Stratus Properties Inc. (NASDAQ:STRS) Q4 2020 Earnings Conference Call March 15, 2021 11:00 AM ET Company Participants William Armstrong - Chief Executive Officer Erin Pickens - Chief Financial Officer Operator Good day, and welcome to the Stratus Properties Year Ended December 31, 2020 Financial and Operational Conference Call. Earlier this morning, Stratus issued a press release announcing its year ended December 31, 2020 financial results. The press release is available on Stratus’ website at stratusprop ...

S T R A T U S ® Investor Presentation March 15, 2021 CAUTIONARY STATEMENT AND REGULATION G DISCLOSURE This presentation contains forward-looking statements in which Stratus discusses factors it believes may affect its future performance. Forward-looking statements are all statements other than statements of historical fact, such as plans, projections or expectations related to the impacts of the COVID-19 pandemic, Stratus' ability to meet its future debt service and other cash obligations, potential future ...

Financial Data and Key Metrics Changes - Consolidated revenues totaled $12.8 million in Q3 2020, down from $22.3 million in Q3 2019, primarily due to the adverse impact of the COVID-19 pandemic on hotel and entertainment operations [31] - Net loss attributable to common stockholders was $15.1 million or $1.84 per share in Q3 2020, compared to a net loss of $3 million or $0.36 per share in Q3 2019 [32] - EBITDA was negative $0.6 million in Q3 2020, down from positive $2.7 million in Q3 2019, reflecting the pandemic's impact [34] Business Line Data and Key Metrics Changes - Revenue from Real Estate operations was $5 million in Q3 2020, up from $2.6 million a year ago, with operating income increasing to $1.4 million from $211,000 [35] - Leasing operations revenue totaled $6 million in Q3 2020, up from $5.2 million last year, while operating income slightly decreased to $1.2 million from $1.3 million [37] - Hotel revenues fell to $1.6 million in Q3 2020 from $8.8 million in Q3 2019, with an operating loss of $2.6 million compared to operating income of $930,000 [39] - Entertainment revenues dropped to $367,000 in Q3 2020 from $6.2 million in Q3 2019, resulting in an operating loss of $1.3 million compared to operating income of $1.1 million [42] Market Data and Key Metrics Changes - Total rent collections for retail properties were 84% of scheduled rents, while multifamily properties achieved 99%, leading to a combined total of 92% from April through October 2020 [16] - The average hotel occupancy was approximately 16% in Q3 2020, a slight increase from 12% in Q2 2020 [41] Company Strategy and Development Direction - The long-term strategy focuses on delivering shareholder returns through selling, refinancing, and leasing properties, which remains unchanged despite the pandemic [10] - The company is exploring a potential conversion to a Real Estate Investment Trust (REIT), which may provide significant tax benefits and improve liquidity [25][26] - Future phases of Barton Creek are being planned, and leasing activity continues despite the pandemic [22] Management's Comments on Operating Environment and Future Outlook - Management remains confident in the company's ability to withstand market challenges and capitalize on vibrant economies in chosen markets [12] - The company expects to meet financial obligations through 2021 and is evaluating refinancing opportunities to take advantage of low interest rates [20][46] - Management acknowledges the ongoing impacts of the pandemic but believes in the importance of their projects to the community [52] Other Important Information - Consolidated debt totaled $368.6 million and cash totaled $13.4 million as of September 30, 2020 [44] - The company has a strong pipeline of opportunities and believes it is well-positioned to create value as the business environment recovers [53] Q&A Session Summary - The Q&A session was opened for participants to ask questions regarding the company's performance and future strategies [54]

Stratus Properties Inc. (NASDAQ:STRS) Q2 2020 Earnings Conference Call August 10, 2020 11:00 AM ET Company Participants Beau Armstrong - Chairman, President & Chief Executive Officer Erin Pickens - Chief Financial Officer Conference Call Participants Operator Good day and welcome to the Stratus Properties' Second Quarter 2020 Financial and Operational Conference Call. Earlier this morning, Stratus released a press release announcing it's second quarter 2020 financial results. The press release is available ...

