LMNR - Earnings call transcript Q3 2019

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Operator

Good day, ladies and gentlemen. And welcome to today's Limoneira Third Quarter 2019 Earnings Call.

As a reminder, today's conference is being recorded.

And I'd now like to turn the floor over to John Mills of ICR. Please go ahead, sir.

John Mills

you. Thank and year joining XXXX everyone, third for you fiscal quarter conference thank afternoon, us for Limoneira's Good call.

Palamountain, On Edwards, the Financial Mark President Harold Officer. Chief and Chief call Executive Officer; today are and

access have release, Eastern earnings out Time. should everyone went now, to third year which X:XX quarter approximately at the today XXXX fiscal pm By

being replay website If had to chance on be a you've This at Limoneira's well. available of limoneira.com. Relations website a Investor portion view the webcast call available on is not will the the Company's and release, as it's

begin, are Before involve response statements prepared may to statements, like make we cause outside contain and forward-looking by management achievements risks Such questions. which control, statements. performance the a or performance we'd that number to implied of remind and its results, in your remarks of everyone differ achievements Company's additional could significantly to from such or known statements forward-looking results, unknown forward-looking and the many uncertainties, or future expressed and

factors differences Except the we of include contribute events as XX-Q new mentioned risk to required and in obligation release. law, no result that any update as other to or statements such the filed herein, those by otherwise. in XX-K or earnings Company's or undertake details could forward-looking a or Important the with SEC, cause whether future information,

when adjusted results believe today's understanding of will period-to-period. We more discussing comparing particularly including be an greater analysis a during on non-GAAP can from and ongoing we of that call, measures, note underlying results adjusted basis. complete financial facilitate operations, Please results Limoneira's these measures financial

on are adjusted possible We on have as basis. much provided any an items that as discussed detail

adjusted to website. prepared included and in release measures to been Company's is posted Company's which EBITDA is financial press release, and EBITDA, of included the our financial measure. in earnings which the A directly within GAAP most remarks, has reconciliation we comparable today's a non-GAAP the adjusted Also, XX-Q

with to to pleasure and the turn over Harold it And Edwards. that, President call Company's Mr. the is my CEO,

Harold Edwards

good and everyone. John, afternoon, Thanks,

call, results quarter of XXXX of a review across I’ll review areas. our On an of progress begin brief all in for financial outlook today's the with then will and results Mark questions. call initial discuss fiscal provide with of and on XXXX the your XXXX. update we our I'll up finish and fiscal our business detail, more third our will our year year After that, view open take and

record fiscal and We continue volume to lemon to fresh expect international XXXX. domestic achieve in year

few fresh excessive nine pricing However, year normal months Southern due larger first than an California, this per as a as in industry. we utilization, our overabundance from a This and pre-release lemon well lowered the we during fresh down in ago. of carton lemons the the drove fresh drop of to outlined us experienced rains in creating overall from which price our weeks

quarter, back now the the from carton, normal per third approximately a selling have progress utilization now XX% XX% third manifest And XX% and our an of of to sizes. compared range to we returned $XX.XX are lemons our to carton quarter. in fourth have We quarter, for of price in fresh the rates per $XX fresh to the increased average as through

year the domestic the goal to expect lemons rate third For a fresh of lemon of lower our grown we million full our fiscal the sold. utilization year year full will quarter, XXXX, not crop Unfortunately, during translate approximately fresh cartons. of year cartons fiscal continue X.X tree for to into to XXXX grow due

continues during Also, the the globally of first goals many our to increased expect our important overall share. come. have lemon grower and this point orange out we It's that the offset that for months retention weather continue industry year the years we that to market lemon and events achieved to and that to expand fact affected nine fully the industry overall

orange into see quarter, continue prices is which stretching lower the to previously longer third We expected. than we

