LMNR

The market expects Limoneira (LMNR) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended July 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on September 9, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This agribusiness company is expected to post quarterly earnings of $0.19 per share in its upcoming report, which represents a year-over-year change of +1050%. Revenues are expected to be $49.62 million, up 4.5% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 2.56% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Limoneira, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +5.26%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination indicates that Limoneira will most likely beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Limoneira would post a loss of$0.26 per share when it actually produced a loss of -$0.29, delivering a surprise of -11.54%. The company has not been able to beat consensus EPS estimates in any of the last four quarters. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Limoneira appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Another stock from the Zacks Agriculture - Operations industry, Mission Produce, Inc. (AVO), is soon expected to post earnings of $0.11 per share for the quarter ended July 2026. This estimate indicates a year-over-year change of -57.7%. Revenues for the quarter are expected to be $333.45 million, down 6.8% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for Mission Produce has been revised 3.3% up to the current level. Nevertheless, the company now has an Earnings ESP of +33.33%, reflecting a higher Most Accurate Estimate. When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that Mission Produce will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Limoneira Co (LMNR) : Free Stock Analysis Report Mission Produce, Inc. (AVO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Total Net Revenues: $23.9 million in Q2 FY2026, down from $35.1 million in Q2 FY2025. Agribusiness Revenues: $22.5 million in Q2 FY2026, compared to $33.6 million in Q2 FY2025. Fresh Lemon Carton Sales: $17.1 million in Q2 FY2026, compared to $19.7 million in Q2 FY2025. Average Price per Lemon Carton: $16.63 in Q2 FY2026, up from $14.52 in Q2 FY2025. Total Costs and Expenses: $45.6 million in Q2 FY2026, compared to $38.5 million in Q2 FY2025. Operating Loss: $21.7 million in Q2 FY2026, compared to $3.3 million in Q2 FY2025. Net Loss Applicable to Common Stock: $21.4 million or $1.20 per diluted share in Q2 FY2026, compared to $3.5 million or $0.20 per diluted share in Q2 FY2025. Adjusted Net Loss for Diluted EPS: $5.2 million or $0.29 per diluted share in Q2 FY2026, compared to $3.1 million or $0.17 per diluted share in Q2 FY2025. Non-GAAP Adjusted EBITDA: Loss of $1.7 million in Q2 FY2026, compared to a loss of $200,000 in Q2 FY2025. Long-term Debt: $93.7 million as of April 30, 2026, compared to $72.5 million at the end of FY2025. Fresh Lemon Volume Guidance: 4 million to 4.5 million cartons for FY2026. Avocado Volume Guidance: Raised to 5.5 million to 6.5 million pounds for FY2026. Warning! GuruFocus has detected 11 Warning Signs with LMNR. Is LMNR fairly valued? Test your thesis with our free DCF calculator. Release Date: June 09, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Limoneira Co (NASDAQ:LMNR) exceeded expectations for revenue and adjusted EBITDA in the second quarter, reinforcing confidence in their strategic decisions. The company is on track to achieve $10 million in annual savings from selling, general, and administrative expenses, excluding certain allowances. Avocado production capacity is expanding, with an expected near 100% increase in production capacity over the next two to four years. Lemon pricing is strong, with current prices above $20 per carton and expected to increase further, benefiting from the Sunkist partnership. The company is unlocking value from its diversified asset base, including a strategic joint venture in organic recycling and a partial sale of vineyard property. Limoneira Co (NASDAQ:LMNR) reported a significant net loss applicable to common stock of $21.4 million in the second quarter, compared to a $3.5 million loss in the prior year. Total net revenues decreased year-over-year, reflecting strategic changes such as the Sunkist transition and exit from certain operations. The company incurred $23.8 million in non-cash charges, including impairments and losses on asset disposals. Operating loss increased to $21.7 million in the second quarter, primarily due to decreased agribusiness revenues and increased costs. Long-term debt increased to $93.7 million as of April 30, 2026, reflecting the seasonal nature of the business and timing of cash flows. Q: Notice with harvest timing you delayed the avocado harvest to capture better pricing with only 285,000 pounds sold in Q2 at $0.96 a pound. How much volume has been pushed into Q3 and what pricing are you currently seeing in the market? A: Harold Edwards, President and CEO: We pushed about 500,000 pounds from Q2 into Q3. Currently, we're seeing pricing around $1.30 to $1.40 per pound, with the peak size at about $1.40 for size 48 avocados. Q: Can you also give us an update on current lemon pricing per carton? A: Harold Edwards, President and CEO: We're seeing average pricing across all grades and sizes above $20 per carton. We expect the average pricing to increase by about a dollar per carton each month between now and October, reaching $21 in July and $22 in August. Q: Regarding the Windfall Farms sale, what are the conditions to closing in Q4, and what happens if the buyer can't close on schedule? A: Harold Edwards, President and CEO: If the buyer can't close on schedule, the deal may fall out of escrow. However, we receive our first hard money on July 1, and the deal can close anytime after that. The buyer has until the end of October to complete due diligence and fund $10 million, followed by $2 million annually for the next three years. Q: Pricing was up year over year despite being net of the Sunkist marketing fee. How much of that improvement is due to mix, market/Sunkist customer access, or fresh utilization? A: Harold Edwards, President and CEO: It's a combination of factors, but the majority of the increase is due to Sunkist's strong market presence and contract relationships with retail and food service buyers. Our fresh utilization since returning to Sunkist is above 80%, the highest we've seen in years. Q: For the Colorado River water rights in FY26, what milestones should investors watch, and what is the most likely structure for monetization? A: Greg Hamm, CFO: An outright sale is less likely. We are considering crop substitution to free up water for long-term lease or sale of access rights. We are monitoring contracts along the Colorado River set to expire on December 31, 2026, and expect either an extension of current agreements or a long-term program for monetization. