NEWS RELEASE
FOR RELEASE IMMEDIATELY CONTACT:
MAY 6, 2003 PAUL J. MEYER
808/877-3871
808/877-1614 FAX
MAUI LAND & PINEAPPLE REPORTS 2003 1ST QUARTER RESULTS
Kahului, Hawaii, May 6..Maui Land & Pineapple Company, Inc.
(AMEX: MLP) today reported a net loss of $626,000 or $.09 per
share for the first quarter of 2003 compared to net income of
$776,000 or $.11 per share for the first quarter of 2002. The
Company's two major business segments, Pineapple and Resort,
produced lower net results in the first quarter of 2003 primarily
because of higher general and administrative expenses and lower
profits from Resort real estate sales. Consolidated revenues of
$37.3 million for the first quarter of 2003 were 3% higher than
the first quarter of 2002.
Pineapple operations produced an operating loss of
$1,537,000 for the first quarter of 2003 compared to an operating
loss of $1,141,000 million for the first quarter of 2002.
Revenues for the first quarter of 2003 were higher by 8% compared
to the first quarter of 2002, reflecting increased sales of
pineapple from Central America by the Company's 100% owned
subsidiary, Royal Coast Tropical Fruit Company, increased sales
of Hawaiian GoldTM (fresh whole pineapple) and higher average
sales prices for the Company's canned pineapple products. The
gross margin for the Pineapple segment was better in the first
quarter of 2003 primarily because a larger proportion of sales
were of fresh pineapple, which generally has a higher profit
margin compared to canned pineapple. The increased operating
loss in the first quarter of 2003 was due largely to higher
general and administrative expense for litigation costs,
depreciation, pension expense and insurance. General and
administrative expenses charged to the Pineapple segment
increased by $1.3 million in the first quarter of 2003 compared
to the first quarter of 2002.
Kapalua Resort produced an operating profit of $1,294,000
for the first quarter of 2003 compared to an operating profit of
$2,956,000 for the first quarter of 2002. Revenues from the
Resort were $13.3 million for the first quarter of 2003 compared
to $15.2 million for the first quarter of 2002. Operating profit
attributable to real estate development decreased by $1.1 million
in the first quarter of 2003 compared to 2002, reflecting a lower
inventory of new real estate product available for sale. Results
from most other Resort operations were lower in the first quarter
of 2003 primarily because of lower visitor occupancies.
The Commercial & Property segment reported operating profit
of $349,000 for the first quarter of 2003 compared to $319,000
for the first quarter of 2002. Revenues from this segment were
$3.1 million for the first quarter of 2003 compared to $1.7
million for the first quarter of 2002. Revenues and operating
profit for 2002 included a $624,000 gain on the sale of a land
parcel. Results for the first quarter of 2003 included the
closing of 21 lot sales at the Kapua Village employee
subdivision.
* * * * *
MAUI LAND & PINEAPPLE COMPANY, INC.
Report of Consolidated Operations
(Unaudited)
(Dollars in Thousands Except Per Share Amounts)
Three Months Ended
March 31
2003 2002
Revenues
Pineapple $ 20,898 $ 19,342
Resort 13,295 15,220
Commercial & Property 3,079 1,723
Other 1 --
------ ------
Total Revenues 37,273 36,285
Operating Profit (Loss)
Pineapple (1,537) (1,141)
Resort 1,294 2,956
Commercial & Property 349 319
Other (407) (360)
------ ------
Total Operating Profit (Loss)(301) 1,774
Interest Expense (634) (581)
Income Tax (Expense) Credit 309 (417)
------ ------
Net Income (Loss) (626) 776
====== ======
Net Income (Loss)
Per Common Share $ (.09) $ .11
Average Common
Shares Outstanding 7,195,800 7,195,800
NOTE:
The Company's reports for interim periods utilize numerous
estimates of production, general and administrative expenses, and
other costs for the full year. Consequently, amounts in the
interim reports are not necessarily indicative of results for the
full year.