Alexander’s(US:ALX)2025-11-03 13:41Financial Performance - Net income for the three months ended September 30, 2025, was $5,968,000, or $1.16 per diluted share, a decrease from $6,678,000, or $1.30 per diluted share in the prior year [85]. - Funds from operations (FFO) for the three months ended September 30, 2025, was $14,920,000, or $2.91 per diluted share, compared to $14,582,000, or $2.84 per diluted share in the prior year [85]. - FFO for the nine months ended September 30, 2025, was $50,524,000, or $9.84 per diluted share, down from $57,123,000, or $11.13 per diluted share in the prior year [119]. Revenue and Occupancy - Rental revenues for the nine months ended September 30, 2025, were $159,928,000, a decrease of $10,536,000 from $170,464,000 in the prior year [98]. - Bloomberg L.P. accounted for approximately 60% of rental revenues for the nine months ended September 30, 2025, with revenues of $96,655,000 [90]. - The commercial occupancy rate was 94.9% and the residential occupancy rate was 97.1% as of September 30, 2025 [88]. Cash Flow and Liquidity - Cash and cash equivalents and restricted cash decreased to $352,258,000 as of September 30, 2025, from $393,836,000 as of December 31, 2024 [107]. - The company anticipates that cash flow from continuing operations will be adequate to fund business operations and capital expenditures over the next twelve months [106]. - Net cash provided by operating activities for the nine months ended September 30, 2024, was $23,296,000, with net income of $31,167,000 and adjustments for non-cash items totaling $45,349,000 [112]. Debt and Financing - Interest and debt expense for the nine months ended September 30, 2025, was $37,673,000, a decrease of $14,041,000 from the prior year [103]. - The company is in discussions with lenders regarding a potential restructuring of a $300,000,000 non-recourse mortgage loan [87]. - Net cash used in financing activities was $175,824,000, which included $500,000,000 in debt repayments and $69,277,000 in dividends paid, partially offset by $400,000,000 in proceeds from borrowing [111]. Insurance and Risk Management - The company maintains general liability insurance with limits of $300,000,000 per occurrence and property insurance coverage of $1.7 billion per occurrence [113]. - The company continues to monitor the insurance market for coverage related to acts of terrorism, which could impact future financing capabilities [115]. Interest Rate Exposure - The company is exposed to fluctuations in interest rates, with a total variable rate balance of $499,355,000 at an average interest rate of 5.70% as of September 30, 2025 [122]. - The company has an interest rate cap on a mortgage loan with a notional amount of $199,355,000, capping SOFR at 4.15% through December 2025 [123]. Debt Valuation - The estimated fair value of consolidated debt as of September 30, 2025, was $983,675,000, compared to $967,941,000 as of December 31, 2024 [124].