Alico Inc (ALCO) 2023 Q1 法說會逐字稿

Welcome to Alico's First Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. As a reminder, today's conference is being recorded.

歡迎來到 Alico 2023 年第一季度收益電話會議。此時，所有參與者都處於只聽模式。提醒一下，今天的會議正在錄製中。

Earlier today, the company issued a press release announcing its results for the first quarter ended December 31, 2022. If you have not had a chance to review the release, it is available on the Investor Relations portion of the company's website at alicoinc.com. This call is being webcast and a replay will be available on Alico's website as well.

今天早些時候，該公司發布了一份新聞稿，宣布了截至 2022 年 12 月 31 日的第一季度業績。如果您還沒有機會查看新聞稿，可以在公司網站 alicoinc.com 的投資者關係部分獲取.此電話會議正在進行網絡直播，重播也將在 Alico 的網站上提供。

Before we begin, we would like to remind everyone that the prepared remarks today contain forward-looking statements. Such statements are subject to risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in these statements. Important factors that could cause or contribute to such differences include risks detailed in the company's quarter reports on Form 10-Q, annual reports on Form 10-K, current reports on Form 8-K, and any amendments thereto filed with the SEC and those mentioned in the earnings release. The company undertakes no obligation to subsequently update or revise the forward-looking statements made on today's call except as required by law.

在我們開始之前，我們想提醒大家，今天準備好的評論包含前瞻性陳述。此類陳述受風險、不確定性和其他因素的影響，這些因素可能導致實際結果與這些陳述中明示或暗示的結果存在重大差異。可能導致或促成此類差異的重要因素包括公司季度報告 10-Q 表格、年度報告 10-K 表格、當前 8-K 表格報告以及向美國證券交易委員會提交的任何修正案和那些財報中提到。除非法律要求，否則公司不承擔隨後更新或修改在今天的電話會議上做出的前瞻性陳述的義務。

During the call, the company will also discuss non-GAAP financial measures, including EBITDA and adjusted EBITDA. For more details on these measures, please refer to the company's press release issued earlier today.

在電話會議期間，公司還將討論非 GAAP 財務指標，包括 EBITDA 和調整後的 EBITDA。有關這些措施的更多詳細信息，請參閱公司今天早些時候發布的新聞稿。

With that, I would like to turn the call over to the company's President and CEO, Mr. John Kiernan.

有了這個，我想把電話轉給公司總裁兼首席執行官約翰基爾南先生。

Thank you Rob, and thank you everyone for joining us for Alico's first quarter 2023 earnings call this morning.

謝謝 Rob，也感謝大家今天早上加入我們參加 Alico 2023 年第一季度的財報電話會議。

As we start fiscal year 2023, Alico continues to maintain a strong balance sheet which will enable the company to navigate through the lingering impacts of Hurricane Ian on our 2023 harvest season. As a reminder, at the end of September 2022, Hurricane Ian struck southwestern Florida with 150 mile per hour winds. The slow-moving storm moved across the state and caused substantial fruit drop at the majority of our groves. For fiscal year 2023, we will see lower levels of revenue because we have less fruit available to sell. Based upon our prior experiences with storms of this nature, we anticipate it may take up to two full seasons or more for our groves to recover to pre-hurricane production levels.

在我們開始 2023 財年之際，Alico 繼續保持強勁的資產負債表，這將使公司能夠度過颶風伊恩對我們 2023 年收穫季節的揮之不去的影響。提醒一下，2022 年 9 月底，颶風伊恩以每小時 150 英里的風速襲擊了佛羅里達州西南部。緩慢移動的風暴橫掃全州，導致我們大部分果園大量掉落水果。對於 2023 財年，我們將看到較低的收入水平，因為我們可供出售的水果較少。根據我們之前應對這種性質的風暴的經驗，我們預計我們的樹林可能需要長達兩個完整的季節或更長時間才能恢復到颶風前的生產水平。

The early and midseason harvest ended earlier with lower production volume than in the prior year due to the increased rate of fruit drop as a result of Hurricane Ian. We will start the Valencia harvest in mid-February. We maintain crop insurance and are working closely with our insurers and adjusters to determine the amount of insurance recovery we may be entitled to, if any, which is measured at the completion of each harvest.

