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Note 1 - Basis of Presentation
6 Months Ended
Jun. 30, 2017
Notes to Financial Statements  
Basis of Accounting [Text Block]
(
1
)
     
BASIS OF PRESENTATION
 
Royal Hawaiian Orchards, L.P. (the “Partnership”) is a master limited partnership organized in
1986
under the laws of the State of Delaware. The Partnership is managed by its sole general partner, Royal Hawaiian Resources, Inc. (the “Managing Partner” or “RHR”). The accompanying unaudited condensed consolidated financial statements of the Partnership and its subsidiaries RHR (through
June 2016),
Royal Hawaiian Services, LLC (“RHS”) and Royal Hawaiian Macadamia Nut, Inc. (“Royal”), include all adjustments (consisting only of those of a normal recurring nature) that, in the opinion of management, are necessary to present fairly their financial position as of
June 30, 2017,
and
December 31, 2016,
the results of operations and changes in partners’ capital for the
three
and
six
months ended
June 30, 2017
and
2016,
and the changes in cash flows for the
six
months ended
June 30, 2017
and
2016.
The results of operations for the
three
and
six
months ended
June 30, 2017
are
not
necessarily indicative of the results expected for the full year or for any future period.
 
The
December 31, 2016
condensed consolidated balance sheet data in this report was derived from audited consolidated financial statements contained in the Partnership’s Annual Report on Form
10
-K for the year ended
December 31, 2016 (
the
“2016
Annual Report”), but does
not
include all disclosures required by accounting principles generally accepted in the United States of America. The interim consolidated financial statements should be read in conjunction with the Consolidated Financial Statements and the Notes to Consolidated Financial Statements filed with the Securities and Exchange Commission (“SEC”) in the
2016
Annual Report.
 
The Partnership’s business has historically been highly seasonal, reflecting the general pattern of peak harvest and sales of macadamia nuts during the
fourth
quarter. Commencing in
January 2015,
the Partnership began inventorying more than
70%
of its harvest for use in its branded products segment. The inventoried nuts are sold throughout the year which has reduced seasonality of revenues but increased the inventory balances and costs associated with maintaining such balances.