FRP (US:FRPH)2025-11-07 21:33Revenue and Profitability - For the nine months ended September 30, 2025, total revenues were $31,931,000, a 2.2% increase from $31,243,000 in the same period of 2024[38] - The Mining Royalty Lands Segment reported revenues of $10,532,000 for the nine months ended September 30, 2025, up 12.1% from $9,393,000 in 2024[38] - Operating profit before general and administrative expenses for the nine months ended September 30, 2025, was $13,135,000, a decrease of 16.1% from $15,668,000 in 2024[38] - The Industrial and Commercial Segment's operating profit decreased to $1,427,000 for the nine months ended September 30, 2025, down 42.5% from $2,484,000 in 2024[38] - Basic earnings per share for the nine months ended September 30, 2025, were $0.16, down from $0.25 in 2024[46] - The company reported a net loss before tax of $5.1 million for the nine months ended September 30, 2025, compared to a net loss of $6.7 million for the same period in 2024[69] Assets and Liabilities - Total identifiable net assets as of September 30, 2025, were $731,260,000, slightly up from $728,485,000 as of December 31, 2024[39] - The Company’s outstanding debt as of September 30, 2025, was $185,338,000, an increase from $178,853,000 as of December 31, 2024[40] - The carrying amount of the company's long-term debt was $180,070,000, with a fair value of $148,080,000 as of September 30, 2025[61] - As of September 30, 2025, there was $449,000 outstanding under letters of credit related to real estate development obligations[57] - Total liabilities and capital for the joint ventures as of December 31, 2024, were also $464.6 million, indicating a balanced financial structure[66] Stock and Compensation - The Company had 73,905 stock options outstanding that were not included in the diluted earnings per share calculation due to their anti-dilutive effect[46] - As of September 30, 2025, the company recorded stock compensation expenses totaling $1,688,000 for the nine months ended, compared to $1,613,000 for the same period in 2024, reflecting a year-over-year increase of 4.6%[50] - The number of common shares available for future issuance under stock-based compensation plans was 472,512 as of September 30, 2025[6] - The aggregate intrinsic value of exercisable in-the-money options was $375,000 as of September 30, 2025, based on a market closing price of $24.36[52] - The unrecognized compensation cost of options granted but not yet vested as of September 30, 2025, was $506,000, expected to be recognized over a weighted-average period of 3.4 years[52] - The total unrecognized compensation cost of restricted stock granted but not yet vested as of September 30, 2025, was $2,504,000, expected to be recognized over a weighted-average period of 2.8 years[53] Investments and Acquisitions - The company has investments in joint ventures totaling $143,298,000, with total assets of $527,888,000 as of September 30, 2025[64] - The company completed the acquisition of Altman Logistics Properties, LLC for $33.5 million, with a net cash requirement of $23.5 million after accounting for reimbursements[72] - The company expects to record additional liabilities related to employee compensation tied to promote participation upon stabilization and sale of the projects acquired from Altman Logistics[72] Revenue Concentration and Risks - One lessee accounted for 25.8% of the company's consolidated revenues during the nine months ended September 30, 2025, highlighting a significant concentration risk[59] Interest and Credit Facilities - The company entered into a new credit agreement establishing a five-year revolving credit facility with a maximum amount of $50 million as of September 30, 2025[40] - The company has a variable-rate borrowing exposure under its Credit Agreement with Wells Fargo, with applicable margins of Daily simple SOFR plus 2.25%[75] - The company did not have a material amount of variable rate debt as of September 30, 2025, thus no sensitivity analysis was performed for interest rate changes[155] Lease Revenue - Lease revenue for the Bryant Street Partnerships increased to $12.4 million for the nine months ended September 30, 2025, up from $11.8 million in 2024, representing a growth of 4.6%[69] - The Greenville Partnerships reported lease revenue of $7.9 million for the nine months ended September 30, 2025, an increase from $7.3 million in 2024, reflecting a growth of 8.5%[70] - Interest expense for the company share in the Bryant Street Partnerships was $5.2 million for the nine months ended September 30, 2025, down from $5.9 million in 2024[69]