Presidio Property Trust(SQFT) - 2025 Q3 - Quarterly Results

Real Estate Assets - As of September 30, 2025, the total book value of the company's real estate assets is approximately $113.3 million, down from $127.6 million as of December 31, 2024, reflecting a decrease of about 11.5%[12] - The commercial portfolio includes 10 properties with a book value of approximately $74.2 million, contributing to the overall real estate assets[11] - The model homes portfolio consists of 84 properties with a total square footage of 250,281 sqft, generating an annual rent of approximately $3.65 million[13] - The company recorded an impairment charge of approximately $3.3 million related to the Dakota Center property, which is expected to be sold for $5.125 million[12] - The company reported a gain on sales of real estate amounting to $5,078,302, contributing positively to overall financial results[26] - The company’s model home properties saw an increase in net assets from $37,416,000 in December 2024 to $39,040,072 by September 30, 2025[27] Financial Performance - Total revenue for the three months ended September 30, 2025, was $4,196,142, a decrease of 11.1% compared to $4,723,374 for the same period in 2024[17] - Net loss attributable to common stockholders for the nine months ended September 30, 2025, was $6,026,871, compared to a net loss of $24,800,532 for the same period in 2024[21] - EBITDAre for the three months ended September 30, 2025, was $638,723, an increase from $558,376 in the same period of 2024[20] - Total revenues for the nine months ended September 30, 2025, amounted to $12,700,066, with a breakdown of $450,426 from retail, $9,193,982 from office/industrial, and $2,976,521 from model homes[24] - Net Operating Income (NOI) reached $8,090,256, with adjusted NOI at $8,473,575, reflecting strong operational performance[24] - The company reported a net loss attributable to stockholders of $4,302,021 for the nine months ended September 30, 2025, primarily due to significant interest expenses and impairment charges[26] Debt and Equity - The company reported existing secured debt of $94.6 million, which represents approximately 83.5% of the total book value of real estate assets[9] - The mortgage notes payable total approximately $93.7 million, down from $102.1 million as of December 31, 2024, indicating a reduction of about 8.5%[15] - The total stockholders' equity as of September 30, 2025, is approximately $29.3 million, down from $34.9 million as of December 31, 2024, reflecting a decrease of about 16.1%[15] Cash Flow and Liquidity - Net cash used in operating activities for the nine months ended September 30, 2025, was $380,224, compared to $658,434 for the same period in 2024[19] - Net cash provided by investing activities for the nine months ended September 30, 2025, was $11,433,947, compared to $10,664,729 in 2024[19] - Cash, cash equivalents, and restricted cash at the end of the period on September 30, 2025, was $8,002,915, compared to $7,199,448 at the end of the same period in 2024[19] - Cash and cash equivalents increased to $1,575,384 from $564,922, indicating improved liquidity[27] Operational Costs - Rental operating costs totaled $4,609,810, indicating a cost management strategy amidst rising operational expenses[26] - General and administrative expenses were reported at $4,335,697, reflecting ongoing operational costs[26] Leasing and Tenant Activity - The company has leased approximately 69% of the space previously occupied by Halliburton in the Shea Center II property, which represents about 31% of the total space[12] - The company is actively pursuing third-party tenants for the remaining space in the Shea Center II property, although there is no guarantee of success in signing new tenants[12] Funds from Operations (FFO) - The company emphasizes the importance of Funds from Operations (FFO) as a key performance metric, which excludes certain non-core items to provide a clearer view of operational performance[30] - FFO for the three months ended September 30, 2025, was $(839,846), compared to $(566,910) in the same period of 2024[21] - Core FFO for the nine months ended September 30, 2025, was $(1,627,404), compared to $(995,236) in 2024[21] Asset Management - Total assets decreased from $142,569,650 in December 2024 to $127,808,885 by September 30, 2025, highlighting a contraction in asset base[27] - The company has recorded an increase in the weighted average number of common shares outstanding for the three months ended September 30, 2025, was 1,215,943, compared to 1,247,657 in 2024[21]