.91
Adjusted EBITDA¹	76.9	77.5	385.1	360.4
Adjusted Net Income¹	14.8	17.3	118.1	136.4
Adjusted Diluted EPS¹	0.16	0.18	1.24	1.44

¹ Dole plc reports its financial results in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"). See full GAAP financial results in the appendix. Adjusted EBIT, Adjusted EBITDA, Adjusted Net Income, Adjusted Earnings Per Share, Net Debt and Free Cash Flow from Continuing Operations are non-GAAP financial measures. Refer to the appendix of this release for an explanation and reconciliation of these and other non-GAAP financial measures used in this release to comparable GAAP financial measures.
² Fresh Vegetables results are reported separately as discontinued operations, net of income taxes, in our consolidated statements of operations, its assets and liabilities are separately presented in our consolidated balance sheets, and its cash flows are presented separately in our consolidated statements of cash flows for all periods presented. Unless otherwise noted, our discussion of our results included herein, outlook and all supplementary tables, including non-GAAP financial measures, are presented on a continuing operations basis.

Commenting on the results, Carl McCann, Executive Chairman, said:

"2023 was a year of positive development for the Group. We are very pleased with our strong full year results, delivering Adjusted EBITDA growth of 6.9% and reducing our net debt by over $200 million.

Earlier this week, we announced an agreement to sell our 65% equity stake in Progressive Produce to Arable Capital Partners. The proceeds from this sale will be used to further strengthen our financial position and increase our focus on our core activities.

We believe our business is well positioned to deliver another good result in 2024, and at this early stage of the year, our target is to deliver full year Adjusted EBITDA in line with 2023 on a like-for-like basis.

Our results in 2023 would not be possible without the efforts of our people, and we extend thanks to everyone for their continued dedication and contributions during this past year."

Group Results - Fourth Quarter

Revenue increased 1.5%, or $29.7 million, primarily due to a positive impact from foreign currency translation of $33.4 million, a net positive impact from acquisitions and divestitures of $12.2 million and an increase in revenue in the Diversified EMEA segment on a like-for-like basis³. Excluding the impact of foreign currency translation and acquisitions and divestitures, on a like-for-like basis, Group revenue decreased 0.8%, or $15.9 million, driven partially by lower revenue in the Diversified Americas segment.

Adjusted EBITDA decreased 0.8%, or $0.7 million, primarily driven by a decrease for the Fresh Fruit segment against a very strong prior year comparative, partially offset by a strong performance in the Diversified EMEA segment. On a like-for-like basis, Adjusted EBITDA decreased 2.0%, or $1.5 million.

Adjusted Net Income decreased $2.4 million, predominantly due to the decreases in Adjusted EBITDA and higher interest expense. Adjusted Diluted EPS was $0.16 compared to $0.18 in the prior year.

Group Results - Full Year

Revenue increased 2.8%, or $220.9 million, and, on a like-for-like basis, revenue increased 2.0%, or $158.3 million. The increase was driven by increases in the Diversified EMEA and Fresh Fruit segments primarily as a result of inflation-justified price increases, a positive impact from foreign currency translation of $26.7 million and a net positive impact from acquisitions and divestitures of $35.8 million. These positive impacts were partially offset by lower revenue in the Diversified Americas segment.

Adjusted EBITDA increased 6.9%, or $24.7 million, primarily due to stronger performance in the Diversified EMEA and Fresh Fruit segments, partially offset by a lower result in the Diversified Americas segment due to seasonal timing differences in the Chilean cherry season. On a like-for-like basis, Adjusted EBITDA increased 5.9%, or $21.2 million.

Adjusted Net Income decreased by $18.3 million, predominantly due to higher interest expense and tax expense, partially offset by the increases in Adjusted EBITDA as noted above and lower depreciation expense. Adjusted Diluted EPS for the year ended December 31, 2023 was $1.24 compared to $1.44 in the prior year.

³ Like-for-like basis refers to the measure excluding the impact of foreign currency translation movements and acquisitions and divestitures.

Selected Segmental Financial Information (Unaudited)

	Three Months Ended
	December 31, 2023					December 31, 2022
	(U.S. Dollars in thousands)
	Revenue			Adjusted EBITDA		Revenue			Adjusted EBITDA
Fresh Fruit	$	748,703		$	28,792	$	740,167		$	39,460
Diversified Fresh Produce - EMEA		862,865			32,638		751,594			22,656
Diversified Fresh Produce - Americas & ROW		489,761			15,427		573,936			15,396
Intersegment		(29,074	)		—		(23,129	)		—
Total	$	2,072,255		$	76,857	$	2,042,568		$	77,512

	Year Ended
	December 31, 2023					December 31, 2022
	(U.S. Dollars in thousands)
	Revenue			Adjusted EBITDA		Revenue			Adjusted EBITDA
Fresh Fruit	$	3,135,866		$	208,930	$	3,047,149		$	205,547
Diversified Fresh Produce - EMEA		3,432,945			133,570		3,152,561			111,053
Diversified Fresh Produce - Americas & ROW		1,800,168			42,618		1,965,667			43,796
Intersegment		(123,711	)		—		(140,974	)		—
Total	$	8,245,268		$	385,118	$	8,024,403		$	360,396

Fourth Quarter Commentary

Fresh Fruit

Revenue increased 1.2%, or $8.5 million, compared to the prior year quarter. The increase was primarily due to higher worldwide volumes of bananas sold, an increase in banana pricing in Europe and an increase in worldwide pricing of pineapples. These increases were offset in part by lower banana prices in North America and less worldwide volumes of pineapples sold.

