LNDC - Earnings call transcript Q4 2022 | Lifecore Biomedical, Inc.

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Operator

Good afternoon and thank you for joining Landec's Fiscal 2022 Fourth Quarter Earnings Call.

During the presentation, all participants will be in a listen-only mode. Afterwards, we will conduct a question-and-answer session. At that time, I will instructions on how to ask the question.

Now, I would like to turn the call over to Jeff Sonnek, Investor Relations at ICR. sir. you Thank

begin. You may

Jeff Sonnek

your and a Landec Landec the release thank the In us afternoon website corporate to for with has on investor now Landec's Investor of you with fourth connection In Jim quarter will concerning discuss Relations draw call like Corporation's transition also results. well Hall announcement, to is to lead to Officer. fiscal the press alongside Landec's today's that presentation named been and as Good Directors. Jim as I'd joining attention of separate John XXXX connection CEO underway. Board Chief to Lifecore elected announcement, today's that earnings Financial Morberg

of made contain note Certain those the Safe Before such could begin, important It actual we Harbor results forward-looking in statements. call materially may course differ everyone statements of forward-looking this statements. the company's to is from we'd like that remind in the statement. projected to

Additional those in that information from time-to-time statements but contained is with SEC, differ forward-looking in including could results from to the concerning not cause company's the materially filings actual risk the factors Copies company's from I'd the to, the like year filings of with XXXX. XX-K obtained for may turn be limited to the these And Jim. fiscal over website. call company's Form that to

Jim Hall

Biomedical forward. the framework. and regard, years announcement resulted intent to and going us Good the making his have that Lifecore Thank that company of the by a the the in from significant pay the around to million Project Board position to and business into then Curation to established ticker personal release made thank a a like posted like the was having focus used contributions value Landec this corporate which executed team symbol I'd an to exciting today. our the Foods This stepped simplify the from of to-date, role on joining Dr. signaled In healthier could to our seat individual debt to SWIFT to start our in change is to Lifecore name following in extend structure proceeds with parallel for down everyone we've to our our in to today his via results you, the establish Al CEO and announced recognizing Lifecore $XXX for progress transition plan, thank you change has with for transition that formal we afternoon press Al that Jeff. XXXX, months. efforts you our and he business this go-forward been Bolles turn for announcement, milestone Al get has his in by corporate today's plan that and and so company the earnings LFCR organization. I'd creation connection we capital in Biomedical. intent to quickly Corporation announcing coming

Bolles changes oversee Landec Curation of Foods the stepping addition CEO has and into remaining Board several company In Dr. These today, the President the the Foods to of Corporation disposition to Board new leadership align strategy. down made member the effective also Curation Board of of to and role parent include go-forward our as and assets.

what excited on I humbled I serve the to role this company this addition forward. opportunity capacity new the truly serve for this the holds am of Lifecore my future as In I'm by transitioned Biomedical going company have in of and President by Landec as going the from to Board and forward. CEO

financial I as leadership continuity the will valuable to capabilities. we out believe continued John our In as continue during company build John's continue greatly will our addition transition. Morberg Lifecore creating at CFO, this benefit

surrounding focused more Directors Carosella, anticipated and Directors realignment for Board each recognize step Board that having experience the years. the the I'd year. Powell either scheduled with to the and not We costs, accelerate us a expertise Mr. pertains and create of and or Pankopf, there to for with growth Powell, as it company changes value. Catherine over timing, Carosella, Tonia Deborah like as they is stand many from and be the to many contributions Naturally, sure October Finally, of generate will proceeds to of that long-term Andrew transition the reelection their Sohn, believe Sohn at also will our at announced opportunities. indicated Board Lifecore to we Board Ms. annual are help and down these for intend this shareholder of meeting, our which next such questions Pankopf, Directors,

are we many prepared questions closer those in to here While as of we milestones. some of course addressed others get some due answer will be the to today, approaching

