Limoneira(US:LMNR)2025-06-09 20:02Financial Performance - Total net revenue for Q2 FY 2025 was $35.1 million, down from $44.6 million in Q2 FY 2024, reflecting a decrease of 21.5%[5] - Agribusiness revenue in Q2 FY 2025 was $33.6 million, compared to $43.3 million in the same period last year, a decline of 22.0%[5] - Total net revenues for the three months ended April 30, 2025, were $35,119,000, a decrease of 21.2% compared to $44,606,000 for the same period in 2024[34] - Agribusiness revenues for the six months ended April 30, 2025, were $66,434,000, down 18.5% from $81,596,000 in the prior year[34] - Revenues from external customers for fresh lemons in Q2 2025 were $22,652, compared to $30,841 in Q2 2024, a decrease of 26.6%[38] - Total revenues from lemon packing in Q2 2025 were $4,652, compared to $4,964 in Q2 2024, a decrease of 6.3%[38] Operating Results - Operating loss improved by 28% in Q2 FY 2025, with a loss of $3.3 million compared to a loss of $4.7 million in Q2 FY 2024[12] - Operating income for Q2 2025 was $1,878, down from $2,821 in Q2 2024, reflecting a decline of 33.4%[38] - Operating income for lemon packing in Q2 2025 was $1,722, down from $2,290 in Q2 2024, a decrease of 24.9%[38] - Total agribusiness costs and expenses for Q2 2025 were $31,704, down from $40,436 in Q2 2024, a reduction of 21.6%[38] Net Income and Loss - Adjusted net loss for diluted EPS in Q2 FY 2025 was $3.1 million or $0.17 per diluted share, compared to adjusted net income of $8.1 million or $0.44 per diluted share in Q2 FY 2024[14] - Net loss attributable to Limoneira Company for the three months ended April 30, 2025, was $3,361,000, compared to net income of $6,567,000 in the prior year[34] - The company reported a basic net loss per common share of $(0.20) for the three months ended April 30, 2025, compared to earnings of $0.36 in the same period of 2024[34] Debt and Assets - Long-term debt as of April 30, 2025, was $54.9 million, an increase from $40.0 million at the end of FY 2024[20] - Total current assets increased to $29,834,000 as of April 30, 2025, from $25,846,000 as of October 31, 2024[32] - Total liabilities rose to $103,166,000 as of April 30, 2025, compared to $96,314,000 as of October 31, 2024[32] - Cash decreased to $2,083,000 as of April 30, 2025, from $2,996,000 as of October 31, 2024[32] Revenue Growth and Projections - Avocado revenue increased to $2.8 million in Q2 FY 2025 from $2.3 million in Q2 FY 2024, representing a growth of 21.7%[8] - The average price per pound for avocados increased to $2.26 in Q2 2025 from $1.47 in Q2 2024, an increase of 53.7%[38] - The company plans to expand avocado production by an additional 500 acres through FY 2027 to meet expected consumer demand[25] - The company expects to achieve $5 million in annual selling and marketing cost savings beginning in FY 2026 due to the merger with Sunkist Growers[4] Lemon Production and Sales - Fresh packed lemon sales were $19.7 million in Q2 FY 2025, down from $25.8 million in Q2 FY 2024, a decrease of 23.7%[6] - The company anticipates fresh lemon volumes to be between 4.5 million to 5.0 million cartons for FY 2025[23] - The number of acres harvested for lemons decreased to 1,600 in Q2 2025 from 1,900 in Q2 2024, a reduction of 15.8%[38] - The number of lemon cartons sold by Limoneira decreased to 108 in Q2 2025 from 347 in Q2 2024, a decline of 68.9%[38] - Average price per carton for lemons decreased to $14.52 in Q2 2025 from $17.85 in Q2 2024, a decline of 18.8%[38] Cautionary Statements - The company cautions that actual results may differ materially from forward-looking statements due to various risks including market conditions and operational execution[30]