Alico (ALCO) 28th Annual ICR Conference 2026 summary

Strategic transformation and rationale

• Shifted focus from citrus production to real estate due to unsustainable economics from citrus greening disease and rising costs.

• Conducted a comprehensive review of 50,000+ acres, identifying 25% for potential residential or commercial development.

• Developed detailed plans for each acre, considering infrastructure trends and population movement.

• Retained agricultural operations on all land, increasing leasing activities to generate diversified revenue.

• Prioritized value creation through land repurposing, with 25% targeted for development.

Progress on entitlement and development projects

• Main focus on efficient entitlement process for development acres, leveraging local professionals.

• Corkscrew Grove Village Project in Collier County aims for 9,000 homes and includes a 1,200-acre wildlife corridor.

• County-level fiscal impact study completed; planning commission and county commission reviews expected by April, with state and federal approvals targeted for 2026–2027.

• Bonnet Lake project in Highlands County progressing with community outreach and public hearings scheduled for Q1 and Q2.

• Conservation efforts include designating 7,000 acres for preservation in exchange for development rights on 3,000 acres.

Financial performance and capital allocation

• Asset present value estimated between $650–$750 million, with a market cap of $280 million.

• Achieved $23–$24 million in land sales last year, with $34 million in assets currently held for sale.

• Stock price rose 40% last year, the best performance in 65 years, attributed to clear communication and strategic execution.

• Maintains a common dividend and a $50 million share buyback program through 2028, with potential for tender offers if large asset sales occur.

• Reduced net debt from over $210 million to $48 million, with a $38 million cash balance at fiscal year-end.