Limoneira Company Announces Third Quarter Fiscal Year 2025 Financial Results

SANTA PAULA, Calif.--( BUSINESS WIRE)--Limoneira Company (the “Company” or “Limoneira”) (Nasdaq: LMNR), a diversified citrus growing, packing, selling and marketing company with related agribusiness activities and real estate development operations, today reported financial results for the third quarter ended July 31, 2025.

Management Comments

Harold Edwards, President and Chief Executive Officer of the Company, stated, “We continue to make strides in unlocking long-term value in our two-part value creation strategy: agriculture production and land and water monetization. Regarding our agriculture production, the lemon market continued to face pricing pressure during the first two months of the third quarter and our fresh utilization was lower due to holding lemons in storage longer to capture higher prices during the final month of the quarter. Avocado pricing and volume were on plan, and we expect to achieve volume goals for both lemons and avocados in fiscal 2025.”

Mr. Edwards continued, “As we enter the fourth quarter and begin to turn our attention to fiscal 2026, we are very excited about many profitable growth opportunities. We expect avocado production to improve in the coming years as newly planted acreage matures, and we expect lemons to return to profitability with more normalized lemon prices and fresh utilization levels in fiscal 2026. Our new strategic partnership with Sunkist for citrus sales and marketing is expected to drive $5 million in annual cost savings and EBITDA enhancement starting in fiscal 2026, while unlocking access to new, high-quality customers. Our Harvest at Limoneira project continues to sell homes ahead of schedule and we believe we are in a good position to divest additional land assets in fiscal 2026. Additionally, today we announced our plans to explore options for our Limco Del Mar property. This property has the opportunity for developing new residential neighborhoods complementing the surrounding neighborhoods and expanding the housing available in Ventura.”

Fiscal Year 2025 Third Quarter Results

For the third quarter of fiscal year 2025, total net revenues were $47.5 million, compared to total net revenues of $63.3 million in the third quarter of the previous fiscal year. Agribusiness revenues were $45.9 million, compared to $61.8 million in the third quarter of last fiscal year. Other operations revenue was $1.5 million for the third quarter of fiscal years 2025 and 2024.

Agribusiness revenue in the third quarter of fiscal year 2025 includes $23.8 million in fresh packed lemon sales, compared to $25.8 million of fresh packed lemon sales during the same period of fiscal year 2024. Approximately 1,397,000 cartons of U.S. packed fresh lemons were sold in aggregate during the third quarter of fiscal year 2025 at a $17.02 average price per carton, compared to approximately 1,400,000 cartons sold at an $18.43 average price per carton during the third quarter of fiscal year 2024. Brokered lemons and other lemon sales were $3.8 million and $9.8 million in the third quarter of fiscal years 2025 and 2024, respectively.

The Company recognized $8.5 million of avocado revenue in the third quarter of fiscal year 2025, compared to $13.9 million of avocado revenue in the third quarter of last fiscal year. Approximately 5,654,000 pounds of avocados were sold in aggregate during the third quarter of fiscal year 2025 at a $1.50 average price per pound, compared to approximately 8,855,000 pounds sold at a $1.57 average price per pound during the third quarter of fiscal year 2024.

The Company recognized $1.7 million of orange revenues in the third quarter of fiscal year 2025, compared to $1.2 million in the same period of fiscal year 2024. Approximately 94,000 cartons of oranges were sold during the third quarter of fiscal year 2025 at an $18.00 average price per carton, compared to approximately 43,000 cartons sold at a $26.98 average price per carton during the third quarter of fiscal year 2024.

Specialty citrus and wine grape revenues were $0.6 million for the third quarter of fiscal years 2025 and 2024.

Farm management revenues were $0.1 million in the third quarter of fiscal year 2025, compared to $3.2 million in the same period of fiscal year 2024. The decrease in farm management revenues in the third quarter of fiscal year 2025 was due to termination of the farm management agreement with PGIM Real Estate Finance, LLC effective March 31, 2025.