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management is executing a strategic shift toward a more resilient business model that reduces dependence on commodity lemon pricing through asset optimization and high-value crop expansion. The transition to the Sunkist partnership has fundamentally altered the quarterly revenue cadence, shifting stronger performance expectations to the third and fourth quarters. Operational efficiency is being driven by the Sunkist relationship, which provides enhanced access to premium food service and retail accounts while removing pricing pressure from the marketplace. Fresh lemon utilization has reached its highest level in years, exceeding 80% since returning to the Sunkist network. The company is aggressively expanding avocado capacity, with 800 non-bearing acres expected to double production over the next two to four years. Strategic exits from non-core operations, including Chilean farming and brokerage businesses, were completed to focus resources on higher-return domestic opportunities. Management is implementing a water monetization strategy in Arizona, replacing marginally profitable lemon farming with low-water-use crops to enhance asset value. Management expresses high confidence in achieving positive adjusted EBITDA for the third and fourth quarters of fiscal year 2026, driven by increased avocado volumes and improved lemon pricing. Lemon pricing is projected to strengthen through October, with forecasts suggesting a $1 per carton increase each month from current levels above $20. The company expects to realize $10 million in annual SG&A savings by fiscal year 2026 as a result of the streamlined Sunkist partnership structure. Real estate development is projected to generate $155 million in total proceeds over the next five fiscal years, with Phase 3 lot sales expected to begin in 2027. A significant monetization event for Colorado River water rights is anticipated in fiscal year 2026, coinciding with the expiration of current reservoir contracts. The quarter included $23.8 million in non-cash charges, including a $9.3 million impairment on Windfall Farms and a $7.8 million loss on Yuma lemon orchard disposals. A $5.1 million accumulated foreign exchange loss was recognized following the final exit from Chilean farming operations. The sale of an 80% interest in the Windfall Farms vineyard for $16 million allows for capital redeployment while maintaining a 20% upside participation. Management flagged a $1.6 million allowance on foreign receivables as a specific headwind within the quarter's SG&A results. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management delayed the harvest of approximately 500,000 pounds of avocados from Q2 into Q3 to capture significantly better pricing. Current pricing for peak-size avocados is approximately $1.40 per pound, compared to the $0.96 per pound realized in the second quarter. The increase in lemon pricing is attributed to a combination of a strengthening market and Sunkist's superior contract relationships with retail and food service buyers. Management noted that current lemon market strength is the highest observed since 2018. The most likely monetization structure involves crop substitution to free up water for long-term leasing or selling access rights rather than an outright sale. A key milestone is the expiration of current reservoir contracts on December 31, 2026, which is pressuring regulatory bodies to establish long-term programs. The transaction is structured with $10 million in cash and a $6 million seller-financed note, with the buyer having until October to complete due diligence. If the buyer fails to fund the $10 million by the end of October, the deal would likely fall out of escrow, though Limoneira receives initial payments starting July 1.

Image source: The Motley Fool. Tuesday, June 9, 2026, at 4:30 p.m. ET President and Chief Executive Officer — Harold S. Edwards Chief Financial Officer — Greg Hamm Need a quote from a Motley Fool analyst? Email [email protected] Harold S. Edwards, President and Chief Executive Officer; and Greg Hamm, Chief Financial Officer. By now, everyone should have access to the second quarter fiscal year 26 earnings release which went out today at approximately 04: 05PM Eastern Time. If you have not had a chance to view the release, it is available on the investor relations portion of the company's website at limonera.com. This call is being webcast and a replay will be available on Limoneira's website as well. Before we begin, we would like to remind everyone that prepared remarks contain forward-looking statements and management may make additional forward-looking statements in response to your questions. Such statements involve a number of known and unknown risks and uncertainties, many of which are outside the company's control, and could cause its future results, performance or achievements to differ significantly from the results, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause or contribute to such differences include risks detailed in the company's Form 10 Qs, and 10 Ks filed with the SEC and those mentioned in the earnings release. Except as required by law, we undertake no obligation to update any forward-looking or other statements herein, whether as result of new information, future events, or otherwise. Please note that during today's call, we will be discussing non GAAP financial measures, including results on an adjusted basis. We believe these adjusted financial measures can facilitate a more complete analysis. And greater understanding of Limoneira's ongoing results of operations particularly when comparing underlying results from period to period. We have provided as much detail as possible on any items that are discussed on an adjusted basis. Also within the company's earnings release and in today's prepared remarks, we included adjusted EBITDA adjusted diluted earnings per share, which are non GAAP financial measures. A reconciliation of adjusted EBITDA and adjusted diluted EPS to the most directly comparable GAAP financial measures are included in the company's press release which has been posted to its website. And with that, it is my pleasure to turn the call over to the company's President and CEO, Mr. Harold S. Edwards. Harold S. Edwards: Thanks, John, and good afternoon, everyone. Our second quarter results demonstrate continued execution of our strategic transformation to position Limoneira for long term value creation. Our second quarter includes $23.8 million of noncash charges, comprising of $9.3 million of impairment on the Windfall Farms property $7.8 million loss on asset disposals primarily related to our Yuma, Arizona lemon orchards, $5.1 million of net accumulated foreign exchange losses and $1.6 million in allowance on foreign receivables. We exceeded expectations for revenue and adjusted EBITDA in the second quarter. Reinforcing our confidence in the strategic decisions we are implementing. The fundamentals of our business are strengthening as we track towards our targeted $10 million in annual selling, general, and administrative savings, excluding the second quarter allowance on foreign receivables, and benefiting from improved operational efficiency through our Sunkist partnership. Our avocado production capacity continues to expand and we increased our full year avocado volume guidance reflecting the strength of our growing operations. These enhancements lead us to a high level of confidence in achieving positive adjusted EBITDA in the third and fourth quarters of this year. it is important to remember that Sunkist provides enhanced customer access to premium food service accounts and major US retailers through a full category citrus offering. This positions us to deliver comprehensive solutions for both food service and retail buyers while removing pricing pressure from the marketplace and strengthening both our packing margins and grower partner relationships. Considering we are now seeing lemon pricing above $20 per carton, and continued high levels of fresh utilization, we are very confident in improved performance this year as a lemon grower. Another key initiative involved expanding our avocado production. Today, we have 1.7 thousand acres planted with only 800 acres currently bearing fruit. An additional 800 acres will begin bearing fruit over the next 2 to 4 years, representing a near 100% increase in our avocado production capacity. We have 400 acres of avocados we planted in 2023 and 2024 that are expected to set a crop this year and be additive to volume in fiscal year 2027. California avocados command premium pricing due to superior quality, and our strategic location provides logistical advantages to the highest per capita consumption markets in the Western United States. Beyond our core agricultural business, we continue to unlock value from our diversified asset base. During the second quarter, we completed 2 strategic initiatives. Our 50-50 organic recycling joint venture with AgriMin to create a potential high return platform with the ability to process up to 