由於伊恩颶風導致落果率增加，早季和中季收穫提前結束，產量低於上年。我們將於 2 月中旬開始瓦倫西亞的收穫。我們持有農作物保險，並與我們的保險公司和理算師密切合作，以確定我們可能有權獲得的保險賠償金額（如果有），該金額是在每次收穫完成時計算的。

Although a small number of our groves were exposed to freezing temperatures in late December 2022 and early January 2023, based upon the limited duration of those freezing temperatures, our freeze protection protocols and our highly dedicated staff, our groves were able to avoid any meaningful impact from those freezing temperatures.

儘管我們的少量果園在 2022 年 12 月下旬和 2023 年 1 月上旬暴露在冰凍溫度下，但基於這些冰凍溫度的有限持續時間、我們的防凍協議和高度敬業的員工，我們的果園能夠避免任何有意義的影響從那些寒冷的溫度。

We continue to pursue strategic sales opportunities for our ranch land and the company has completed several sales of ranch land during the first fiscal quarter ended December 31, 2022, and has closed the sale of another 200 acres of ranch land in January 2023. We continue to engage with interested third parties on certain parcels of the ranch and at prices we continue to believe are competitive. We still have 19,000 acres of ranch land remaining and we believe, based on the recent activity, that these remaining acres will realize attractive prices as well.

我們繼續尋求牧場土地的戰略銷售機會，公司在截至 2022 年 12 月 31 日的第一財季完成了幾次牧場土地銷售，並於 2023 年 1 月完成了另外 200 英畝牧場土地的銷售。我們繼續就牧場的某些地塊和我們仍然認為具有競爭力的價格與感興趣的第三方接洽。我們還有 19,000 英畝的牧場土地，我們相信，根據最近的活動，這些剩餘的土地也將實現有吸引力的價格。

For the first quarter ended December 31, 2022, the company reported net loss attributable to Alico common stockholders of approximately $3.2 million as compared to net income attributable to Alico common stockholders of approximately $10.1 million for the first quarter ended December 31, 2021. The first quarter 2023 results were negatively impacted by the decreased revenue due to the increased fruit drop from the impacts of Hurricane Ian on our early and midseason crop, and the higher cost of sales resulting from increased inventory costs and a higher percentage of production realized in first quarter 2022 versus the same period in the prior year.

截至 2022 年 12 月 31 日的第一季度，公司報告歸屬於 Alico 普通股股東的淨虧損約為 320 萬美元，而截至 2021 年 12 月 31 日的第一季度歸屬於 Alico 普通股股東的淨收入約為 1010 萬美元。 2023 年季度的業績受到收入下降的負面影響，原因是颶風伊恩對我們早季和季季作物的影響導致水果掉落增加，以及庫存成本增加和第一季度實現的產量百分比增加導致銷售成本增加2022 年與上年同期相比。

During the first quarter ended December 31, 2022, the company negotiated an extension of its $70 million working capital line of credit with Rabo Agrofinancing until November 1, 2025. As a reminder, based upon the actions taken over the past several years, most of our term debt is non-amortizing and matures in November 2029. In addition, our $25 million revolving line of credit with MetLife extends into November 2029. We believe that these credit facilities will provide sufficient liquidity while the company manages through the impacts of Hurricane Ian.

在截至 2022 年 12 月 31 日的第一季度，公司與 Rabo Agrofinancing 協商將其 7000 萬美元的營運資金信貸額度延長至 2025 年 11 月 1 日。提醒一下，根據過去幾年採取的行動，大部分我們的定期債務是非攤銷的，將於 2029 年 11 月到期。此外，我們與大都會人壽的 2500 萬美元循環信貸額度將延長至 2029 年 11 月。我們相信，這些信貸額度將在公司度過颶風伊恩的影響時提供足夠的流動性.