Total costs and expenses in the third quarter of fiscal year 2025 were $48.1 million, compared to $54.3 million in the third quarter of last fiscal year.

Operating loss for the third quarter of fiscal year 2025 was $0.6 million, compared to operating income of $9.0 million in the third quarter of the previous fiscal year.

Net loss applicable to common stock, after preferred dividends, for the third quarter of fiscal year 2025 was $1.0 million, compared to net income applicable to common stock of $6.5 million in the third quarter of fiscal year 2024. Net loss per diluted share for the third quarter of fiscal year 2025 was $0.06, compared to net income per diluted share of $0.35 for the same period of fiscal year 2024.

Adjusted net loss for diluted EPS in the third quarter of fiscal year 2025 was $0.4 million or $0.02 per diluted share, compared to the third quarter of fiscal year 2024 adjusted net income for diluted EPS of $7.8 million or $0.42 per diluted share. A reconciliation of net income or loss attributable to Limoneira Company to adjusted net income or loss for diluted EPS is provided at the end of this release.

Non-GAAP adjusted EBITDA was $3.0 million in the third quarter of fiscal year 2025, compared to $13.8 million in the same period of fiscal year 2024. A reconciliation of net income or loss attributable to Limoneira Company to non-GAAP adjusted EBITDA is provided at the end of this release.

Fiscal Year 2025 First Nine Months Results

For the nine months ended July 31, 2025, total net revenues were $116.9 million, compared to $147.6 million for the same period in fiscal year 2024. The decrease was primarily due to decreased agribusiness revenues from lemons, avocados, and farm management, partially offset by increased agribusiness revenue from oranges. Operating loss for the first nine months of fiscal year 2025 was $9.3 million, compared to operating loss of $3.4 million in the same period last fiscal year. Net loss applicable to common stock, after preferred dividends, was $7.7 million for the first nine months of fiscal year 2025, compared to net income of $9.2 million in the same period last fiscal year. Net loss per diluted share for the first nine months of fiscal year 2025 was $0.43, compared to net income per diluted share of $0.51 in the same period of fiscal year 2024.

For the first nine months of fiscal year 2025, adjusted net loss for diluted EPS was $6.1 million compared to adjusted net income for diluted EPS of $12.9 million for the same period in fiscal year 2024. In the first nine months of fiscal year 2025, adjusted net loss per diluted share was $0.34 compared to adjusted net income per diluted share of $0.70 for the same period in fiscal year 2024, based on approximately 17.8 million and 18.3 million, respectively, adjusted weighted average diluted common shares outstanding.

Balance Sheet and Liquidity

During the nine months ended July 31, 2025, net cash used in operating activities was $7.0 million, compared to net cash provided by operating activities of $11.3 million in the same period of the prior fiscal year. Net cash used in investing activities was $9.9 million, compared to net cash used in investing activities of $6.7 million in the same period last fiscal year. For the nine months ended July 31, 2025, net cash provided by financing activities was $15.9 million, compared to net cash used in financing activities of $7.1 million in the prior fiscal year.

Long-term debt as of July 31, 2025, was $63.3 million, compared to $40.0 million at the end of fiscal year 2024. Debt levels as of July 31, 2025, less $2.1 million of cash on hand, resulted in a net debt position of $61.3 million at quarter end. In April 2025, the Company received $10.0 million of its share of a $20.0 million cash distribution from its 50%/50% real estate development joint venture, Harvest at Limoneira, with The Lewis Group of Companies (“Lewis”). The distribution came from the joint venture’s available cash and cash equivalents, which as of July 31, 2025, totaled $36.4 million.

Real Estate Development and Water Transactions

The Company announced today a plan to explore a development that aligns with the urgent need for more housing in Ventura County, which has experienced a significant decline in housing production. Limoneira believes that infill development offers the opportunity for efficient well-planned development that has the potential to stimulate economic growth, create jobs, and contribute to vibrant livable communities.