I'll review our with full now of discussing business our a agribusiness. segments, shift starting to

we We've made past consumer strategies on the increased packing sales positioned our capacity. marketing us distribution our years, that increased important focused marketing customer international investments customers, few our facing to long-term for expanded by XXX and and have domestic have Over channels, over trade leveraging base growth. and and

global different XXX significantly of us In fresh days our lemons. addition, sourcing citrus customers reduced we've by seasonality locations, for from giving

currently acres over become approximately additional are acres which to XXX X,XXX Beginning We with full XXX,XXX lemons, we non-bearing to cartons XXXX. expect that full but over planted agricultural objective year XXXX, set XXX,XXX new have years. We surpassed to the bearing by growers acres, an XXX cartons be have recruit in by to estimated XXX,XXX next XXXX. last fresh now full our and date, another cartons objective securing by of from acres four outside bearing an to expected lemon with X,XXX be bearing

this as planned by Beyond have these plans our level of current X.X years become of will an from next million approximately XXX productive. lemons additional plant XX% and X,XXX additional acreage two -- increase acres the additional to believe the global our to in non-bearing we acres, XXX,XXX fresh cartons acreage and lemon cartons cartons supply

a addition, grower steady we to increase have in fruit. In expect third-party

lots units next cash which term, close million quarter fiscal year XX and XXX we to of additional between include year development Companies year-to-date, have in sales project is site Limoneira estate X happy report we XXXX. at joint deposits KB Lennar residential X,XXX nine been segment. in closed Limoneira to over is track. on and venture Limoneira approximately an development Initial expected projecting fiscal Harvest homes. the our received Longer first flow substantially the and Harvest Group $XXX the the to real for Home partnership at improvements have XXXX. the seven to Phase Lewis And now expect lot the completed. of Turning from years, lot are to of representing from I'm in

August Santa announced facility closed week, and gas we a of store, multi-use The transaction last in located serve Paula carwash XX, $X California. $XXX,XXX fourth addition, of sale is our approximately the our And retail net in quarter record we'll approximately consisting XXXX, restaurant proceeds. already a fiscal And included in received a which convenience guidance. XXXX. In million quick gain on of we of station, in

unforeseen not In position growth made year-to-date in have for hurdle does and have fiscal our the while us summary, temporary we profitability XXXX by been affected to results solid years. is and conditions, inroads a improve it diminish coming the weather

now to over And call turn with I'll Mark. the that,

Mark Palamountain

Harold, good Thank everyone. afternoon, and you,

Turning to our third quarter results.

total third of to compared million, revenue revenue total to $X.X development third year. XXXX $X.X the the was there $XX.X million million XXXX, revenues third in XXXX the Rental XXXX. increased the in year. operation net $XX.X compared compared of million of quarter fiscal fiscal of fiscal of For or Agribusiness revenue third in the was third million, quarter of previous for to million, revenue to real the previous And fiscal year third in quarter net year. last fiscal the $XX $XX.X the year quarter quarter estate year no were quarter

by the compared year partially revenue large lemon volume $XX.X fiscal Agribusiness to fresh of higher during year same fiscal in with prices includes lower lemon period lemons the of lower sales increase of XXXX utilization. third lemon $XX.X offset of the and XXXX, sales, byproducts the of for million of quarter result million

of cartons As fresh led said price pricing call, Harold due X,XXX,XXX of of rains large, to XXXX, we per $XX.XX of an the the fiscal surplus at to and quarter market, lemons XXXX. during third earlier excessive experienced lemons driving quarters lower per of Approximately fresh of the a second fiscal compared which cartons to sold XXX,XXX the was first in sold during year year carton the $XX.XX during the average ultimately into third fiscal year quarter down carton. per an were XXXX at average the carton,

we position have we increased XXXX. previously minimal in stated, avocado year. due recognized in heat of the of of million, avocados, contribution the revenue expect quarter better period this as $X.X last fiscal lower million but third to fiscal anticipated, year late year compared the third $X.X year quarter experienced to fiscal a in for XXXX last And we from in expect the same to year be excessive As volume we

in recognized period due in the specialty quarter period oranges. XXXX. year to of same Company due fiscal compared XXXX. the quarter third to in of unfavorable sales orange due oranges, fiscal primarily fiscal revenue decrease The small the partially There of of fiscal significant no lower crop same revenues for citrus the fiscal quarter quarter our to higher in of volumes XXXX sizes lower resulting XXXX compared and weather $XXX,XXX in other The of year was to in for $XXX,XXX year the third the to by were offset year of $X XXXX million to compared year the third conditions pricing prices

