Crop insurance proceeds helped ML Macadamia Orchards LP eke out a profit in the second quarter.

The Hilo-based company earned $66,000 in the April-June period, an improvement over a $118,000 net loss in the 2010 second quarter, according to a report issued Wednesday.

Earnings were mainly derived from $534,000 in insurance proceeds tied to a drought-related crop shortfall last season. A year earlier the company collected $211,000 from a crop insurance claim.

Revenue from contract farming and nut sales totaled $384,000 in the quarter, down from $626,000 a year earlier.

ML Macadamia said the second quarter is traditionally a weak period for nut production due to growing and harvest cycles. Nut production is typically highest in the third and fourth quarters. Second-quarter production usually accounts for less than 4 percent of an annual harvest.

Shares of thinly traded ML Macadamia stock closed at $2.50 on Thursday, up from $2.45 on Wednesday.