We continue to move forward as well with our environmental, social and governance initiatives and most recently published our second sustainability report in December 2022, which is available on our website.

我們也在繼續推進我們的環境、社會和治理舉措，最近於 2022 年 12 月發布了我們的第二份可持續發展報告，該報告可在我們的網站上獲取。

With that, I turn the call over to our CFO, Perry Del Vecchio to discuss our more detailed financial results.

有了這個，我把電話轉給我們的首席財務官 Perry Del Vecchio 來討論我們更詳細的財務結果。

Thank you John and good morning everyone. As our business is seasonal and the majority of our citrus crop is harvested in the second and third quarters of the fiscal year, with the majority of our profit and cash flows also recognized in the second and third quarters, the quarterly results for the first quarter are not indicative of our full year results.

謝謝約翰，大家早上好。由於我們的業務是季節性的，我們的大部分柑橘作物在本財年的第二和第三季度收穫，我們的大部分利潤和現金流也在第二和第三季度確認，因此第一季度的季度業績並不代表我們的全年業績。

Total operating revenue for the quarter ended December 31, 2022 was $10.6 million compared to $15.3 million for the quarter ended December 31, 2021. Our citrus revenue was $10.3 million and $14.7 million for the quarters ended December 31, 2022 and 2021 respectively. The decrease in revenue for the three months ended December 31, 2022 compared to the three months ended December 31, 2021 was primarily due to a decrease in grove management services and a decrease in revenue generated from the early and midseason harvest, with such decrease in harvest revenues being in large part because of the increased fruit drop caused by the impact of Hurricane Ian.

截至 2022 年 12 月 31 日的季度總營業收入為 1060 萬美元，而截至 2021 年 12 月 31 日的季度為 1530 萬美元。截至 2022 年 12 月 31 日和 2021 年 12 月 31 日的季度，我們的柑橘收入分別為 1030 萬美元和 1470 萬美元。與截至 2021 年 12 月 31 日止三個月相比，截至 2022 年 12 月 31 日止三個月的收入減少主要是由於樹林管理服務減少以及早季和季中收穫產生的收入減少，其中收穫收入在很大程度上是由於颶風伊恩的影響造成的水果掉落增加。

The decrease in grove management services is primarily due to a primary group of third party grove owners who are affiliated with each other, to whom the company was providing caretaking and management services, deciding to exit the citrus business at the beginning of the three months ended June 30, 2022. This decision to exit the citrus business eliminated the need for caretaking and management services. As a result, caretaking and management services and the accompanying reimbursement of caretaking expenses decreased during the three months ended December 31, 2022 when compared to the same period in the prior year.

果園管理服務的減少主要是由於一群主要的相互關聯的第三方果園所有者，公司向他們提供照料和管理服務，決定在截至三個月初退出柑橘業務2022 年 6 月 30 日。這項退出柑橘業務的決定消除了對照料和管理服務的需求。因此，與去年同期相比，截至 2022 年 12 月 31 日止三個月的看護和管理服務以及伴隨的看護費用報銷有所減少。

The decrease in the early and midseason fruit harvested for the three months ended December 31, 2022 was primarily driven by a decrease in pound solids per box and a decrease in box production. The company decided to accelerate the harvesting of the early and midseason crop to maximize the box production and avoid additional fruit drop as a result of the impact of Hurricane Ian on the early and midseason harvest. The pound solids per box decreased 4.5% and the processed box production decreased 2.7% as compared to the same period in the prior year.

