Limoneira Reports 25% Q3 Revenue Drop Amid Lemon, Avocado Sales Decline

Limoneira, a leading grower of lemons and avocados and real estate developer, reported a significant 25% year-over-year revenue decline in Q3 fiscal 2025, with net losses reflecting ongoing challenges in its core agribusiness. Lemon revenues fell due to pricing pressures and lower fresh utilization, while avocado production volumes and prices also declined, although orange sales increased. Operating income shifted from a $9 million profit to a loss of $600,000, and net income dropped from $6.5 million to a $1 million loss, with adjusted EBITDA falling sharply. Despite these setbacks, management reaffirmed its full-year volume guidance and expressed confidence in future growth, citing a strategic partnership with Sunkist expected to generate $5 million in annual cost savings and EBITDA improvements starting in fiscal 2026. The company is also expanding avocado acreage and pursuing real estate projects like the Harvest at Limoneira community and exploring options for the Limco Del Mar property to enhance liquidity. Overall, Limoneira is navigating short-term financial pressures while focusing on long-term value creation through agriculture production improvements and land and water monetization.