Stratus(US:STRS)2025-11-12 13:18Financial Performance - Net loss attributable to common stockholders was $(5.0) million, or $(0.62) per diluted share, in Q3 2025, compared to a net loss of $(0.4) million, or $(0.05) per diluted share, in Q3 2024[3]. - Revenues for Q3 2025 were $5.0 million, down from $8.9 million in Q3 2024, primarily due to no sales in Q3 2025 compared to one home sale in Q3 2024[3]. - Total revenues for the first nine months of 2025 were $21.6 million, a decrease from $43.9 million in the same period of 2024, attributed to fewer home sales[3]. - Total revenue for the nine months ended September 30, 2025, was $21,617,000, compared to $43,888,000 for the same period in 2024, reflecting a decrease of approximately 50.8%[35][38]. - For the three months ended September 30, 2025, Stratus reported a net loss of $8,007,000 compared to a net loss of $1,414,000 for the same period in 2024[42]. - For the nine months ended September 30, 2025, Stratus reported a net loss of $14,059,000 compared to a net loss of $495,000 for the same period in 2024[42]. - EBITDA for the first nine months of 2025 was $(8.0) million, compared to $3.9 million in the same period of 2024[3]. - EBITDA for the nine months ended September 30, 2025, was $(8,025,000), while for the same period in 2024, it was $3,877,000[42]. - EBITDA for the three months ended September 30, 2025, was $(5,507,000), while for the same period in 2024, it was $9,000[42]. Cash and Liquidity - Stratus had $55.0 million in cash and cash equivalents as of September 30, 2025, with no amounts drawn on its revolving credit facility[3]. - Cash and cash equivalents increased to $55,040,000 as of September 30, 2025, from $20,178,000 at the end of 2024[24]. - Cash flow used in operating activities for the nine months ended September 30, 2025, was $24,140,000, compared to $2,402,000 in 2024[26]. Assets and Liabilities - Total assets rose to $572,562,000 as of September 30, 2025, compared to $532,606,000 at the end of 2024[24]. - Total liabilities increased to $240,476,000 as of September 30, 2025, from $235,039,000 at the end of 2024[24]. - Consolidated debt totaled $203.9 million as of September 30, 2025, compared to $194.9 million at the end of 2024[8]. Capital Expenditures - Capital expenditures for the first nine months of 2025 were $28.6 million, down from $45.9 million in the same period of 2024[10]. - Capital expenditures for the nine months ended September 30, 2025, totaled $28,618,000, compared to $45,887,000 in the same period of 2024, showing a decrease of approximately 37.5%[35][38]. Real Estate Operations - Real estate operations generated revenues of $45,000 in Q3 2025, a significant drop from $3,971,000 in Q3 2024[22]. - Real Estate Operations segment reported revenue from unaffiliated customers of $45,000 for Q3 2025, compared to $3,971,000 in Q3 2024, indicating a significant increase[32][34]. - The segment loss for Real Estate Operations in Q3 2025 was $(4,544,000), while Leasing Operations reported a profit of $317,000, leading to a total segment loss of $(4,227,000)[32]. Leasing Operations - Leasing operations revenues remained stable at $4,924,000 in Q3 2025, compared to $4,920,000 in Q3 2024[22]. - Leasing Operations segment generated revenue from unaffiliated customers of $4,924,000 in Q3 2025, slightly down from $4,920,000 in Q3 2024[32][34]. Share Repurchase and Future Plans - The company acquired 180,899 shares of its common stock for $3.9 million at an average price of $21.59 per share, with $21.1 million remaining for repurchases under its $25.0 million program[11]. - The Board is exploring cash utilization opportunities, including share repurchases and reinvestment in project pipelines, based on market conditions[12]. - An agreement was made to sell Lantana Place – Retail for approximately $57.4 million, expected to close in Q4 2025[4]. - The company plans to close the sale of Lantana Place – Retail in Q4 2025, subject to closing conditions[30]. General and Administrative Expenses - General and administrative expenses for Q3 2025 amounted to $3,866,000, contributing to an operating loss of $(8,093,000)[32]. Other Financial Metrics - Depreciation and amortization for the three months ended September 30, 2025, was $2,072,000, compared to $1,365,000 in 2024[42]. - Interest expense, net for the three months ended September 30, 2025, was $749,000, while there was no interest expense reported for the same period in 2024[42]. - The benefit from provision for income taxes for the three months ended September 30, 2025, was $(321,000), compared to $58,000 in 2024[42]. Management Commentary - Management emphasizes that EBITDA should not be considered in isolation or as a substitute for GAAP measures[42]. - The company encourages investors to review its consolidated financial statements and publicly filed reports in their entirety[42]. - EBITDA may not be comparable to similarly titled measures reported by other companies due to different calculation methods[42].