Core Viewpoint - Limoneira Company held its Second Quarter Fiscal Year 2025 Earnings Conference Call, discussing financial results and future outlook [1][2][3]. Financial Results - The earnings release for the second quarter of fiscal year 2025 was made available on the company's website, indicating a structured approach to investor communication [3]. - The conference call included key participants such as the President and CEO Harold Edwards and CFO Mark Palamountain, highlighting the leadership's involvement in financial disclosures [1][3]. Forward-Looking Statements - The company provided a reminder that prepared remarks may contain forward-looking statements, which are subject to various risks and uncertainties that could impact future performance [4]. - Management indicated that additional forward-looking statements might be made in response to questions during the call, emphasizing the dynamic nature of the company's outlook [4].

Financial Data and Key Metrics Changes - For the second quarter of fiscal year 2025, total net revenue was $35.1 million, down from $44.6 million in the same quarter of the previous fiscal year, representing a decline of approximately 21% [16] - Agribusiness revenue decreased to $33.6 million from $43.3 million year-over-year, primarily due to a temporarily oversupplied market causing significant pricing pressure [16][17] - The company reported a net loss applicable to common stock of $3.5 million for the second quarter, compared to a net income of $6.4 million in the same period last year [20] - Adjusted EBITDA for the second quarter was a loss of $167,000, compared to a gain of $16.6 million in the same period of the previous fiscal year [22] Business Line Data and Key Metrics Changes - Fresh packed lemon sales were $19.7 million, down from $25.8 million year-over-year, with 1.4 million cartons sold at an average price of $14.52 per carton, compared to $17.85 in the previous year [17] - Avocado revenue increased to $2.8 million from $2.3 million, with 1.2 million pounds sold at an average price of $2.26 per pound, compared to $1.47 in the previous year [18] - Orange revenue rose to $1.6 million from $1.2 million, with 92,000 cartons sold at an average price of $17.07 per carton, compared to $17.58 in the previous year [18] Market Data and Key Metrics Changes - The company expects relief from current market conditions in the second half of the year as it anticipates achieving more substantial market share and benefiting from seasonal pricing improvements [17] - The citrus sales and marketing plan with Sunkist is expected to enhance resilience to market volatility by creating a more efficient cost structure [17] Company Strategy and Development Direction - The company is merging its citrus sales and marketing operations with Sunkist Growers, which is expected to improve supply chain efficiency and reduce costs by approximately $5 million annually [6][8] - The partnership with Sunkist aims to enhance the company's citrus business model and expand access to food service and retail customers [10][12] - The company remains committed to growing its citrus business through multiple channels and enhancing long-term returns [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational enhancements and strategic initiatives that are expected to contribute to sustainable long-term shareholder value [13] - The company anticipates fresh lemon volumes to be in the range of 4.5 million to 5 million cartons for fiscal year 2025, down from previous expectations [24] - The partnership with Sunkist is expected to create a stronger operational foundation, despite a reduction in overall revenue due to the transition of the brokerage business [25] Other Important Information - Total costs and expenses for the second quarter decreased by 22% to $38.5 million compared to $49.3 million in the previous year [19] - Long-term debt increased to $54.9 million as of April 30, 2025, compared to $40 million at the end of the previous fiscal year [23] Q&A Session Summary Question: Can you elaborate on the brokered fruit business and its impact? - The brokered fruit business will be going away, but party cartons will continue to run through the facility and be reflected on the top line [30][31] Question: How should we think about the per box economics of the Sunkist deal? - The deal involves a fixed cost model for sales and marketing, which is expected to reduce costs significantly compared to previous arrangements [32][34] Question: What is the current state of the avocado harvest? - The weather has been favorable, and the strategy of delaying the harvest is expected to yield larger fruit sizes, which typically command better pricing [40][41] Question: Will any of the recent plantings contribute to increased yield by fiscal year 2026? - Early plantings are progressing well, and the company is optimistic about achieving higher yields sooner than expected [44][46]