Adjusted EBITDA decreased by 27.0%, or $10.7 million. The decrease was primarily due to higher fruit sourcing costs in bananas, as well as weaker performance in our commercial cargo business and other diversified products.

Diversified Fresh Produce – EMEA

Revenue increased 14.8%, or $111.3 million, primarily driven by inflation-justified price increases across the segment, a positive impact from foreign currency translation of $33.4 million due to the strengthening of the Euro and British pound sterling against the U.S. Dollar and a net positive impact from acquisitions and divestitures of $12.2 million. On a like-for-like basis, revenue increased 8.7%, or $65.7 million.

Adjusted EBITDA increased 44.1%, or $10.0 million. The increase in Adjusted EBITDA was as a result of strong performance across the segment, particularly within the Dutch, Swedish and South African businesses, as well as a net favorable impact from acquisition and divestitures of $0.4 million and a positive impact from foreign currency translation of $1.1 million. On a like-for-like basis, Adjusted EBITDA increased 37.4%, or $8.5 million.

Diversified Fresh Produce – Americas & ROW

Revenue decreased 14.7%, or $84.2 million, primarily due to lower volumes of cherries due to seasonal timing differences, as well as continued challenging performance for the berry category in North America, partially offset by inflation-justified price increases and continued strong performance for potatoes and onions in North America.

Adjusted EBITDA increased marginally by 0.2%, driven primarily by significant recoveries in profitability for apples and, to a lesser extent, kiwis, after a challenging 2022, mostly offset by the impact of seasonal timing differences in the Chilean cherry season, as well as by a challenging performance for the berry category in North America.

Full Year Commentary

Fresh Fruit

Revenue increased 2.9%, or $88.7 million, predominantly driven by higher worldwide pricing of bananas and pineapples and an increase in worldwide volumes of bananas sold, partially offset by lower worldwide volumes of pineapples sold.

Adjusted EBITDA increased 1.6%, or $3.4 million. Adjusted EBITDA was positively impacted by strong revenue performance, partially offset by higher fruit sourcing costs, an increase in materials and handling costs and lower profit from the commercial cargo business.

Diversified Fresh Produce – EMEA

Revenue increased 8.9%, or $280.4 million, primarily driven by inflation-justified price increases across the segment, a net positive impact from acquisitions and divestitures of $35.8 million and a positive impact from foreign currency translation of $33.2 million, as a result of the strengthening of the Euro and British pound sterling against the U.S. Dollar, partly offset by the weakening of the Swedish krona against the U.S. Dollar. On a like-for-like basis, revenue increased 6.7%, or $211.4 million.

Adjusted EBITDA increased 20.3%, or $22.5 million. The increase was primarily due to strong performance across the segment, particularly within the Spanish, Dutch, Czech and South African businesses, as well as a net favorable impact from acquisitions and divestitures of $1.8 million. Excluding the impact of foreign currency translation and acquisition and divestitures, Adjusted EBITDA was 17.4%, or $19.3 million, ahead of the prior year.

Diversified Fresh Produce – Americas & ROW

Revenue decreased 8.4%, or $165.5 million, primarily due to lower volumes of most commodities sold, particularly in cherries, as well as in berries, grapes and apples, partially offset by inflation-justified price increases, a strong recovery in pricing of grapes and apples after a challenging 2022 and continued strong performance for potatoes and onions in North America.

Adjusted EBITDA decreased 2.7%, or $1.2 million, primarily due to a weak performance for the North American berry business and lower profits in the Chilean cherry business due to seasonal timing differences, partially offset by strong recovery in Chilean apples and grapes after challenging seasons in 2022 and by strong trading activity for most other products that we market in North America, particularly for potatoes and onions.

Capital Expenditures

Capital expenditures for the year ended December 31, 2023 were $78.0 million and included investments in farm renovations and ongoing investments in IT, logistics and efficiency projects in our warehouses and processing facilities. This amount only includes capital expenditures from continuing operations and also excludes non-cash finance lease additions of $8.9 million for the year ended December 31, 2023.

Sales of Assets

Sales of assets for the year ended December 31, 2023 were $83.6 million, compared to $36.7 million for the year ended December 31, 2022. These sales resulted in a gain on asset sales of $54.1 million for the year ended December 31, 2023, compared to $11.8 million for the year ended December 31, 2022. The increase was driven by $44.0 million of cash proceeds received from the sale of idle land in Hawaii during the third quarter of 2023, as well as $14.0 million of cash proceeds received from the sale of a cooler in California during the fourth quarter of 2023.

Free Cash Flow from Continuing Operations and Net Debt

Free Cash Flow from Continuing Operations was $220.6 million for the year ended December 31, 2023. Free Cash Flow from Continuing Operations benefited from strong Adjusted EBITDA performance and good working capital management across the Group over the course of the year. In particular, in the fourth quarter, we benefited from a strong seasonal working capital inflow. At the end of the year, Net Debt was $0.8 billion, a reduction from $1.0 billion as of December 31, 2022.

