S&W Seed’s sales, income shrivel in fiscal ’24

LONGMONT —  International challenges pushed S&W Seed Co.’s (Nasdaq: SANW) sales and profits down in fiscal 2024.

Revenue for the Longmont company’s fiscal year, which ended June 30, was $60.4 million, off 17.8% from 2023. 

“The $13.1 million decrease in revenue was primarily attributable to an $11.4 million decrease in non-dormant alfalfa sales in the Middle East North Africa, or MENA, region due to the ongoing conflict in Sudan, reduced sales into Libya, and the import restrictions enacted in Saudi Arabia, a $2.8 million decrease in the Australian domestic market across all crop segments due to inventory quality and lower pricing, a $2.8 million decrease in non-traited sorghum sales in the U.S., a $1.7 million decrease in Mexico driven by decreased non-dormant alfalfa sales that were partially offset with increased grain sorghum sales, and a $1.3 million decrease in sales to Asia of alfalfa and sunflower,” the company said in its annual report.  

S&W posted a net loss of $30.1 million in the most-recent fiscal year. That’s compared with net income of $14.4 million in 2023. 

“Since taking over as CEO in July 2023, my focus has been to define our business strategies to optimize results centered around best-in-class operational effectiveness of our broader sorghum technology program and forage operations,” S&W CEO Mark Herrmann said in a prepared statement. “… As total revenue in the future continues to shift more towards our robust sorghum technology portfolio which carries gross margins in excess of 60%, including product line extensions and new technology offerings planned over the next year, we expect to see operational improvement in support of our near-term goal of profitability.”

The company said it will offer financial projections for fiscal 2025 later this month. 

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