Financial Data and Key Metrics Changes - For Q2 FY2025, total net revenue was $35.1 million, down from $44.6 million in Q2 FY2024, reflecting a decline in agribusiness revenue due to market oversupply and pricing pressure [14][15] - Adjusted EBITDA for Q2 FY2025 was a loss of $167,000 compared to a gain of $16.6 million in the same period last year [19] - Net loss applicable to common stock for Q2 FY2025 was $3.5 million, compared to net income of $6.4 million in Q2 FY2024 [18] Business Line Data and Key Metrics Changes - Agribusiness revenue for Q2 FY2025 was $33.6 million, down from $43.3 million in the same period last year, primarily due to lower fresh lemon sales [14][15] - Fresh packed lemon sales were $19.7 million in Q2 FY2025, compared to $25.8 million in Q2 FY2024, with an average price per carton dropping from $17.85 to $14.52 [15] - Avocado revenue increased to $2.8 million in Q2 FY2025 from $2.3 million in Q2 FY2024, with an average price per pound rising from $1.47 to $2.26 [16] Market Data and Key Metrics Changes - The company expects relief from current market conditions in the second half of the year as it gains market share and benefits from seasonal pricing improvements [15] - The citrus sales and marketing plan with Sunkist is anticipated to enhance resilience to market volatility and improve cost structure [15][23] Company Strategy and Development Direction - The company is merging its citrus sales and marketing operations with Sunkist Growers, which is expected to save approximately $5 million annually in selling and marketing expenses and improve EBITDA by the same amount [6][7] - The partnership with Sunkist aims to enhance operational capabilities and create a unified system to serve food service and retail customers more effectively [9][10] - The company remains committed to growing its citrus business and expanding avocado production while advancing real estate development and water monetization initiatives [12][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational enhancements and strategic initiatives that will contribute to sustainable long-term shareholder value [12][25] - The company anticipates fresh lemon volumes for FY2025 to be between 4.5 million to 5 million cartons, down from previous estimates, while avocado volumes are expected to remain stable [22][23] - Management highlighted the importance of the partnership with Sunkist in strengthening the citrus business model and improving operational foundations [23][24] Other Important Information - Total costs and expenses for Q2 FY2025 decreased by 22% to $38.5 million compared to $49.3 million in the same period last year [17] - Long-term debt as of April 30, 2025, was $54.9 million, up from $40 million at the end of FY2024 [20] Q&A Session Summary Question: Can you elaborate on the Sunkist deal and its impact on revenue? - Management confirmed that the brokered fruit business will be phased out, but party cartons will continue to run through their facility [26][27] Question: What are the per box economics of the Sunkist partnership? - The partnership will transition to a fixed cost model for sales and marketing, reducing costs and improving margins due to streamlined operations [28][29] Question: How is the avocado harvest expected to perform this year? - Management indicated favorable weather conditions and a strategy to delay harvest for better fruit size and pricing [34][35] Question: Will there be an increase in avocado yield from recent plantings? - Early plantings are ahead of schedule, with expectations for increased yield by FY2026 [38]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For The Quarterly Period Ended April 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For The Transition Period From To Commission File Number: 001-34755 LIMONEIRA COMPANY (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or ...

Limoneira Company Announces Second Quarter Fiscal Year 2025 Financial Results Company Announces Plan to Merge Citrus Sales and Marketing into Sunkist Growers; Expected to Generate $5 Million in Annual Selling and Marketing Cost Savings and EBITDA Improvement Beginning Fiscal Year 2026 Operating Loss Improved 28% in Second Quarter of Fiscal Year 2025 Compared to Prior Year Exhibit 99.1 Avocado Business Continued to Deliver Strong Pricing Performance in Second Quarter of Fiscal Year 2025 Company Reiterates Av ...

Today, we are checking back in on our long-term house position in Limoneira Company (NASDAQ: LMNR ). The stock is likely to head lower this year for two reasons. First, tariff fears, and second, avocado production thisLooking for great setups in this market selloff? We have them at BAD BEAT InvestingEnjoy expected rapid-returns with our strategy to advance your savings and retirement timeline by embracing a blended trading and income approach!With the selloff, join now and save 20% off right NOW through thi ...

