Mission Produce reported higher revenue in the third quarter, as higher volumes of avocado sales more than offset a decline in prices.

The avocado producer on Tuesday reported a loss of $6.5 million, or 8 cents a share, compared with a profit of $14.7 million, or 21 cents a share, a year earlier.

Stripping out certain one-time items, adjusted earnings were 18 cents a share. Analysts polled by FactSet were expecting 12 cents a share.

Revenue rose 26% to $450 million, ahead of analyst expectations for $367.6 million. Avocado volumes were up 38% year-over-year, the company said, more than offsetting a 9% decrease in prices.

Chief Executive John Pawlowski attributed the results to strength in marketing and distribution, international farming, and Calavo Growers, a rival avocado grower Mission bought this year in a $483.3 million deal.

"We are also seeing the benefits of our commercial execution, with meaningful year-to-date U.S. retail market share growth for the legacy Mission business, reflecting our ability to reliably support customer programs through dynamic supply conditions," Pawlowski added.

Shares rose 7.9% to $13.88 in after-hours trading on Tuesday. The stock closed up 1.5% at $12.87, up 11% this year.

The company said it expects industry-wide avocado volumes to rise around 10% year-over-year in the current fourth quarter, along with a corresponding 10% decline in average avocado pricing.

It expects fourth-quarter adjusted earnings before interest, taxes, depreciation, and amortization of between $52 million and $55 million, including a full quarter of contributions from Calavo. The company lifted its outlook for annualized synergy opportunities with Calavo to upwards of $30 million.