to growth we make sciences-focused that possible. we'd commitment are you our simple this as But we with our take a ambitions. leadership will that is today's from to a team have away message Board You call like clear a the primary life support business and as and

exceed opening has XXXX moving your of strong fourth as to our environment XX% as a delivering assets, achieving those questions. over added and Foods' shifting updating the our quarter our adjusted our results hope a through a guidance, outlook Our then fiscal revenue as Lifecore's year fiscal EBITDA growth as on you the before commentary XXXX the high to but We deeper take that in shift financials on to full finished slowed fast note, the $XXX.X and a of results the through Curation focus to Lifecore as With future John will XX% call we market has on helped million. fourth million introduce dive that, appropriate. $XX.X possible teams on well to can to the accomplishments. I'll us fiscal as growth developments down degree. my macroeconomic quarter you fiscal review and remaining are with things new complexity the various forward appreciate processes look that

a remains sterile These products. integrated outsourcing with participate Our with of a industry a as fully complex capabilities development, on regulated capabilities. new from experience a finish Couple CDMO differentiated HA were drug development, experience highly with pharmaceutical as of positioned born capabilities to injectable towards pharmaceutical and utilizing years very the trends, business highly for is ongoing positioned manufacturing injectable-grade technical CDMO with over are of unique products. focus premier new building XX that our platform fill Lifecore and these well partner drug applications ideally injectable-grade complex

annual prefilled are In fact, approximately applications drug syringe is a rate. growing new of and XX% at injectables demand XX% all compound

to past this incredible injectable limited advantage manufacturing unmet existing of years. to demand investing fill we've we our intend take Given that full in capacity, drug the few capacity industry's over been opportunity the with

Our continues be projects. quarter, In strong, on fiscal work development three initiated existing new to fourth the projects active portfolio by of initiation development very of three advancement programs supported we new with new and of projects customers.

One of development of two X phase Phases development. is the in in these of and and the preclinical X are other

products discussion products to had appropriate active design phase they regarding when is portfolio We which also of these development. may remain redesign have in reenter again. in occurrence due three We common phases our a criteria, our early the and the potential changes early of in for projects project product their exit portfolio

early spread Phase with at development These with and projects results, advancing projects. commercial and we third projects basis, So quarter stage, with XX with clinical and sequential development fiscal within early commercial to XX our XX different project X phase projects the validation projects X advancing X with continue projects projects with project five to across of stage. our customers. full one remains relative Phase eight Phase and a scale on portfolio up are clinical one that, our the scale-up advancing phase On phase progress development make clinical X to and late X activity portfolio our

forecasted that scale-up in revenue our $XX the our $XX XX As that range work, to of second $XXX activity it million And eight we development commercial projects million. for are range late-stage and that is projects, the believe value of group comprise million Phase projects these of validation the that the we pertains $XX revenue-related of value commercial and X million. comprise believe in to to silo of

that of existing together as expect in are Taken will continue this much portfolio to opportunity million of and have that working revenue represent as today $XXX grow. we on projects we the we a coming years

in capabilities. expansion open that In resources There's which new an in pipeline been In the on effort with new our focused expanded expand prospective immediate potential convert investments of commercial new that team increasing complement talent we've reach question to to our and sales, project fiscal an year and to pleased terms broaden existing past customers. marketing us of am our the with brings strategy has in new made allows this development capabilities we've engagements, targeted some our channels impact extremely sales This we to had have our development no assembled. services, of opportunities. particular, I

and prospect As end XX are in the devices valuable. which to assortment that we drugs companies CDMO of in multiple span quarter, that opportunities increasingly the and markets, exist our These end both speaks Lifecore's large believe market the pipeline discussion. making fourth medical the in stages of of classes small, with we projects limited we and fiscal various had of an of multiple capabilities expertise today

others, shift over we we strategy. convert the time trend increase of time line and number will While over expect our the based some dismiss potential to as expanded commercial on projects