Progressive Produce Transaction

On February 27, 2024, we entered into a stock purchase agreement with PTF Holdings, LLC, the parent company of Pacific Trellis Fruit, LLC, to sell our 65% equity stake in Progressive Produce LLC for gross cash consideration of $120.2 million. PTF Holdings, LLC is a portfolio company of Arable Capital Partners, LLC. This transaction is expected to close in March 2024, subject to the satisfaction of customary closing conditions.

Outlook for Fiscal Year 2024 (forward-looking statement)

We are pleased with the Group's exceptional performance in 2023, delivering $385.1 million of Adjusted EBITDA from continuing operations. The result gives the Group a strong starting point from which to build further momentum in the 2024 financial year.

As we move through 2024, the operating environment continues to present new challenges as well as opportunities. On the macro-economic side, we have been pleased that inflation has continued to moderate across our key operating regions. We are also pleased by the relative stability being seen in some key foreign exchange rates, energy prices and, more recently, in interest rates.

While forecasting in this environment remains complex, overall, we believe our business is well positioned to deliver another good result in 2024. Given our strong 2023 overperformance, our target at this early stage of the year is to deliver full year Adjusted EBITDA in line with 2023 on a like-for-like basis.

For fiscal year 2024, we are guiding capital expenditure from continuing operations to be in the range of $110 - $120 million.

Dividend

On February 28, 2024, the Board of Directors of Dole plc declared a cash dividend for the fourth quarter of 2023 of $0.08 per share, payable on April 4, 2024 to shareholders of record on March 21, 2024. A cash dividend of $0.08 per share was paid on January 4, 2024 for the third quarter of 2023.

About Dole plc

A global leader in fresh produce, Dole plc produces, markets, and distributes an extensive variety of fresh fruits and vegetables sourced locally and from around the world. Dedicated and passionate in exceeding our customers' requirements in over 75 countries, our goal is to make the world a healthier and a more sustainable place.

Webcast and Conference Call Information

Dole plc will host a conference call and simultaneous webcast at 08:00 a.m. Eastern Time today to discuss the fourth quarter and full year 2023 financial results. The webcast can be accessed at www.doleplc.com/investors.

The conference call can be accessed live by dialing (646) 307-1963 in the US or +353 (1) 582 2023 in Ireland and +44 20 3481 4247 for UK and other international participants. The conference ID is 2525779.

Forward-looking information

Certain statements made in this press release that are not historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on management's beliefs, assumptions, and expectations of our future economic performance, considering the information currently available to management. These statements are not statements of historical fact. The words "believe," "may," "could," "will," "should," "would," "anticipate," "estimate," "expect," "intend," "objective," "seek," "strive," "target" or similar words, or the negative of these words, identify forward-looking statements. The inclusion of this forward-looking information should not be regarded as a representation by us or any other person that the future plans, estimates, or expectations contemplated by us will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions relating to our operations, financial results, financial condition, business prospects, growth strategy and liquidity. Accordingly, there are, or will be, important factors that could cause our actual results to differ materially from those indicated in these statements. If one or more of these or other risks or uncertainties materialize, or if our underlying assumptions prove to be incorrect, our actual results may vary materially from what we may have expressed or implied by these forward-looking statements. We caution that you should not place undue reliance on any of our forward-looking statements. Any forward-looking statement speaks only as of the date on which such statement is made, and we do not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made except as required by the federal securities laws.

Appendix

Consolidated Statements of Operations - Unaudited

	Three Months Ended						Year Ended
	December 31, 2023			December 31, 2022			December 31, 2023			December 31, 2022
	(U.S. Dollars and shares in thousands, except per share amounts)
Revenues, net	$	2,072,255		$	2,042,568		$	8,245,268		$	8,024,403
Cost of sales		(1,920,077	)		(1,891,456	)		(7,551,098	)		(7,424,525	)
Gross profit		152,178			151,112			694,170			599,878
Selling, marketing, general and administrative expenses		(119,334	)		(112,934	)		(473,903	)		(436,192	)
Gain on disposal of businesses		—			(50	)		—			192
Impairment and asset write-downs of property, plant and equipment		(2,217	)		(397	)		(2,217	)		(397	)
Gain on asset sales		10,666			2,596			54,108			11,784
Operating income		41,293			40,327			272,158			175,265
Other (expense) income, net		(2,922	)		(9,165	)		4,799			10,600
Interest income		2,823			1,986			10,083			6,407
Interest expense		(18,754	)		(18,245	)		(81,113	)		(56,371	)
Income from continuing operations before income taxes and equity earnings		22,440			14,903			205,927			135,901
Income tax (expense) benefit		(2,987	)		4,106			(43,591	)		25,603
Equity method earnings		3,683			2,698			15,191			6,726
Income from continuing operations		23,136			21,707			177,527			168,230
Income (loss) from discontinued operations, net of income taxes		5,798			(8,318	)		(21,818	)		(56,447	)
Net income		28,934			13,389			155,709			111,783
Less: Net income attributable to noncontrolling interests		(6,597	)		(6,608	)		(31,646	)		(25,287	)
Net income attributable to Dole plc	$	22,337		$	6,781		$	124,063		$	86,496

