American Realty Investors(ARL) - 2020 Q4 - Annual Report

Financial Performance - The company reported a net income of $11.3 million for the year ended December 31, 2020, a significant increase of $33.0 million compared to a net loss of $21.7 million in 2019[115]. - The company reported a net income attributable to the Company of $9,030 for 2020, compared to a net loss of $(15,958) in 2019[129]. - Funds From Operations (FFO) for 2020 was $15,352, a significant recovery from $(2,261) in 2019[129]. - FFO-adjusted for 2020 was $28,730, compared to $18,066 in 2019, indicating improved operational performance[129]. Revenue Growth - Revenue from the multifamily segment increased to $14.7 million in 2020, up from $13.5 million in 2019, reflecting a variance of $1.2 million[115]. - The commercial segment revenue rose to $37.2 million in 2020, compared to $32.7 million in 2019, resulting in a variance of $4.5 million[115]. Asset Sales and Gains - The company achieved a gain on sale of assets of $36.9 million in 2020, an increase of $21.7 million from $15.2 million in 2019[115]. - The company sold a total of 58.8 acres of land for $12.9 million in 2020, resulting in gains of $11.1 million[97]. - The company reported a gain on the sale of land of $25,171 in 2020, compared to $15,272 in 2019[129]. Operating Profits - Operating profits in the multifamily segment increased by $1.5 million, primarily due to a $2.1 million increase at Lease-Up Properties[115]. - The company reported a $5.0 million increase in operating profits in the commercial segment, primarily due to a $6.0 million lease termination payment[115]. Cash Flow and Liquidity - Net cash provided by operating activities for the year ended December 31, 2020, was $3,498, compared to a net cash used of $(40,641) in 2019, representing an increase of $44,139[122]. - Net cash provided by investing activities increased to $4,196 in 2020 from $(3,705) in 2019, a change of $7,901[122]. - The increase in cash from operating activities was primarily due to a $45.9 million decrease in receivables from related parties in 2019[123]. - The company anticipates that cash and cash equivalents as of December 31, 2020, along with cash generated in 2021, will be sufficient to meet all cash requirements[120]. - The company plans to selectively sell land and income-producing assets to meet liquidity requirements[120]. Development Projects - The company has ongoing development projects with total projected costs of $59.5 million as of December 31, 2020[102]. - The company completed construction projects costing $17.2 million and $14.2 million for Parc at Denham Springs Phase II and Sugar Mill Phase III, respectively[101]. Debt and Financing - The company experienced a $73.1 million decrease in proceeds from mortgages, notes, and bonds payable in 2020[123]. - The company issued $19.7 million in additional Series A bonds on November 30, 2020, for net proceeds of $18.8 million[100].