Key Takeaways
- Limoneira (Nasdaq: LMNR) reported Q1 FY2026 total net revenues of $18.2 million, down from $34.3 million in the same period last year, primarily due to its transition to a Sunkist sales and marketing partnership.
- Operating loss widened to $10.6 million from $5.3 million in Q1 FY2025, with the company citing one-time expenses including packinghouse repairs and costs related to the exit of its Chilean farming operations.
- Operating costs declined 27% year-over-year following the elimination of citrus sales and marketing expenses transferred to Sunkist.
- The company expects approximately $155 million in additional proceeds from its Harvest at Limoneira real estate joint venture over the next five fiscal years.
- Limoneira maintains its FY2026 volume guidance of 4.0–4.5 million fresh lemon cartons and 5.0–6.0 million pounds of avocados.
Limoneira Posts Q1 FY2026 Revenue Decline as Sunkist Transition Shifts Sales Cadence
Limoneira Company (Nasdaq: LMNR), a diversified lemon and avocado grower and lemon packing company with agribusiness and real estate development operations, has reported financial results for its first fiscal quarter ended January 31, 2026.
Total net revenues for the quarter came in at $18.2 million, compared to $34.3 million in the first quarter of the prior fiscal year. The company attributed the year-over-year decline primarily to its strategic transition to Sunkist for lemon sales and marketing, which has shifted the timing of lemon revenue toward the back half of the fiscal year.
Limoneira Q1 FY2026 Financial Highlights
Revenue
Agribusiness revenues were $16.8 million in Q1 FY2026, compared to $32.9 million in Q1 FY2025. Fresh packed lemon sales totaled $11.9 million, with approximately 681,000 cartons sold at an average price of $17.41 per carton. This compares to approximately 1,147,000 cartons sold at $18.44 per carton in the same quarter last year. The per-carton figures for FY2026 are net of the Sunkist marketing fee.
No avocado revenue was recorded in Q1 FY2026 due to harvest timing, compared to $162,000 in Q1 FY2025. Orange revenue fell to $10,000 from $1.6 million, reflecting the sale of the company's Chilean agricultural properties and the transition of brokerage operations to Sunkist. The company also exited its farm management business, which contributed $1.2 million in Q1 FY2025 but recorded no revenue in the current quarter.
Costs and Expenses
Total costs and expenses were $28.8 million in Q1 FY2026, down 27% from $39.7 million in Q1 FY2025. The decrease was driven by reduced agribusiness volumes and the elimination of citrus sales and marketing costs following the Sunkist transition.
Operating Loss and Net Loss
Operating loss for Q1 FY2026 was $10.6 million, compared to $5.3 million in Q1 FY2025. The wider loss included $1.0 million in packinghouse repair costs — for which the company subsequently received $0.9 million in insurance proceeds on March 10, 2026, with an additional $1.4 million expected in Q2 FY2026 — and $0.5 million in costs related to closing its Chilean farming operations.
Net loss applicable to common stock was $9.6 million, or $0.53 per diluted share, compared to $3.2 million, or $0.18 per diluted share, in Q1 FY2025. Non-GAAP adjusted EBITDA was a loss of $7.7 million, compared to a loss of $2.3 million in the same period last year.
Limoneira Management Commentary
“Our first quarter results reflect the strategic transformation we are executing to position Limoneira for sustainable, long term value creation,” said Harold Edwards, President and CEO of Limoneira. “While the cadence of lemon sales will shift due to our return to Sunkist, with the first and second quarters expected to have lower sales and the third and fourth quarters higher, we're pleased that fresh utilization improved in the first quarter and we remain on track with our volume guidance for both lemons and avocados in fiscal 2026.”
Edwards added: “Our decision to partner with Sunkist remains on track to achieve our goal of approximately $10 million in selling, general and administrative savings for fiscal 2026.”
Limoneira Balance Sheet and Liquidity
Long-term debt as of January 31, 2026 stood at $89.9 million, compared to $72.5 million at the end of FY2025. Net cash used in operating activities was $11.7 million in Q1 FY2026, compared to $12.9 million in Q1 FY2025. Net cash provided by financing activities was $15.3 million.
The company's 50/50 real estate joint venture, Harvest at Limoneira with The Lewis Group of Companies, held $27.6 million in cash and cash equivalents as of January 31, 2026.
Real Estate and Water Assets
Harvest at Limoneira
Phase 2 of the Harvest at Limoneira residential development celebrated its grand opening in February 2026, with five new neighborhoods launched and home sales underway. Limoneira expects to receive approximately $155 million in additional proceeds from the Harvest joint venture and East Area II over the next five fiscal years, out of a total projected $180 million over seven fiscal years.
Water Rights Monetization
Limoneira's Yuma, Arizona farming operations hold approximately 11,500 acre-feet of Class 3 Colorado River water rights. With several reservoir and water management agreements governing the Colorado River scheduled to expire at the end of 2026, the company stated it sees near-term monetization opportunities for these assets.
Limoneira FY2026 Guidance
Limoneira maintained its full-year volume guidance of 4.0–4.5 million cartons of fresh lemons and 5.0–6.0 million pounds of avocados. The company also noted that 800 acres of non-bearing avocados are expected to reach full bearing within two to four years, which it projects would nearly double its avocado production capacity.
Read the complete financial results.
