Information regarding our operations in different segments

3 Months Ended

Jan. 31, 2020

Information regarding our operations in different segments

Information regarding our operations in different segments

2. Information regarding our operations in different segments

We report our operations in three different business segments: (1) Fresh products, (2) Calavo Foods, and (3) RFG. These three business segments are presented based on how information is used by our Chief Executive Officer to measure performance and allocate resources. The Fresh products segment includes operations that involve the distribution of avocados and other fresh produce products. The Calavo Foods segment represents operations related to the purchase, manufacturing, and distribution of prepared avocado products, including guacamole, and salsa. The RFG

segment represents operations related to the manufacturing and distribution of fresh-cut fruit, fresh-cut vegetables, and prepared foods. Selling, general and administrative expenses, as well as other non-operating income/expense items, are evaluated by our Chief Executive Officer in the aggregate. We do not allocate assets, or specifically identify them to, our operating segments. Data in the following tables is presented in thousands:

	Three months ended January 31, 2020								Three months ended January 31, 2019
	Fresh		Calavo						Fresh		Calavo
	products		Foods		RFG		Total		products		Foods		RFG		Total
Avocados	$	117,884	$	—	$	—	$	117,884	$	103,995	$	—	$	—	$	103,995
Tomatoes		12,992		—		—		12,992		11,392		—		—		11,392
Papayas		2,643		—		—		2,643		2,939		—		—		2,939
Other fresh products		127		—		—		127		80		—		—		80
Prepared avocado products		—		21,800		—		21,800		—		24,252		—		24,252
Salsa		—		719		—		719		—		853		—		853
Fresh-cut fruit & veg. and prepared foods		—		—		121,470		121,470		—		—		119,541		119,541
Total gross sales		133,646		22,519		121,470		277,635		118,406		25,105		119,541		263,052
Less sales incentives		(457)		(2,036)		(535)		(3,028)		(957)		(2,034)		(477)		(3,468)
Less inter-company eliminations		(408)		(851)		—		(1,259)		(595)		(957)		—		(1,552)
Net sales	$	132,781	$	19,632	$	120,935	$	273,348	$	116,854	$	22,114	$	119,064	$	258,032

	Fresh		Calavo				Interco.
	products		Foods		RFG		Elimins.		Total
	(All amounts are presented in thousands)
Three months ended January 31, 2020
Net sales	$	133,189	$	20,483	$	120,935	$	(1,259)	$	273,348
Cost of sales		126,607		14,133		118,059		(1,259)		257,540
Gross profit	$	6,582	$	6,350	$	2,876	$	—	$	15,808
Three months ended January 31, 2019
Net sales	$	117,449	$	23,071	$	119,064	$	(1,552)	$	258,032
Cost of sales		96,591		16,327		115,829		(1,552)		227,195
Gross profit	$	20,858	$	6,744	$	3,235	$	—	$	30,837

For the three months ended January 31, 2020 and 2019, intercompany sales and cost of sales of $0.3 million and $0.5 million between Fresh products and RFG were eliminated. For the three months ended January 31, 2020 and 2019, intercompany sales and cost of sales of $0.1 million and $0.1 million between Fresh products and Calavo Foods were eliminated. For the three months ended January 31, 2020 and 2019, intercompany sales and cost of sales of $0.9 million and $1.0 million between Calavo Foods and RFG were eliminated.

Sales to customers outside the U.S. were approximately $9.6 million, and $8.4 million for the three months ended January 31, 2020 and 2019.

Long-lived assets attributed to geographic areas as of January 31, 2020 and October 31, 2019, are as follows (in thousands):

	United States		Mexico		Consolidated
January 31, 2020	$	96,565	$	34,644	$	131,209
October 31, 2019	$	98,224	$	33,874	$	132,098