Stratus Properties Inc. (NASDAQ:STRS) Q1 2020 Earnings Conference Call June 25, 2020 11:00 AM ET Company Participants Beau Armstrong - Chairman, President and Chief Executive Officer Erin Pickens - Chief Financial Officer Conference Call Participants Operator Good day and welcome to the Stratus Properties First Quarter 2020 Financial and Operational Conference Call. Earlier this morning, Stratus released its first quarter 2020 financial results and provided business updates, which are available on its websi ...

Stratus Properties Inc. (NASDAQ:STRS) Q4 2019 Earnings Conference Call March 16, 2020 11:00 AM ET Company Participants Beau Armstrong - Chairman, President and CEO Erin Pickens - CFO Conference Call Participants Fred Burtner - Burtner Investments Operator Good day, and welcome to the Stratus Properties' Year-End 2019 Financial and Operational Conference Call . Earlier this morning, Stratus released its financial results, which are available on its Web site at stratusproperties.com. Following management's re ...

Stratus Properties Inc. (NASDAQ:STRS) Q3 2019 Results Conference Call November 12, 2019 11:00 AM ET Company Participants Beau Armstrong - Chairman, President and Chief Executive Officer Erin Pickens - Chief Financial Officer Conference Call Participants Sam Kidston - North & Webster Operator Welcome to the Stratus Properties' Third Quarter 2019 Financial and Operational Conference Call. Earlier this morning, Stratus released its financial results, which are available on its website at stratusproperties.com. ...

Financial Data and Key Metrics Changes - Stratus reported a net loss attributable to common stockholders of $2.4 million or $0.29 per share in Q2 2019, compared to a net loss of $0.9 million or $0.11 per share in Q2 2018 [16] - Revenues for Q2 2019 totaled $23.7 million, an increase from $23.3 million in Q2 2018, primarily due to higher revenues from leasing operations and entertainment segments [17] - Adjusted EBITDA for Q2 2019 was $3.3 million, a 16% increase from $2.8 million in Q2 2018 [17] Business Line Data and Key Metrics Changes - Real estate operation segment revenues decreased to $4.1 million in Q2 2019 from $7 million in Q2 2018, reflecting fewer sales of developed properties [18] - Leasing operations segment revenues increased to $4.6 million in Q2 2019, up from $2.6 million a year ago, with operating income rising to $2.6 million from $0.5 million [19] - Hotel segment revenues decreased to $9 million in Q2 2019 from $9.6 million in Q2 2018, with operating income decreasing to $1.3 million from $1.6 million [20] - Entertainment segment revenues increased to $6.3 million in Q2 2019, up from $4.5 million in Q2 2018, with operating income rising to $1.3 million from $0.5 million [21] Market Data and Key Metrics Changes - The W Austin Hotel's revenue per available room was $242 in Q2 2019, down from $254 in Q2 2018, indicating increased competition in the Austin market [20][21] - ACL Live hosted 69 events and sold approximately 68,000 tickets in Q2 2019, compared to 45 events and approximately 29,000 tickets sold in Q2 2018 [22] Company Strategy and Development Direction - The company aims to create value for shareholders through a proven development process, including identifying properties, securing permits, constructing, and positioning for capital events [6] - Stratus is exploring monetization opportunities for properties, including refinancing or sales, particularly for the Santal multifamily project and Block 21 [9][10] - The company is optimistic about the potential of the Magnolia Place project in Houston, Texas, and anticipates strong interest from tenants [8][9] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the long-term outlook for the W Austin Hotel, citing office growth and increased tourism in the Austin market, despite anticipated competition [21] - The company believes that Austin and other fast-growing Texas markets provide attractive investment opportunities, driven by population and job growth [24][25] Other Important Information - Consolidated debt totaled $340.6 million and consolidated cash totaled $18.1 million as of June 30, 2019, compared to $295.5 million and $19 million at the end of 2018 [23] - The company is actively pursuing entitlements for additional sections in Barton Creek, with expectations for construction to begin in 2021 [30] Q&A Session Summary Question: Status of planning efforts for remaining sections in Barton Creek - Management is working on permits for sections K, L, O, and N, expecting to have permits by the end of the year or early next year, with construction to follow [30] Question: Status of Santal Phase III construction - Santal has only two phases, which are fully built and stabilized, with additional multifamily entitlements being pursued in Section N [31] Question: Level of interest from buyers for Block 21 - Initial strategic conversations with potential buyers are ongoing, with a more significant marketing effort planned after Labor Day [34] Question: Opportunities from future investment deals - The company sees no shortage of opportunities and plans to reinvest in existing projects or return capital to shareholders [37][38] Question: Update on master-lease agreements at The Oaks at Lakeway - Management continues to work down obligations and is evaluating additional land for residential uses [39][41]

