Limoneira boosts Q4 revenue, expects high lemon pricing to continue throughout 2022
Limoneira has posted a smaller adjusted net loss in the fourth quarter year-on-year, with stronger lemon pricing helping to boost revenues.
Adjusted net loss for the fourth quarter of fiscal year 2021 was $4.9 million, compared to the fourth quarter of fiscal year 2020 of $7.6 million.
Despite the temporary challenges with the company’s supply chain, operating loss for the period decreased to $6.5 million, compared to operating loss of $9.5 million in the same period last year.
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.
“Fourth quarter of fiscal year 2021 revenue, in our seasonally slower quarter, increased 13% compared to the same period last year," said Harold Edwards, President and Chief Executive Officer of Limoneira.
"These results were driven by higher lemon prices and very strong brokered fruit revenue which more than doubled compared to last year. Lemon pricing improved in the back half of fiscal year 2021 and we expect this trend to continue throughout fiscal year 2022.
"We achieved our solid top line results even as the widely publicized global logistical delays continue to affect the entire agriculture industry and reduce exports to Asia. Specifically, due to these shipping delays and spoilage occurring in the fourth quarter, we expect to receive insurance compensation in the first quarter of calendar year 2022.”
Looking ahead, Limoneira said the pandemic continues to affect its food service business and industry logistics on a global basis. The company believes it will experience improving results in fiscal year 2022 compared to fiscal year 2021 due to its stronger position in retail food and club grocery and growing brokered fruit revenues.
As food service and export markets recover, Limoneira expects lemon prices to increase in fiscal year 2022 compared to fiscal year 2021.