Financial Data and Key Metrics Changes - Total net revenue for Q1 2025 was $34.3 million, down from $39.7 million in Q1 2024, reflecting a decline of approximately 11% [25] - Agribusiness revenue decreased to $32.9 million from $38.3 million year-over-year, a decline of about 14% [25] - Total costs and expenses decreased by 16% to $39.7 million compared to $47.5 million in the previous year [32] - Operating loss improved to $5.3 million from $7.7 million, a reduction of approximately 31% [32] - Net loss applicable to common stock was $3.2 million, compared to $3.7 million in Q1 2024 [32] - Adjusted EBITDA improved to a loss of $2.3 million from a loss of $4.8 million year-over-year [33] Business Line Data and Key Metrics Changes - Fresh packed lemon sales were $21.2 million, down from $23.9 million, with 1,147,000 cartons sold at an average price of $18.44 per carton compared to $21.06 in the prior year [27] - Avocado revenue was $162,000 in Q1 2025, a new revenue stream compared to no revenue in Q1 2024, with 73,000 pounds sold at an average price of $2.25 per pound [28] - Orange revenues increased to $1.6 million from $1.1 million, with 75,000 cartons sold at an average price of $20.91 per carton [28] - Specialty citrus and wine grape revenue decreased to $0.5 million from $1.1 million, with no wine grape revenue recorded in Q1 2025 [30] Market Data and Key Metrics Changes - The lemon market faced temporary oversupply, leading to downward pricing pressure, which is expected to persist through Q2 2025 [26] - The company anticipates a strengthening of the lemon business in the second half of the year due to seasonal pricing improvements and reduced imports from Spain [13] Company Strategy and Development Direction - The company is focusing on transforming its business model to an asset-lighter approach, optimizing revenue mix, and expanding avocado production [9][11] - Strategic investments in citrus and avocado markets are aimed at diversifying revenue streams and enhancing long-term operational and financial outlook [11][26] - The company plans to expand avocado production by 1,000 acres through fiscal year 2027 to meet consumer demand [18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the EBITDA outlook and the potential for additional asset monetization gains in fiscal year 2025 [38] - The company is confident in its ability to navigate market volatility and expects to receive $165 million from its joint ventures over the next six fiscal years [37] Other Important Information - The company successfully monetized water pumping rights for $1.5 million, contributing positively to its financial results [12][34] - A revised flood zone map approved by FEMA is expected to enhance interest in residential and commercial real estate in affected areas [20][21] Q&A Session Summary Question: Inquiry about Water right transaction volume - Management explained that the volume of 58 acre feet was based on opportunistic demand and benchmarked against local development rates [43][45] Question: Future water transactions and partnerships - Management indicated that both existing and new partners are being explored for future water monetization opportunities [47][48] Question: Expansion potential in avocado production - Management noted the feasibility of expanding avocado acreage by 250 to 500 additional acres, contingent on environmental conditions [51][53] Question: Market dynamics for avocado growth - Management discussed the limitations of nursery stock availability and the geographical constraints for avocado cultivation in California [59][58]

分组1 - Limoneira reported a quarterly loss of $0.14 per share, better than the Zacks Consensus Estimate of a loss of $0.24, and compared to a loss of $0.18 per share a year ago, resulting in an earnings surprise of 41.67% [1] - The company posted revenues of $34.31 million for the quarter ended January 2025, missing the Zacks Consensus Estimate by 17.14%, and down from $39.73 million year-over-year [2] - Limoneira has surpassed consensus EPS estimates four times over the last four quarters, but has only topped consensus revenue estimates once in the same period [2] 分组2 - The stock has underperformed, losing about 13.1% since the beginning of the year, compared to the S&P 500's decline of 5.3% [3] - The current consensus EPS estimate for the coming quarter is $0.09 on revenues of $51.4 million, and $0.11 on revenues of $204.6 million for the current fiscal year [7] - The Agriculture - Operations industry, to which Limoneira belongs, is currently in the bottom 14% of over 250 Zacks industries, indicating potential challenges for stock performance [8]

Financial Performance - Total net revenues for Q1 2025 were $34.3 million, a 14% decrease from $39.7 million in Q1 2024, primarily due to lower agribusiness revenues from lemons and specialty citrus [127][130]. - Operating loss for Q1 2025 was $5.3 million, an improvement from a loss of $7.7 million in Q1 2024 [127]. - Total costs and expenses for Q1 FY2025 were $39.7 million, a 17% decrease from $47.5 million in Q1 FY2024 [133]. - Fresh lemons segment revenue decreased by 13% to $23.7 million in Q1 FY2025 from $27.4 million in Q1 FY2024 [143]. - Lemon packing segment revenue decreased by 4% to $11.8 million in Q1 FY2025 from $12.3 million in Q1 FY2024 [144]. - Agribusiness costs and expenses decreased by 14% to $33.5 million in Q1 FY2025 from $39.1 million in Q1 FY2024 [133]. - Gain on sales of water rights was $1.5 million in Q1 FY2025, attributed to three separate transactions [136]. - Selling, general and administrative costs decreased by 12% to $6.5 million in Q1 FY2025 from $7.3 million in Q1 FY2024 [137]. - Estimated income tax benefit for Q1 FY2025 was $2.4 million on a pre-tax loss of $5.5 million [138]. - Other agribusiness segment revenues decreased by 18% to $4.4 million in Q1 FY2025 from $5.4 million in Q1 FY2024 [149]. - Corporate and other operations revenues increased slightly to $1.5 million in Q1 FY2025 from $1.4 million in Q1 FY2024 [150]. - Total net revenues increased by $4.3 million to $186.1 million for the trailing twelve months ended January 31, 2025, compared to $181.7 million in 2024, driven primarily by higher avocado revenue [153]. - Total costs and expenses decreased by $14.7 million to $189.9 million, mainly due to reduced agribusiness costs and increased gains on sales of water rights [153]. - Operating loss improved to $3.8 million for the trailing twelve months ended January 31, 2025, compared to a loss of $22.8 million in 2024 [153]. - Net income attributable to Limoneira Company was $8.2 million for the trailing twelve months ended January 31, 2025, compared to a net loss of $9.8 million in 2024 [153]. - Net cash used in operating activities was $12.9 million for the three months ended January 31, 2025, compared to $10.3 million in 2024 [158]. - Net cash provided by financing activities increased to $14.5 million for the three months ended January 31, 2025, up from $8.8 million in 2024, primarily due to net borrowings of long-term debt [166]. - The company reported a decrease in operating loss of $2.4 million for the three months ended January 31, 2025, compared to the same period in 2024 [159]. Agribusiness Operations - Agribusiness revenues decreased by $5.5 million to $32.9 million in Q1 2025, with lemon revenues dropping 14% to $28.3 million, attributed to lower prices of fresh lemons sold [130][131]. - The average price per carton of fresh lemons sold decreased from $21.06 in Q1 2024 to $18.44 in Q1 2025, despite selling 1,147,000 cartons in 2025 compared to 1,137,000 cartons in 2024 [131]. - The agribusiness division is affected by seasonal fluctuations, with higher cultural costs in the first two quarters and peak harvest costs in the third quarter [116]. - The company has a 51% interest in a joint venture, Trapani Fresh, which operates a lemon orchard in Argentina [111]. Strategic Initiatives - The company plans to expand avocado production by 1,000 acres by fiscal year 2027 to meet increasing consumer demand [118]. - The company is exploring strategic alternatives to maximize stockholder value, including potential sales or mergers, with no set timetable for completion [125]. Cash Management - As of January 31, 2025, outstanding borrowings under the AgWest Farm Credit Facility were $57.8 million, with $57.2 million of availability remaining [162]. - The company expects cash flows from operations and available borrowing capacity to be sufficient to meet capital expenditures and working capital needs for the next 12 months [157]. - Cash dividends declared for the three months ended January 31, 2025, were $0.075 per common share, totaling $1.4 million [164].