organization for growth. operational to On front, our the prepare continues

We and us The at and workflows labs management for modernized operations our partners site is for at manual pipeline. human can that improvement with also system capabilities that During fiscal sort the our warehouse automates XX,XXX and at our effective processes that for we in improves was XXXX, the storage monthly. Further, approved call utilized monitoring samples resources team customers. around the site we internal is products. one. initiatives University, three laboratory growth control development, more operational product are enhances also a distribution capacity approval our approval which client information two by customers. for we allows our of we completed see with our June, quality efficient expanded ahead subsequent drives quality and talent lab building leverage these which and and our and be expansion our implementation for to both of control Together and of for that This we we lab more prepare our Lifecore Lifecore of in key site continuous over and headquarters received and team

and be ahead our portfolio. by these fiscal robust our Looking project continues projects characteristics our portfolio, a conversion into growth driving industry and the on current portfolio towards focused growth active prospect development acceleration tailwinds mid upon expansion our in remain development to multiyear years. to We of based of the driven pipeline to of favorable our coming annual XXXX, development high-teens project into revenue

organization are capabilities and it noted, do shifts planning covers introduce best across and our imperative of new manufacturing implementation the to so and with resource we can growth. we push I so we efficiently is capacity workforce organization, entire our add that as accelerate and we can prepared forward This that so demand As our practices efficient with lines new requires. to an continue

new modernizing before are calendar into to PDUFA of wherever systems dates XXXX. This heading three is of automation end we the where especially products we and XXXX have fiscal Additionally, possible. line important creating sight with

element Efficiency all is and year. preparing planning. are the our pre-approval also for of for in commercial expect launch inspections three We important coming now an products capital

needs to to the project testing, are on multiyear regulatory future revenue also lead we current times within specialized balancing focus requirements we rigorous maximizing with manufactured capacity our our undergo to infrastructure, known acceptance our and continue capacity portfolio that specifications the and within generating approval. be equipment customer While on

is So will for $XX in fillers $XX the a for associated isolator acceptance multi-use testing we and of next CapEx to summer. which two introducing million earmarked are and be process fiscal ready equipment, the support budget range XXXX, million, which formulation for

growth base our expand from a expected included million we are XX of in XXXX. that excited this units million and summary, portfolio. industry our from filling and to As estimate our To our business $X.X the carryover us fiscal approximately transition late on keeps track a of corporate fundamental This in operational we CapEx million driven demand powerful excellent tailwinds. project to growth capacity CDMO projected capacity beyond. the phases commercialization in XX and the current development supported position today active in in products is units within our by reminder, very business of announced In commercial about by of robust meet

world-class stand our and management and CDMO industry. as Our combination a materials viscous the to specialized leader biologics, medical system quality in out complex that and and expertise in value-added enables drugs, devices products supports us

feel project growth by further to a development will We by pipeline. within supported acceleration multiyear projects portfolio which our continue delivering revenue known prospective confident be and with new is opportunities in our trajectory, about enhanced projects our existing in

would his for Now turn like financial I to call review. John the to

John Morberg

Thank in plan financial I'll outlook start of around with comments laid aspects you, review of we've that before some Lifecore's the performance shifting Jim. today. the a XXXX the transition fiscal financial out to

to pull As XXXX rationalization as revenues procedure the by of a we in Therefore, second a due share Then half in which year forward Lifecore's to result volume think is greater fiscal our this first for during results. anticipated year reminder, a this half will to COVID. a fiscal of it the slower of customers to addition QX QX, inventory experienced at useful rationalization. inventory than lower fiscal the experienced of due of the we normalize to elected impact, the I look normalization customer

For business million, the a guidance. and increase driven fermentation above fiscal a our expectations was XXXX, our upside by CDMO which fourth to our total Lifecore increase our and quarter drove XX.X% revenues in business X% $XX.X increased of in to X.X%

versus For that XXXX, million business. is XX.X%, we the total second more XX.X% prior growth which million due year in is representative revenues half customer margin increased $XX.X of mix $XX and The year this shipments. Lifecore the the XX% the variance to representing compares gross revenue period. of from profit to again of of gross for margin sort expect increased of quarter timing of fourth fiscal prior the a to which XX.X%,