Income (loss) per share - basic:
Continuing operations	$	0.18		$	0.16		$	1.54		$	1.51
Discontinued operations		0.06			(0.09	)		(0.23	)		(0.60	)
Net income per share attributable to Dole plc - basic	$	0.24		$	0.07		$	1.31		$	0.91

Income (loss) per share - diluted:
Continuing operations	$	0.17		$	0.16		$	1.53		$	1.51
Discontinued operations		0.06			(0.09	)		(0.23	)		(0.60	)
Net income per share attributable to Dole plc - diluted	$	0.23		$	0.07		$	1.30		$	0.91

Weighted-average shares:
Basic		94,929			94,899			94,917			94,886
Diluted		95,187			94,928			95,118			94,914

Consolidated Balance Sheets - Unaudited

	December 31, 2023			December 31, 2022
ASSETS	(U.S. Dollars in thousands)
Cash and cash equivalents	$	275,580		$	228,840
Short-term investments		5,899			5,367
Trade receivables, net of allowances for credit losses of $18,360 and $18,001, respectively		538,177			610,384
Grower advance receivables, net of allowances of $19,839 and $15,817, respectively		109,958			106,864
Other receivables, net of allowances of $13,227 and $14,538, respectively		117,069			132,947
Inventories, net of allowances of $4,792 and $4,186, respectively		378,592			394,150
Prepaid expenses		61,724			48,995
Other current assets		17,401			15,034
Fresh Vegetables current assets held for sale		414,457			62,252
Other assets held-for-sale		1,832			645
Total current assets		1,920,689			1,605,478
Long-term investments		15,970			16,498
Investments in unconsolidated affiliates		131,704			124,234
Actively marketed property		13,781			31,007
Property, plant and equipment, net of accumulated depreciation of $444,775 and $375,721, respectively		1,102,234			1,116,124
Operating lease right-of-use assets		340,458			293,658
Goodwill		513,312			497,453
DOLE brand		306,280			306,280
Other intangible assets, net of accumulated amortization of $134,420 and $120,315, respectively		41,232			50,990
Fresh Vegetables non-current assets held for sale		—			343,828
Other assets		109,048			142,180
Deferred tax assets, net		66,485			64,112
Total assets	$	4,561,193		$	4,591,842
LIABILITIES AND EQUITY
Accounts payable	$	670,904		$	640,620
Income taxes payable		22,917			11,558
Accrued liabilities		357,427			381,688
Bank overdrafts		11,488			8,623
Current portion of long-term debt, net		222,940			97,435
Current maturities of operating leases		63,653			57,372
Payroll and other tax		27,791			27,187
Contingent consideration		1,788			1,791
Pension and postretirement benefits		16,570			17,287
Fresh Vegetables current liabilities held for sale		291,342			199,255
Dividends payable and other current liabilities		29,892			17,698
Total current liabilities		1,716,712			1,460,514
Long-term debt, net		845,013			1,127,321
Operating leases, less current maturities		287,991			246,723
Deferred tax liabilities, net		92,653			118,403
Income taxes payable, less current portion		16,664			30,458
Contingent consideration, less current portion		7,327			5,022
Pension and postretirement benefits, less current portion		121,689			124,646
Fresh Vegetables non-current liabilities held for sale		—			116,380
Other long-term liabilities		52,295			43,390
Total liabilities	$	3,140,344		$	3,272,857
Redeemable noncontrolling interests		34,185			32,311
Stockholders' equity:
Common stock — $0.01 par value; 300,000 shares authorized and 94,929 and 94,899 shares outstanding as of December 31, 2023 and December 31, 2022, respectively		949			949
Additional paid-in capital		796,800			795,063
Retained earnings		562,562			469,249
Accumulated other comprehensive loss		(110,791	)		(104,133	)
Total equity attributable to Dole plc		1,249,520			1,161,128
Equity attributable to noncontrolling interests		137,144			125,546
Total equity		1,386,664			1,286,674
Total liabilities, redeemable noncontrolling interests and equity	$	4,561,193		$	4,591,842

