Financial Performance - Operating revenues for the year ended December 31, 2024, increased to $11.565 million from $9.289 million in 2023, representing a growth of approximately 24.5%[121] - The net loss for the year ended December 31, 2024, was $7.391 million, compared to a net loss of $3.080 million in 2023, indicating a worsening financial position[121] - Leasing revenues for the year ended December 31, 2024, were $9.621 million, up from $8.461 million in 2023, reflecting an increase of approximately 13.7%[126] - Revenue from percentage rents and land licensing in 2024 was $2.3 million, up from $2.2 million in 2023, reflecting a $0.1 million increase[128] - Operating revenues for the Resort Amenities segment decreased to $828,000 in 2024 from $1.424 million in 2023, resulting in an operating loss of $704,000[131] - Investment income from the money market and bond portfolio was approximately $0.3 million in 2024, down from $0.5 million in 2023[135] - Cash on hand increased to $6.8 million in 2024 from $5.7 million in 2023, indicating improved liquidity[140] - The company had $12.0 million available under a revolving credit facility as of December 31, 2024, down from $15.0 million in 2023[142] - Net cash flow from operating activities was $0.4 million in 2024, compared to a negative $1.4 million in 2023[144] Property and Leasing - The occupancy rate of commercial properties improved from 72% to 86% during 2024, contributing to an increase in leasing revenue[112] - The total leased area for commercial real estate increased by 12,098 square feet in 2024, with a total occupancy of 86%[112] - The company identified and addressed critical deferred maintenance in town centers, which has enhanced occupancy and leasing revenue over the past year[112] - The company anticipates cash flow from commercial properties to increase as the Maui market recovers from the 2023 wildfires[112] - The company anticipates that percentage rents will return to pre-wildfire levels by 2025 to 2026 as tourist traffic increases[128] Development and Projects - The company completed strategic plans across all 22,300 acres of land to prioritize actions for future development[113] - Approximately $35.5 million is expected to be funded by the State of Hawai'i for the necessary horizontal improvements for the Honokeana Homes Temporary Housing Project[118] - Approximately 1,000 acres of unimproved land has been leased to Ka Ike Ranch for diversified agricultural use, supporting local food production[119] - Land development costs budgeted for 2025 are $6.0 million, aimed at various projects totaling approximately 7,900 acres[147] - Maintenance and capital improvements budgeted at $0.6 million for commercial assets and $2.8 million for water assets and infrastructure[149] Accounting and Taxation - Management calculates income tax provisions and deferred tax assets, with valuation allowances applied to tax credits that are unlikely to be realized[158] - The results of operations could be affected by significant litigation or contingencies, with accruals recorded when liabilities are probable and estimable[158] - The construction contract for the Honokeana Homes Temporary Housing Project follows the cost to cost accounting method, recognizing revenues and expenses based on actual costs incurred[158] - Project billings in excess of recognized revenues are recorded as deferred revenue, while costs recognized in excess of billings are recorded as deferred expenses[158] Equity and Compensation - The company recorded a return of equity of approximately $0.6 million from the BRE2 LLC joint venture in 2024, following a ranch lot sale for $1.8 million[135] - Stock options were issued to the Chairperson of the Board, members of the Board, and the Chief Executive Officer, with valuation expenses recognized over the duration of the exercisable period[158]
Maui Land & Pineapple pany(MLP) - 2024 Q4 - Annual Report