and costs million for in increase expenses $XX.X expenses year quarter growers primarily to costs. of and and to for the to costs, fruit the and third and fiscal related costs, $XX.X XXXX year. in The attributable quarter include SG&A compared Costs procured costs associated last were of operating third-party increases million, expense. fiscal Total agribusiness agribusiness packing third harvest sold in growing with depreciation costs, was

investments. are previous and by in Operating equity million of was XXXX million $XX.X securities marketable earnings fiscal income partially of year $XXX,XXX and expense, of $XXX,XXX quarter interest in income $X.X on the fiscal $X.X of mark-to-market comprised of of primarily Other million of unrealized the quarter expense third year. to for compared third the loss offset

earnings earnings approximately in of in Interest and capitalized Limoneira and fiscal additional fiscal are year $XXX,XXX during is of construction the at net weighted and expecting capitalized third of third $XXX,XXX quarter during the quarter fiscal progress from XXXX. year. in average We on and years the real XXXX. equity equity XXXX Harvest rate interest during projects first the realized significant quarter $XXX,XXX using development estate interest We the

net fiscal same XX.X was average for net third million share in of of Net approximately year third $X.XX compared period for XXXX, to loss was quarter on based after fiscal to the preferred $X.X fiscal $X.X stock XXXX XX.X of per to of dividends diluted weighted for quarter million compared respectively, million quarter shares per loss and Net income diluted million common of applicable of the third fiscal XXXX. outstanding. income the $X.XX common year year the diluted share XXXX year

non-cash Limoneira the unrealized year. and in last quarter net third was period million loss same Lewis $X.X for $XXX,XXX, equity to income $XXX,XXX in fiscal year Builders fiscal compared Excluding the earnings the net Inc. of Community for common to in Calavo stock on $X.X adjusted loss Growers, of million XXXX, stock applicable of

compared zero, Harvest loss third per from was the per quarter of Limoneira, equity of adjusted same to for Excluding for fiscal diluted income share fiscal the earnings at net net the Calavo $X.XX XXXX. unrealized share and loss year on period of stock in diluted XXXX year

XXXX, fiscal EBITDA million non-cash the Limoneira. third in million $XX.X and was period from effective in Adjusted quarterly XXXX. $X.X Adjusted earnings year EBITDA at fiscal the excludes compared mark-to-market equity shares of year the Calavo same to Harvest of quarter

nine XXXX, XXXX months the ended million, first in income in operating to to period last for the loss compared compared of the $XX.X the fiscal XX, year same million, Operating same For year. nine million July last million $XXX.X increased was revenue $X.X year. to $XXX.X period of months

compared stock $X.X million year $X.XX earnings at the of non-cash to net unrealized million on million fiscal was common the $X.XX for Calavo, for period Excluding of or loss share, in equity months the XXXX, adjusted in net million same share stock Limoneira $XX.X or income XXXX. $X.X per fiscal adjusted year applicable per and nine of loss first to Harvest from $X.X

Harold, compared XX, few Before I of fiscal hand the balance of $XXX.X sheet. as to July XXXX. to $XX at our was the Long-term on year over million, a million comments debt call back end XXXX

Harold turn fiscal to to discuss outlook. to our the Now, XXXX year I'd like call back

Harold Edwards

Thank you, Mark.

happened a our avocados effect goals had which over this achieved of Company crops adverse lemons, We but and number hasn't our XX to years. bottom-line main an the oranges, of weather in in on year, three our

grown due into for Unfortunately, continue we And lemons cartons. the fresh cartons tree XXXX expect we've approximately our For sold. domestic the lemon fresh to year crop of utilization our translate to grow lower rate goal third-party will not of the growers. XXXX, a the during X.X million to full majority fiscal year year our third of quarter, full fiscal retained year of

growth well of remain as a Based rebound we we the -- will long-term online carton the organic as projecting year fact on and revenue for growth year, that our our are about excited lemon the all next recent in expected the acquisitions Company. have full for avocado been have

Turning to fiscal year XXXX guidance.