295 thousand tons of organic waste annually and expected to generate substantial shared earnings when the facility becomes operational in fiscal year 2027. In addition, we executed an agreement for the partial sale of our Paso Robles California vineyard $16 million which Greg will provide more details on in a moment. We have also taken decisive steps in Arizona ceasing citrus farming operations on 600 acres of lemons to focus on water modernization by farming low water use crops, which we anticipate will make this asset significantly more profitable. Our water monetization strategy is advancing on track, we expect a monetization event from our class 3 Colorado River water rights in fiscal year 26. Additionally, our Santa Paula Basin conserve pumping rights represent high value nonoperational resources that we can convert to cash while maintaining our agricultural operations. We also have our real estate development project Harvest at Limoneira. We continue to expect future proceeds from Harvest Limoneira Lewis Community Builders II, and East Area 2 to $155 million over the next 5 fiscal years. Home sales for phase 2 continued to be robust with 2 to 7 homes per week being sold. Phase 3 of the project consists of approximately 500 home lots. And we believe we will go to market with this phase in fiscal year 2027. In addition, 300 apartments approved, and we expect to break ground on this portion of the project in the second half of 2027. Part of our real estate development is a 25-acre East Area 2 medical pavilion project we believe could begin to be monetized in fiscal year 26. Additionally, we have Lincodelmar, our 221-acre agricultural infill which represents a strategic asset with potential for residential development and significant long term value creation. In summary, as we enter the second half of fiscal year 26, we believe we are very well positioned to achieve positive adjusted EBITDA and continue building the foundation for sustained profitability. Looking at the remainder of this year and into 2027, we expect to benefit from the AgriMin joint venture that we expect will contribute to earnings in 2027, the further expansion of avocado acres to be planted in 2027, $10 million in savings from our SG&A improvements in 2026. In cash flow from Harvest at Limoneira, continued improvement in our Sunkist relationship, and expected monetization of water rights. We have transformed our cost structure, focused our revenue streams, optimized our asset base, and positioned ourselves for sustainable EBITDA growth, and the items I just discussed have us very well positioned to unlock the tremendous asset value at Limoneira. Now let me turn it over to Greg for the financial details and then we will take your questions. Greg Hamm: Thank you, Harold, and good afternoon, everyone. I am pleased to be speaking with you today to discuss our second quarter fiscal year 26 financial results. Our second quarter performance demonstrates meaningful progress in our strategic transformation. While we are navigating a transitional period under our Sunkist partnership, I am encouraged to report that we exceeded expectations for revenue and adjusted EBITDA this quarter. This validates the operational improvements we have been implementing and gives us confidence as we move into the seasonally stronger second half of our current fiscal year. Let me start by addressing the quarterly rhythm that now is fundamental to understanding our business. Under the Sunkist partnership, the seasonality of our lemon revenue has shifted. The first and second quarters represent our seasonally softer periods while the third and fourth quarters will be stronger. Total net revenues for the second quarter of fiscal year 26 were $23.9 million compared to $35.1 million in the second quarter of fiscal year 25. Agribusiness revenues totaled $22.5 million compared to $33.6 million in the prior year second quarter. Other operations revenue was $1.4 million compared to $1.5 million in the prior year second quarter. The year over year decrease in total net revenues reflects 3 key strategic changes. First, the Sunkist transition and its shift in the quarterly sales cadence. Second, our exit from the brokerage business and Chilean farming operations in the first quarter of this year. And third, the termination of our farm management operations last fiscal year. Fresh lemon carton sales were $17.1 million in the second quarter of fiscal year 26 compared to $19.7 million in the same period last year. We sold approximately 1.03 million cartons of fresh lemons at an average price of $16.63 per carton during the second quarter of fiscal year 26, compared to 1.36 million cartons $14.52 per carton in the prior year second quarter. The decrease in volume was related to the change in cadence under the Sunkist agreement. it is important to note that per carton prices for fiscal year 26, are net of the Sunkist marketing fee. Brokered lemons and other lemon sales were immaterial in the second quarter of fiscal year 26, compared to $2.3 million in the second quarter of fiscal year 25. The decrease was primarily due to the sale of our Chilean farms in the first quarter of fiscal year 26. Turning to avocados, we delayed the harvest of a portion of our avocados and recognized nominal avocado revenue in the second quarter of fiscal year 26. compared to $2.8 million in the prior year period. This was a deliberate decision on our part to delay the harvest to capture better expected pricing in the third quarter of this fiscal year. Orange revenue was nominal in the second quarter of fiscal year 26 compared to $1.6 million in the same period last year primarily related to the transition of Citrus brokerage operations to Sunkist. Specialty citrus and wine grapes were also nominal in the second quarter of fiscal year 26 compared to $700 thousand in the second quarter of fiscal year 25 due to the transition of our Citrus brokerage operations to Sunkist. There was no farm management revenue in the second quarter of fiscal year 26 compared to $300 thousand in the prior year period due to the termination of our farm management agreement effective 03/31/2025. Total costs and expenses in the second quarter of fiscal year 26 were $45.6 million compared to $38.5 million in the second quarter of last fiscal year. Driving this increase were 2 significant noncash charges. We recorded a $9.3 million impairment related to the strategic sale of an 80% interest in our Windfall Farms vineyard property in Paso Robles. And a $7.8 million loss on asset disposals primarily related to the disposal of lemon orchards in Yuma, Arizona. Combined, these noncash charges, which totaled $17.1 million, were disciplined capital allocation decisions. The Windfall Farms transaction which we announced in April, involves selling an 80% interest in approximately 724 acres in Paso Robles for an aggregate purchase price of $16 million. $10 million in cash at closing, and a $6 million seller finance note secured by a deed of trust. We are retaining a 20% interest in the property. This transaction allows us to monetize a nonstrategic asset, redeploy capital into higher return opportunities, and maintain upside participation in the vineyards through our retained interest. We expect this transaction to close in the fourth quarter of fiscal year 26. The Yuma Lemon Orchard disposal decision is equally strategic. We have made the decision to cease farming operations on the 600 acres of lemons that are associated with our citrus packer's property in Yuma, Arizona. This decision aligns with our water monetization strategy. Instead of farming marginally profitable lemon acres, we are focusing on water monetization by conserving water via crop substitution to low water use crops. We believe this makes the Arizona asset significantly more profitable on a go forward basis. These impairment and disposal related charges were partially offset by a decrease in agribusiness costs and expenses a $1.1 million increase in other operating income