Local Bounti Corporation Reports 38% Revenue Growth to $38.1 Million for Fiscal Year 2024

Local Bounti Corporation, a controlled environment agriculture (CEA) company, reported a significant increase in revenue for the fiscal year ending December 31, 2024, achieving $38.1 million, up 38% from $27.6 million in 2023. The growth was primarily driven by increased production and sales from its facilities in Georgia, Texas, and Washington, which began operations in the second quarter of 2024. Despite the revenue growth, the company reported a net loss of $119.9 million, a slight improvement from the $124.0 million loss in the previous year, attributed to higher interest expenses and operational costs.

The company's operational expenses decreased significantly, with total operating expenses falling by 47% to $63.1 million, largely due to a reduction in selling, general, and administrative expenses, which dropped by 37% to $40.8 million. This decline was influenced by a substantial decrease in stock-based compensation expenses, which fell from $16.3 million in 2023 to $3.3 million in 2024. Additionally, Local Bounti did not recognize any goodwill impairment in 2024, contrasting with a $38.5 million impairment recorded in the previous year.

Strategically, Local Bounti has expanded its footprint to six facilities across the U.S., including new sites in Texas and Washington, which are designed to enhance distribution capabilities and meet growing customer demand. The company has also focused on product diversification, introducing new offerings such as Grab & Go Salads and expanding its range of leafy greens. As of the end of 2024, Local Bounti's products were available in approximately 13,000 retail locations across 35 states, with a notable market share in living butter lettuce.

Looking ahead, Local Bounti plans to continue its expansion efforts, including building additional facilities and enhancing existing ones with its proprietary Stack & Flow Technology®. The company is also exploring new product lines and geographic markets to further increase its market presence. However, it acknowledges the need for additional financing to support its growth strategy, as it has incurred significant losses and relies heavily on credit facilities with Cargill Financial, which totaled $467.9 million as of December 31, 2024. The company believes its current cash reserves, along with projected sales and a recent $25 million PIPE financing, will be sufficient to fund operations for at least the next 12 months.