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Limoneira Q4 net revenue $33.5 million

Christian Fernsby |
Limoneira reported financial results for the fourth quarter and full fiscal year ended October 31, 2021.

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For the fourth quarter of fiscal year 2021, total net revenue was $33.5 million, compared to total net revenue of $29.8 million in the fourth quarter of the previous fiscal year.

Agribusiness revenue was $32.3 million, compared to $28.6 million in the fourth quarter of last fiscal year. Other operations revenue was flat compared to the prior year at $1.2 million for the fourth quarter of fiscal year 2021.

Agribusiness revenue for the fourth quarter of fiscal year 2021 includes $7.8 million in fresh lemon sales, compared to $13.3 million of fresh lemon sales during the same period of fiscal year 2020.

Approximately 390,000 cartons of U.S. packed fresh lemons were sold in aggregate during the fourth quarter of fiscal year 2021 at a $20.00 average price per carton compared to approximately 596,000 cartons sold at a $19.23 average price per carton during the fourth quarter of fiscal year 2020.

The decreased volume of fresh lemons partially relates to the timing of harvesting and logistical delays affecting industry. We originally expected delayed shipments of our citrus products to move from the third quarter into the fourth quarter of fiscal year 2021; however, the continuation of shipping delays and congested ports throughout the world caused a physical loss on a portion of these shipments and the balance had to be placed into different channels.

The Company expects to receive insurance compensation in the first quarter of calendar year 2022 related to the fourth quarter fruit spoilage.

The Company generated $17.4 million of brokered fruit revenue in the fourth quarter of fiscal year 2021, compared to $8.1 million in the same period last year.

Approximately 941,000 cartons of brokered fruit were sold during the fourth quarter of fiscal year 2021 at an $18.44 average price per carton compared to approximately 449,000 cartons sold at an $18.13 average price per carton during the fourth quarter of fiscal year 2020. Brokered fruit revenue is primarily comprised of packed fruit for resale where the Company is the principal in the transaction.

The Company recognized nominal avocado revenue in the fourth quarter of fiscal year 2021, compared to $0.5 million in the same period last fiscal year.

Approximately 3,000 pounds of avocados were sold in aggregate during the fourth quarter of fiscal year 2021 at a $1.36 average price per pound compared to approximately 0.5 million pounds sold at a $0.99 average price per pound during the fourth quarter of fiscal year 2020.

The reduction in avocado revenue compared to the prior year is due to the highly publicized lack of rainfall throughout California and the West Coast, which reduced the overall size of the actual avocado fruit pieces. The fruit harvest was essentially completed in the third quarter of fiscal year 2021.

The Company recognized nominal orange revenue in the fourth quarter of fiscal year 2021, compared to $0.5 million in the same period of fiscal year 2020.

The decrease is primarily attributable to pricing adjustments in the fourth quarter of fiscal year 2021 related to oranges delivered to third-party packinghouses.

Specialty citrus and other crop revenues increased to $3.2 million for the fourth quarter of fiscal year 2021, compared to $2.0 million in the same period of fiscal year 2020, primarily due to increased production of wine grapes.

Total costs and expenses for the fourth quarter of fiscal year 2021 were $40.0 million, compared to $39.3 million in the fourth quarter of last fiscal year.

Despite the temporary challenges with the Company’s supply chain, operating loss for the fourth quarter of fiscal year 2021 decreased to $6.5 million, compared to operating loss of $9.5 million in the fourth quarter of the previous fiscal year.

Net loss applicable to common stock for the fourth quarter of fiscal year 2021 was $5.0 million, compared to net loss of $7.6 million in the fourth quarter of fiscal year 2020. Net loss per diluted share for the fourth quarter of fiscal year 2021 was $0.28 compared to net loss per diluted share of $0.43 for the same period of fiscal year 2020.

Adjusted net loss for the fourth quarter of fiscal year 2021 was $4.9 million or $0.28 per diluted share, compared to the fourth quarter of fiscal year 2020 of $7.6 million or $0.43 per diluted share. A reconciliation of net loss attributable to Limoneira Company to adjusted net loss is provided at the end of this release.

Adjusted EBITDA was a loss of $3.5 million in the fourth quarter of fiscal year 2021, compared to a loss of $7.2 million in the same period of fiscal year 2020.


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