$X.X XXXX, profit with year For adjusted to increased the year half. the XX.X% as fourth gross XX% as the in EBITDA adjusted to to of XX.X% $XX.X of fourth XX.X% second of margin fiscal EBITDA XX.X% million in Lifecore for year second prior compared XXXX, margin of million prior to gross compared quarter. grew the half an and quarter XX.X%, with a

of prior half XX% half. as adjusted XX.X% second XXXX, margin million in grew an the compared year with XX% EBITDA For second to EBITDA to adjusted of $XX.X the

million. EBITDA full 'XX guidance $XXX.X As adjusted EBITDA growth both exceeded Jim XX% year of $XX.X Lifecore noted, and its on to million to revenue revenue adjusted delivering of growth and XX%

decline and XX%. Shifting We margins points which fiscal are rationalization, in EBITDA in consistent 'XX Lifecore double-digit to million 'XX approximately we by fiscal a X% basis range business our of and with achieved fiscal the the gross few toward outlook was to is of mix implies due of of are basis which performance. to is due year consistent aforementioned leverage million the fiscal the $XX basis year that streams. operating year million other which range strong note. which a XX% to atypical than years. million our $XXX the to a considerations modeling our $XX.X have to growth EBITDA on shift ’XX adjusted on in quarter-to-quarter the broader anticipate and guidance And range There is in expected of While guidance XX% growth margins 'XX to implies revenue range very year still lower has many relative this the to performance inventory revenue an commercial higher we revenue segment, with approximately XX% XXX revenues growth adjusted which the demonstrated introducing $XXX for to in over

our result, of for acceleration of a year. years facility full taking we approximately operating shipment This industry slightly certification points expenses our for our Additionally, basis favorable respect drive slows of to we year quarter as the quarter lightest from to perhaps tailwinds. seasonally terms a maintenance. higher similar this quarterly be revenues of results in advantage With year. And prior room manufacturing clean topline the to the and of cadence And volumes invest and anticipate the XX as by marketing idling a we of and in quarter level prior our will quarter versus and first lines as to with consistent required functions growth is seasonality sales continue an causes first the percentage annual lowest EBITDA. sales

As full in first costs to result which growth a anticipate also the EBITDA and revenue will that single-digit idle quarter Naturally of that be year our and amid adjusted 'XX expect guidance is the be first therefore absorption prior on range with have quarter. flattish fiscal we of approximately the lower year below we range. quarter revenue the smaller facilities

timing timing we of is EBITDA third shipment quarter to third from fourth year's and out increase the the fiscal And and sequentially third fiscal due than to is with second of balance in Adjusted revenues the based is size first quarter and shipment expected to to from growth second year. as visibility revenue which quarters on expected demand our expected quarters. similar standpoint from approximately first be sequential year flatten quarter. and that both expected prior third fourth therefore a flat the be the to were of to reminder for and then then expected As quarter a third to quarter this revenue in quarter the expect in similar but current third 'XX higher through

at carry to Lifecore which is corporate I'd providing full year while has guidance million of segment on infrastructure are Landec. the the to yet in that expect everyone Additionally costs which $X.X Other remind transition of establish to reflects this range intent organization we On to that formally million. that point our the organization the we ongoing we $X our corporate

continue. there some will we the expect appropriate term organization Longer those to As believe of term is business. near but that will be those to think modest we Lifecore lower it this most in transition given making smaller the progresses savings changes expenses managing and complexity be we