截至 2022 年 12 月 31 日的三個月，早熟和中熟水果收穫量減少的主要原因是每箱固體磅數減少和箱產量下降。該公司決定加快早季和中季作物的收穫，以最大限度地提高箱產量，並避免因颶風伊恩對早季和季中收穫的影響而導致額外的水果掉落。與去年同期相比，每箱固體磅數下降 4.5%，加工箱產量下降 2.7%。

As John noted earlier, the company will complete the harvesting earlier in the current fiscal year as compared to the prior fiscal year for its early and midseason fruit and anticipates an overall decrease in the number of boxes harvested and revenues generated from the early and midseason fruit for the 2023 harvest as compared to the 2022 harvest. Although Hurricane Ian impacted the early and midseason harvest, there does not appear to be long term damage to the citrus trees.

正如約翰之前指出的那樣，與上一財年相比，該公司將在本財年提前完成早季和中季水果的收穫，並預計早季和中季水果收穫的箱子數量和產生的收入將總體下降與 2022 年的收穫相比，2023 年的收穫。儘管颶風伊恩影響了早季和季中的收穫，但似乎並未對柑橘樹造成長期損害。

Total operating expenses were $14.3 million and $13.4 million for the three months ended December 31, 2022 and 2021 respectively. The increase in operating expenses for the three months ended December 31, 2022 as compared to the three months ended December 31, 2021 primarily relates to the increased cost of sales per box realized in the three months ended December 31, 2022 as compared to the same period in the prior year. The company experienced significant cost increases in fertilizer, herbicide and fuel in maintaining its groves. These cost increases coupled with the timing of the harvest and the expected lower box production for its early and midseason harvest resulted in a higher cost of sales per box for the three months ended December 31, 2022 as compared to the same period in the prior year. In addition, the company incurred additional costs related to the clean-up and repairs as a result of Hurricane Ian.

截至 2022 年 12 月 31 日和 2021 年 12 月 31 日止的三個月，總運營費用分別為 1430 萬美元和 1340 萬美元。截至2022年12月31日止三個月的營業費用較截至2021年12月31日止三個月增加主要與截至2022年12月31日止三個月實現的每箱銷售成本較同期增加有關前一年的期間。該公司在維護其樹林時，化肥、除草劑和燃料的成本顯著增加。這些成本增加加上收穫時間以及早季和季中收穫的預期較低箱產量導致截至 2022 年 12 月 31 日止三個月的每箱銷售成本高於去年同期.此外，由於颶風伊恩，該公司還產生了與清理和維修相關的額外費用。

General and administrative expenses for the three months ended December 31, 2022 totaled approximately $2.5 million compared to approximately $2.6 million for the three months ended December 31, 2021. The decrease was primarily due to a one-time incentive offered to employees during the three months ended December 31, 2021. In addition, the company realized a reduction in stock compensation expense based upon a reduction in the restricted stock awarded to certain executives, senior managers and employees, and a reduction in other administrative costs. Partially offsetting these decreases was an increase in professional fees.

截至 2022 年 12 月 31 日止三個月的一般和行政費用總計約為 250 萬美元，而截至 2021 年 12 月 31 日止三個月的一般和行政費用約為 260 萬美元。減少的主要原因是在這三個月內向員工提供了一次性獎勵截止到 2021 年 12 月 31 日。此外，由於授予某些高管、高級管理人員和員工的限制性股票減少，以及其他管理費用減少，公司實現了股票補償費用的減少。專業費用的增加部分抵消了這些減少。

Other income net for the three months ended December 31, 2022 and 2021 was approximately $2 million and approximately $7.6 million respectively. The decrease to other income net was primarily due to the timing on the gains of sales of real estate, property and equipment, and assets held for sale. During the quarter ended December 31, 2022, the company sold approximately 609 acres in the aggregate from the Alico ranch to several third parties and recognized gains of approximately $3,189,000. By comparison, for the three months ended December 31, 2021, the company recognized gains of approximately $8,445,000 relating to the sale of real estate, property and equipment, and assets held for sale.

