Limoneira Company (LMNR) Q4 2024 earnings summary

Executive summary

• Net revenue for fiscal year 2024 grew 6% year-over-year to a record $191.5 million, driven by record $25.1 million avocado sales and improved pricing in fresh lemons and avocados.

• Achieved guidance for both avocado (15.1 million pounds sold) and lemon volumes; strategic focus on avocado acreage expansion and foodservice penetration for lemons.

• Strategic alternatives exploration to maximize stockholder value is ongoing, with strong interest in asset monetization and real estate development.

• Real estate joint ventures delivered significant milestones, including completion of phase two lot sales and city approval for a 37% increase in residential units.

Financial highlights

• Fourth quarter net revenue increased 6% year-over-year to $43.9 million; agribusiness revenue rose to $42.5 million.

• Adjusted EBITDA for Q4 was $1.2 million, up from a loss of $1.3 million in Q4 2023.

• Full-year adjusted net income per diluted share was $0.62, compared to an adjusted net loss per diluted share of $0.43 last year.

• Net debt as of October 31, 2024, was $37.6 million, offset by $33.5 million in JV cash.

• Fiscal year 2024 net income applicable to common stock was $7.2 million ($0.40 per share), down from $8.9 million ($0.50 per share) in 2023.

Outlook and guidance

• Fiscal 2025 guidance: fresh lemon volumes of 5–5.5 million cartons and avocado volumes of 7–8 million pounds, with lower avocado volume expected due to alternate-bearing cycles.

• Plans to expand avocado production by 1,000 acres through 2027, targeting 30 million pounds annually by 2029.

• Expectation of $180 million in real estate proceeds over seven years, with $15 million received in 2024.

• 1,000 acres of non-bearing lemons and avocados expected to become fully bearing in 4–5 years, supporting organic growth.