Consolidated Statements of Cash Flows - Unaudited

	Year Ended
	December 31, 2023			December 31, 2022
Operating Activities	(U.S. Dollars in thousands)
Net income	$	155,709		$	111,783
Loss from discontinued operations, net of income taxes		21,818			56,447
Income from continuing operations		177,527			168,230
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		104,168			109,596
Incremental charges on purchase accounting valuation of biological assets and inventory		—			41,145
Net gain on sale of assets		(54,108	)		(11,784	)
Stock-based compensation expense		6,045			4,500
Equity method earnings		(15,191	)		(6,726	)
Amortization of debt discounts and debt issuance costs		6,390			6,213
Deferred tax benefit		(12,600	)		(31,061	)
Pension and other postretirement benefit plan expense		7,735			3,151
Dividends received from equity method investees		9,388			9,817
Other		4,268			7,164
Changes in operating assets and liabilities:
Receivables, net of allowances		58,794			55,150
Inventories		20,688			(31,685	)
Prepaids, other current assets and other assets		(27,521	)		(11,073	)
Accounts payable, accrued liabilities and other liabilities		13,022			10,975
Net cash provided by operating activities - continuing operations		298,605			323,612
Investing Activities
Sales of assets		83,557			36,676
Capital expenditures		(78,041	)		(85,564	)
Acquisitions, net of cash acquired		(1,263	)		(4,886	)
Insurance proceeds		1,054			2,278
Purchases of investments		(1,153	)		(458	)
Net sales (purchases) of investments in unconsolidated affiliates		1,013			(3,029	)
Other		57			912
Net cash provided by (used in) investing activities - continuing operations		5,224			(54,071	)
Financing Activities
Proceeds from borrowings and overdrafts		1,407,970			1,293,280
Repayments on borrowings and overdrafts		(1,576,067	)		(1,411,467	)
Payment of debt issuance costs		(44	)		(304	)
Dividends paid to shareholders		(30,373	)		(30,364	)
Dividends paid to noncontrolling interests		(28,522	)		(21,632	)
Other noncontrolling interest activity, net		(1,300	)		—
Payments of contingent consideration		(1,662	)		(2,909	)
Net cash used in financing activities - continuing operations		(229,998	)		(173,396	)
Effect of foreign currency exchange rate changes on cash		5,448			(20,712	)
Net cash used in operating activities - discontinued operations		(22,622	)		(84,720	)
Net cash used in investing activities - discontinued operations		(8,492	)		(12,434	)
Cash used in discontinued operations, net		(31,114	)		(97,154	)
Increase (decrease) in cash and cash equivalents		48,165			(21,721	)
Cash and cash equivalents at beginning of period, including discontinued operations		228,840			250,561
Cash and cash equivalents at end of period, including discontinued operations	$	277,005		$	228,840

Supplemental cash flow information:
Income tax payments, net of refunds	$	(63,969	)	$	(50,469	)
Interest payments on borrowings	$	(82,367	)	$	(53,404	)
Non-cash Investing and Financing Activities:
Accrued property, plant and equipment	$	(1,465	)	$	(488	)

Reconciliation from Net Income to Adjusted EBITDA – Unaudited

The following information is provided to give quantitative information related to items impacting comparability. Refer to the 'Non-GAAP Financial Measures' section of this document for additional detail on each item.

	Three Months Ended						Year Ended
	December 31, 2023			December 31, 2022			December 31, 2023			December 31, 2022
	(U.S. Dollars in thousands)
Net income (Reported GAAP)	$	28,934		$	13,389		$	155,709		$	111,783
(Income) loss from discontinued operations, net of income taxes		(5,798	)		8,318			21,818			56,447
Income from continuing operations (Reported GAAP)		23,136			21,707			177,527			168,230
Income tax expense (benefit)		2,987			(4,106	)		43,591			(25,603	)
Interest expense		18,754			18,245			81,113			56,371
Mark to market losses		5,450			8,868			2,524			3,049
Gain on asset sales		(9,139	)		(1,970	)		(52,495	)		(10,316	)
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		—			681			—			41,145
Cyber-related incident		—			—			5,321			—
Other items^4,5		1,833			1,053			2,918			(231	)
Adjustments from equity method investments		4,309			2,614			10,714			7,540
Adjusted EBIT (Non-GAAP)		47,330			47,092			271,213			240,185
Depreciation		24,788			25,159			93,970			98,703
Amortization of intangible assets		2,472			2,645			10,198			10,893
Depreciation and amortization adjustments from equity method investments		2,267			2,616			9,737			10,615
Adjusted EBITDA (Non-GAAP)	$	76,857		$	77,512		$	385,118		$	360,396

⁴ For the three months ended December 31, 2023, other items is primarily comprised of $1.9 million asset write-downs, net of insurance proceeds and $0.2 million of impairment charges on property, plant and equipment, partially offset by other immaterial items. For the three months ended December 31, 2022, other items is primarily comprised of $0.5 million of net losses on equity method disposals, $0.4 million of impairment charges on property, plant and equipment and other immaterial items.
⁵ For the year ended December 31, 2023, other items is primarily comprised of $3.0 million of asset write-downs, net of insurance proceeds, $0.2 million of impairment charges on property, plant and equipment, partially offset by other immaterial items. For the year ended December 31, 2022, other items is primarily comprised of $0.9 million of net legal and restructuring adjustments and $0.5 million of insurance proceeds, net of asset write-downs, partially offset by $0.5 million of net losses on equity method acquisitions and disposals, $0.4 million of impairment charges on property, plant and equipment and other immaterial items.

Reconciliation from Net Income attributable to Dole plc to Adjusted Net Income – Unaudited

	Three Months Ended						Year Ended
	December 31, 2023			December 31, 2022			December 31, 2023			December 31, 2022
	(U.S. Dollars and shares in thousands, except per share amounts)
Net income attributable to Dole plc (Reported GAAP)	$	22,337		$	6,781		$	124,063		$	86,496
(Income) loss from discontinued operations, net of income taxes		(5,798	)		8,318			21,818			56,447
Income from continuing operations attributable to Dole plc		16,539			15,099			145,881			142,943
Amortization of intangible assets		2,472			2,645			10,198			10,893
Mark to market losses		5,450			8,868			2,524			3,049
Gain on asset sales		(9,139	)		(1,970	)		(52,495	)		(10,316	)
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		—			681			—			41,145
Cyber-related incident		—			—			5,321			—
Other items^6,7		1,833			1,053			2,918			(231	)
Adjustments from equity method investments		604			662			1,956			2,580
Income tax on items above and discrete tax items		(1,709	)		(8,876	)		5,243			(50,504	)
NCI impact on items above		(1,220	)		(898	)		(3,494	)		(3,187	)
Adjusted Net Income for Adjusted EPS calculation (Non-GAAP)	$	14,830		$	17,264		$	118,052		$	136,372

