Limoneira Company, a diversified citrus growing, packing, selling, and marketing enterprise with related agribusiness and real estate development operations, has released its financial results for the fiscal fourth quarter and full year ending October 31, 2024. The report highlights the company’s progress in its core agricultural activities, significant avocado production milestones, and ongoing real estate developments.
Management Comments
Harold Edwards, President and Chief Executive Officer, emphasized the company’s achievements in 2024, particularly in lemon revenue and record avocado production. “Reaching 15.1 million pounds of avocados sold this year showcases the strength of our agricultural platform and validates our strategic focus on high-value crops,” Edwards stated. He outlined the company’s plans to expand avocado production by 1,000 acres through fiscal year 2027, a move expected to significantly enhance EBITDA.
Edwards also noted advancements in the lemon segment, particularly in foodservice and quick-service restaurant channels. “We anticipate deeper market penetration in fiscal 2025, supported by third-party lemon sourcing and monetization of our water and real estate assets,” he added.
Regarding real estate, Edwards highlighted the success of the company’s Harvest at Limoneira joint venture with the Lewis Group. He also expressed optimism about planned water monetization transactions in fiscal year 2025 and ongoing strategic asset evaluations aimed at maximizing shareholder value.
Limoneira Fiscal Year 2024 Fourth Quarter Results
For Q4 2024, Limoneira reported total net revenue of $43.9 million, up from $41.4 million in the same quarter of 2023. Agribusiness revenue accounted for $42.5 million, compared to $40.1 million in Q4 2023, while other operations contributed $1.4 million, slightly above the $1.3 million recorded last year.
Lemon Segment
Fresh packed lemon sales totaled $8.4 million, down from $11.3 million in Q4 2023. The company sold approximately 470,000 cartons of U.S. packed fresh lemons at an average price of $17.95 per carton, compared to 550,000 cartons at $20.39 per carton last year. Brokered lemon sales increased to $14.6 million from $13.2 million.
Avocado Segment
Avocado revenue surged to $8.9 million in Q4 2024, with approximately 4.6 million pounds sold at an average price of $1.92 per pound. This marks a significant improvement from Q4 2023, which saw no avocado revenue.
Other Crops
Orange revenue declined slightly to $1.7 million from $1.9 million, while specialty citrus and other crops revenue fell to $3.6 million from $6.5 million. The decrease in specialty citrus was attributed to lower sales volume and reduced wine grape revenue. Farm management revenue also dipped to $2.9 million from $3.1 million.
Costs and Earnings
Total costs and expenses for Q4 2024 were $46.6 million, down from $51.1 million in the same quarter last year. Operating loss narrowed to $2.8 million from $9.7 million, while net loss applicable to common stock improved to $2.0 million, compared to $3.6 million in Q4 2023. Adjusted net loss per diluted share was $0.09, an improvement from $0.15 last year. Non-GAAP adjusted EBITDA reached $1.2 million, compared to a loss of $1.3 million in Q4 2023.
Fiscal Year 2024 Results
For the full fiscal year, Limoneira’s total net revenue was $191.5 million, up from $179.9 million in 2023. The increase was driven by strong avocado performance, partially offset by declines in lemon and specialty citrus revenues. Operating loss for the year was $6.2 million, compared to operating income of $10.8 million in 2023. Net income applicable to common stock was $7.2 million, down from $8.9 million in 2023. Adjusted net income for diluted EPS was $0.62, compared to an adjusted net loss of $0.43 in 2023.
Balance Sheet and Liquidity
Net cash provided by operating activities was $17.9 million for fiscal 2024, compared to a $15.9 million cash usage in 2023. The company’s long-term debt stood at $40.0 million as of October 31, 2024, with a net debt position of $37.6 million after accounting for $3.0 million in cash on hand. Limoneira’s real estate joint venture distributed $15.0 million to the company in June 2024, with $66.9 million in cash and cash equivalents remaining as of year-end.
Real Estate Developments
The Harvest at Limoneira project achieved significant milestones in 2024. In October 2023, Phase 1 was completed with the sale of 121 residential units. Phase 2 closed in April 2024, adding 554 residential units. To date, 1,261 units have been sold since the project’s inception. In May 2024, the Santa Paula City Council approved an increase in total residential units from 1,500 to 2,050, including an additional 250 single-family homes and 300 multi-family rental units in Phase 3.
Updated Guidance
For fiscal year 2025, Limoneira expects fresh lemon volumes to range between 5.0 and 5.5 million cartons. Avocado volumes are projected at 7.0 to 8.0 million pounds. The company remains optimistic about its diversified portfolio and strategic initiatives, which aim to build lasting shareholder value