from insurance proceeds and a decrease in selling, general, and administration expenses. The SG&A reduction reflects our targeted $10 million in annual savings from our Sunkist partnership net of a second quarter allowance on foreign receivables. We are seeing these planned costs improvements flowing through our P&L. Operating loss for the second quarter of fiscal year 26 was $21.7 million compared to an operating loss of $3.3 million in the prior year period. The increase in operating loss was primarily due to the decrease agribusiness revenues and net increased cost and expenses which included the $17.1 million in noncash charges I described earlier. Additionally, total other expense for the second quarter of fiscal year 26 includes $5.1 million in accumulated foreign exchange losses recognized on the Chilean farming entities. This foreign currency loss accumulated from the time we purchased the Chilean farms approximately 8 years ago until we received proceeds from the sale of these entities. On a positive note, we received $2.3 million in aggregate insurance proceeds in March 2026 related to an incident at our packing house, partially related to repair costs we incurred in the first quarter of fiscal year 26. Of the total insurance proceeds received, $1.2 million was recognized as a reduction of agribusiness costs, and $1.1 million was recognized in other operating income during the second quarter of fiscal year 26. Net loss applicable to common stock after preferred dividends was $21.4 million or $1.20 per diluted share in the second quarter of fiscal year 26 compared to a net loss applicable to common stock of $3.5 million or $0.20 per diluted share in the second quarter of fiscal year 25. The increase in net loss reflects the same factors impacting total cost of expenses and operating loss described earlier. Now let me turn to our adjusted results. Adjusted net loss for diluted EPS in the second quarter of fiscal year 26 was $5.2 million or $0.29 per diluted share compared to an adjusted net loss of $3.1 million or $0.17 per diluted share in the prior year period. A full reconciliation is provided in our earnings release. Non GAAP adjusted EBITDA was a loss of $1.7 million in the second quarter of fiscal year 26 compared to a loss of $200 thousand in the same period last year. We exceeded expectations on adjusted EBITDA in the second quarter of fiscal year 26 and a reconciliation to net loss attributable to Limoneira Company is provided in our earnings release. I want to emphasize what these second quarter results represent. They reflect the new seasonal cadence under our Sunkist partnership. The specific noncash charges I described and the strategic investments we are making to position the company for improved performance throughout the remainder of fiscal year 26. The underlying operational trends are positive and we have clear visibility into accelerating performance in the second half of this fiscal year. Turning to our balance sheet. We remain in a solid position to execute on our strategic initiatives, and I expect our liquidity position to improve as we move into the seasonally stronger second half of the fiscal year. Long term debt as of April 30, 2026, was $93.7 million compared to $72.5 million at the end of fiscal year 25. The increase in debt reflects the seasonal nature of our business and timing of cash flows, which we expect to improve in the third and fourth quarters as our higher volume periods generate stronger cash flows. As we enter the second half of fiscal year 26, now our seasonally stronger period, we have visibility into expected improvements in financial results Our third and fourth quarter should benefit from higher lemon volumes under the Sunkist agreement, increased avocado volumes as we strategically delayed harvest to capture better expected pricing and continued operational efficiency. I would like to turn the call back to Harold to discuss our fiscal year 26 outlook and longer term growth pipeline. Harold S. Edwards: Thank you, Greg. Looking at the remainder of fiscal year 26, we expect to achieve positive adjusted EBITDA in the third and fourth quarters due to a large increase in avocado volumes better lemon volume, and pricing, and realization of cost savings. For full year fiscal 26, we are reiterating our fresh lemon volumes of 4 million to 4.5 million cartons and are raising our avocado volumes to 5.5 million to 6.5 million pounds. Beyond our core operations, we have several additional value creation opportunities progressing. Our real estate pipeline remains strong with a $155 million in expected total proceeds over the next 5 fiscal years. The LIMCO Del Mar entitlement process represents another significant real estate development opportunity, and our organic recycling is expected to contribute meaningful earnings when the facility becomes operational. In fiscal year 2027. We have built a more resilient business model that is less dependent on commodity lemon pricing while creating multiple engines for profitable growth. We believe we are very well positioned to begin unlocking the tremendous value in all of our assets over the next few years and look forward to updating you on our progress. Operator, we will now open the call to questions. Operator: Thank you. Thank you. And with that, we will now be conducting a question-and-answer session. If you would like to ask a question, please press star 1 on your telephone keypad. The confirmation tone will indicate You may press star 2 to remove yourself from the queue. For any participants using speaker equipment, it may be necessary to pick up the handset before pressing the star keys. 1 moment while we poll for questions. Alright. And our first question comes from the line of Ben Klieve with Lake Street Capital Markets. Please proceed with your question. El Nabar: Hey, guys. Thanks for taking my question. So notice with harvest timing, you delayed the avocado harvest to capture better pricing with only 285 thousand pounds sold in Q2 at $0.96 a pound. So how much volume has been pushed into Q3 And what pricing are you currently seeing in the market? Harold S. Edwards: that is a great question. So we pushed about 500 thousand pounds from Q2 into Q3. And right now, we are seeing pricing anywhere. So remember, pricing is a function of, how many sizes and the price per size. But the peak size right now is about a 48, and we are seeing about $1.40 Yeah. As of today. Yeah. A dollar 40 for the for 48 today. So anywhere from $1.30 to $1.40. So I would expect our blended average price to be somewhere on the order of magnitude of $1.30. Maybe? El Nabar: Gotcha. Okay. Thank you. And then can you also give us an update on current lemon pricing per carton? Harold S. Edwards: Yeah. Lemons are also another encouraging story right now. We are seeing average pricing across all grades and sizes above $20. And Greg and I just saw a forecast for the remainder of the fiscal year that has the pricing, the average pricing across all sizes and grades, the average going up about $1 a carton each month between now and October. So, theoretically, $21 in July, $22 in August, and so on and so forth. So we have not seen that much strength in lemon pricing since 2018. El Nabar: Oh, awesome. Well, good to hear. 1 more for me. So with Windfall Farms, kind of a little bit of a closing risk potentially. So Paso Robles sale is structured with $10 million cash and a $6 million permissionary note. So what conditions to closing in What are the conditions to closing in Q4? Then what would happen to the transaction if the buyer cannot close on schedule? Harold S. Edwards: Yeah. So if the buyer if the buyer cannot close on schedule, the deal probably falls out of escrow. But we receive our first money on July 1, so just in a matter of weeks here. And then the deal can close at any time after July 1. We gave the buyer a substantial amount of time for him to complete his due diligence, which he can extend it all the way to the end of October, at which point, he