CTO Realty Growth(CTO) - 2025 Q1 - Quarterly Results

Financial Performance - Net income attributable to common stockholders was $0.01 per diluted share, a decrease of 95.0% compared to the prior year[5][6] - Core Funds from Operations (FFO) attributable to common stockholders increased by 34.5% to $14.4 million, or $0.46 per diluted share[5][6] - Adjusted Funds from Operations (AFFO) attributable to common stockholders rose by 33.3% to $15.5 million, or $0.49 per diluted share[5][6] - Same-Property Net Operating Income (NOI) totaled $17.1 million, reflecting a 2.4% increase from the prior year[5][9] - Total revenues for the three months ended March 31, 2025, were $35,811,000, an increase of 27.3% compared to $28,127,000 for the same period in 2024[41] - Same-Property NOI for the three months ended March 31, 2025, was $17,136,000, up 2.4% from $16,727,000 for the same period in 2024[43] - Net income attributable to the Company for the three months ended March 31, 2025, was $2,261,000, a decrease of 61.3% compared to $5,842,000 for the same period in 2024[41] - The Company reported a basic net income attributable to common stockholders of $0.01 per share for the three months ended March 31, 2025, down from $0.21 per share for the same period in 2024[41] - Funds from operations (FFO) attributable to common stockholders increased to $14,894,000, up 38.5% from $10,797,000 year-over-year[46] - Core funds from operations attributable to common stockholders were $14,445,000, compared to $10,737,000 in the prior year, representing a 34.3% increase[46] Debt and Liquidity - As of March 31, 2025, the company had liquidity of $138.4 million, including $8.4 million in cash and $130.0 million of undrawn commitments on its Revolving Credit Facility[5][12] - The company's net debt to Pro Forma Adjusted EBITDA was 6.6 times, and the fixed charge coverage ratio was 2.9 times[12][13] - The total long-term debt as of March 31, 2025, was $603.8 million, with a weighted average interest rate of 4.35%[12][13] - Long-term debt increased to $602,216,000 as of March 31, 2025, compared to $518,993,000 as of December 31, 2024, reflecting a 15.9% increase[39] - Net debt stood at $595,406,000, with a net debt to pro forma adjusted EBITDA ratio of 6.6x[48] Investments and Acquisitions - The company acquired Ashley Park, a 559,000-square-foot lifestyle center in Atlanta, Georgia, for $79.8 million, achieving a going-in cap rate near the high end of guidance[3][7] - Investments planned for 2025 are estimated between $100.0 million and $200.0 million, with a weighted average initial cash yield of 8.0% to 8.5%[19] Guidance and Outlook - The Company reaffirmed its full-year Core FFO and AFFO guidance per diluted share attributable to common stockholders[5] - The Company's 2025 outlook for Core FFO per common share is projected to be between $1.80 and $1.86, while AFFO per common share is expected to range from $1.93 to $1.98[19] - Same-Property NOI growth is anticipated to be approximately 1% compared to the year ended December 31, 2024[19] - General and administrative expenses are projected to be between $17.5 million and $18.0 million for 2025[19] - The estimated Net Loss Attributable to the Company per common share for 2025 is projected to be between $(0.46) and $(0.40)[20] Dividends - A cash dividend of $0.38 per share for common stock was announced, representing a payout ratio of 82.6% of the first quarter 2025 Core FFO attributable to common stockholders[17] - The Company declared and paid dividends of $0.40 per share for preferred stock and $0.38 per share for common stock, consistent with the previous year[41] Operational Metrics - The Company aims to enhance its operating performance by focusing on Same-Property NOI as a key performance metric, which excludes the impact of property acquisitions or dispositions[37] - The Company operates a portfolio of retail-based properties primarily in higher growth markets in the United States[23] Other Financial Metrics - The Company utilized interest rate swaps on a total of $315.0 million across various term loans to fix SOFR, achieving fixed swap rates ranging from 1.27% to 3.85%[1][3][4][5][6] - The Company completed transactions to retire $35,208,000 of 2025 Notes in exchange for 1,089,555 shares of common stock and cash payments totaling $29.0 million[16] - Adjusted EBITDA for the three months ended March 31, 2025, was $21,181,000, with an annualized figure of $84,724,000[48] - Pro forma adjusted EBITDA, reflecting the impact of current quarter investments and dispositions, reached $89,593,000[49] - Interest income from commercial loans and investments increased to $2,961,000 for the three months ended March 31, 2025, compared to $1,351,000 for the same period in 2024, representing a 119.5% increase[41] - The company reported a depreciation and amortization of real estate totaling $14,346,000 for the quarter[46] - Unrealized loss on investment securities was $165,000, a significant decrease from $4,039,000 in the previous year[46] - Distributions to preferred stockholders increased to $1,878,000 from $1,187,000 year-over-year[46]