Adjusted earnings per share – basic (Non-GAAP)	$	0.16		$	0.18		$	1.24		$	1.44
Adjusted earnings per share – diluted (Non-GAAP)	$	0.16		$	0.18		$	1.24		$	1.44
Weighted average shares outstanding – basic		94,929			94,899			94,917			94,886
Weighted average shares outstanding – diluted		95,187			94,928			95,118			94,914

⁶ For the three months ended December 31, 2023, other items is primarily comprised of $1.9 million asset write-downs, net of insurance proceeds and $0.2 million of impairment charges on property, plant and equipment, partially offset by other immaterial items. For the three months ended December 31, 2022, other items is primarily comprised of $0.5 million of net losses on equity method disposals, $0.4 million of impairment charges on property, plant and equipment and other immaterial items.
⁷ For the year ended December 31, 2023, other items is primarily comprised of $3.0 million of asset write-downs, net of insurance proceeds, $0.2 million of impairment charges on property, plant and equipment, partially offset by other immaterial items. For the year ended December 31, 2022, other items is primarily comprised of $0.9 million of net legal and restructuring adjustments and $0.5 million of insurance proceeds, net of asset write-downs, partially offset by $0.5 million of net losses on equity method acquisitions and disposals, $0.4 million of impairment charges on property, plant and equipment and other immaterial items.

Supplemental Reconciliation from Net Income attributable to Dole plc to Adjusted Net Income – Unaudited

	Three Months Ended December 31, 2023 (U.S. Dollars in thousands)
	Revenues, net		Cost of sales		Gross profit		Gross Margin %	Selling, marketing, general and administration expenses		Other operating charges⁸		Operating Income
Reported (GAAP)	$	2,072,255	(1,920,077	)	152,178		*7.3 %*	(119,334	)	8,449		$	41,293
(Income) loss from discontinued operations, net of income taxes		—	—		—			—		—			—
Amortization of intangible assets		—	—		—			2,472		—			2,472
Mark to market losses		—	(189	)	(189	)		—		—			(189	)
Gain on asset sales		—	—		—			—		(9,139	)		(9,139	)
Cyber-related incident		—	—		—			—		—			—
Other items		—	2,120		2,120			(34	)	—			2,086
Adjustments from equity method investments		—	—		—			—		—			—
Income tax on items above and discrete tax items		—	—		—			—		—			—
NCI impact on items above		—	—		—			—		—			—
Adjusted (Non-GAAP)	$	2,072,255	(1,918,146	)	154,109		*7.4 %*	(116,896	)	(690	)	$	36,523

⁸ Other operating charges for the three months ended December 31, 2023 is primarily comprised of a $10.7 million gain on asset sales, partially offset by $2.2 million of impairment charges and asset write-downs of property, plant and equipment, as reported in the consolidated statements of operations.

	Three Months Ended December 31, 2022 (U.S. Dollars in thousands)
	Revenues, net		Cost of sales		Gross profit		Gross Margin %	Selling, marketing, general and administration expenses		Other operating charges⁹		Operating Income
Reported (GAAP)	$	2,042,568	(1,891,456	)	151,112		*7.4 %*	(112,934	)	2,149		$	40,327
(Income) loss from discontinued operations, net of income taxes		—	—		—			—		—			—
Amortization of intangible assets		—	—		—			2,645		—			2,645
Mark to market losses		—	476		476			—		—			476
Gain on asset sales		—	—		—			—		(1,970	)		(1,970	)
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		—	681		681			—		—			681
Other items		—	(452	)	(452	)		—		961			509
Adjustments from equity method investments		—	—		—			—		—			—
Income tax on items above and discrete tax items		—	—		—			—		—			—
NCI impact on items above		—	—		—			—		—			—
Adjusted (Non-GAAP)	$	2,042,568	(1,890,751	)	151,817		*7.4 %*	(110,289	)	1,140		$	42,668

⁹ Other operating charges for the three months ended December 31, 2022 is primarily comprised of a $2.6 million gain on asset sales, partially offset by $0.4 million of impairment charges and asset write-downs of property, plant and equipment, as reported in the consolidated statements of operations.

	Three Months Ended December 31, 2023 (U.S. Dollars in thousands)
	Other (expense) income, net			Interest income	Interest expense		Income tax (expense)		Equity earnings		Income from continuing operations		Income from discontinued operations, net of income taxes
Reported (GAAP)	$	(2,922	)	2,823	(18,754	)	(2,987	)	3,683		23,136		$	5,798
(Income) loss from discontinued operations, net of income taxes		—		—	—		—		—		—			(5,798	)
Amortization of intangible assets		—		—	—		—		—		2,472			—
Mark to market losses		5,639		—	—		—		—		5,450			—
Gain on asset sales		—		—	—		—		—		(9,139	)		—
Cyber-related incident		—		—	—		—		—		—			—
Other items		(253	)	—	—		—		—		1,833			—
Adjustments from equity method investments		—		—	—		—		604		604			—
Income tax on items above and discrete tax items		—		—	—		(1,610	)	(99	)	(1,709	)		—
NCI impact on items above		—		—	—		—		—		—			—
Adjusted (Non-GAAP)	$	2,464		2,823	(18,754	)	(4,597	)	4,188		22,647		$	—