The Limco Del Mar Ranch, a 221-acre agricultural infill property bordered by developed areas of the City of Ventura, is ideally suited for the development of additional housing to meet the needs of the community. Limoneira is committed to conducting a community-based planning process, a complete CEQA (California Environmental Quality Act) review, a SOAR (Save Open-space and Agricultural Resources) vote to consider adding the property to the City, and the LAFCO (Local Agency Formation Commission) review process for annexation to the City of Ventura, as well as ensuring review of the project by the City of Ventura City Council.

In October 2023, Harvest at Limoneira, the Company’s real estate joint venture, completed the sell-out of Phase 1 of the development. In April 2024, the joint venture closed on lot sales representing 554 residential units, thus completing the sell-out of Phase 2 of the development. Total lot sales of 1,261 residential units closed since the project’s inception. In May 2024, the Company announced that the Santa Paula City Council approved the proposal brought by the joint venture to increase the total number of residential units for the project from 1,500 to 2,050 units. The 550-unit increase will provide 250 additional single family for-sale homesites within Phase 3 of Harvest at Limoneira. A separate joint venture with Lewis plans to construct 300 multi-family rental homes on a mixed-use portion of the project.

In January 2025, the Company sold water pumping rights in the Santa Paula Basin for $30,000 per-acre foot in three separate transactions. The total selling price was $1.7 million, and the Company recorded a gain on sales of water rights of $1.5 million.

Guidance

The Company continues to expect fresh lemon volumes to be in the range of 4.5 million to 5.0 million cartons for fiscal year 2025. The Company expects avocado volume to be approximately 7.0 million pounds for fiscal year 2025.

The Company expects to receive total proceeds of approximately $180 million from Harvest, LLCB II, LLC and East Area II spread out over seven fiscal years, of which $10 million was received in April 2025 and $15 million was received in fiscal year 2024.

Harvest at Limoneira Cash Flow Projections (in millions)

Fiscal Year

2024 Actual

2025 Actual

2026

2027

2028

2029

2030

Projected Distributions

$15

$10

$16

$34

$41

$22

$42

The Company has 700 acres of non-bearing avocados estimated to become full bearing over the next two to four years, which the Company expects will enable strong organic growth in the coming years. Additionally, the Company plans to continue expanding its plantings of avocados over the next two fiscal years. The foregoing describes organic growth opportunities and does not include potential acquisition opportunities for the Company in its highly fragmented industry.

Looking ahead, we continue to see a strong EBITDA outlook that is underpinned by plans to expand avocado production by an additional 500 acres through fiscal year 2027 to capitalize on expected robust consumer demand trends. During this transition, fiscal year 2025 avocado volume was lower compared to fiscal year 2024 due to the alternate bearing nature of avocado trees. These operational results do not take into account anticipated additional gains from asset monetization.

Conference Call Information

The Company will host a conference call to discuss its financial results on September 9, 2025, at 1:30 pm Pacific Time (4:30 pm Eastern Time). Investors interested in participating in the live call can dial (877) 407-0789 from the U.S. International callers can dial (201) 689-8562. A telephone replay will be available approximately two hours after the call concludes and will be available through September 23, 2025, by dialing (844) 512-2921 from the U.S., or (412) 317-6671 from international locations; the passcode is 13755282.

About Limoneira Company

Limoneira Company, a 132-year-old international agribusiness headquartered in Santa Paula, California, has grown to become one of the premier integrated agribusinesses in the world. Limoneira (lē moñ âra) is a dedicated sustainability company with 10,500 acres of rich agricultural lands, real estate properties, and water rights in California, Arizona, Chile and Argentina. The Company is a leading producer of lemons, avocados and other crops that are enjoyed throughout the world. For more about Limoneira Company, visit www.limoneira.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on Limoneira’s current expectations about future events and can be identified by terms such as “could,” “expect,” “may,” “anticipate,” “outlook,” “plans,” “intend,” “should,” “will,” “likely,” “strive,” and similar expressions referring to future periods.

