Landec Corp. (NASDAQ:LNDC) Q4 2020 Earnings Conference Call - Final Transcript

Aug 11, 2020 • 05:00 pm ET

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Landec Corp. (NASDAQ:LNDC) Q4 2020 Earnings Conference Call - Final Transcript

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Q & A
Executive
Brian F. McLaughlin

built all the way from October across the year -- so -- into May. So as we were sort of navigating a lot of the issues of, one, nailing down our cost out, much of that was delivered in the fourth quarter, reworking the business model and stabilizing the business model in Yucatan from the beginning of last year, which we finally worked our way through some of that high-price inventory in the early February time frame, but all along that cycle from October on we were building up the asset base and the inventory base that we knew we would need in May to carry us through the summer to avoid what happened last summer, which is that we had to produce during the summer during the very, very high season of fruit [Phonetic] costs season.

Executive
Albert Bolles

Yeah. So yes, we did not run through May 31st. So we took the plant down in May, so that we would not repeat what happened to us. Last year we had a run into the high fruit costs. So we're very confident about the fruit that we have put away, if that was your question in terms of understanding the cost.

Analyst
Mitch Pinheiro

Yeah, no, I got. Yeah that's good. And then I didn't really understand one other thing. Did you answer the question what your capex spending is going to be in '21?

Executive
Brian F. McLaughlin

Yes. So we're guiding -- and we've also committed to the bank as well on this, a total number of $34 million for the year. And in doing so we've committed to limiting that which is right in line with our operations. The bank worked with us on that to $12 million for the first half of the year, $12 million or less for the first half of the year, $34 million or less for the full year.

Analyst
Mitch Pinheiro

Thank you very much. Appreciate it.

Operator
Operator

We have reached the end of our question-and-answer session. I would like to turn the conference back over to management for closing remarks.

Executive
Albert Bolles

Yeah, thank you today for your time and your continued interest in Landec. This ends the conference call.

Operator
Operator

[Operator Closing Remarks]