X sell million global million For of sell globally. XXXX, at we in of X.X estimates of million average we sold we to Included million months domestically. $XX lemons the XXXX, first cartons year X.X fresh year X.X X.X expect price are cartons the Through an cartons our fiscal nine to to carton. domestic to lemon cartons have approximate a expect million fiscal

progress through the overall supply quarter, as the normalizes. is we As improving the pricing fourth market

have avocados XXXX. of heat the XXXX, million, calculated pound. of year excessive at actual pounds this minimal on of We crop the approximately benefit XXXX. the avocado Due approximately million harvest will $X.XX to be for summer sold Offsetting fiscal X.X we in revenue from $X.X avocados insurance fiscal per year in temporary in event expected approximately

an avocado We fiscal increase XXXX. in in production expect year

industry. continued affect is domestic expected similar we in pricing oranges for volume the year orange fiscal in previously resulting fiscal and market. than pricing. size XXXX, lower For In anticipate throughout conditions the the This and improved XXXX, has pricing unfavorable to orange

expect to Based $X.X to $XXX,XXX million. for year be factors, be the in and adjusted expected to million these to $X on approximately we fiscal million loss operating EBITDA is of range $X XXXX

million XXXX year expected diluted to to range $X.XX loss per results XX.X of share in to the be be shares diluted fiscal expect in is share with an per $X.XX per $X.XX range share. the Adjusted share outstanding. We of $X.XX per to loss estimated

and in equity million Harvest fiscal is a adjusted year-to-date its share included Limoneira unrealized XXXX Calavo year estate benefit not from $X.X per addition, In loss stock. development, earnings $X.X for million at real on of of earnings the

selling the normalized lemons we now October, of our of payment profitable Because in be to and curve in the avocado through size quarter. insurance expect fourth

come. of X,XXX to that are Looking many lemons strong next full which enable will for growth years, years beyond over achieve bearing XXXX, acres estimated organic to an additional us to we four have non-bearing the become

first acres XXXX. We of become the acres XXX expect full bearing X,XXX the year fiscal to in

pipeline an acres, of years, additional two intend we long-term the will which plant productive build lemons acreage. of to X,XXX further these next Beyond XXX we believe in our acres

and believe We million the annual our by will supply XXX,XXX fresh or this as approximately lemon non-bearing additional planned cartons additional to XXXX from XX% acreage about productive. acreage increase X.X level becomes

year full joint from formed a fiscal in Argentina expects year Company The benefit with acquisition and venture XXXX land the FGF Trapani.

questions. to open that, call the to Operator? I'd with like up your And now

Operator

have And [Operator Stephens, Tim first from Instructions] we Perz.

Tim Perz

Have crop the to percentage the question, lemon that that going the fruit would Thanks guys. in for juice suggest you seen come to of anything forthcoming shouldn't back historical levels?

Harold Edwards

that to now into is north between of utilization But, the The somewhere At grades. in we're that's we currently. and seeing XX%. of And And the call and distribution harvest we fruit returned much we've improved begun thing more big XX% higher, inventories inventories. a to buildup this rates, point, of utilization Arizona begun much now on no. of the sizes that going worked is normal quarter, would have XX% through other as and a third desert the result, way what their our bring system, just experienced from we've and sizes the much the

So, well we down into levels. fresh back by bodes utilization line, driven our bring believe more much this to all costs normal

Tim Perz

during from to Thanks. Mark, actual the results puts this might takes was walk guidance more the you you That through previous and you. Okay. could And Do the be directed Company's helpful. your one think for quarter?