Limoneira believes the expectations reflected in the forward-looking statements are reasonable but cannot guarantee future results, level of activity, performance or achievements. Actual results may differ materially from those expressed or implied in the forward-looking statements. Therefore, Limoneira cautions you against relying on any of these forward-looking statements. Factors that may cause future outcomes to differ materially from those foreseen in forward-looking statements include, but are not limited to: success in executing the Company’s business plans and strategies, including the merger of the Company's citrus sales and marketing into Sunkist Growers and managing the risks involved in the foregoing; the ability of the merger to improve efficiency and reduce cost; changes in laws, regulations, rules, quotas, tariffs and import laws; weather conditions that affect production, transportation, storage, import and export of fresh produce; increased pressure from crop disease, insects and other pests; disruption of water supplies or changes in water allocations; disruption in the global supply chain; pricing and supply of raw materials and products; market responses to industry volume pressures; pricing and supply of energy; inability to pay debt obligations; ability to maintain compliance with debt covenants under our loan agreements or obtain modifications, waivers or deferrals of such covenants; changes in interest rates and the impact of inflation; availability of financing for land development activities; general economic conditions for residential and commercial real estate development; political changes and economic crises; international conflict; acts of terrorism; labor disruptions, strikes or work stoppages; government restrictions on land use; the impact of foreign exchange rate movements; loss of important intellectual property rights; and market and pricing risks due to concentrated ownership of stock. Other risks and uncertainties include those that are described in Limoneira’s SEC filings that are available on the SEC’s website at http://www.sec.gov. Limoneira undertakes no obligation to subsequently update or revise the forward-looking statements made in this press release, except as required by law.

LIMONEIRA COMPANY

CONSOLIDATED BALANCE SHEETS (UNAUDITED)

(in thousands, except share and per share data)

July 31, 2025

October 31, 2024

Assets

Current assets:

Cash

2,111

2,996

Accounts receivable, net

19,514

14,734

Cultural costs

3,397

1,877

Prepaid expenses and other current assets

3,871

3,849

Receivables/other from related parties

4,164

2,390

Assets held for sale

13,258

—

Total current assets

46,315

25,846

Property, plant and equipment, net

153,856

162,046

Real estate development

10,407

10,201

Equity in investments

74,325

81,546

Goodwill

1,501

1,504

Intangible assets, net

2,766

5,221

Other assets

10,738

12,451

Total assets

299,908

298,815

Liabilities, Convertible Preferred Stock and Stockholders’ Equity

Current liabilities:

Accounts payable

7,749

7,260

Growers and suppliers payable

5,631

8,960

Accrued liabilities

7,510

12,483

Payables to related parties

4,865

5,542

Current portion of long-term debt

559

Total current liabilities

25,794

34,804

Long-term liabilities:

Long-term debt, less current portion

63,326

40,031

Deferred income taxes

18,146

20,084

Other long-term liabilities

1,541

1,395

Total liabilities

108,807

96,314

Commitments and contingencies

—

Series B Convertible Preferred Stock – $100.00 par value (50,000 shares authorized: 14,790 shares issued and outstanding at July 31, 2025 and October 31, 2024) (8.75% coupon rate)

1,479

Series B-2 Convertible Preferred Stock – $100.00 par value (10,000 shares authorized: 9,300 shares issued and outstanding at July 31, 2025 and October 31, 2024) (4% dividend rate on liquidation value of $1,000 per share)

9,331

Stockholders’ equity:

Series A Junior Participating Preferred Stock – $0.01 par value (20,000 shares authorized: zero issued or outstanding at July 31, 2025 and October 31, 2024)

—

Common Stock – $0.01 par value (39,000,000 shares authorized: 18,299,271 and 18,284,148 shares issued and 18,048,294 and 18,033,171 shares outstanding at July 31, 2025 and October 31, 2024, respectively)

180

Additional paid-in capital

170,849

170,243

Retained earnings

9,100

20,826

Accumulated other comprehensive loss

(6,793

)

(6,614

)

