Financial Performance - For Q4 2023, American Realty Investors, Inc. reported a net loss attributable to common shares of $2.1 million or $0.13 per diluted share, a significant decrease from a net income of $43.4 million or $2.69 per diluted share in Q4 2022 [2][5]. - Net operating income decreased by $3.6 million, resulting in a net operating loss of $2.2 million for Q4 2023, compared to a net operating income of $1.4 million in Q4 2022 [4]. - The decrease in net income was primarily due to a $72.6 million decrease in gain on sale, remeasurement, or write-down of assets [5]. - Total revenue for Q4 2023 was $14.0 million, up from $13.3 million in Q4 2022 [8]. Occupancy and Rental Revenue - Total occupancy was 77% as of December 31, 2023, with multifamily properties at 92% and commercial properties at 49% [3]. - Rental revenues increased by $1.0 million from $11.8 million in Q4 2022 to $12.8 million in Q4 2023, primarily driven by a $0.9 million increase in multifamily properties [4]. - Property operating expenses increased by $1.5 million from $5.8 million in Q4 2022 to $7.3 million in Q4 2023 [8]. Construction and Financing - The company entered into a $25.4 million construction loan for a 216-unit multifamily property in McKinney, Texas, expected to be completed in 2025 [3]. - A second construction loan of $23.5 million was secured for another 216-unit multifamily property in Temple, Texas, also expected to be completed in 2025 [3]. - The company extended the maturity of its loan on Windmill Farms to February 28, 2026, at an interest rate of 7.50% [3].

Sales and Gains - The company sold a 50% ownership interest in Overlook at Allensville Phase II for $2.6 million, resulting in a gain of $1.4 million[79]. - The sale of 600 Las Colinas generated $74.8 million, with a gain of $27.3 million, and proceeds were used to pay off the mortgage[80]. - In 2022, the company sold 134.7 acres of land for $20.2 million, resulting in gains of $10.3 million[80]. - The company received $182.8 million from VAA as an initial distribution from the sale of the VAA Sale Portfolio, which totaled $1.8 billion[91]. - Gain on sale of land was $188 in 2023, significantly lower than $4,752 in 2022[115]. Development Projects - The company spent $5.0 million on the ongoing development of Windmill Farms, with an agreement to sell 276 lots for $13.1 million[85]. - A development agreement for a 240 unit multifamily property in Lake Wales is expected to cost approximately $55.3 million, funded partly by a $33.0 million construction loan[86]. - The company incurred a total of $16.9 million in development costs for the Lake Wales project as of December 31, 2023[86]. - A construction loan of $25.4 million was entered into for the development of Merano, expected to be completed in 2025[87]. - The company completed the restoration of Landing on Bayou Cane for a total cost of $16.7 million, primarily funded by insurance proceeds[89]. Financial Performance - Multifamily segment revenue increased to $32,608,000 in 2023 from $17,828,000 in 2022, a variance of $14,780,000[104]. - Operating expenses for the multifamily segment rose to $17,749,000 in 2023 from $9,524,000 in 2022, resulting in an operating income increase of $6,555,000[104]. - Commercial segment revenue decreased to $14,415,000 in 2023 from $16,252,000 in 2022, a decline of $1,837,000[104]. - Net income dropped significantly to $5,251,000 in 2023 from $475,317,000 in 2022, a decrease of $470,066,000[104]. - Interest income, net increased by $8,315,000, primarily due to an $8,000,000 decrease in interest expense and a $300,000 increase in interest income[104]. Funds and Cash Flow - Funds From Operations (FFO) for 2023 was $19,997,000 compared to $43,275,000 in 2022, reflecting a decrease of $23,278,000[115]. - The company anticipates sufficient cash and short-term investments to meet liquidity requirements through 2024[109]. - Cash used in operating activities decreased to $31,054,000 in 2023 from $45,386,000 in 2022, a variance of $14,332,000[111]. - Cash provided by investing activities fell to $26,813,000 in 2023 from $307,357,000 in 2022, a decrease of $280,544,000[112]. - The company plans to selectively sell land and income-producing assets to meet liquidity needs[109]. Income and Expenses - Net income attributable to the Company for 2023 was $3,968, compared to $373,349 in 2022, indicating a significant decrease[115]. - FFO-Basic and Diluted for 2023 was $19,997, down from $43,275 in 2022[115]. - FFO-adjusted for 2023 was $20,714, compared to $41,267 in 2022, reflecting a decline[115]. - Depreciation and amortization on consolidated assets increased to $13,646 in 2023 from $9,686 in 2022[115]. - Loss on early extinguishment of debt was $1,710 in 2023, down from $2,805 in 2022[115]. Asset Management - Loss (gain) on sale, remeasurement or write down of assets was $1,923 in 2023, compared to a gain of $(87,132) in 2022[115]. - Loss on foreign currency transactions was $(993) in 2023, an improvement from $(20,067) in 2022[115]. - Depreciation and amortization on unconsolidated joint ventures at pro rata share was $272 in 2023, down from $8,424 in 2022[115]. - Gain on sale of assets from unconsolidated joint venture at pro rata share was $(265,804) in 2022, with no corresponding figure for 2023[115].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to________ Commission File Number 001-15663 AMERICAN REALTY INVESTORS, INC. (Exact Name of Registrant as Specified in Its Charter) Nevada ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to________ Commission File Number 001-15663 AMERICAN REALTY INVESTORS, INC. (Exact Name of Registrant as Specified in Its Charter) Nevada 75-28 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to________ Commission File Number 001-15663 AMERICAN REALTY INVESTORS, INC. (Exact Name of Registrant as Specified in Its Charter) Nevada 94-6 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-15663 American Realty Investors, Inc. (Exact name of registrant as specified in its charter) Nevada 75-2847135 (State or other jurisdiction of Incorporation or organization) (IRS ...