Financial Performance - Total net revenue for the first quarter of fiscal year 2025 was $34.3 million, down 13.7% from $39.7 million in the same period last year[3] - Total net revenues for the three months ended January 31, 2025, were $34.305 million, a decrease of 13.1% from $39.731 million in the same period of 2024[28] - Agribusiness revenue decreased to $32.9 million from $38.3 million year-over-year, with fresh packed lemon sales dropping to $21.2 million from $23.9 million[4][3] - Agribusiness segment revenues decreased to $32.852 million from $38.339 million, reflecting a decline of 14.3% year-over-year[32] Loss and Improvement - Operating loss improved by 31% to $5.3 million compared to a loss of $7.7 million in the first quarter of fiscal year 2024[10] - Operating loss for the three months ended January 31, 2025, was $5.346 million, an improvement from a loss of $7.745 million in the prior year[28] - Net loss applicable to common stock was $3.2 million, a slight improvement from $3.7 million in the prior year, resulting in a net loss per diluted share of $0.18 compared to $0.21[11] - Adjusted net loss for diluted EPS was $2.5 million or $0.14 per diluted share, compared to $3.2 million or $0.18 per diluted share in the same period last year[12] - Net loss attributable to Limoneira Company for the three months ended January 31, 2025, was $3.074 million, compared to a net loss of $3.585 million in the same period of 2024[31] - Basic net loss per common share for the three months ended January 31, 2025, was $0.18, an improvement from $0.21 in the same period of 2024[28] - Adjusted EBITDA for the three months ended January 31, 2025, was a loss of $2.294 million, compared to a loss of $4.833 million in the same period of 2024, indicating a 52.6% improvement[30] Assets and Liabilities - Total current assets increased to $28.469 million as of January 31, 2025, from $25.846 million as of October 31, 2024, representing an increase of 10.1%[26] - Total liabilities increased to $104.016 million as of January 31, 2025, compared to $96.314 million as of October 31, 2024, reflecting an increase of 7.1%[26] - Cash decreased significantly to $1.133 million as of January 31, 2025, from $2.996 million as of October 31, 2024, a decline of 62.3%[26] Future Expectations - The company expects fresh lemon volumes to be between 5.0 million and 5.5 million cartons and avocado volumes to be between 7.0 million and 8.0 million pounds for fiscal year 2025[18] - The company plans to expand avocado production by 1,000 acres through fiscal year 2027 to meet expected consumer demand[20] - The company anticipates total proceeds of $180 million from Harvest, LLCB II, LLC, and East Area II over seven fiscal years, with approximately $15 million expected in fiscal year 2024[18] Other Transactions - The company sold water pumping rights for total proceeds of $1.7 million, recording a gain of $1.5 million from these transactions[17] - The company reported a total of 17,791 weighted-average common shares outstanding for diluted EPS for the three months ended January 31, 2025, compared to 17,627 in the same period of 2024[31]