will have to fund $10 million to execute the transaction. And then he will owe us $2 million annually for the next 3 years to complete the $16 million purchase for 80% of the farm. El Nabar: Gotcha. Okay. Well, thank you. I will hop back in queue. Operator: Thank you. Thank you. And our next question comes from the line of Puran Sharma. With Stephens In. Please proceed with your question. Jack Harden: Hi. This is Ben Klieve on for Puran Sharma. Just to follow-up on the lemon pricing and Sunkist, Pricing was up. Year over year despite being net of the Sunkist marketing fee. How much of that improvement is mix or market slash sunkist? Customer access or fresh utilization? Harold S. Edwards: that is a great question because it is a little bit of all of the above. I would say, the market is strengthening but I would attribute the majority of the increase to the very, very strong market presence that Sunkist provides. With contract relationships with retail buyers and very strong contracts with food service buyers. Maybe in the last thing just to mention is that our fresh utilization since returning to Sunkist is the highest we have seen in years. above 80% so far. So I know we still have half the year to go, but we are off to a great start in our relationship with Sunkist. Jack Harden: Awesome. Thank you. And then for the Colorado River timing, what for the water rights in FY 2026, what milestone should investors watch between now and year end? And what is most likely the structure Is it, like, far following agreement, outright sale, or something else? Greg Hamm: I will take that 1. Outright sale is probably less likely than some sort of crop substitution that frees up water that is allocated to our land and make it available to lease long-term or sell the right to access to the rights directly. And I think as far as what needs to happen to get that done, We are keeping an eye closely on some contracts along the Colorado River with the reservoirs that are going to set to expire 12/31/2026. So the pressure's on. BLM or Bureau of Land Management reclamation to get things moving in the right direction. At the very least, there would be an extension of the current following agreements but we think there is more opportunity that we get a long term program in place and we can monetize ourselves. Jack Harden: Awesome. Thanks so much. Operator: Thank you. And once again, ladies and gentlemen, if you would like to ask a question, please press star 1 on your telephone keypad. Alright. Looks like there are no more questions at this time. I would love to turn the floor back over to Harold S. Edwards for closing comments. Harold S. Edwards: We would like to thank you for your questions and your interest in Limoneira and wish you all a very great day. Thank you. Operator: Thank you. And with that, ladies and gentlemen, this does conclude today's teleconference. We thank you for your participation, and you may disconnect your lines at this time. And have a wonderful rest of your day. Before you buy stock in Limoneira, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Limoneira wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $445,672!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,280,566!* That performance is why people listen. With a track record of beating the S&P 500 by nearly 5x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of June 9, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Limoneira (LMNR) Q2 2026 Earnings Transcript was originally published by The Motley Fool

Reports Second Quarter Revenue of $23.9 Million, Exceeding Expectations Full Year Fiscal 2026 Avocado Volume Guidance Increased to 5.5 Million to 6.5 Million Pounds from Previous 5 Million to 6 Million Range Agromin Joint Venture Agreement Executed, Creating Potential High-Return Platform Expected to Generate Substantial Shared Earnings While Optimizing Underutilized Land and Conserved Water Expected Fiscal Year 2026 Monetization of Paso Robles Vineyard Asset Through $16 Million Partial Sale Agreement Water Monetization Strategy on Track for Fiscal Year 2026 SANTA PAULA, Calif., June 09, 2026--(BUSINESS WIRE)--Limoneira Company (the "Company" or "Limoneira") (Nasdaq: LMNR), a diversified lemon and avocado growing and lemon packing company with related agribusiness activities and real estate development operations, today reported financial results for the second quarter ended April 30, 2026. The Company continues to execute on its value creation strategy of growing agriculture income and monetizing land and water assets. Agriculture initiatives include: Land and water assets initiatives include: Management Comments Harold Edwards, President and Chief Executive Officer of the Company, stated, "Our second quarter results demonstrate our continued efforts to execute our strategic transformation to position Limoneira for long-term value creation. We exceeded expectations for revenue and adjusted EBITDA in the second quarter, reinforcing our confidence in the strategic decisions we are implementing. The fundamentals of our business are strengthening as we track toward our targeted $10 million in annual selling, general and administrative savings, excluding a second quarter allowance on foreign receivables, and benefiting from improved operational efficiency through our Sunkist partnership. Our avocado production capacity continues to expand with 800 non-bearing acres maturing over the next two to four years, and we’ve increased our full-year avocado volume guidance to 5.5 to 6.5 million pounds, reflecting the strength of our growing operations. The 400 acres of avocados we planted in 2023 and 2024 are expected to set a crop this year and be additive to volume in fiscal year 2027. Additionally, continued high levels of fresh lemon utilization are optimizing our product mix and revenue per acre. Beyond our core agricultural business, we continue to unlock value from our diversified asset base. This quarter, we completed two strategic initiatives: our Agromin joint venture, which we expect to create a new high-return platform generating substantial shared earnings while optimizing underutilized land and conserved water, and the partial sale of our Paso Robles vineyard for $16 million. We also made the decision to cease citrus farming operations on 600 acres of lemons in Arizona to focus on water monetization, which we anticipate will make this asset significantly more profitable. Our water monetization strategy is advancing on track, and we still expect a monetization event from our Colorado River water rights in fiscal year 2026. We expect the second half of fiscal year 2026 to be our seasonally strongest period. Our third and fourth quarters should benefit from higher lemon volumes under the Sunkist agreement, increased avocado volumes as we strategically delayed harvest timing to capture expected better pricing, and continued operational efficiency. We expect to achieve positive adjusted EBITDA in the third and fourth quarters of fiscal year 2026. We are building a more focused, more efficient Limoneira, and we believe the full impact of that transformation will be increasingly visible in the quarters ahead," concluded Mr. Edwards. Fiscal Year 2026 Second Quarter Results For the second quarter of fiscal year 2026, total net revenues were $23.9 million, compared to total net revenues of $35.1 million in the second quarter of the previous fiscal year. Agribusiness revenues were $22.5 million, compared to $33.6 million in the second quarter of last fiscal year. Other operations revenue was $1.4 million in the second quarter of fiscal year 2026, compared to $1.5 million in the second quarter of last fiscal year. The year-over-year decrease in total net revenues was driven by the Company's strategic transition to Sunkist for lemon sales and marketing. This partnership resulted in a significant shift in the quarterly sales cadence for lemons compared to historical patterns. Under the new Sunkist structure, the first and second quarters are expected