截至 2022 年 12 月 31 日和 2021 年 12 月 31 日止三個月的其他收入淨額分別約為 200 萬美元和 760 萬美元。其他收入淨額的減少主要是由於房地產、財產和設備以及持有待售資產的銷售收益的時間安排。在截至 2022 年 12 月 31 日的季度中，公司將 Alico 牧場的總計約 609 英畝土地出售給了多個第三方，並確認了約 3,189,000 美元的收益。相比之下，在截至 2021 年 12 月 31 日的三個月中，公司確認了與出售房地產、財產和設備以及持有待售資產相關的收益約 8,445,000 美元。

In addition, the company recognized an increase in interest expense of approximately $247,000 for the three months ended December 31, 2022 as compared to the three months ended December 31, 2021 as a result of an increase in the overall interest rates on its variable term debt and the working capital line of credit and incremental borrowings on under the working capital line of credit.

此外，由於可變期限債務的整體利率上升，公司確認截至 2022 年 12 月 31 日止三個月的利息支出較截至 2021 年 12 月 31 日止三個月增加約 247,000 美元營運資金信貸額度和營運資金信貸額度下的增量借款。

During the first quarter ended December 31, 2022, we received the last installment of the Florida citrus block grant program from the 2017 storm, Hurricane Irma, of approximately $1.3 million as compared to approximately $1 million for the first quarter ended December 31, 2021. The company received a total of approximately $26.9 million commencing in fiscal year 2019 through December 31, 2022 under the Florida Citrus Recovery block grant program.

在截至 2022 年 12 月 31 日的第一季度，我們收到了來自 2017 年颶風厄瑪颶風的佛羅里達州柑橘整批撥款計劃的最後一部分，金額約為 130 萬美元，而截至 2021 年 12 月 31 日的第一季度約為 100 萬美元。從 2019 財年到 2022 年 12 月 31 日，該公司根據佛羅里達柑橘恢復整筆撥款計劃共收到約 2690 萬美元。

For the fiscal quarter ended December 31, 2022 and December 31, 2021, we reported net loss attributable to Alico common stockholders of approximately $3.2 million and income attributable to Alico common stockholders of approximately $10.1 million respectively. Our adjusted EBITDA was approximately a net loss of $3.4 million for the first quarter ended December 31, 2022 as compared to a positive $2.3 million for the same period in the prior fiscal year.

在截至 2022 年 12 月 31 日和 2021 年 12 月 31 日的財政季度，我們分別報告歸屬於 Alico 普通股股東的淨虧損約為 320 萬美元，歸屬於 Alico 普通股股東的收入約為 1010 萬美元。截至 2022 年 12 月 31 日的第一季度，我們調整後的 EBITDA 淨虧損約為 340 萬美元，而上一財年同期為正 230 萬美元。

We continue to maintain a strong balance sheet. Our working capital of approximately $27.3 million at December 31, 2022 represents a 3.6721 and a 1.9121 ratio at December 31, 2022 and December 31, 2021 respectively, and our debt to equity ratio of 0.51 to 1 and 0.50 to 1 at December 31, 2022 and December 31, 2021 respectively.

我們繼續保持強勁的資產負債表。截至 2022 年 12 月 31 日，我們的營運資金約為 2730 萬美元，分別代表 2022 年 12 月 31 日和 2021 年 12 月 31 日的 3.6721 和 1.9121 比率，而我們在 2022 年 12 月 31 日的債務權益比率分別為 0.51 比 1 和 0.50 比 1和 2021 年 12 月 31 日。

I will now pass the call back to John.

我現在將把電話轉回給約翰。

Thanks Perry. While the Florida citrus industry has faced challenges with respect to box production over the last couple harvest seasons, we remain confident that the approximately 1.9 million new trees planted since 2017 within our groves will yield increased production as we recover from the impact of Hurricane Ian. We believe that we have the most productive citrus groves in Florida.