Mark Palamountain

Sure.

we overabundance sizes. we whole was So, were had of our out just just that that -- had flooded guidance, industry Spanish and there realizing market, of with when off came crop large coming the that the June the

the you XX% all the multiple have period, things whatever rates and i.e. June we has XX% that door. harvest level that utilization packing it, and we July cost in out One, back that from dropped through went happen. goes As fruit over of saw and to the right

the From we get saw looked we $X.X we of we having It's directly So, or sell units versus that. that to XX that. $X.XX to from juice million, market basically going was about how less where million, the rates, roughly, that fixed increased go $X.XX the sell cartons $X at to missed packing fresh utilization on we've against just didn't that a cost. it call just was i.e. it another the the costs thought from is at $X were lower that, we fresh, they call XX or it opportunity

And sell period. that during so, was in missed And our another then, originally did budget all opportunity. was that we plan when $XX reality was cartons on the that XX

story. of lemon the side that's So, the

in had decrease is a in navels a for which bottom to in the year, we the that slip, it early $X over those to took $X.X million that million loss year. almost in in period which up we the June, was when in range the about June also, numbers where to $X.XX which the of prior million brought from Navels prior was additional swing and add $X.XX originally talked price to to basically, another to $X prerelease. were And where we down July,

Tim Perz

perfect. was Great. along. Thanks. it pass Thanks. I'll That

Operator

have Sweeney. And next Capital, from Gerry Roth we

Gerry Sweeney

Hey. Could do that want be XXX,XXX that know on third-party hundred going aspect? disgruntled -- the that foresee chance challenges and swing what or any you that bit for they could could talk third-party thousand above you make this point maybe way about their year. you're targeting still from there growers? could your just et other to target decisions are But, a the I At another potentially any some cetera several growers they for you to little them? pack who’s

Harold Edwards

Yes.

year across this beginning right to elect And So, who a going the been has fruit bad Sunkist, difficult a utilization marketers, year. shippers industry stood next really such typically, the that outside year of because third-party with it they're handlers growers and this far was else packers, year. now are Limoneira, the market Bee one any to Sweet, this their just above out such now anybody just the year no handler, Paramount,

attrition, we be difficult of We're will there of any of unaware We're do in expect and a some growers. that change situation. because now. just outside growers expect So, to right with make that the some we of those do likely choose all our most discussions

we And some up opportunity that to so, pick going have we're growers. to believe also an

takes we new what targeting are XXX,XXX of place. between what we time and delta actually we whether might the tell directionally So, still recruit a gain that net will But, lose, cartons. actually

Gerry Sweeney

could refresh total The it. you have specialty then, acquisition, little was maybe Got if what's more packing And I lemon. you capacity? memory the And facility, that my new bit. a which think

total what Just capacity pack to more much capacity each, in both you cartons for curious as maybe areas? just and can or how total

Harold Edwards

of amount works theoretical is the growers and Paula comes and the then with. that we of goes packed that and equal X months assume And never the course, in capacity house new that sizes of out XX that way, crop that the So, packing really is an cartons. But Santa million would year. lumpiness of fruit work of given

is we is Oxnard the in theoretical normal Santa So, and amounts storage somewhere move Paula. probably and in cartons out, that we cartons. again, levels, then, of kind million are million you amounts that's in facility, X directionally And of capacity equal given terms and to equal are able X levels where believe bring theoretically inventory around if

somewhere it's million capacity XX what So, to is. cartons million is between XX our

Gerry Sweeney

that for domestic cartons, region the… say, XXXX, looking you what's Got XXX,XXX bringing just total it. another that out And for with to for

Harold Edwards

and if X ought somewhere, fresh X top to in to somewhere that between be conventional things specific the then, specialty too lemons, it's to that size crop, pull off, the and lemons, a tree we come million on achieve total we so, around provide the directionally, a pink conventional if X million could do around is think can we cartons, cartons And directionally, Oxnard, cartons. which chem cartons three that guidance. utilization XX% million then put this of districts somewhere million of think lemons, to X.X and the on But, we're the it's the lemons, about we crop the So, across between early in of of X.X I to the lemons, important we the directionally, million Meyer think million X.X free lemons, sort little Mark, year? somewhere it's going rate

Mark Palamountain

there. X.X, X.X, something

Harold Edwards

to X.X X.X million million.

from So, or growth California and for X.X so, call it million to Arizona goal million X cartons to -- our our is I'll target XXXX.

Gerry Sweeney

potentially next X almost to year? X.X that’s So,

Harold Edwards

That's right. Yes.

