J.W. Mays(MAYS) - 2022 Q2 - Quarterly Report

Financial Performance - For the three months ended January 31, 2022, the company reported a net loss of $(195,830), or $(0.10) per share, compared to a net loss of $(54,107), or $(0.02) per share, for the same period in 2021[90]. - For the six months ended January 31, 2022, the company reported a net loss of $(586,580), or $(0.29) per share, compared to a net loss of $(469,531), or $(0.23) per share, for the same period in 2021[95]. Revenue and Income - Revenues for the three months increased to $5,328,349 from $5,046,867, primarily due to rental income from five new tenants and increased rents from existing tenants[91]. - Revenues for the six months increased to $10,407,896 from $9,881,861, driven by rental income from five new tenants and increased rents from existing tenants[96]. Expenses - Real estate operating expenses rose to $3,670,065 from $3,585,546, mainly due to increased amortization expenses and utilities, partially offset by decreased real estate taxes[92]. - The company experienced bad debt expense of $219,350 from August 2021 to January 2022, reflecting ongoing impacts from COVID-19[100]. - Interest expense exceeded investment income by $(190,083) in the six months ended January 31, 2022, primarily due to a decrease in the fair value of marketable securities[99]. Lease and Tenant Information - A tenant at the Nine Bond Street building exercised their option to terminate their lease effective May 31, 2022, resulting in an annual loss in rental income of approximately $320,000[103]. - The company leased 23,000 square feet to an office tenant in November 2020, with renovation costs approximating $625,000 and brokerage commissions of $979,000[101]. Debt and Financial Risk - As of January 31, 2022, the company had fixed-rate debt of $7,057,508, which does not expose it to market risk related to changes in interest rates[114].