Shares of produce company Calavo Growers (NASDAQ: CVGW) dropped on Wednesday after announcing it was selling a part of its business. The company also announced that the release of its quarterly financial results would be delayed, which was likely the weightier issue on investors' minds. As of 10 a.m. ET, Calavo Growers stock was down about 9%.

Calavo Growers was scheduled to release financial results for the fourth quarter of 2023 yesterday afternoon. However, an internal audit revealed that some of its operations in Mexico needed more review. Therefore, official financial results are delayed for now, although management says preliminary results show an 18% year-over-year drop in net sales.

Calavo Growers didn't report Q4 results as expected, but it unexpectedly announced that it plans to sell its Fresh Cut business. Management says it already has a non-binding deal in place that's worth $100 million. If it goes through, it could be finalized in the second quarter of 2024.

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Source Fool.com