Treasury stock, at cost, 250,977 shares at July 31, 2025 and October 31, 2024

(3,493

)

(3,493

)

Noncontrolling interest

10,448

10,549

Total stockholders' equity

180,291

191,691

Total liabilities, convertible preferred stock and stockholders’ equity

299,908

298,815

LIMONEIRA COMPANY

CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

(in thousands, except per share data)

Three Months Ended

July 31,

Nine Months Ended

July 31,

2025

2024

2025

2024

Net revenues:

Agribusiness

45,942

61,849

112,376

143,445

Other operations

1,536

1,456

4,526

4,197

Total net revenues

47,478

63,305

116,902

147,642

Costs and expenses:

Agribusiness

42,050

45,437

107,253

124,987

Other operations

1,086

1,250

3,266

3,861

Impairment of intangible asset

—

643

—

643

Gain on sales of water rights

—

(1,488

)

—

Loss (gain) on disposal of assets, net

(12

)

(129

)

Selling, general and administrative

4,957

6,994

17,165

21,707

Total costs and expenses

48,108

54,312

126,223

151,069

Operating (loss) income

(630

)

8,993

(9,321

)

(3,427

)

Other (expense) income:

Interest income

Interest expense, net of patronage dividends

(410

)

(273

)

(898

)

(831

)

Equity in earnings of investments, net

274

483

867

17,116

Other income, net

224

Total other (expense) income

(104

)

242

16,572

(Loss) income before income tax (provision) benefit

(734

)

9,235

(9,276

)

13,145

Income tax (provision) benefit

(182

)

(3,019

)

1,924

(4,051

)

Net (loss) income

(916

)

6,216

(7,352

)

9,094

Net loss attributable to noncontrolling interest

377

481

Net (loss) income attributable to Limoneira Company

(855

)

6,593

(7,290

)

9,575

Preferred dividends

(125

)

(125

)

(376

)

(376

)

Net (loss) income applicable to common stock

(980

)

6,468

(7,666

)

9,199

Basic net (loss) income per common share

(0.06

)

0.36

(0.43

)

0.51

Diluted net (loss) income per common share

(0.06

)

0.35

(0.43

)

0.51

Weighted-average common shares outstanding-basic

17,854

17,756

17,823

17,701

Weighted-average common shares outstanding-diluted

17,854

18,363

17,823

17,701

Non-GAAP Financial Measures

Due to significant depreciable assets associated with the nature of the Company’s operations and interest costs associated with our capital structure, management believes that earnings before interest, income taxes, depreciation and amortization ("EBITDA") and adjusted EBITDA, which excludes stock-based compensation, impairment of intangible asset, loss (gain) on disposal of assets, net and severance benefits are important measures to evaluate our results of operations between periods on a more comparable basis. Such measurements are not prepared in accordance with U.S. generally accepted accounting principles ("GAAP") and should not be construed as an alternative to reported results determined in accordance with GAAP. The non-GAAP information provided is unique to the Company and may not be consistent with methodologies used by other companies.

EBITDA and adjusted EBITDA are summarized and reconciled to net (loss) income attributable to Limoneira Company, which management considers to be the most directly comparable financial measure calculated and presented in accordance with GAAP, as follows (in thousands):

Three Months Ended

July 31,

Nine Months Ended

July 31,

2025

2024

2025

2024

Net (loss) income attributable to Limoneira Company

(855

)

6,593

(7,290

)

9,575

Interest income

(22

)

(27

)

(50

)

(63

)

Interest expense, net of patronage dividends

410

273

898

831

Income tax provision (benefit)

182

3,019

(1,924

)

4,051

Depreciation and amortization

2,482

2,115

6,607

6,273

EBITDA

2,197

11,973

(1,759

)

20,667

Stock-based compensation

762

1,204

2,245

3,139

Impairment of intangible asset

—

643

—

643

Loss (gain) on disposal of assets, net

(12

)

(129

)

Severance benefits

—

(17

)

