NASDAQ$LMNR

Limoneira Company · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Achieved revenue growth driven by record fresh lemon and increased avocado volume, closed sales of Harvest at Limoneira lots, and experienced strong demand for homes.

Limoneira Company reported a 14% increase in total net revenue for the second quarter of fiscal year 2021, driven by record lemon volume and strong avocado volume. The company's focus on retail food and club grocery business continues to perform well, and there is an improvement in domestic foodservice and export sales. Adjusted EBITDA improved to $6.0 million compared to a loss of $0.1 million for the same period last year.

  • Total net revenue increased by 14% to $45.1 million compared to $39.6 million in the second quarter of the previous fiscal year.
  • Agribusiness revenue increased to $44.0 million, compared to $38.4 million in the second quarter of last fiscal year.
  • Net income attributable to common stock was $1.8 million, compared to a net loss of $5.0 million in the same period last year.
  • Adjusted EBITDA was $6.0 million, compared to a loss of $0.1 million in the same period last year, driven by cost improvement initiatives.

Headline financials

Total Revenue

$45.1M

Previous: $39.6M+14.1%
EPS (adj)

$0.10

Previous: -$0.08+225.0%
Fresh lemon cartons sold

1.5M

No prior period
Orange cartons sold

154.0K

Previous: 356.0K-56.7%
Avocado pounds sold

2.1M

Previous: 1.2M+78.5%
Free Cash Flow

$1.93M

Previous: -$4.88M+139.6%
Net Income

$1.93M

Previous: -$4.88M+139.6%
Operating Income

$2.38M

Previous: -$2.83M+184.2%
Gross Profit

$8.69M

Previous: $3.62M+139.9%
Cash & Equivalents

$1.59M

Previous: $1.26M+25.8%
Total Assets

$395M

Previous: $399M-1.0%
Stock-Based Comp

$571K

Previous: $358K+59.5%

Revenue & EPS history

Limoneira · Revenue · Quarterly

$45.1M

Q2 2021+14.1%vs Q2 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Limoneira · $45.1M total across 2 segments · Q2 2021

  • Agribusiness
    $44M
  • Other Operations
    $1.14M

Forward guidance

The COVID-19 pandemic continues to affect the Company’s food service business on a global basis. The Company believes it is prudent to not provide lemon guidance at this time until the COVID-19 vaccine is widely distributed. Management continues to believe avocado revenue in fiscal 2021 will be strong due to market factors and positive initial crop indicators. The Company also believes it will experience improving results compared to last year during the second half of fiscal 2021 due to its stronger position in grocery compared to last year and as food service and export markets recover and cost control measures continue to show improvement. The Company expects to receive $80 million from Harvest at Limoneira during the next six fiscal years, beginning in fiscal 2022.

Tailwinds

  • Avocado revenue in fiscal 2021 will be strong due to market factors and positive initial crop indicators.
  • Improving results expected in the second half of fiscal 2021 due to a stronger position in grocery compared to last year.
  • Food service and export markets are expected to recover.
  • Cost control measures continue to show improvement.
  • Expected to receive $80 million from Harvest at Limoneira during the next six fiscal years, beginning in fiscal 2022.

Headwinds

  • The COVID-19 pandemic continues to affect the Company’s food service business on a global basis.
  • It is prudent to not provide lemon guidance at this time until the COVID-19 vaccine is widely distributed.
  • Additional impacts from the current COVID-19 pandemic
  • Weather conditions that affect production, transportation, storage, import and export of fresh product
  • Market and pricing risks due to concentrated ownership of stock

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+0.4%

Avg return

Earnings day

+0.6%

Avg return

5 days after

-0.9%

Avg return

30 days after

60%

40 / 67 earnings

Positive

+28.2%

Q2 2022

Best reaction

-26.8%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+8.6%+8.5%
Q1 2026-4.0%-4.1%-6.2%
Q4 2025-6.5%-10.4%+6.1%
Q3 2025-5.2%-3.4%-7.3%
Q2 2025+0.0%-2.5%-3.3%
Q1 2025-13.3%-15.0%-22.3%
Q4 2024-5.1%-7.2%-14.6%
Q3 2024-2.7%+4.1%+8.8%
Q2 2024+4.1%-2.8%-3.1%
Q1 2024+4.6%+4.3%+9.9%
Q4 2023+8.3%+9.6%-3.7%
Q3 2023-3.9%-1.5%-1.9%
Q2 2023-5.0%-5.8%-2.7%
Q1 2023+4.1%+1.6%+9.2%
Q4 2022-8.5%-5.2%-0.4%
Q3 2022+11.1%+8.1%+4.6%
Q2 2022+28.2%+28.0%+25.3%
Q1 2022-11.1%-13.3%-8.7%
Q4 2021+0.5%-3.4%-11.6%
Q3 2021+0.0%-0.4%+0.7%
Q2 2021+2.0%-1.9%-11.6%
Q1 2021-1.1%-0.6%-6.0%
Q4 2020-7.2%-11.0%-6.7%
Q3 2020+11.1%+9.2%+4.0%
Q2 2020+2.5%-1.8%-9.6%
Q1 2020-26.8%-14.6%-17.0%
Q4 2019+11.6%+12.9%+12.8%
Q3 2019-1.7%+4.8%-4.0%
Q2 2019+7.7%+5.5%+2.2%
Q1 2019+7.9%+3.6%+5.0%
Q4 2018+0.7%-3.9%+4.9%
Q3 2018-13.9%-12.3%-22.5%
Q2 2018+0.7%+3.8%+1.2%
Q1 2018+1.3%+10.0%+12.3%
Q4 2017+3.2%+3.1%-3.5%
Q3 2017-0.9%-1.2%+0.1%
Q2 2017+4.7%+9.6%+14.0%
Q1 2017+5.5%+8.9%+10.6%
Q4 2016+0.4%-11.9%-15.3%
Q3 2016+12.8%+12.9%+13.5%
Q2 2016+3.0%+8.7%+2.5%
Q1 2016+2.4%
Q4 2015+8.5%
Q3 2015-16.9%
Q2 2015+1.6%
Q1 2015+0.9%
Q4 2014-8.5%
Q3 2014+0.8%
Q2 2014+1.6%
Q1 2014-2.7%
Q4 2013-11.1%
Q3 2013-0.6%
Q2 2013+3.2%
Q1 2013-4.1%
Q4 2012-4.3%
Q3 2012-0.6%
Q2 2012-4.5%
Q1 2011+2.0%
Q1 2012+0.6%
Q4 2009+1.3%
Q2 2011+1.3%
Q4 2011+1.3%
Q3 2010+6.3%
Q4 2010+6.3%
Q3 2011+6.3%
Q2 2010+2.8%
Q1 2010+2.2%

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