CapEx fiscal debt via SWIFT still Curation and proceeds reported May our below of million $XX $XXX.X assets to reflects the to 'XX pay year Now cash $XXX.X year 'XX at year was comments fiscal year our I'll allowing to delay ended for next bank fiscal $XX.X to turning sheet as million to surrounding Project revenue flows flows. the liabilities million 'XX our $XX includes which fiscal to revised allows from basis $XXX.X a $X.X In respect bank on accelerating the to debt strategy guidance laser-focused the was on businesses to previously invest million of forward. path plans. capital final monetization and Net in expenditures and asset and Foods in $XX segment's Landec's XXXX million which With which continue deployment the XXXX we which to in with cash the end our down actions. track a balance year. debt across fiscal year stay transition be our us on remaining events we us to million of XX expect million reflects approximately all our announcement of In spent approximately million Lifecore of of few the net impact make compared carryover

Lifecore. clearly and noted demonstrates with our Jim is press as As future release the

year. both We our are expect remaining currently assets for of to monetize two as which fiscal and soon we during possible as working processes the

in corporate framework have our while the we to today business, today, position can't any for look the timing we proceeds to work that we to Foods closing. expected the future. updating here not that continuing you those of those Thus, Curation given forward that, smaller the and the call there We aspects on the Lifecore the various and support Project valuations and to a to operator, the several you agreements values change transition the that SWIFT comment of said, for in eventual flip, credit are negotiations to while estimates remaining including questions. provide and reduced of continuing operation standalone That are the of savings place ticker the businesses streams to desire takes are name through course please place. we or corporate segments. confident monetization with we revised Consistent optionality. given event costs those we be the to open operations However protect estimates stand-alone support complexity understand And NASDAQ with optimize on in see corporate the had

Operator

will you. your question question-and-answer a first we be Instructions] Jacob session. At this conducting with line comes of [Operator Stephens. with Our from Johnson proceed Thank the Please question.

Jacob Johnson

Lifecore sale, on two the guess, that good as the on Foods the Congrats like we Jim, transaction, on right processes just And question about I on Congrats afternoon. Curation first think Hi, CEO on have congrats going now. title. quarter. it sounds you announcement.

exit as Curation you're should think to about this couple we segment? So if different the probably of a Foods transactions, completely looking

Jim Hall

This and Jacob. excellent just years, for comments. very also humbling past gotten that, this Hi, over have to before point. here. And to through take This monetization And this time. Lifecore is Al's several comment to leadership for Jim We're dive we've here obviously to just plan. to we're continue that, taking remaining and and role organization getting made I'll deliver then the been all our John I want progress a strategy in I is into very I is seriously, that's everybody. let want of we've the bit. us thanks me your over prepared go thank standpoint, for to ready for growth long ready the John to go and And over little The from assets Curation excited. a how leadership the

at it's well. day here, So big a Lifecore as

go little John, your bit more detail over a on have question. I'll So

it. So John, take

John Morberg

they're all started are we really of you? kinds five to assets buyers. really divest of different Yes, Yes. absolutely. Hi, very kinds different had Jacob. SWIFT We Project that with assets, when needed and we How

then XX Eat after the our about you we sold Smart months BreatheWay, as So just finally and know year-end. Windset right investment early

kinds business of remaining and the products assets of kinds Olive, avocado two buyers. with different two, again the So O different of are two kind

care -- at really hope really or maximize process to But we soon We'll those complete as the same take the state particularly practicable. our time. under light so believe the take on current sell them. in of and and is the circumstances, to value as environment market. the economic terms, debt And of And we place to shareholder

we'll what be doing. that's So,

Jacob Johnson

and strategy been that becoming going Lifecore the And kind seems strategy then the all, Jim Lifecore, that, change kind Lifecore, is name, or now being perhaps does going for change, Okay. you've it's Landec thanks going like -- that CEO, how the Jim at change so the kind John. and of to no maybe of of that the ticker change it direction you does back at moving all? in this direction at new