Gerry Sweeney

Got it. Yes.

in sort And $X.X then, million. fourth that’s in of in of your And does hit the I terms insurance EPS positive Okay. crop guidance cetera? quarter, assume et

Mark Palamountain

we're in hopeful We're the around there. going two in right $X.X next the all just million. check That's weeks, get to Yes. here

Operator

we with have National Ben Klieve And Securities. been next,

Ben Klieve

you. Thank

elaborate you're to a that Spain. you question bit like a market. you -- those of on sounds in First wondering coming if out the quarter seeing subsided from and relative more headwinds here, the can bit import headwinds It what saw last

If kind ago, comment market bit today, months few import a that that'd challenges could as seeing the you a and there opposed you're the overall of and more to be great.

Harold Edwards

I'll less the the Sure. than all to around industry FOB the a out But, in carton. an U.S. in the fourth somewhere coming of as into way the of quarter ago. $XX average had year first about a little we we a this take quarter, were back

lemons, hyperinflationary made a currency their And fruit it market. super strong of large sort So, impacts competitive. a producer crop. of had XX% is that some very Turkey, which above had normal Spain was a cost high

this as Coast of And fruit, the was that fruit way and of cheaper States. East in fruit there market build-up much found its into so, big United the

were high lot its of a experiencing, and the fruit sales surplus markets. we the into given Coast Just that East prices found that FOBs way

a we And beginning the really in so experienced first had which the impact negative to down, the into going on second that price quarter. bring actually

the imports and up from down the that mostly beginning we really when fruit. competitive dealing last of the we rain price influenced of June, also big then was were with the build the So, bringing communicated Spain pricing of

a there this small big came Chile quarter place, medium As was weaker that as buildup all of actually really result the as we Argentina imports from line you fruit to But, attractive the taking and was pricing into opportunities. fruit, had saw just were of that the on market. that third coming

begin in, into smaller lot you So, imports come that saw a those size. of to fruit

normalize the fruit sort off coming market. towards California the really of California third of attacking first you quarter, picks the saw then were the to industry half production, back coastal the small the began that of that As

see began swing the wasn't the price, pendulum you there way so, small And a the big in this other where all started market. weaker fruit sized because big in to to fruit became and fruit the medium of sudden get stronger

So, kind pendulum the of swing back the other way.

right of Where Chile. almost seeing tail is now we’re season at the we imports are Argentine we're of sort end done normal import. the We're Chilean -- from and with

predominantly So, now, are actually being from lemons the through Coachella the out desert is Arizona to right desert -- the all and the now. the Palm way Imperial Valley from the and crop the in Valley Springs supplied

Ben Klieve

a up valuations a also, business soft more regarding maybe M&A of of at pick or were front than opportunities of been M&A ago have better then, impacted to attractive you market, the the question kind kind on seeing really And the today maybe all? impact not pricing year at the are valuations on you

Harold Edwards

a lag period is usually Tag longer. little

create the the So, will sure. we at we're not the Valley. values, activity are, what have but acreage San in Whether pricing, create up of land more still hearing in translate at going more of we then opportunity, it lot and seen least the side a orange we more what -- land anecdotally that's or to expect pricing. of M&A do into acquisition haven't Joaquin necessarily reduced business coming out opportunities, of actually is we But, seen softening

Ben Klieve

acreage you be? can XXX to comment planning, on lemons talked of you're and then, missed about this, apologize And additional it. acres I regarding you if the going that that where I is But,

Harold Edwards

Yes.

of and of we're a that here in in will that more portion which there'll XXX bit Pablo acres San little it ranch. on a as be towards doing half down then well, the probably is of Coast, Chile XXX Arizona, So, acres, on it, be

Operator

Eric have we with Group. Research Larson Next, Buckingham

Eric Larson

us year-to-date? would have parcel of of getting give impact how you recap a be? quick what be just the FXX? contribution together you done going in us of And acquisitions those earnings help your you're then, Could continued Can to kind

Harold Edwards

to Happy Eric.

Pablo talk to acquisitions and to right main has San in Rosales pro forma packing the three plan own own the kind with internal on of So, expectations, with ranch expectations about. additional Mark, on performed begin interest our Maybe our directionally.

