Limoneira Company (LMNR) investor relations material

Executive summary

• Third quarter net revenues were $43.8 million, down from $47.5 million year-over-year, mainly due to lower lemon and brokered citrus sales after transitioning brokerage operations to Sunkist.

• Adjusted EBITDA rose to $3.9 million from $3.0 million year-over-year, driven by strong avocado volume, cost savings, and improved agribusiness operating income.

• Net loss applicable to common stock was $3.0 million ($0.17/share), compared to $1.0 million ($0.06/share) in the prior year.

• Strategic focus remains on expanding avocado production, optimizing lemon packing via the Sunkist partnership, and monetizing non-strategic assets and water rights valued over $200 million.

• Real estate development projects and organic recycling joint ventures are expected to provide significant future earnings and cash flow.

Financial highlights

• Total net revenue for Q3 FY2026 was $43.8 million, down from $47.5 million in Q3 FY2025.

• Agribusiness revenues were $42.2 million, compared to $45.9 million in the prior year.

• Adjusted EBITDA was $3.9 million, up from $3.0 million in the prior year.

• Adjusted net income for diluted EPS was $400,000 ($0.02/share), compared to an adjusted net loss of $400,000 ($0.02/share) last year.

• Net loss applicable to common stock was $3 million ($0.17/share), compared to $1 million ($0.06/share) in Q3 FY2025.

Outlook and guidance

• Fresh lemon volume guidance narrowed to the lower end of 4.0–4.25 million cartons for FY2026 due to higher imports, mainly from Argentina.

• Avocado volume guidance raised to 7–7.25 million pounds for FY2026, with a 30% increase expected in FY2027.

• Over $200 million in real estate and water rights monetization expected to begin in Q4 FY2026 and continue over several years.

• Proceeds from real estate projects expected to total $180 million over seven years.

• The company anticipates resuming dividends once incremental cash flows from strategic investments materialize.