Alico, Inc. Closes $26.8 Million Land Sale and Achieves 97% Agricultural Utilization
FORT MYERS, Fla., Jan. 15, 2026 (GLOBE NEWSWIRE) -- Alico, Inc., ("Alico" or the "Company") (NASDAQ:ALCO) today announced the completion of a large grove sale representing approximately 2,950 acres and significant progress in its plans to generate cashflow from its agricultural assets, further advancing its strategic transformation from traditional citrus operations to a diversified land company.
The Company closed on the sale of a large citrus grove in Hendry County representing approximately 2,950 acres for $26.8 million in gross proceeds, marking another milestone in its land monetization strategy. Combined with previously announced transactions completed in early fiscal year 2026, including the sale of 579 acres of citrus land for $6.1 million in gross proceeds and the Company's office and shop facility in Frostproof for $1.7 million in gross proceeds, these transactions demonstrate continued execution of Alico's strategic repositioning and mark $34.6 million in transactions in fiscal calendar year 2026.
Following the signing of new lease agreements this month, Alico has now achieved 97% utilization of its approximately 32,500 farmable agricultural acreage. The Company's land management programs now include fee-generating or revenue-sharing agreements with citrus growers, cattle operators, mining operators, sugarcane producers, and sod farming and leasing. These programs have created diversified revenue streams that reduce operational complexity while maintaining productive agricultural use of the land. Approximately 89% of Alico's approximately 46,000 total agricultural acres are now utilized.
"These land sales represent the successful continuation of our strategic transformation that began in fiscal year 2025, demonstrating our ability to unlock substantial value from our land portfolio," said John Kiernan, President and CEO of Alico. "Equally significant is our utilization of 97% of our farmable land, which continues to demonstrate our commitment to remain part of the Florida agricultural community. Last year we promised to optimize our land holdings for diversified agricultural operations, while pursuing certain land development plans. Those land development projects are each proceeding within our expectations. With the agricultural revenue generation component of our strategic framework now substantially in place, combined with our recent land transactions and solid balance sheet, we believe that Alico is well positioned as we begin fiscal year 2026 with enhanced financial flexibility that enables us to focus resources and attention on advancing our high value strategic development opportunities."
Total debt as of September 30, 2025, was $85.5 million, compared to $92.1 million at the end of fiscal year 2024. Debt levels as of September 30, 2025, less $38.1 million of cash on hand, resulted in a net debt position of $47.4 million at the end of fiscal year 2025, representing a significant improvement in the Company's financial flexibility.
The Company's strengthened balance sheet, combined with proceeds from land sales and agricultural leasing revenue, provides substantial liquidity to advance development projects while maintaining operational efficiency. In April 2025, the Alico, Inc. Board of Directors authorized the buyback of up to $50 million of Alico's common stock, with the program set to expire on April 1, 2028. As previously discussed, the Board of Directors continues to evaluate options to return capital to shareholders, consistent with Alico's long-standing commitment to shareholder value creation.
About Alico Inc.
Alico Inc. (NASDAQ:ALCO) is a Florida-based agribusiness and land management company with over 125 years of experience. Following its strategic transformation in 2025, Alico operates as a diversified land company with approximately 49,537 acres across 8 Florida counties as of September 30, 2025. The Company focuses on strategic land development opportunities and diversified agricultural operations, leveraging its extensive land portfolio to create long-term shareholder value while maintaining its commitment to responsible land stewardship and conservation. Learn more about Alico at alicoinc.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, but are not limited to, statements regarding the Company's plans, objectives, expectations, and beliefs concerning its Strategic Transformation and continued execution of its land monetization and strategic repositioning initiatives; the generation of cash flow and diversified revenue from agricultural leasing and fee- or revenue-sharing arrangements; the utilization and optimization of its farmable and total agricultural acreage; the timing, progress, and outcomes of land development projects and other strategic development opportunities; the Company's financial position, liquidity, and flexibility; the evaluation and implementation of capital‑return programs, including share repurchases and other potential actions to return capital to shareholders; and the creation of long‑term shareholder value; and any other statements relating to our future activities or other future events or conditions. These statements are based on our current expectations, estimates and projections about our business based, in part, on assumptions made by our management and can be identified by terms such as "if," "will," "should," "expects," "plans," "hopes," "anticipates," "could," "intends," "targets," "projects," "contemplates," "believes," "estimates," "forecasts," "predicts," "potential" or "continue" or the negative of these terms or other similar expressions.
These forward-looking statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in the forward-looking statements due to numerous factors, including, but not limited to: our ability to successfully develop and execute our strategic growth initiatives, including the Strategic Transformation; our plan to wind down our citrus production operations to focus on our long-term diversified land usage and real estate development strategy; our ability to secure necessary regulatory approvals and permits for land development projects, effectively manage and allocate resources to new business initiatives; attract and retain skilled personnel with expertise in diversified land usage and real estate development; navigate potential market fluctuations and economic conditions; maintain strong relationships with lenders and continue to satisfy covenants and conditions under current loan agreements and address potential environmental and zoning issues, and other challenges inherent in real estate development; our ability to increase our revenues from land usage and real estate development; adverse weather conditions, natural disasters and other natural conditions, including the effects of climate change and hurricanes and tropical storms; risks related to our expected significant revenue shift to real estate development and diversified farming operations; water use regulations restricting our access to water; changes in immigration laws; harm to our reputation; tax risks associated with a Section 1031 Exchange; our ability to use our net operating loss carryforwards and certain other tax attributes; risks associated with the undertaking of one or more significant corporate transactions; the seasonality of our citrus business; fluctuations in our earnings due to market supply and prices and demand for land sales, leasing and development activities, as well as any remaining agricultural products; climate change, or legal, regulatory, or market measures to address climate change; Environmental, Social and Governance issues, including those related to our workforce and sustainability; increases in commodity or raw product costs, such as fuel and chemical costs; transportation risks; any change or the classification or valuation methods employed by county property appraisers related to our real estate taxes; liability for the use of fertilizers, pesticides, herbicides and other potentially hazardous substances; compliance with applicable environmental laws; loss of key employees; material weaknesses and other control deficiencies relating to our internal control over financial reporting; macroeconomic conditions, such as rising inflation, armed conflicts and geopolitical instability; system security risks, data protection breaches, cybersecurity incidents and systems integration issues; our indebtedness and ability to generate sufficient cash flow to service our debt obligations; higher interest expenses as a result of variable rates of interest for our debt; our ability to continue to pay cash dividends; and certain of the other factors described under the sections "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" to be included in our Annual Report on Form 10-K for the fiscal year ended September 30, 2025, filed with the Securities and Exchange Commission (the "SEC") on November 24, 2025. Except as required by law, we do not undertake an obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments, or otherwise.
This press release also contains financial projections that are necessarily based upon a variety of estimates and assumptions which may not be realized and are inherently subject, in addition to the risks identified in the forward-looking statement disclaimer, to business, economic, competitive, industry, regulatory, market and financial uncertainties, many of which are beyond the Company's control. There can be no assurance that the assumptions made in preparing the financial projections will prove accurate. Accordingly, actual results may differ materially from the financial projections.
Investor Contact:
John Mills
ICR
(646) 277-1254
InvestorRelations@alicoinc.com
Brad Heine
Chief Financial Officer
(239) 226-2000
bheine@alicoinc.com