Mark Palamountain

Yes.

right its which X.X will now be not at that be the -- and same. full quite growing ranch Pablo about should a the growing ranch million will production San about in EBITDA Chile, forward. yet, in other is up, about Azucar, or Also, de up, to carton contribute is So, for XXX,XXX Pan going

ranch from probably the million then So, $X.X XX%. which about million of EBITDA Chilean own operations and we Rosales another of $X.X from

think year Argentina will try to XX% that in $X should international But everybody. which should the which on produce to it directionally cartons, perspective, about million for more From We're are going of do of cartons. $X million I to a granular really help next EBITDA, come get about owner that. $X.X when we the million we majority out with guidance

basically look retained. way at the we then, cartons we that contribution of solely And the on is Oxnard Lemon the

XX% about our or house, new $X between X through the has to retain carton. effectively $X.XX and So, goal a which running million a cartons if you anywhere was remember, contribution

So, if cartons and we that's million that. to contribution next if $XX did X $XX million year, a on million

Eric Larson

Got it.

the of in forget me, remind And on FXX? how Oxnard I that. up Okay. do you pick quote many months

Mark Palamountain

XX Oxnard, Of it'll be months. full

Eric Larson

much Oxnard going I full guess, Yes. in will you're how -- be up months pick you FXX? incremental is of the that the Sorry. It what -- be incremental XX receive. question, What's to the the will

Mark Palamountain

Yes. About X million cartons.

of issue And became so, the all in lemons. the fresh issue with fact, of the Oxnard other plan. ahead is performs -- The utilization plan, on it across

biting the to increased inventory volume increased really because of to we was because had ended costs it much of juice. us shift ended having so, that And cost the we that also on up those up

Operator

with Instructions] [Operator Street to We'll Lake Chris on Capital Krueger Markets. move

Chris Krueger

you Are could Hi. Most station but been know gas other year property. be over convenience or I have I assets just to the questions looking of that a answered, ones. sell that so? guys next you had that are there quick sold store, my non-core just couple of

Harold Edwards

Yes.

working remaining on So, diligently marketplace. in the off assets Santa we've disposing our Maria two been

tenuous recall, it that a have million buyers zoned zoned that unload developable, get you to be of just If execute combined But And those that attracted land for in was mark optimistic we through actually we we’ll to commercially, residential, $Xmillion. to escrow period. had trying we're XXXX. we'll some negotiated $X potentially price. of to And that we're a able value with hopeful we're

Chris Krueger

growing properties, is And the at term to like what's for a potentially going if can’t that there? vineyards remember you individual as plan on Okay. sold what grape the then, that that? can or longer was on going memory was I be our property refresh

Harold Edwards

Yes.

a approximately it's XXX-acre great crop fourth have in of wine its of a this The piece of grapes end oldest we’ll is property. of what been XXX now acres planting year. will the planted. XXX eventually So, be leaf. XXXX, By It's

And X believe grapes an directionally are these some around to so, that X wine acre properties older we somewhere the will of planted. produce that that tons on

who with the experiencing as the in now because of that productivity And well place as forgetting? the high contracts Bogle, quality Justin, vineyard that Coppola, Duckhorn, I of am got in we're right some we've

Mark Palamountain

Group. Wine

Harold Edwards

parcel into XX-acre XXXXs focus is out property Wine The map our the the was XX, to that underlying property Right have does continue build parcels. to Group. be agriculturally. smaller just perfected or be property And now, an The allows that in that subdivided to

property off vineyard invested of estates. some and agriculturally be So, their those on parcels really that to return on value we're an on now, right and the receiving eventually But just opportunity developing the capital focusing potential monetize into there parcel property. agriculturally may

Operator

section the or right. CEO, the turn audience call. conclude for questions of to Harold like like remarks. It today's does All any instructions] Edwards, looks I'd that with back no floor further to the question-answer [Operator from closing additional

Harold Edwards

Thank day. questions forward Limoneira. a providing fourth Thank and for again, updating quarter you interest your you in XXXX and great year again We January on you our in guidance. and call look fiscal have to full

Operator

our ladies again call. once And concludes for again and gentlemen, us. Thanks that joining

now may disconnect. You

Limoneira (LMNR) 9 Sep 192019 Q3 Earnings call transcript