謝謝佩里。雖然佛羅里達柑橘產業在過去幾個收穫季節面臨箱子生產方面的挑戰，但我們仍然相信，自 2017 年以來在我們的果園內種植的約 190 萬棵新樹將隨著我們從颶風伊恩的影響中恢復而增加產量。我們相信我們擁有佛羅里達州最高產的柑橘園。

We are continuing to work with land use planning professionals to frame a strategy that optimizes the long term potential values for our real assets. Alico wants to provide investors with the benefits and stability of conventional agricultural investment with the enhanced optionality that comes with active land management.

我們將繼續與土地使用規劃專業人士合作，制定一項戰略，優化我們實物資產的長期潛在價值。 Alico 希望為投資者提供傳統農業投資的收益和穩定性，以及積極的土地管理帶來的增強選擇性。

With that, we will now open the line up to questions from industry analysts. Rob?

有了這個，我們現在將開放行業分析師的問題。搶？

Thank you. (Operator Instructions) Thank you, and our first question is from the line of Gerry Sweeney with Roth Capital. Please proceed with your questions.

謝謝。 （操作員說明）謝謝，我們的第一個問題來自 Roth Capital 的 Gerry Sweeney。請繼續回答您的問題。

Just a question - obviously you're going to be hunkered down here for the next couple quarters, but wanted to see if maybe you could provide a little bit of maybe detailed or calendar in terms of, A, when--I know crop insurance is after harvest, but is that sort of July-August time frame or a little bit later? Then two, visibility on the quality of the trees, the fruit production as we move out of next year into the next season, '23-'24, making sure there's no damage to trees, etc.

只是一個問題 - 顯然你會在接下來的幾個季度裡蹲在這裡，但想看看你是否可以提供一些詳細信息或日曆，A，什麼時候 - 我知道農作物保險是在收穫之後，但是那種 7-8 月的時間框架還是稍微晚一點？第二，樹木質量的可見性，明年我們進入下一個季節時的水果產量，'23-'24，確保沒有對樹木造成損害等。

Sure, I'll take the second part and Perry will address the timing of actually the receipt of the crop insurance.

當然，我會講第二部分，佩里將說明實際收到農作物保險的時間。

If that happens, right?

如果發生這種情況，對嗎？

If crop insurance does happen, and as you correctly point out, we'll be measuring the amount of damages from Hurricane Ian against prior periods, so we have to wait for this current season to end so we can have a measurement period.

如果農作物保險真的發生了，正如你正確指出的那樣，我們將衡量颶風伊恩對以往時期造成的損失，所以我們必須等待本賽季結束，這樣我們才能有一個衡量期。

Relative to the trees and the damage, we don't think that there's long term damage to our trees, just based on looking at them every day. We are obviously harvesting our Valencia's coming up right now, and once that season's over, we'll be spending a lot of time basically looking at the productive trees themselves, determining where we re-plant from a maintenance perspective so that we can optimize the full production coming off of the acres that we do own, and by early midsummer, we should have a very good view on where we think over the next season or two of Alico's production will be coming out.

相對於樹木和損害，我們認為我們的樹木不會受到長期損害，只是基於每天觀察它們。很明顯，我們現在正在收割即將到來的瓦倫西亞，一旦那個季節結束，我們將花費大量時間，基本上是在觀察高產樹木本身，從維護的角度確定我們重新種植的位置，以便我們可以優化我們擁有的土地上的全部產量，到仲夏初，我們應該對我們認為下一兩季 Alico 的產量將會在哪裡有一個很好的看法。

Obviously we take from past practice, we take an internal estimate and kind of the late August-early September time frame that helps us do our budgeting, but we're watching it very, very carefully in the interim. The big news is we really don't see any permanent long term damage to the trees themselves, and as we pointed out, with 1.9 million trees planted since 2017, that's very good news for us because we believe that represents the source of the future production for us.