to have lower lemon sales volumes, while the third and fourth quarters are expected to have higher lemon sales volumes. Additionally, the Company exited its brokerage business and Chilean farming operations in the first quarter of fiscal year 2026 and its farm management business during fiscal year 2025, which further contributed to the year-over-year revenue decrease. Agribusiness revenues in the second quarter of fiscal year 2026 include $17.1 million in fresh lemon carton sales, compared to $19.7 million of fresh lemon carton sales during the same period of fiscal year 2025. Approximately 1,028,000 cartons of fresh lemons were sold during the second quarter of fiscal year 2026 at a $16.63 average price per carton, compared to approximately 1,357,000 cartons sold at a $14.52 average price per carton during the second quarter of fiscal year 2025. The decrease in fresh carton volume was related to the shift in cadence as a result of the Sunkist agreement. Fresh lemon carton sales and per carton prices for the second quarter of fiscal year 2026 are net of the Sunkist marketing fee. Brokered lemons and other lemon sales were immaterial in the second quarter of fiscal year 2026, compared to $2.3 million in the second quarter of fiscal year 2025. The decrease compared to the same period of fiscal year 2025 was primarily due to the sale of the Company’s Chilean farms in the first quarter of fiscal year 2026. The Company recognized nominal avocado revenue in the second quarter of fiscal year 2026, compared to $2.8 million of avocado revenue in the second quarter of last fiscal year due to the timing of harvest. Approximately 1,232,000 pounds were sold at a $2.26 average price per pound during the second quarter of fiscal year 2025. The Company recognized nominal orange revenue in the second quarter of fiscal year 2026, compared to $1.6 million in the same period of fiscal year 2025. The decrease was primarily related to the transition of the Company’s citrus brokerage operations to Sunkist. The Company recognized nominal specialty citrus and wine grape revenues in the second quarter of fiscal year 2026, compared to $0.7 million in the second quarter of fiscal year 2025. The decrease was related to the transition of the Company’s citrus brokerage operations to Sunkist. Due to the termination of the Farm Management Agreement with PGIM Real Estate Finance, LLC effective March 31, 2025, there was no farm management revenue in the second quarter of fiscal year 2026, compared to $0.3 million in the same period of fiscal year 2025. Total costs and expenses in the second quarter of fiscal year 2026 were $45.6 million, compared to $38.5 million in the second quarter of last fiscal year. The increase was primarily due to a $9.3 million impairment of the Windfall Farms property assets and $7.8 million loss and expected loss on disposal of assets, primarily the lemon orchards in Yuma, Arizona, partially offset by a decrease in agribusiness costs, a $1.1 million increase in other operating income from insurance proceeds and a decrease in selling, general and administrative expenses. Operating loss for the second quarter of fiscal year 2026 was $21.7 million, compared to operating loss of $3.3 million in the second quarter of the previous fiscal year. The increase in operating loss was primarily due to decreased agribusiness revenues and net increased costs and expenses described above. Additionally, total other expense for fiscal year 2026 includes $5.1 million in net accumulated foreign exchange losses recognized on the Chilean farming entities recorded over approximately eight years since the entities were acquired. In March 2026, the Company received aggregate insurance proceeds of $2.3 million related to an incident at its packinghouse. Of the total insurance proceeds received, $1.2 million was recognized as a reduction of agribusiness costs and $1.1 million was recognized in other operating income during the second quarter of fiscal year 2026. Net loss applicable to common stock, after preferred dividends, for the second quarter of fiscal year 2026 was $21.4 million, compared to net loss applicable to common stock of $3.5 million in the second quarter of fiscal year 2025. Net loss per diluted share for the second quarter of fiscal year 2026 was $1.20 compared to net loss per diluted share of $0.20 for the same period of fiscal year 2025. The increase in net loss reflects the same factors impacting total costs and expenses and operating loss noted above. Adjusted net loss for diluted EPS in the second quarter of fiscal year 2026 was $5.2 million or $0.29 per diluted share, compared to the second quarter of fiscal year 2025 adjusted net loss for diluted EPS of $3.1 million or $0.17 per diluted share. A reconciliation of net loss attributable to Limoneira Company to adjusted net loss for diluted EPS is provided at the end of this release. Non-GAAP adjusted EBITDA was a loss of $1.7 million in the second quarter of fiscal year 2026, compared to a loss of $0.2 million in the same period of fiscal year 2025. A reconciliation of net loss attributable to Limoneira Company to non-GAAP adjusted EBITDA is provided at the end of this release. Fiscal Year 2026 First Six Months Results For the six months ended April 30, 2026, total net revenue was $42.1 million, compared to $69.4 million for the same period in fiscal year 2025. The decrease was primarily due to decreased agribusiness revenues from lemons, avocados, oranges and farm management. Operating loss for the first six months of fiscal year 2026 was $32.2 million, compared to operating loss of $8.7 million in the same period last fiscal year. The increase in operating loss was primarily due to the second quarter factors described previously. Additionally, total other expense for the first six months of fiscal year 2026 includes $6.1 million in accumulated foreign exchange losses recognized on the Chilean farming entities. Net loss applicable to common stock, after preferred dividends, was $31.0 million for the first six months of fiscal year 2026, compared to net loss of $6.7 million in the same period last fiscal year. Net loss per diluted share for the first six months of fiscal year 2026 was $1.74, compared to net loss per diluted share of $0.38 in the same period of fiscal year 2025. The increase in net loss reflects the same factors impacting operating loss and other total expense noted above. For the first six months of fiscal year 2026, adjusted net loss for diluted EPS was $13.7 million compared to adjusted net loss for diluted EPS of $5.6 million for the same period in fiscal year 2025. In the first six months of fiscal year 2026, adjusted net loss per diluted share was $0.77 compared to adjusted net loss per diluted share of $0.32 for the same period in fiscal year 2025, based on approximately 17.9 million and 17.8 million, respectively, adjusted weighted average diluted common shares outstanding. Balance Sheet and Liquidity During the first six months of fiscal year 2026, net cash used in operating activities was $16.1 million, compared to net cash used in operating activities of $4.0 million in the same period of the prior fiscal year. For the first six months of fiscal year 2026, net cash used in investing activities was $3.5 million, compared to net cash used in investing activities of $6.5 million in the same period last fiscal year. Net cash provided by financing activities was $19.1 million for the first six months of fiscal year 2026, compared to net cash provided by financing activities of $9.6 million in the same period of the prior fiscal year. Long-term debt as of April 30, 2026, was $93.7 million, compared to $72.5 million at the end of fiscal year 2025. In April 2025, the Company received a cash distribution of $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. The distribution came from the joint venture’s available cash and cash equivalents, which as of April 30, 2026, totaled $19.3 million. Land and Water Asset Monetization In April 2024, Harvest