—

1,198

Adjusted EBITDA

2,974

13,791

513

25,518

The following is a reconciliation of net (loss) income attributable to Limoneira Company to adjusted net (loss) income for diluted EPS (in thousands, except per share data):

Three Months Ended

July 31,

Nine Months Ended

July 31,

2025

2024

2025

2024

Net (loss) income attributable to Limoneira Company

(855

)

6,593

(7,290

)

9,575

Effect of preferred stock and unvested, restricted stock

(141

)

(115

)

(428

)

(212

)

Stock-based compensation

762

1,204

2,245

3,139

Impairment of intangible asset

—

643

—

643

Loss (gain) on disposal of assets, net

(12

)

(129

)

Severance benefits

—

(17

)

—

1,198

Tax effect of adjustments at federal and state rates

(214

)

(499

)

(625

)

(1,331

)

Adjusted net (loss) income for diluted EPS

(433

)

7,797

(6,071

)

12,883

Diluted net (loss) income per common share

(0.06

)

0.35

(0.43

)

0.51

Adjusted diluted net (loss) income per common share

(0.02

)

0.42

(0.34

)

0.70

Weighted-average common shares outstanding - diluted

17,854

18,363

17,823

17,701

Effect of preferred stock

—

607

Adjusted weighted-average common shares outstanding - diluted

17,854

18,363

17,823

18,308

Supplemental Information

(in thousands, except acres and average price amounts):

Agribusiness Segment Information for the Three Months Ended July 31, 2025

Fresh

Lemons

Lemon

Packing

Eliminations

Avocados

Other

Agribusiness

Total

Agribusiness

Revenues from external customers

28,123

6,063

—

8,488

3,268

45,942

Intersegment revenues

—

8,493

(8,493

)

—

Total net revenues

28,123

14,556

(8,493

)

8,488

3,268

45,942

Costs and expenses

29,298

12,724

(8,493

)

3,733

2,546

39,808

Depreciation and amortization

—

2,242

Operating income (loss)

(1,175

)

1,832

—

4,755

722

3,892

Agribusiness Segment Information for the Three Months Ended July 31, 2024

Fresh

Lemons

Lemon

Packing

Eliminations

Avocados

Other

Agribusiness

Total

Agribusiness

Revenues from external customers

36,746

5,200

—

13,897

6,006

61,849

Intersegment revenues

—

10,499

(10,499

)

—

Total net revenues

36,746

15,699

(10,499

)

13,897

6,006

61,849

Costs and expenses

32,977

11,144

(10,499

)

4,104

5,912

43,638

Depreciation and amortization

—

1,799

Operating income

3,769

4,555

—

9,793

16,412

Lemons

Q3 2025

Q3 2024

Lemon Packing

Q3 2025

Q3 2024

United States:

Cartons packed and sold

1,397

1,400

Acres harvested

1,600

1,900

Revenue

14,556

15,699

Limoneira cartons sold

385

531

Direct costs

12,724

11,144

Third-party grower cartons sold

1,012

869

Operating income

1,832

4,555

Average price per carton

17.02

18.43

Avocados

Q3 2025

Q3 2024

Chile:

Pounds sold

5,654

8,855

Lemon revenue

182

331

Average price per pound

1.50

1.57

40-pound carton equivalents

134

Other Agribusiness

Q3 2025

Q3 2024

Other:

Orange cartons sold

Lemon packing

6,063

5,200

Average price per carton

18.00

26.98

Lemon by-product sales

510

1,181

Specialty citrus cartons sold

Brokered lemons and other lemon sales

3,663

9,422

Average price per carton

36.01

22.00

Farm management

102

3,202

Agribusiness costs and expenses

Q3 2025

Q3 2024

Other

852

1,094

Packing costs

12,724

11,144

Harvest costs

3,910

4,330

Growing costs

4,056

7,650

Third-party grower and supplier costs

18,670

19,860

Other costs

448

654

Depreciation and amortization

2,242

1,799

Agribusiness costs and expenses

42,050

45,437