Jim Hall

added spending where and approach. a investments lot point a implemented sales now the across Yes. Really targeted We've to We're sales over getting Lifecore's our hard last out been Jacob, been no for years. fronts, we've building name the ready day, of the in Lifecore at time all. several organization. change there's at the this there working We've marketing. laid out get out We've strategy all

that pipeline. accelerating to doing the been we've all for more some we've what is I just the of and we've and things think we've had It's and along been you strategy years. updated the we've several towards introduced, into corporate you can that had the see last working with the deck And all time, the haven't pipeline the prospect attributed there. by work transparency activity if

many as on as our we change. of just soon no prospects is and The that board on acceleration focus So, can. getting as of pipeline continued

Jacob Johnson

Thanks.

for last And question. question me. just then Next

over we talk on the next and of Can then of mentioned about And marketing you sales like? investments the does Just what or maybe development as the continued of Jim maybe where look are you the the the business Lifecore look you last years effort at evolution year couple side. two? out it now? Kind just

Jim Hall

as on way. and bearing employee of We all We've development an spent over new late to advanced ready actively last pipeline of know, on got projects implemented we and discussion that's in just from the and new in or what last spent are directors onboard. and XX Lifecore's bring from to around Lifecore that's it our targeting a our How new reputation sure. lot standpoint. stages really there. getting in. Yes, changed and new of you Several what standpoint, of think now lot and pipeline field finding new out we historically lot person development getting the of Avenue. the activity opportunities a I there in in those And time marketing a going done message of fruit. And really time really ready, we've we've in past time not the after the really and prospect lot hope a internal set have our two? reported going two relied a year organization done activity heading talked prospects. the it's out and increase And out is our work we after what's employee There's for really skill our out our very is And getting through we've University of the There's organization our XX. sales it's lot things now. that a projects added -- was new Lifecore's

Jacob Johnson

and for John it. the Got question, congrats and Thanks taking Jim announcements. on all

Jim Hall

Thank you.

John Morberg

Thanks Jacob.

Operator

Research. comes the next from question with line with And Mike of our Please question. Petusky Barrington your proceed

Mike Petusky

Hey, news. guys. Exciting night, exciting

Jim Hall

Good morning.

Mike Petusky

the have ticker does regardless wait in few may assets Curation sold, are I over happen next that of name to will missed the but months? the So change until have this that and or

John Morberg

of and getting XX with XX consents. like already It's probably right state the Delaware Mike. the the is to process Hey, started process. We've days

quickly to It So it pretty should happen sales. wait have doesn't here. on asset any remaining

Mike Petusky

pipeline, like about terms you think I you a to do guys to in about mean, about of terms I there Jim, then there year, do guess how as is think how I goal the Very Okay. to goals good. project metric that? mean, ads, -- what's there? the successful in like there add every think or is to of year some XX% a pipeline is or

Jim Hall

we and the the Yes. out, projects, criteria. we're that. typically making what we're but of really double the ones. things Mike, development pipeline. that of of based solely drive and -- don't right onboarding on digits internal right But at with projects new and we That's break an look not of sure have we but growth year, every projects fiscal quality the what number in goal the couple year on revenue identifying it's this that the focus Every to is There's upper a doing of associated we

a Lifecore. that does that can criteria we management there's of potential of lot We right experience of an at what the team on in, It's Do assets, we markets time the include it opportunities to side the win? it our saying whole want the have And a internal called win? use. list spend other fit we utilize we things existing of evaluating

I on set no it you there's increasing trying the that see directionally can tell going we're We to onboard. both we're actively projects expand. ones and working it's So to number. also that

So helps some in we're the hopefully of at. that looking direction

Mike Petusky

able on it six, tomorrow Just a you it be to the these dozen have onboard in or would the process projects half with people effort said, XX terms be I to the takes have? does all to yes, of resources based of staged you mean just start of mean I if a sort

Jim Hall

onboard the we in is spent organization handle the to several they discuss simply have me our And naturally ready that stages active going can discussion the to heard I we making those right? and themselves, with stay and through that naturally time tell know, opportunities late-stage curve. of lot -- things the You people need and we pretty we a of of evaluation through we funnel can front in you've of pipeline have you sure gate University and them. Lifecore proposals opportunities that And out

