NYSE:MLP
MAUI LAND & PINEAPPLE CO INC
A Hawaiian-based agribusiness focused on pineapple and coconut production facing significant profitability challenges in recent years.
Key Metrics
Investment Thesis
Bull Case
The company holds significant tangible assets with total assets of $50.1M and positive cash balances that could support restructuring or a turnaround if management executes cost-cutting measures effectively. Shareholders may see value recovery if the company can stabilize operations and reverse the trend of declining revenues observed since 2022.
Bear Case
Investors should avoid this stock due to the alarming trajectory of net income which has turned negative three consecutive years, reaching -$7.4M in the most recent period. The widening gap between revenue and operating expenses suggests a fundamental business model issue that is unlikely to resolve without external capital injection or major strategic shifts.
About MAUI LAND & PINEAPPLE CO INC
MAUI LAND & PINEAPPLE CO INC operates primarily in the agricultural sector, specializing in the cultivation and harvesting of tropical fruits such as pineapples and coconuts. The company serves local and regional markets with fresh produce, leveraging its land assets to generate revenue streams from farming operations and related sales.
Analysis
Management Discussion
Despite generating $11.6M in revenue, the company reported a substantial net loss of $7.4M in 2024, marking a significant deterioration from a $1.8M profit in 2022. Cash flow from operations remains negligible at $370k, while retained earnings have deepened into a deficit of $61.0M, signaling persistent operational inefficiencies or high non-cash charges like share-based compensation.
Industry Overview
The agricultural industry for tropical fruits is highly competitive and sensitive to weather patterns, supply chain logistics, and fluctuating input costs. Companies in this sector face pressure to maintain low cost structures while ensuring consistent quality to meet demand from both domestic and export markets.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Revenue | $21.0M | $10.9M | $11.6M |
| Cost of Revenue | $0 | $0 | $0 |
| Gross Profit | $21.0M | $10.9M | $11.6M |
| Operating Expenses | $11.4M | $14.3M | $18.9M |
| Operating Income | $9.6M | $-3.3M | $-7.4M |
| G&A | $2.8M | $4.0M | $4.3M |
| Stock-Based Comp | $1.3M | $2.8M | $6.3M |
| D&A | $1.1M | $785.0K | $723.0K |
| Depreciation | $1.1M | $869.0K | $723.0K |
| Other OpEx | $8.6M | $10.3M | $14.6M |
| Non-Operating Income | $-7.8M | $265.0K | $0 |
| Pre-Tax Income | $1.8M | $-3.1M | $-7.4M |
| Income Tax | $0 | $0 | $0 |
| Continuing Ops | $1.8M | $-3.1M | $-7.4M |
| Discontinued Ops | $0 | $0 | $0 |
| Net Income | $1.8M | $-3.1M | $-7.4M |
| Minority Interest | $0 | $0 | $0 |
| Net to Common | $1.8M | $-3.1M | $-7.4M |
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Current Assets | $15.2M | $10.0M | $15.1M |
| Cash & Equivalents | $8.5M | $5.7M | $6.8M |
| Accounts Receivable | $892.0K | $1.2M | $5.0M |
| Prepaid Expenses | $368.0K | $467.0K | $507.0K |
| Other Current Assets | $5.5M | $2.7M | $2.8M |
| Long-Term Assets | $27.2M | $32.2M | $35.0M |
| PP&E (Net) | $15.9M | $16.1M | $17.4M |
| Other LT Assets | $11.3M | $14.6M | $16.6M |
| Total Assets | $42.4M | $42.2M | $50.1M |
| Current Liabilities | $2.3M | $2.5M | $11.2M |
| Deferred Revenue | $227.0K | $217.0K | $833.0K |
| Other Current Liab | $2.1M | $2.3M | $10.4M |
| Long-Term Liabilities | $6.3M | $5.0M | $5.8M |
| Other LT Liab | — | — | $2.8M |
| Total Liabilities | $8.6M | $7.5M | $17.0M |
| Shareholders' Equity | $33.8M | $34.7M | $33.2M |
| Paid-In Capital | $9.2M | $10.5M | $15.2M |
| Retained Earnings | $-50.5M | $-53.6M | $-61.0M |
| AOCI | $-8.3M | $-6.9M | $-6.9M |
| Total L&E | $42.4M | $42.2M | $50.1M |
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Net Income (CFO) | $1.8M | $-3.1M | $-7.4M |
| Non-Cash Adjustments | $2.7M | $683.0K | $-1.3M |
| Working Capital Changes | $1.8M | $1.0M | $9.0M |
| Cash from Operations | $6.3M | $-1.4M | $370.0K |
| Capital Expenditures | $33.0K | $819.0K | — |
| Cash from Investing | $-3.0M | $-864.0K | $-2.1M |
| Debt Issuances | $0 | — | — |
| Debt Repayments | $0 | — | $21.0K |
| Cash from Financing | $-335.0K | $-574.0K | $2.9M |
| FX Effect | $0 | $0 | $0 |
| Net Change in Cash | $2.9M | $-2.8M | $1.1M |
| Beginning Cash | $5.6M | $8.5M | $5.7M |
| Ending Cash | $8.5M | $5.7M | $6.8M |
Frequently Asked Questions
How does MAUI LAND & PINEAPPLE CO INC make money?
Fresh fruit cultivation and harvesting; Land leasing or joint venture operations evidenced by equity in affiliates; Sales of processed products or value-added agricultural goods derived from core crops.
What are the main risks for MLP?
Severe and widening net losses indicating unsustainable current operational model; High debt obligations relative to current cash reserves creating refinancing pressure; Volatility in global fruit prices and climate-related crop failures affecting revenue stability.
What is MLP's competitive advantage?
Control over prime tropical land assets with low overhead relative to asset base; Established relationships with local distributors for fresh produce; Potential tax benefits or regulatory support as a legacy Hawaiian agricultural entity.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.