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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