at Limoneira closed on lot sales representing 554 residential units, thus completing the sell-out of Phase 2 of the development. In February 2026, Harvest at Limoneira celebrated the grand opening of five new neighborhoods in Phase 2 and home sales are underway. In September 2025, Limoneira announced a plan to explore providing housing on the Limco Del Mar Ranch to address Ventura County’s housing needs. Limoneira believes that infill development, such as the Limco Del Mar project, offers the opportunity for efficient, balanced, and well-planned development that has the potential to stimulate economic growth, create jobs, and contribute to vibrant livable communities. In April 2026, Limoneira completed the formation of a 50%/50% joint venture with California Wood Recycling, Inc. dba Agromin, California's largest organics waste recycler. The joint venture will develop a 70-acre commercial composting center on Limoneira’s property in Santa Paula, CA. Limoneira will lease the site to the joint venture for approximately $560,000 annually, with the lease including 89 acre-feet of annual water supply to the facility. The joint venture is expected to become operational in the second half of fiscal year 2027 and is projected to generate significant earnings, shared equally between Limoneira and Agromin. In April 2026, one of Limoneira's subsidiaries, Windfall Investors, LLC, entered into a Purchase and Sale Agreement to sell an 80% undivided tenant-in-common interest in the Company’s Windfall Farms property. The property is located in Paso Robles, California and consists of approximately 724 acres of land, including approximately 400 acres of wine grapes and related improvements and infrastructure. The aggregate purchase price is $16 million, consisting of $10 million in cash and a $6 million promissory note secured by a deed of trust. The transaction is expected to close in the fourth quarter of fiscal year 2026. In April 2026, Limoneira made the decision to cease citrus farming operations on the remaining 600 acres of lemons located at the Company’s Associated Citrus Packers property in Yuma, Arizona. The decision aligns with the Company’s strategic plan to monetize Class 3 Colorado River water rights by conserving water via crop substitution to low water use crops. Several reservoir and water management agreements that govern the management of the Colorado River are scheduled to expire at the end of 2026, and the Company believes there may be near-term opportunities for monetization of its water rights. Fiscal Year 2026 Guidance and Longer-Term Outlook The Company continues to expect fresh lemon volumes to be in the range of 4.0 million to 4.5 million cartons for fiscal year 2026. The Company now expects avocado volumes to be in the range of 5.5 million to 6.5 million pounds for fiscal year 2026, compared to the prior expectation of 5.0 million to 6.0 million pounds. 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 fiscal year 2025 and $15 million was received in fiscal year 2024. Harvest at Limoneira Cash Flow Projections (in millions) The Company has 800 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. Conference Call Information The Company will host a conference call to discuss its financial results on June 9, 2026, 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 three hours after the call concludes and will be available through June 23, 2026, by dialing (844) 512-2921 from the U.S., or (412) 317-6671 from international locations; the passcode is 13760558. About Limoneira Company Limoneira Company, a 133-year-old international agribusiness headquartered in Santa Paula, California, has become one of the premier integrated agribusinesses in the world. Limoneira (lē moñ âra) is a dedicated sustainability company with 7,000 acres of rich agricultural lands, real estate properties, and water rights in California, Arizona and Argentina. The Company is a leading producer of lemons and avocados 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," "project," "potential," "believe," "intend," "should," "will," "likely," "strive," "estimate," 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 transition of the Company's lemon sales and marketing to Sunkist Growers Inc. and the earnings of the newly formed joint venture with Agromin and managing the risks involved in the foregoing; the ability of the transition to Sunkist 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, among others, 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. Non-GAAP Financial Measures Due to significant depreciable assets associated with the nature of the Company’s operations and interest costs associated with the Company's capital structure, management believes that earnings before interest, income taxes, depreciation and amortization ("EBITDA") and adjusted EBITDA, which excludes stock-based compensation, impairment of assets, loss and expected loss on disposal of assets, net and foreign currency losses, are important measures to evaluate the Company's results of operations between periods on a more comparable basis. Beginning in fiscal year 2026, adjusted EBITDA excludes foreign currency losses, as management believes this is a better representation of cash generated by operations. Foreign currency losses were immaterial in fiscal year 2025 and, therefore, were not separately adjusted. 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 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): The following is a reconciliation of net loss attributable to Limoneira Company to adjusted net loss for diluted EPS (in thousands, except per share data): View source version on businesswire.com: https://www.businesswire.com/news/home/20260609904614/en/ Contacts Investors John MillsManaging PartnerICR 646-277-1254

Interested in Limoneira Co? Here are five stocks we like better. Limoneira reported a wider second-quarter loss as revenue fell to $23.9 million from $35.1 million a year earlier, hurt by the Sunkist transition, exits from brokerage/Chile operations, and lower avocado sales. The quarter also included $23.8 million in non-cash charges tied to impairment and asset disposal items. Management said the company expects a stronger second half of fiscal 2026, with positive Adjusted EBITDA in the third and fourth quarters supported by improved lemon pricing, higher avocado volumes, and cost savings. Full-year guidance was reiterated for lemons and raised for avocado production. Asset monetization remains central to the strategy, including the sale of an 80% interest in Windfall Farms for $16 million and ongoing plans to conserve and potentially monetize water rights in Yuma. Limoneira also highlighted long-term real estate proceeds and a new organic recycling venture expected to begin contributing in fiscal 2027. Limoneira (NASDAQ:LMNR) executives said the company’s fiscal second-quarter results reflected a transitional period tied to its Sunkist partnership, asset sales and cost-reduction efforts, while management pointed to stronger expected results in the second half of fiscal 2026. President and Chief Executive Officer Harold Edwards said the quarter included $23.8 million of non-cash charges, including a $9.3 million impairment on the Windfall Farms property, a $7.8 million loss on asset disposals primarily related to Yuma, Arizona lemon orchards, $5.1 million of net accumulated foreign exchange losses and a $1.6 million allowance on foreign receivables. → Meta Unveils Subscriptions: A New Offering With Real Growth Potential Despite those charges, Edwards said Limoneira “exceeded expectations for revenue and Adjusted EBITDA in the second quarter,” adding that the company remains confident in its strategic actions, including targeted annual selling, general and administrative savings of $10 million and operational changes under its Sunkist relationship. Chief Financial Officer Greg Hamm said total net revenue for the second quarter of fiscal 2026 was $23.9 million, compared with $35.1 million in the prior-year