Power REIT(US:PW)2025-08-05 21:29Financial Performance - Total revenue for the three months ended June 30, 2025, was $506,783, a decrease of 2.9% compared to $519,349 for the same period in 2024[12] - Net income attributable to common shareholders for the three months ended June 30, 2025, was $157,706, compared to a net loss of $19,308,376 in the same period of 2024[12] - For the six months ended June 30, 2025, the net loss was $1,092,199 compared to a net loss of $21,222,167 for the same period in 2024, indicating a significant improvement[17] - During the six months ended June 30, 2025, total revenue from leases was approximately $904,000, a decrease of 4.6% from $948,000 in the same period of 2024[79] - Power REIT's total revenue from leases for the three months ended June 30, 2025, was approximately $465,000, compared to $459,000 for the same period in 2024, reflecting a slight increase of 1.3%[79] Assets and Liabilities - Total assets decreased to $27,881,636 as of June 30, 2025, down from $46,102,638 as of December 31, 2024, representing a decline of 39.5%[10] - Total liabilities decreased to $21,934,533 as of June 30, 2025, down from $39,349,760 as of December 31, 2024, a reduction of 44.0%[10] - Cash and cash equivalents decreased to $1,481,349 as of June 30, 2025, compared to $2,194,502 as of December 31, 2024, a decline of 32.4%[10] - The Trust's total assets include approximately 112 miles of railroad infrastructure and 447 acres of land leased to a solar power project with a capacity of 82 Megawatts[21] - Total assets held for sale decreased to approximately $6,442,521 as of June 30, 2025, from $24,335,236 as of December 31, 2024[91] Expenses - General and administrative expenses for the three months ended June 30, 2025, were $341,373, a decrease of 5.0% from $359,474 in the same period of 2024[12] - Interest expense for the three months ended June 30, 2025, was $571,769, down from $1,144,204 in the same period of 2024, a reduction of 50.0%[12] - The Trust's share-based compensation expense for the six months ended June 30, 2025, was $286,424, down from $407,151 in 2024[17] - For the three months ended June 30, 2025, depreciation expense was approximately $20,000, compared to $183,000 for the same period in 2024[39] - An impairment charge of approximately $14,000 was recorded for the three months ended June 30, 2025, significantly lower than the $17,449,000 recorded in 2024[45] Cash Flow - The Trust's net cash used in operating activities was $677,137 for the six months ended June 30, 2025, compared to $943,652 in the prior year[17] - The Trust's net cash provided by investing activities was $9,822 for the six months ended June 30, 2025, compared to $870,642 in 2024[17] - The Trust's cash and cash equivalents totaled $1,481,349, a decrease of $750,237 from December 31, 2024[70] Debt and Financing - The balance of the Greenhouse Loan was approximately $0 as of June 30, 2025, down from $16,720,000 as of December 31, 2024, which included approximately $13.3 million of principal and $2.1 million of interest[87] - The Trust's long-term debt as of June 30, 2025, was approximately $20,855,720, with principal payments remaining of $16,985,073 thereafter[89] - The Trust's Series A Preferred Stock issued as of June 30, 2025, amounted to approximately $8.5 million, with no stated maturity[67] Dividends - During the six months ended June 30, 2025, the Trust did not declare a quarterly dividend of approximately $326,000 to holders of its Series A Preferred Stock[22] - The Trust did not declare a quarterly dividend of approximately $163,000 for the three months ended June 30, 2025, and $326,000 for the same period in 2024[101] Strategic Focus - The Trust's plan to improve liquidity includes selling greenhouse properties and raising capital through debt or equity[72] - The Trust's strategic focus includes selling greenhouse properties, entering new leases, and improving cash collections from existing tenants[72] - The Trust's cannabis-related tenants have faced severe financial distress, leading to diminished collections from the CEA portfolio since 2022[80] Shareholder Information - The weighted average number of shares outstanding remained constant at 3,389,661 for both the three and six months ended June 30, 2025[12] - As of June 30, 2025, the aggregate number of shares of common stock that may be issued pursuant to outstanding awards is 2,348,710[94] - The Trust's basic and diluted income (loss) per common share for the three months ended June 30, 2025, was $0.05, compared to a loss of $5.70 for the same period in 2024[35] Miscellaneous - The Trust incurred recurring losses from operations and negative operating cash flows as of December 31, 2024, with current liabilities exceeding current assets[69] - The Trust's operations are managed as a single reportable segment, with performance evaluated based on net operating income and total assets[102] - The Trust's relationship with subsidiaries of Millennium Sustainable Ventures Corp. resulted in $0 rental income for the three and six months ended June 30, 2025, due to lease defaults[103]