The St. Joe pany(JOE) - 2025 Q1 - Quarterly Results

The St. Joe Company Reports First Quarter 2025 Results Financial & Operational Highlights The company reported record Q1 revenue of $94.2 million and a 26% net income increase, driven by strong growth in recurring revenue streams Q1 2025 vs. Q1 2024 Key Metrics | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Total Revenue | $94.2 million | $87.8 million | +7% | | Net Income | $17.5 million | $13.9 million | +26% | | Real Estate Revenue | $38.3 million | $34.2 million | +12% | | Leasing Revenue | $16.3 million | $14.3 million | +14% | | Homesite Closings | 249 | 216 | +15% | - In Q1 2025, the company executed a multi-faceted capital allocation strategy, including $32.7 million in capital expenditures, $8.2 million in cash dividends, $5.7 million in stock repurchases, and a $2.5 million net debt repayment[2][4] - Cash and cash equivalents increased from $88.8 million at the end of 2024 to $94.5 million as of March 31, 2025[2] CEO Statement & Strategic Outlook The CEO highlighted strong organic growth, record revenue, and key strategic developments signaling a bright future for the region and the company - The company is leveraging existing assets to build supplemental asset-light businesses, such as the newly announced Watersound Real Estate brokerage[4] - Florida State University plans a transformative $414 million investment to build a new teaching and research hospital on the company's medical campus[4] - The Northwest Florida Beaches International Airport announced its first-ever direct flight to New York City, indicating continued growth in air travel to the region[4] Consolidated Financial Performance Consolidated revenue grew 7% to $94.2 million, net income increased 26% to $17.5 million, and EBITDA rose 14% to $39.8 million in Q1 2025 Q1 2025 Consolidated Financial Results | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Total Revenue | $94.2 million | $87.8 million | +7% | | Net Income | $17.5 million | $13.9 million | +26% | | EPS (Basic) | $0.30 | $0.24 | +25% | | EBITDA | $39.8 million | $34.9 million | +14% | - Unconsolidated joint ventures had revenues of $123.2 million and contributed $10.2 million in equity income to the Company in Q1 2025, up from $7.4 million in Q1 2024[6] - The Board of Directors declared a quarterly cash dividend of $0.14 per share, payable on June 26, 2025[10] Segment Performance Real Estate The real estate segment's revenue increased 12% to $38.3 million, driven by a 15% rise in homesite sales to 249 units Real Estate Operating Metrics (Q1 2025) | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Real Estate Revenue | $38.3 million | $34.2 million | +12% | | Homesite Sales Volume | 249 | 216 | +15% | | Homesites Under Contract | 952 | 1,335 | -29% | | Value of Homesites Under Contract | $94.4 million | $119.8 million | -21% | - The Latitude Margaritaville Watersound JV had 192 completed home sales in Q1 2025 and has 264 homes under contract with an average sales price of approximately $598,000[13] - The company's residential pipeline includes over 21,300 homesites in various stages of planning and development[12] Hospitality Hospitality revenue grew 1% to $39.6 million, supported by club membership growth, while the company expanded its portfolio to 1,298 hotel rooms Hospitality Operating Metrics (as of March 31) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Q1 Hospitality Revenue | $39.6 million | $39.3 million | +1% | | Club Members | 3,498 | 3,433 | +65 members | | Operational Hotel Rooms | 1,298 | 1,177 | +121 rooms | | Owned Hotels | 12 | 11 | +1 hotel | Leasing The leasing segment achieved a record quarter with revenue increasing 14% to $16.3 million, maintaining a 94% occupancy rate across its portfolio - Leasing revenue grew 14% to a single quarter company record of $16.3 million in Q1 2025[17] Leasing Portfolio (as of March 31) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Total Rentable Space | ~1,180,000 sq. ft. | ~1,082,000 sq. ft. | | Leased Space | ~1,114,000 sq. ft. | ~1,046,000 sq. ft. | | Occupancy Rate | 94% | 97% | | Space Under Construction | 31,500 sq. ft. | N/A | - The company has 1,383 leasable multi-family and senior living units as of March 31, 2025[17] Corporate Expenses, Capital, and Debt The company demonstrated effective cost control, improved its debt profile, and increased its cash position to $94.5 million while investing in growth - Corporate and other operating expenses decreased by $0.5 million to $6.6 million in Q1 2025, representing 7% of revenue compared to 8% in Q1 2024[19] Debt Profile (as of March 31) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Weighted Avg. Interest Rate | 4.8% | 5.3% | | Average Remaining Life | 18.8 years | 17.0 years | | Fixed/Swapped Rate Debt | 74% | N/A | - As of March 31, 2025, the company had $94.5 million in cash and cash equivalents and $255.4 million invested in development property[20] Financial Data Schedules This section provides detailed, unaudited financial statements and a reconciliation of the non-GAAP measure EBITDA to net income for Q1 2025 Consolidated Results (Unaudited) The unaudited income statement shows a 7% revenue increase to $94.2 million and a 26% net income increase to $17.5 million for Q1 2025 Consolidated Results (Unaudited) ($ in millions) | | Quarter Ended March 31, | | | :--- | :--- | :--- | | | 2025 | 2024 | | Total revenue | $94.2 | $87.8 | | Operating income | $16.9 | $16.0 | | Income before income taxes | $22.5 | $17.8 | | Net income attributable to the Company | $17.5 | $13.9 | | Basic net income per share | $0.30 | $0.24 | Summary Balance Sheet (Unaudited) The balance sheet shows total assets of $1,547.4 million and total equity of $739.1 million as of March 31, 2025 Summary Balance Sheet (Unaudited) ($ in millions) | | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Assets | | | | Cash and cash equivalents | $94.5 | $88.8 | | Total assets | $1,547.4 | $1,538.6 | | Liabilities and Equity | | | | Debt, net | $434.8 | $437.8 | | Total liabilities | $808.3 | $801.9 | | Total equity | $739.1 | $736.7 | | Total liabilities and equity | $1,547.4 | $1,538.6 | Reconciliation of Non-GAAP Financial Measures (Unaudited) This schedule reconciles the non-GAAP measure EBITDA of $39.8 million to the GAAP measure of Net Income for Q1 2025 EBITDA Reconciliation (Unaudited) ($ in millions) | | Quarter Ended March 31, | | | :--- | :--- | :--- | | | 2025 | 2024 | | Net income attributable to the Company | $17.5 | $13.9 | | Plus: Interest expense | $7.8 | $8.5 | | Less: Investment income, net | ($3.4) | ($3.4) | | Plus: Income tax expense | $5.8 | $4.7 | | Plus: Depreciation, depletion and amortization | $12.1 | $11.2 | | EBITDA | $39.8 | $34.9 | Important Notice Regarding Forward-Looking Statements This section cautions that the report contains forward-looking statements subject to significant risks and uncertainties detailed in SEC filings - The report contains forward-looking statements concerning growth, capital allocation, and new projects, which are subject to risks and uncertainties[33] - Key risk factors include economic conditions, competition, interest rate fluctuations, supply chain disruptions, regulatory changes, and dependence on regional population growth[34][36] About The St. Joe Company The St. Joe Company is a diversified real estate development, asset management, and operating company focused on its assets in Northwest Florida - The St. Joe Company is a real estate development, asset management, and operating company with assets and operations concentrated in Northwest Florida[38]