顯然，我們從過去的做法中得出，我們採用內部估計和 8 月下旬至 9 月初的時間框架來幫助我們進行預算編制，但我們在此期間非常、非常仔細地觀察它。大新聞是我們真的沒有看到樹木本身有任何永久性的長期損害，正如我們指出的那樣，自 2017 年以來種植了 190 萬棵樹，這對我們來說是個好消息，因為我們相信這代表了未來的源泉為我們生產。

Perry, do you want to talk a little bit about the timing of crop insurance?

佩里，你想談談農作物保險的時機嗎？

Yes, thanks John, and thanks for the question, Gerry.

是的，謝謝 John，也謝謝 Gerry 的提問。

As it relates to the crop insurance, as John mentioned, we have to wait for each of the harvests to be completed. We just completed the early and midseason harvest, and we are working with the adjusters now. Historically, we've always received--for the freeze event and then for Irma, we received the crop insurance within the same year as the event. It's not guaranteed - the insurance company has their own process that they need to work through, but based upon the last two events with the insurance companies, we've received them within the same crop year.

正如約翰提到的，這與作物保險有關，我們必須等待每次收成完成。我們剛剛完成早季和季季的收穫，現在正在與調整人員合作。從歷史上看，我們一直收到 - 對於凍結事件，然後是 Irma，我們在事件發生的同一年內收到了農作物保險。這不能保證——保險公司有自己的流程需要完成，但根據最近與保險公司發生的兩次事件，我們在同一作物年度收到了它們。

Got it. Switching gears, ranch land sales, 19,000 acres, it sounds like you sold some acres not only last quarter but beginning of this quarter. If my memory serves correct, the value of those sales have been increasing over time. I think some of it is all the land that has been encumbered for different reasons has been transacted out. Just curious as to, one, demand; two, as best as you can talk to, the value or the indications you're seeing for the available land.

知道了。換檔，牧場土地銷售，19,000 英畝，聽起來您不僅在上個季度而且在本季度初都出售了一些土地。如果我沒記錯的話，這些銷售額的價值隨著時間的推移一直在增加。我認為其中一些是由於不同原因而被佔用的所有土地都已被交易。只是好奇，一，需求；第二，盡你所能談談你所看到的可用土地的價值或跡象。

Buyer interest remains high. We're seeing primarily cash buyers that don't seem like they're financing-dependent, which is good news. I think they're being as selective as they have been in past years. It is a competitive negotiation process for each transaction that we have, and we are seeing smaller parcels being negotiated as opposed to 3,000, 4,000, 5,000 acre deals. We're seeing things in the 100s and the low 1,000 acre parcels right now, but the actual price per acre is continuing to hold in the high 4s, low 5s per acre, which is what we'd consider very encouraging for hopefully future realized value for us.

買家的興趣仍然很高。我們看到的主要是現金買家，他們似乎並不依賴融資，這是個好消息。我認為他們和過去幾年一樣有選擇性。對於我們擁有的每筆交易，這是一個競爭性談判過程，我們看到正在談判的地塊較小，而不是 3,000、4,000、5,000 英畝的交易。我們現在看到的是 100 多塊地塊和 1,000 多英畝的地塊，但每英畝的實際價格繼續保持在每英畝 4 多塊、5 多塊的低位，我們認為這是非常令人鼓舞的，希望未來能夠實現對我們的價值。

Thank you. At this time, I would like to turn the call back over to Mr. Kiernan for closing remarks.

謝謝。此時，我想將電話轉回給 Kiernan 先生作結束語。

I just want to say thank you to everyone for joining our call today as well as for your continued support of Alico. We look forward to speaking with you all about our second quarter results coming up in May. Hope everyone has a great day.

我只想對大家今天加入我們的電話會議以及您對 Alico 的持續支持表示感謝。我們期待與大家討論我們將於 5 月份公佈的第二季度業績。希望每個人都有美好的一天。

Thank you. This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation and have a great day.

謝謝。今天的會議到此結束。此時您可以斷開線路。感謝您的參與，祝您有美好的一天。