Limoneira posts record revenues for 2019 despite weather setbacks
Limoneira has posted record revenue for the 2019 financial year, despite weather setbacks that hit citrus pricing and cut down the avocado crop.
For the fiscal year ended Oct. 31, 2019, revenue increased to US$171.4m, up from US$129m the previous year.
However, the company posted an operating loss of US$5.5m, compared to an operating income of US$9.5 million for the fiscal year 2018.
Adjusted EBITDA for the fiscal year 2019 was US$1.9m compared to US$23.4m in the same period last year.
"We achieved record revenue and expanded our market share in fiscal year 2019," said Harold Edwards, president and CEO.
"However, the uncontrollable weather aspect of our business affected lemon and orange pricing throughout the year and dramatically reduced our avocado crop.
"Even with these temporary challenges, we generated positive EBITDA and adjusted EBITDA, closed a strategic acquisition and are very well positioned to continue our market share growth and return to strong EBITDA and adjusted EBITDA results in fiscal 2020.”
He expects a "meaningful improvement" in operational efficiencies in the 2020 fiscal year. The company also anticipates an increase in bottom-line contributions from lemons, oranges and avocados.
Alex Teague, senior vice president, also noted the joint venture and land acquisition in Argentina with FGF Trapani that was completed in fiscal 2019. The move expands Limoneira's global client reach and enables it to provide customers with a year-round supply of citrus, he said.