The American company, Limoneira, closed its 2018 financial year with a revenue of $129,4 million. This is an increase compared to the $121,3 million reported the previous year. This growth is evident in the figures published by the company.
The operational income for 2018 - the book year finishes on 31 October - came to $9,5 million. In 2017, at the same time, the same result came to $11,9 million. In June, Limoneira made more than 3,1 million shares available. This brought in about $69 million for the company. This money was used to buy the San Pablo ranch and Oxnard Lemon’s packing station. It was also used to reduce the company's debt.
Limoneira bought San Pablo Ranch in Chile in July 2018 for $13,1 million. It has 1.342 hectares, about 100 of which are for lemon cultivation and 24,6 hectares for growing oranges. This acreage can be directly expanded with 48,5 hectares of lemon trees. There is also the potential to plant 200 hectares' worth of avocado trees.
In the same month, they also acquired Oxnard Lemon's packing station. This sale included the accompanying land and a few other activities. In doing so, the company expanded its packing capacity. This makes Limoneira the market leader in the organic lemon sector.
Harold Edwards, Limoneira's President and Chief Executive Officer, is pleased with how the past year went. "We noted record sales in the 2018 financial year. We also made two strategic acquisitions and improved our balance sheet with a successful share issue. We expect the positive lemon price development we saw in 2018 to continue in 2019."
Edwards is also positive about the future. He draws attention to a small 500 hectares of lemon trees that are not in full production yet. These trees will reach their full potential over the next four years.
For 2019, this company estimates it will sell between 5 and 5,3 million boxes of lemons. These will go at an average price of $27. Limoneira also expects it will bring 771 to 907 tons, or 1,7-2 million pounds, of avocados on the market. These will be sold at an average price of $1,20.