Five Points, California, USA
September 23, 2013

Fourth Quarter and Fiscal Year 2013 and Other Recent Business Highlights:

• Record fourth quarter revenues of $12.7 million, compared to $0.8 million in the comparable quarter of fiscal 2012;
• Record fiscal year revenues of $37.3 million, compared to $14.1 million during fiscal year 2012;
• Adjusted gross margins (excluding stevia-related operations) improved to 20.4% during the fourth quarter compared to 13.5% for the first nine-months of this fiscal year;
• Fourth quarter Adjusted EBITDA totaled $682,000 an improvement of $1.5 million compared to the fourth quarter of last year;
• Adjusted loss per basic and diluted share of $(0.05) for the fourth quarter compared to $(0.10) in the fourth quarter of fiscal 2012;
• Completed acquisition of Australian-based Seed Genetics International on April 1, 2013; and
• Company maintains alfalfa seed production and sourcing estimates of 18 to 19 million pounds for the calendar 2013 harvest cycles, significantly up from S&W's prior year production of 2.8 million pounds.

Quarterly Results

For the fourth fiscal quarter ended June 30, 2013, S&W reported revenues of $12.7 million versus $0.8 million in the comparable period of the prior year, an increase of 1,586%. Revenues for the quarter were driven by contributions from the company's Seed Genetics International ("SGI") operations, based in Australia, which commenced shipments from its Spring 2013 harvest in April 2013, contributing $10.4 million. Revenues derived from the company's Imperial Valley Seeds ("IVS") operations and its core proprietary S&W alfalfa seed operations were $1.9 million and $0.4 million, respectively, for the quarter as the company had limited available inventory and focused its sales efforts on limited strategic sales in anticipation of the late summer 2013 harvest and planting season.

Adjusted gross margins (as defined below) were 20.4% during the fourth quarter compared to 13.5% in the first nine months of fiscal year 2013 reflecting improved gross margin contribution from the company's SGI and IVS operations during the fourth quarter. Gross margins in the fourth quarter of fiscal year 2012 were (22.4%) which were impacted by a loss on the company's non-core and non-recurring discontinued wheat and triticale crops.

Full release and here

Website: http://www.swseedco.com/

Published: September 23, 2013