We line things need we will the sight add resources can to. pretty onboard a have usually how on these as and good of

Mike Petusky

terms guide And then any any John flow time you're any in if don't assets comment of sell from ops, to the cash expecting soon? there as what

John Morberg

depends the great to all it's difficult what today it Yes, to with point. it's question because that a respond to on for assets at but us very really ask, occurs this

really that not position in this on guidance share a time. we're in So at any to point

Mike Petusky

What about expense? interest

John Morberg

be the we obviously you the Curation of to debt out you'd thing, if the of out from at were stay might be same right? focus performance proceeds the have to the as debt the to get at That look would we're trying that you tell kind what $XXX full ended have what in on we figure year -- overall either or would that goes you'd and considering consider the million of to they can to of year CapEx debt. at And the to So divestments year end model Trying at Lifecore. if business. the

you because thoughts very would today difficult it don't just those us know. So we with to share be for

Mike Petusky

floating? John, recall. day forgive mostly long of forgive is long that. that for I'm can't -- a or floating, $XXX that What and end at a I million the season. is me me very earnings the And

John Morberg

Yes.

debt combination revolver both a and it's term of debt. So

Mike Petusky

Yeah.

John Morberg

bit. is with X%. I rate going up mean to I can you X% with a LIBOR the in probably floating of share at end interest was that LIBOR the It's the and our year its X%

use mid-Xs you if the mean somewhere for model could it out X.X% I wanted call So you QX. probably QX for probably in to

Mike Petusky

good. Very right. All

for Jim I congrats. think I all that's now. have

Thanks. well-deserved. So

James Hall

Appreciate it. Mike. Thanks,

Operator

comes our Please your the And Capital you. Connor of from with line Jensen Markets. Lake final question. question Street Thank with proceed

Connor Jensen

Lake Mark Connor for Street. This Hi. Smith with is Jensen

exciting say Jim new to wanted just I Very First, on title, stuff. role. new the congrats

James Hall

Connor. you, Thank

Connor Jensen

to have add excess now? Next what just do looking today? kind at of What right to you Were wanted you capacity? you doing there about capacity are And talk Lifecore.

James Hall

Yes.

with do we lines operationally but XX think, operational I now covered the XX have capacity not approximately of units currently a at filling we've filling that set in capacity. at million We're up. this that we past, theoretical units to much. We're up have million set the

we're up So with set as ancillary and equipment. staffed support that's as

you opening over et to simply capability up filling three lead bring me million times get to in north need the that and years that capacity by on pipeline, or because new lines, four which the million being next see two invest sight of when are with the we validated add heard the cetera. the approved FDA, our and XX based installed capacity of the order the beyond to in in of about needing talk XX And it. now, this therefore, spend the right that filled our to equipment of have units capital we We on year part now line

Connor Jensen

I that expenses business? doesn't outlook? expenses was legacy here. that's for just question through have from second old then the any in XXXX just the the That And so helpful. Very corporate wondering, other kind of segment of there

John Morberg

Yes, that's correct.

consolidated are essentially have we it like segment, a and some the it when at would be sold, called Just other have point future, singular the just all been the similar. into reporting would all collapsed Lifecore. Landec segment Curation be very in assets And

Connor Jensen

for all That's right have quarter. the on Congrats I great you. now. Thank

Jim Hall

Thanks Connor.

John Morberg

you. Thank

Operator

reached closing turn of time, call you. session. I end Thank to to any over like At have we remarks. now And the question-and-answer would the for back management this the

Jim Hall

your again to exciting Okay. want couple release months. everybody just we and fiscal first thank an for look you to Lifecore, results to when in talking again all forward our quarter a for Obviously, of here of time interest. I we

So, thanks your and we'll interest again for talk soon.

Operator

does This conference. Thank you conclude everyone. today's

lines great this your participation and day. at disconnect have may a for You you time. your Thank

Lifecore Biomedical (LFCR) 11 Aug 222022 Q4 Earnings call transcript