quarter. AgriBusiness revenue totaled $22.5 million, down from $33.6 million a year earlier, while other operations revenue was $1.4 million, compared with $1.5 million. → Planet Labs: Coming Back Down to Earth Hamm attributed the revenue decline to three strategic changes: the Sunkist transition and resulting shift in quarterly sales cadence, Limoneira’s exit from the brokerage business and Chilean farming operations in the first quarter, and the termination of farm management operations in the prior fiscal year. Fresh lemon carton sales were $17.1 million, compared with $19.7 million in the year-ago quarter. Limoneira sold approximately 1.03 million cartons of fresh lemons at an average price of $16.63 per carton, compared with 1.36 million cartons at $14.52 per carton in the prior-year period. Hamm said the lower volume reflected the cadence change under the Sunkist agreement, while noting that 2026 per-carton prices are net of the Sunkist marketing fee. → The Energy Trade Is Bigger Than Oil Prices: 3 Stocks to Buy and 2 to Sell Avocado revenue was nominal in the quarter, compared with $2.8 million a year earlier, as Limoneira deliberately delayed harvesting some fruit to seek better expected pricing in the third quarter. Orange revenue, specialty citrus and wine grapes also were nominal, reflecting the transition of citrus brokerage operations to Sunkist. Total costs and expenses rose to $45.6 million from $38.5 million in the prior-year quarter, primarily due to the Windfall Farms impairment and Yuma orchard disposal charges. Hamm characterized those actions as “disciplined capital allocation decisions.” Operating loss was $21.7 million, compared with an operating loss of $3.3 million in the second quarter of fiscal 2025. Net loss applicable to common stock after preferred dividends was $21.4 million, or $1.20 per diluted share, compared with a net loss of $3.5 million, or $0.20 per diluted share, a year earlier. On an adjusted basis, Limoneira reported a net loss of $5.2 million, or $0.29 per diluted share, compared with an adjusted net loss of $3.1 million, or $0.17 per diluted share, in the prior-year period. Adjusted EBITDA was a loss of $1.7 million, compared with a loss of $200,000 a year earlier. Hamm said the company received $2.3 million in insurance proceeds in March 2026 related to an incident at its packing house. Of that amount, $1.2 million was recognized as a reduction of agribusiness costs and $1.1 million was recorded in other operating income during the second quarter. Management said Limoneira expects positive Adjusted EBITDA in the third and fourth quarters of fiscal 2026, supported by higher avocado volumes, better lemon volume and pricing, and cost savings. For the full year, Limoneira reiterated its fresh lemon volume guidance of 4 million to 4.5 million cartons and raised its avocado volume outlook to 5.5 million to 6.5 million pounds. Edwards said lemon pricing has improved, noting during the question-and-answer session that average pricing across grades and sizes was above $20 per carton. He said a forecast viewed by management showed average pricing rising by about $1 per carton each month through October, adding that Limoneira had not seen that level of strength in lemon pricing since 2018. In response to a question about avocados, Edwards said Limoneira moved about 500,000 pounds from the second quarter into the third quarter. He said current pricing for 48-size avocados was around $1.30 to $1.40, with an expected blended average price “somewhere on the order of magnitude” of $1.30. Limoneira also highlighted several asset monetization and development initiatives. The company announced an agreement to sell an 80% interest in approximately 724 acres of its Windfall Farms vineyard property in Paso Robles, California, for $16 million, consisting of $10 million in cash at closing and a $6 million seller-financed note. Hamm said Limoneira will retain a 20% interest and expects the transaction to close in the fourth quarter of fiscal 2026. Edwards said the buyer can close any time after July 1 and has until the end of October to complete due diligence, at which point the buyer would need to fund $10 million to execute the transaction. The remaining $6 million would be paid at $2 million annually over the following three years, according to Edwards. The company also said it ceased citrus farming operations on 600 acres of lemons in Yuma, Arizona, as part of a strategy to conserve and monetize water by shifting to lower-water-use crops. Hamm said an outright sale of Colorado River water rights is less likely than a structure involving crop substitution that frees up allocated water for long-term lease or sale of access rights. Edwards said Limoneira continues to expect future proceeds from Harvest at Limoneira, Limoneira Lewis Community Builders II and East Area 2 to total $155 million over the next five fiscal years. He said Phase 2 home sales remain robust, with two to seven homes sold per week, and Phase 3, consisting of approximately 500 home lots, is expected to go to market in fiscal 2027. Limoneira also pointed to its 50/50 organic recycling joint venture with Agromin, which Edwards said has the ability to process up to 295,000 tons of organic waste annually and is expected to generate shared earnings after becoming operational in fiscal 2027. Limoneira Company (NASDAQ: LMNR), founded in 1893 and based in Santa Paula, California, is a diversified agribusiness and real estate enterprise. As one of the oldest citrus producers in the United States, Limoneira has built a reputation for cultivating and marketing high-quality citrus fruits, avocados and specialty crops. The company's vertically integrated model encompasses farming, packing, processing and marketing activities designed to deliver fresh produce to domestic and international markets. In its agricultural operations, Limoneira specializes in lemons, oranges and avocados, employing modern irrigation, harvesting and packing technologies to maintain consistent product quality and supply. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Limoneira Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for June 2026.

Mission Produce, Inc. (AVO) came out with quarterly earnings of $0.01 per share, missing the Zacks Consensus Estimate of $0.07 per share. This compares to earnings of $0.12 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -85.71%. A quarter ago, it was expected that this company would post earnings of $0.07 per share when it actually produced earnings of $0.1, delivering a surprise of +42.86%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Mission Produce, which belongs to the Zacks Agriculture - Operations industry, posted revenues of $290.9 million for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 8.02%. This compares to year-ago revenues of $380.3 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Mission Produce shares have lost about 11.9% since the beginning of the year versus the S&P 500's gain of 7.9%. While Mission Produce has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Mission Produce was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.21 on $303.4 million in revenues for the coming quarter and $0.67 on $1.17 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Agriculture - Operations is currently in the top 45% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Limoneira (LMNR), another stock in the same industry, has yet to report results for the quarter ended April 2026. The results are expected to be released on June 9. This agribusiness company is expected to post quarterly loss of $0.26 per share in its upcoming report, which represents a year-over-year change of -52.9%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Limoneira's revenues are expected to be $23 million, down 34.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Mission Produce, Inc. (AVO) : Free Stock Analysis Report Limoneira Co (LMNR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research