Financial Data and Key Metrics Changes - Stratus reported net income attributable to common stockholders of $0.9 million or $0.10 per share in Q1 2019, compared to a net loss of $1.9 million or $0.23 per share in Q1 2018 [19] - Revenues totaled $19.7 million in Q1 2019, up from $17.8 million a year ago, primarily due to higher revenues from single-family residential property sales and new leases [20] - Adjusted EBITDA for Q1 2019 was $0.8 million compared to $1 million in Q1 2018 [21] - Consolidated debt increased to $320.9 million as of March 31, 2019, from $295.5 million at December 31, 2018 [30] Business Line Data and Key Metrics Changes - Real estate operations segment revenues increased to $3 million in Q1 2019 from $1.2 million in Q1 2018, with operating income rising to $2.8 million from a loss of $0.4 million [21] - Leasing operations segment revenues rose to $3.9 million in Q1 2019, up from $2.3 million a year ago, with operating income increasing to $2.4 million from $0.4 million [24] - Hotel segment revenues decreased to $8.4 million in Q1 2019 from $9.4 million in Q1 2018, with operating income dropping to $0.8 million from $1.5 million [26] - Entertainment segment revenues were $4.8 million in Q1 2019, down from $5.3 million in the same period last year, but operating income increased to $2.8 million from $0.7 million [28] Market Data and Key Metrics Changes - Revenue per available room in the hotel segment was $238 compared to $262 in Q1 2018, indicating increased competition in downtown Austin [27] - ACL Live hosted 64 events and sold approximately 49,000 tickets in Q1 2019, compared to 57 events and approximately 55,000 tickets in Q1 2018 [29] Company Strategy and Development Direction - The company focuses on an active development program that includes acquiring entitlements, constructing properties, and preparing them for sale or refinancing [7] - The company has projects in various stages of development, including the HEB-anchored mixed-use project in New County, Texas, and the Kingwood Place project [8][9] - The company aims to sustain momentum by stabilizing properties and preparing them for potential sale or refinancing, particularly in fast-growing markets in Texas [38] Management's Comments on Operating Environment and Future Outlook - Management noted that all aspects of the business are performing well, but the transition to Marriott has caused some disruptions [42] - The company believes that its sizable land portfolio is underappreciated and misunderstood by investors, as it does not produce cash flow like traditional real estate investments [44][46] - Management remains optimistic about the long-term outlook for the W. Austin hotel, citing population growth and increased tourism in the Austin market [27] Other Important Information - The after-tax net asset value increased to $326.1 million or $39.58 per share as of December 31, 2018, up from $314 million or $38.08 per share as of December 31, 2017 [33] - The company received $4.6 million in bond proceeds related to Travis County MUD reimbursements in Q1 2019 [17] Q&A Session Summary Question: What parts of Stratus are unappreciated and misunderstood by investors? - Management indicated that the transition to Marriott has caused some weakness, but overall performance is strong. The time to complete leases and permitting has also stretched out due to increased workload in Austin [42][43] - The sizable land portfolio is seen as underappreciated, as it does not generate cash flow like traditional real estate investments, making it challenging for investors to understand its value [44][46]

Stratus Properties, Inc. (NASDAQ:STRS) Q4 2018 Earnings Conference Call March 18, 2019 11:00 AM ET Company Participants Beau Armstrong - Chairman of the Board, President and Chief Executive Officer Erin Pickens - Chief Financial Officer Conference Call Participants Fred Burtner - Burtner Investments Operator Welcome to the Stratus Properties Year-End 2018 Earnings Conference Call. Stratus released its financial results earlier this morning, which are available on its website at stratusproperties.com. Follow ...