SOURCE: Limoneira Company

October 08, 2007 19:26 ET

Limoneira Company Posts Strong FY2007 Profits; Announces $1 per Share Dividend

SANTA PAULA, CA--(Marketwire - October 8, 2007) - Limoneira Company, an agribusiness, community development and land stewardship company based in Santa Paula, Calif., announced to its shareholders that its Fiscal Year 2007 experienced record operating profits and a $1 per share special dividend with an effective date of September 25, 2007. This is the third consecutive year the company has paid a $1 special dividend to its shareholders.

In an October 3, 2007 letter to shareholders, Limoneira (PINKSHEETS: LMNR) president and CEO Harold Edwards noted that despite a devastating freeze in January 2007, Limoneira's agribusiness division operating profit grew through 11 months over FY2006.

Over 40 percent of Limoneira avocado acreage was negatively impacted by the freeze. Operating profit from avocado operations will break even this year -- compared to a $6 million operating profit in 2006. However, nearly all of Limoneira citrus acreage made it through the week-long freeze relatively unscathed. Lemon operations profits of approximately $11 million, up $6 million from 2006 (a new company lemon record), was caused by higher then average fresh utilization and record level sales prices throughout the year. Other California lemon, orange and specialty citrus producers were not as fortunate as Limoneira, says Edwards, and many producers throughout the State suffered extreme losses.

"The 2007 freeze will have lasting effects on Limoneira's avocado production for the next three years," says Edwards, "but the supply and demand imbalance created by the freeze is proving financially beneficial for the company in 2007. Strong operating profit growth in our orange and specialty crop operations this year lead me to believe that, despite the freeze, we will report robust growth in our agribusiness operating profits this year versus last."

In his shareholder letter, Edwards also forecast a 20 percent growth in Limoneira's housing and commercial real estate operating profits, a 34 percent growth in leased land operating profits, a 50 percent growth in organic recycling operating profits with its partner Agromin and "significant growth" in operating profits contributed from investments.

During 2007, the company also worked to complete a detailed specific plan and Environmental Impact Report for its East Area 1 development project in Santa Paula. Limoneira expects the proposed development to go before the Santa Paula voters in 2008.

For more information about Limoneira Company and for the full text of the Limoneira shareholder letter, go to www.Limoneira.com.

Contact Information

  • CONTACT:

    Harold S. Edwards
    President & CEO
    Limoneira Company
    805-525-5541, ext. 235
    Email Contact

    John Chamberlain
    Director of Marketing
    Limoneira Company
    805-525-5541, ext. 256
    Email Contact

    Diane Rumbaugh
    Rumbaugh Public Relations
    805-493-2877
    Email Contact