	Three Months Ended December 31, 2022 (U.S. Dollars in thousands)
	Other expense, net			Interest income	Interest expense		Income tax benefit (expense)		Equity earnings		Income from continuing operations		Loss from discontinued operations, net of income taxes
Reported (GAAP)	$	(9,165	)	1,986	(18,245	)	4,106		2,698		21,707		$	(8,318	)
(Income) loss from discontinued operations, net of income taxes		—		—	—		—		—		—			8,318
Amortization of intangible assets		—		—	—		—		—		2,645			—
Mark to market losses		8,392		—	—		—		—		8,868			—
Gain on asset sales		—		—	—		—		—		(1,970	)		—
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		—		—	—		—		—		681			—
Other items		—		—	—		—		544		1,053			—
Adjustments from equity method investments		—		—	—		—		662		662			—
Income tax on items above and discrete tax items		—		—	—		(8,777	)	(99	)	(8,876	)		—
NCI impact on items above		—		—	—		—		—		—			—
Adjusted (Non-GAAP)	$	(773	)	1,986	(18,245	)	(4,671	)	3,805		24,770		$	—

	Three Months Ended December 31, 2023 (U.S. Dollars and shares in thousands, except per share amounts)
	Net income			Net income attributable to noncontrolling interests		Net income attributable to Dole plc			Diluted net income per share
Reported (GAAP)	$	28,934		(6,597	)	$	22,337		$	0.23
(Income) loss from discontinued operations, net of income taxes		(5,798	)	—			(5,798	)
Amortization of intangible assets		2,472		—			2,472
Mark to market losses		5,450		—			5,450
Gain on asset sales		(9,139	)	—			(9,139	)
Cyber-related incident		—		—			—
Other items		1,833		—			1,833
Adjustments from equity method investments		604		—			604
Income tax on items above and discrete tax items		(1,709	)	—			(1,709	)
NCI impact on items above		—		(1,220	)		(1,220	)
Adjusted (Non-GAAP)	$	22,647		(7,817	)	$	14,830		$	0.16

Weighted average shares outstanding – diluted							95,187

	Three Months Ended December 31, 2022 (U.S. Dollars and shares in thousands, except per share amounts)
	Net income			Net income attributable to noncontrolling interests		Net income attributable to Dole plc			Diluted net income per share
Reported (GAAP)	$	13,389		(6,608	)	$	6,781		$	0.07
(Income) loss from discontinued operations, net of income taxes		8,318		—			8,318
Amortization of intangible assets		2,645		—			2,645
Mark to market losses		8,868		—			8,868
Gain on asset sales		(1,970	)	—			(1,970	)
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		681		—			681
Other items		1,053		—			1,053
Adjustments from equity method investments		662		—			662
Income tax on items above and discrete tax items		(8,876	)	—			(8,876	)
NCI impact on items above		—		(898	)		(898	)
Adjusted (Non-GAAP)	$	24,770		(7,506	)	$	17,264		$	0.18

Weighted average shares outstanding – diluted							94,928

	Year Ended December 31, 2023 (U.S. Dollars in thousands)
	Revenues, net		Cost of sales		Gross profit		Gross Margin %	Selling, marketing, general and administration expenses		Other operating charges¹⁰		Operating Income
Reported (GAAP)	$	8,245,268	(7,551,098	)	694,170		*8.4 %*	(473,903	)	51,891		$	272,158
(Income) loss from discontinued operations, net of income taxes		—	—		—			—		—			—
Amortization of intangible assets		—	—		—			10,198		—			10,198
Mark to market losses		—	(2,638	)	(2,638	)		—		—			(2,638	)
Gain on asset sales		—	—		—			—		(52,495	)		(52,495	)
Cyber-related incident		—	—		—			5,321		—			5,321
Other items		—	3,205		3,205			(34	)	—			3,171
Adjustments from equity method investments		—	—		—			—		—			—
Income tax on items above and discrete tax items		—	—		—			—		—			—
NCI impact on items above		—	—		—			—		—			—
Adjusted (Non-GAAP)	$	8,245,268	(7,550,531	)	694,737		*8.4 %*	(458,418	)	(604	)	$	235,715

¹⁰ Other operating charges for the year ended December 31, 2023 is primarily comprised of a $54.1 million gain on asset sales, partially offset by $2.2 million of impairment charges and asset write-downs of property, plant and equipment, as reported in the consolidated statements of operations.

