Power REIT(US:PW)2025-10-24 17:45Financial Performance - Total revenue for the three months ended September 30, 2025, was $513,110, a decrease of 64% compared to $1,426,112 for the same period in 2024[12] - Rental income decreased to $245,729 for Q3 2025, down 30% from $353,504 in Q3 2024[12] - Net income attributable to common shareholders for the three months ended September 30, 2025, was $60,344, compared to a loss of $488,222 in Q3 2024[12] - The company reported a net loss of $(868,648) for the nine months ended September 30, 2025, compared to a loss of $(21,547,182) for the same period in 2024[12] - For the nine months ended September 30, 2025, the net loss was $868,648 compared to a net loss of $21,547,182 for the same period in 2024, indicating a significant improvement[18] - Total revenue from leases for Q3 2025 was approximately $474,000, down from $1,367,000 in Q3 2024, with significant recognition of $925,000 from non-refundable security deposits related to defaulted leases[78] - During the nine months ended September 30, 2025, total revenue from leases was approximately $1,379,000, down from $2,315,000 in the same period of 2024[78] Assets and Liabilities - Total assets as of September 30, 2025, were $27,955,657, a significant decrease from $46,102,638 as of December 31, 2024[10] - Total liabilities decreased to $21,737,265 as of September 30, 2025, from $39,349,760 at the end of 2024[10] - The accumulated deficit increased to $(50,557,311) as of September 30, 2025, compared to $(49,688,663) at the end of 2024[10] - Cash and cash equivalents decreased to $1,993,495 as of September 30, 2025, from $2,194,502 at the end of 2024[10] - Total equity as of September 30, 2025, was $6,218,392, down from $6,752,878 at the end of 2024[10] - The total amount of in-place lease intangible assets established was approximately $4,714,000, amortized over a 20.7-year period[50] - As of September 30, 2025, the total assets held for sale amounted to $6,406,602, down from $24,335,236 as of December 31, 2024[92] - The Trust's total liabilities held for sale as of September 30, 2025, were $1,260,393, compared to $1,599,477 as of December 31, 2024[92] Cash Flow and Expenses - Interest expense for the nine months ended September 30, 2025, was $1,815,337, down from $3,031,826 for the same period in 2024[12] - Cash provided by investing activities for the nine months ended September 30, 2025, was $600,113, compared to $915,642 in 2024[18] - The Trust's net cash used in operating activities was $(200,693) for the nine months ended September 30, 2025, compared to $(1,105,439) in 2024, showing a reduction in cash outflow[18] - The Trust's stock-based compensation expense for the nine months ended September 30, 2025, was $334,162, down from $550,363 in 2024[18] - General and Administrative Expenses for Q3 2025 were approximately $266,000, down from $338,000 in Q3 2024, including non-cash share-based compensation of $48,000 and $143,000 respectively[63] Strategic Initiatives - The Trust is exploring strategic alternatives to increase shareholder value, which may include raising capital through debt or equity[70] - The Trust's management is implementing a plan to improve liquidity and fund ongoing operations, despite recurring losses and negative cash flows[67] - The Trust's focus includes maximizing the value of greenhouse properties through new leases and potential sales based on market conditions[70] Debt and Financing - Power REIT entered into a loan agreement for $15,500,000 with a fixed interest rate of 4.62% per annum, maturing in 2054, with a remaining balance of approximately $14,031,000 as of September 30, 2025[86] - The balance of Power REIT's long-term debt as of September 30, 2025, was approximately $20,506,101, with principal payments remaining for 2025 totaling $84,948[88] - The 2015 PWRS Loan balance as of September 30, 2025, was approximately $6,019,000, down from $6,944,000 as of December 31, 2024[85] Impairments and Gains - The Trust recognized a non-cash gain of approximately $1,093,000 from settling obligations related to the Greenhouse Loan through a deed-in-lieu of foreclosure[27] - The Greenhouse Loan was resolved by providing deeds-in-lieu of foreclosure for properties in Michigan and Nebraska, resulting in a non-cash gain of approximately $1,093,000 from the write-off of properties valued at approximately $17,083,000 and associated loan obligations totaling approximately $17,997,000[87] - The Trust recorded a non-cash impairment charge of approximately $45,000 for the nine months ended September 30, 2025, compared to $18.1 million for the same period in 2024[89] Shareholder Returns - During the nine months ended September 30, 2025, the Trust did not declare a quarterly dividend of approximately $490,000 to holders of its Series A Preferred Stock[23] - The Trust did not declare a quarterly dividend of approximately $163,000 and $490,000 for the three and nine months ended September 30, 2025, respectively[102] - As of September 30, 2025, the aggregate number of shares of common stock that may be issued pursuant to outstanding awards is 2,348,710[95]