Alico Reports Second Quarter Earnings
LA BELLE, Fla., May 10, 2011 (GLOBE NEWSWIRE) -- Alico, Inc. (Nasdaq:ALCO), a land management company, today announced financial results for the second quarter and six months ended March 31, 2011.
Fiscal 2011 Second Quarter Results
The Company reported net income for the three months ended March 31, 2011 of $2.7 million or $0.37 per share, as compared with net income of $1.4 million or $0.18 per share for the three months ended March 31, 2010. Operating revenues were $36.5 million and $31.7 million for the three months ended March 31, 2011 and 2010, respectively, representing a 15.3% improvement in the quarter-over-quarter comparison. Income from operations was $6.5 million for the three months ended March 31, 2011, compared with income of $2.3 million for the three months ended March 31, 2010. The increase in operating income was primarily due to improvements in agriculture operations, and can be principally attributed to higher citrus and sugarcane prices and increased sugarcane volume.
Fiscal 2011 Six Month Results
Net income for the first six months of fiscal 2011 rose to $2.6 million or $0.36 per share from a loss of $20 thousand or ($0.002) per share for the same period of fiscal 2010. For the six months ended March 31, 2011, revenue increased 15.9% to $53.0 million from $45.8 million for the same period in 2010. Operating income increased to $7.0 million during the six months ended March 31, 2011, up from $1.2 million in 2010.
JD Alexander, President and Chief Executive Officer, noted, "Our results for the first half of fiscal 2011 reflect favorable market pricing for our citrus, sugarcane and cattle. We were fortunate to avoid any significant damage from winter weather events but benefited from the impact those events had on market supply and therefore pricing. We continue to focus our efforts on controlling costs. Unfortunately, Farm Credit has indefinitely suspended the revolvement of allocated surplus earned by its members in prior years. This resulted in a $1.7 million charge against pre-tax earnings in the current quarter. Alico's net income for the six months ended March 31, 2011 before the charge would have been approximately $3.7 million as compared to the $20 thousand loss in the same period of fiscal 2010. "
About Alico, Inc.
Alico, Inc., a land management company operating in Central and Southwest Florida, owns approximately 139,607 acres of land located in Collier, Glades, Hendry, Lee and Polk counties. Alico is involved in various agricultural operations and real estate activities. Alico's mission is to grow its asset values through its agricultural and real estate activities to produce superior long-term returns for its shareholders.
Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements, such as the expectation that the Company will continue to report improved results, involve known and unknown risks, uncertainties and other unknown factors that could cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's reports and registration statements filed with the Securities and Exchange Commission.
Released May 10, 2011