	Year Ended December 31, 2022 (U.S. Dollars in thousands)
	Revenues, net		Cost of sales		Gross profit		Gross Margin %	Selling, marketing, general and administration expenses		Other operating charges¹¹		Operating Income
Reported (GAAP)	$	8,024,403	(7,424,525	)	599,878		*7.5 %*	(436,192	)	11,579		$	175,265
(Income) loss from discontinued operations, net of income taxes		—	—		—			—		—			—
Amortization of intangible assets		—	—		—			10,893		—			10,893
Mark to market losses		—	2,848		2,848			—		—			2,848
Gain on asset sales		—	—		—			—		(10,316	)		(10,316	)
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		—	41,145		41,145			—		—			41,145
Other items		—	(452	)	(452	)		(910	)	587			(775	)
Adjustments from equity method investments		—	—		—			—		—			—
Income tax on items above and discrete tax items		—	—		—			—		—			—
NCI impact on items above		—	—		—			—		—			—
Adjusted (Non-GAAP)	$	8,024,403	(7,380,984	)	643,419		*8.0 %*	(426,209	)	1,850		$	219,060

¹¹ Other operating charges for the year ended December 31, 2022 is primarily comprised of a $11.8 million gain on asset sales, partially offset by $0.4 million of impairment charges and asset write-downs of property, plant and equipment, as reported in the consolidated statements of operations.

	Year Ended December 31, 2023 (U.S. Dollars in thousands)
	Other income, net			Interest income	Interest expense		Income tax (expense)		Equity earnings		Income from continuing operations		Loss from discontinued operations, net of income taxes
Reported (GAAP)	$	4,799		10,083	(81,113	)	(43,591	)	15,191		177,527		$	(21,818	)
(Income) loss from discontinued operations, net of income taxes		—		—	—		—		—		—			21,818
Amortization of intangible assets		—		—	—		—		—		10,198			—
Mark to market losses		5,162		—	—		—		—		2,524			—
Gain on asset sales		—		—	—		—		—		(52,495	)		—
Cyber-related incident		—		—	—		—		—		5,321			—
Other items		(253	)	—	—		—		—		2,918			—
Adjustments from equity method investments		—		—	—		—		1,956		1,956			—
Income tax on items above and discrete tax items		—		—	—		5,643		(400	)	5,243			—
NCI impact on items above		—		—	—		—		—		—			—
Adjusted (Non-GAAP)	$	9,708		10,083	(81,113	)	(37,948	)	16,747		153,192		$	—

	Year Ended December 31, 2022 (U.S. Dollars in thousands)
	Other income, net		Interest income	Interest expense		Income tax expense		Equity earnings		Income from continuing operations		Loss from discontinued operations, net of income taxes
Reported (GAAP)	$	10,600	6,407	(56,371	)	25,603		6,726		168,230		$	(56,447	)
(Income) loss from discontinued operations, net of income taxes		—	—	—		—		—		—			56,447
Amortization of intangible assets		—	—	—		—		—		10,893			—
Mark to market losses		201	—	—		—		—		3,049			—
Gain on asset sales		—	—	—		—		—		(10,316	)		—
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		—	—	—		—		—		41,145			—
Other items		—	—	—		—		544		(231	)		—
Adjustments from equity method investments		—	—	—		—		2,580		2,580			—
Income tax on items above and discrete tax items		—	—	—		(50,097	)	(407	)	(50,504	)		—
NCI impact on items above		—	—	—		—		—		—			—
Adjusted (Non-GAAP)	$	10,801	6,407	(56,371	)	(24,494	)	9,443		164,846		$	—

	Year Ended December 31, 2023 (U.S. Dollars and shares in thousands, except per share amounts)

	Net income			Net income attributable to noncontrolling interests		Net income attributable to Dole plc			Diluted net income per share
Reported (GAAP)	$	155,709		(31,646	)	$	124,063		$	1.30
(Income) loss from discontinued operations, net of income taxes		21,818		—			21,818
Amortization of intangible assets		10,198		—			10,198
Mark to market losses		2,524		—			2,524
Gain on asset sales		(52,495	)	—			(52,495	)
Cyber-related incident		5,321		—			5,321
Other items		2,918		—			2,918
Adjustments from equity method investments		1,956		—			1,956
Income tax on items above and discrete tax items		5,243		—			5,243
NCI impact on items above		—		(3,494	)		(3,494	)
Adjusted (Non-GAAP)	$	153,192		(35,140	)	$	118,052		$	1.24

Weighted average shares outstanding – diluted							95,118

	Year Ended December 31, 2022 (U.S. Dollars and shares in thousands, except per share amounts)

	Net income			Net income attributable to noncontrolling interests		Net income attributable to Dole plc			Diluted net income per share
Reported (GAAP)	$	111,783		(25,287	)	$	86,496		$	0.91
(Income) loss from discontinued operations, net of income taxes		56,447		—			56,447
Amortization of intangible assets		10,893		—			10,893
Mark to market losses		3,049		—			3,049
Gain on asset sales		(10,316	)	—			(10,316	)
Incremental charges on biological assets and inventory related costs due to acquisition of Legacy Dole		41,145		—			41,145
Other items		(231	)	—			(231	)
Adjustments from equity method investments		2,580		—			2,580
Income tax on items above and discrete tax items		(50,504	)	—			(50,504	)
NCI impact on items above		—		(3,187	)		(3,187	)
Adjusted (Non-GAAP)	$	164,846		(28,474	)	$	136,372		$	1.44

Weighted average shares outstanding – diluted							94,914

Supplemental Reconciliation of Prior Year Segment Results to Current Year Segment Results – Unaudited

Revenue for the Three Months Ended

December 31,

2022

Impact of

Foreign

Currency

Translation

Impact of

Acquisitions

and

Divestitures

Like-for-like

Increase

(Decrease)

December 31,

2023

(U.S. Dollars in thousands)