Financial Performance - Total revenues for the three months ended October 31, 2023, were $5,323,801, a decrease of 7.7% compared to $5,769,734 for the same period in 2022[15] - Net loss for the three months ended October 31, 2023, was $192,544, compared to a net income of $59,517 for the same period in 2022, reflecting a significant decline in profitability[15] - Rental income for the three months ended October 31, 2023, was $5,323,801, a decline of 7.7% from $5,769,734 in the same period of 2022[15] - Revenues decreased to $5,323,801 from $5,769,734 in the comparable 2022 period, primarily due to the loss of a tenant who terminated their lease effective March 31, 2023[72] - For the three months ended October 31, 2023, the Company reported a net loss of $(192,544), or $(0.10) per share, compared to a net income of $59,517, or $0.03 per share in the same period of 2022[71] Cash Flow and Operating Activities - Cash provided by operating activities for the three months ended October 31, 2023, was $1,757,396, down from $2,543,488 in the same period of 2022, indicating a decrease of 30.8%[19] - Cash, cash equivalents, and restricted cash at the end of the period totaled $3,340,830, compared to $3,657,568 at the end of the same period in 2022, reflecting a decrease of 8.7%[19] - Cash and cash equivalents as of October 31, 2023, totaled $2,339,016, a decrease from $2,608,256 in the same period of 2022[58] - Interest paid for the three months ended October 31, 2023, was $42,519, down from $62,782 in the same period of 2022[59] Assets and Liabilities - Total assets as of October 31, 2023, were $90,980,337, a decrease from $91,915,382 as of July 31, 2023[13] - Total liabilities decreased to $37,868,176 as of October 31, 2023, from $38,610,677 as of July 31, 2023, reflecting a reduction of 1.9%[13] - Shareholders' equity as of October 31, 2023, was $53,112,161, down from $53,304,705 as of July 31, 2023, indicating a decrease of 0.4%[13] Operating Expenses - Real estate operating expenses for the three months ended October 31, 2023, were $3,692,616, a decrease of 2.4% compared to $3,785,421 in the same period of 2022[15] - Real estate operating expenses decreased to $3,692,616 from $3,785,421 in the comparable 2022 period, mainly due to reduced rent expense and payroll costs[73] - Operating lease costs for leased real property were $748,711 for the three months ended October 31, 2023, compared to $840,400 in 2022, resulting in an excess of sublease income over lease cost of $1,076,168[53] Investments and Securities - The company's marketable securities were valued at $2,136,874 as of October 31, 2023, down from $2,300,441 as of July 31, 2023, with unrealized gains of $636,727 and losses of $0[44] - The Company had fixed-rate debt of $4,877,262 as of October 31, 2023, which does not expose it to market risk related to interest rate changes[85] Future Projections - Future minimum non-cancelable rental income is projected to total $89,248,018, with $13,044,083 expected for the remainder of 2024[49] Other Financial Information - The Company contributed $120,251 to its noncontributory Money Purchase Plan for the three months ended October 31, 2023, compared to $113,500 in 2022[54] - The Company incurred expenditures of $56,650 for facade restoration and $139,301 for tenant improvements during the three months ended October 31, 2023[79] - The company has determined there was no impairment of its property and equipment as of October 31, 2023, and July 31, 2023[26] - The company had a federal net operating loss carryforward of approximately $9,172,000 as of July 31, 2023, available to offset future taxable income[34] Tenant and Lease Information - Three tenants accounted for approximately 50% of receivables as of October 31, 2023, and two tenants accounted for 27% of total rental revenue for the three months ended October 31, 2023[46] - A tenant occupying 22,045 square feet at the Company's Jamaica, New York premises renewed its lease for another five-year term through June 30, 2028[75] - The Company leased approximately 25,000 square feet at its Fishkill, New York building for storage space, with total rent of $162,363 prepaid[76] - Rent deferrals included in receivables were $20,000 and $50,000 as of October 31, 2023, and July 31, 2023, respectively[29] Corporate Governance - A certain officer's departure was reported on October 5, 2023, which may impact future leadership dynamics[94] - The Company has not identified any changes in risk factors from those disclosed in its Annual Report on Form 10-K for the fiscal year ended July 31, 2023[89] Reporting and Compliance - The company’s interim financial statements reflect all normal recurring adjustments necessary for a fair statement of results, but results for the current period may not be indicative of the entire fiscal year ending July 31, 2024[22] - The report was filed on October 19, 2023, indicating timely disclosure of financial performance[93] - The Company reported its financial results for the three and twelve months ended July 31, 2023[92]
J.W. Mays(MAYS) - 2024 Q1 - Quarterly Report