Stratus Properties Inc. Reports Third-Quarter and Nine-Month 2024 Results
Highlights and Recent Developments:
-
Net loss attributable to common stockholders totaled
, or$0.4 million per diluted share, in third-quarter 2024, compared to net loss attributable to common stockholders of$0.05 , or$2.8 million per diluted share, in third-quarter 2023. During the first nine months of 2024, net income attributable to common stockholders totaled$0.36 , or$2.5 million per diluted share, compared to net loss attributable to common stockholders of$0.30 , or$13.9 million per diluted share, during the first nine months of 2023.$1.74 -
Revenues for third-quarter 2024 were
compared to revenues of$8.9 million for third-quarter 2023, with the increase primarily due to the sale of one Amarra Villas home in third-quarter 2024 for$3.7 million , compared to none sold in third-quarter 2023, as well as an increase in rental revenue primarily related to The Saint June, which had minimal rental revenue in third-quarter 2023 as it commenced operations in mid-2023. Revenues totaled$4.0 million for the first nine months of 2024 compared to revenues of$43.9 million for the first nine months of 2023. The increase was primarily the result of the sales of approximately 47 acres of undeveloped land at Magnolia Place for$13.0 million and four Amarra Villas homes for an aggregate of$14.5 million in the first nine months of 2024, compared with the sale of one Amarra Villas home in the first nine months of 2023 for$15.2 million .$2.5 million -
In third-quarter 2024, Stratus closed on the sale of Magnolia Place – Retail for
. The sale generated pre-tax net cash proceeds of approximately$8.9 million and a pre-tax gain of$8.6 million . With the completion of the sale of Magnolia Place – Retail, as of November 8, 2024, property sales at our Magnolia Place development project totaled approximately$1.6 million . Following the sales, Stratus retained potential development of approximately 11 acres planned for 275 multi-family units and approximately$30.0 million of potential future reimbursements from the municipal utility district (MUD), with no project debt.$12 million -
Stratus had
of cash and cash equivalents at September 30, 2024 and no amounts drawn on its revolving credit facility. As of September 30, 2024, Stratus had$19.6 million available under the revolving credit facility.$39.6 million -
Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) totaled
in the first nine months of 2024, compared to$3.9 million in the first nine months of 2023. For a reconciliation of net loss to EBITDA, see the supplemental schedule, “Reconciliation of Non-GAAP Measure EBITDA,” below.$(9.9) million - As of November 8, 2024, occupancy at The Saint June, a 182-unit luxury garden-style multi-family project in Barton Creek, which was completed in fourth-quarter 2023, was approximately 97 percent.
- Stratus continues construction on The Saint George, the last four Amarra Villas homes and Holden Hills.
William H. Armstrong III, Chairman of the Board and Chief Executive Officer of Stratus, stated, “During the first nine months of 2024, we completed property sales totaling
Summary Financial Results
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
(In Thousands, Except Per Share Amounts) (Unaudited) |
||||||||||||||
Revenues |
|
|
|
|
|
|
|
||||||||
Real Estate Operations |
$ |
3,971 |
|
|
$ |
— |
|
|
$ |
29,723 |
|
|
$ |
2,551 |
|
Leasing Operations |
|
4,920 |
|
|
|
3,669 |
|
|
|
14,165 |
|
|
|
10,450 |
|
Total consolidated revenue |
$ |
8,891 |
|
|
$ |
3,669 |
|
|
$ |
43,888 |
|
|
$ |
13,001 |
|
|
|
|
|
|
|
|
|
||||||||
Operating (loss) income |
|
|
|
|
|
|
|
||||||||
Real Estate Operations |
$ |
(1,421 |
) |
|
$ |
(1,505 |
) |
|
$ |
4,541 |
|
|
$ |
(6,215 |
) |
Leasing Operationsa |
|
3,249 |
|
|
|
1,354 |
|
|
|
6,327 |
|
|
|
3,900 |
|
Corporate, eliminations and otherb |
|
(3,347 |
) |
|
|
(3,178 |
) |
|
|
(11,622 |
) |
|
|
(11,959 |
) |
Total consolidated operating loss |
$ |
(1,519 |
) |
|
$ |
(3,329 |
) |
|
$ |
(754 |
) |
|
$ |
(14,274 |
) |
|
|
|
|
|
|
|
|
||||||||
Net loss |
$ |
(1,414 |
) |
|
$ |
(3,217 |
) |
|
$ |
(495 |
) |
|
$ |
(14,799 |
) |
Net loss attributable to noncontrolling interests in subsidiariesc |
$ |
1,050 |
|
|
$ |
373 |
|
|
$ |
2,958 |
|
|
$ |
853 |
|
Net (loss) income attributable to common stockholders |
$ |
(364 |
) |
|
$ |
(2,844 |
) |
|
$ |
2,463 |
|
|
$ |
(13,946 |
) |
|
|
|
|
|
|
|
|
||||||||
Basic net (loss) income per share attributable to common stockholders |
$ |
(0.05 |
) |
|
$ |
(0.36 |
) |
|
$ |
0.31 |
|
|
$ |
(1.74 |
) |
|
|
|
|
|
|
|
|
||||||||
Diluted net (loss) income per share attributable to common stockholders |
$ |
(0.05 |
) |
|
$ |
(0.36 |
) |
|
$ |
0.30 |
|
|
$ |
(1.74 |
) |
|
|
|
|
|
|
|
|
||||||||
EBITDA |
$ |
9 |
|
|
$ |
(1,894 |
) |
|
$ |
3,877 |
|
|
$ |
(9,918 |
) |
|
|
|
|
|
|
|
|
||||||||
Capital expenditures and purchases and development of real estate properties |
$ |
13,428 |
|
|
$ |
26,314 |
|
|
$ |
45,887 |
|
|
$ |
70,875 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares of common stock outstanding: |
|
|
|
|
|
|
|
||||||||
Basic |
|
8,080 |
|
|
|
8,003 |
|
|
|
8,059 |
|
|
|
7,993 |
|
Diluted |
|
8,080 |
|
|
|
8,003 |
|
|
|
8,186 |
|
|
|
7,993 |
|
a. |
Includes a pre-tax gain on the sale of Magnolia Place – Retail in third-quarter 2024 of |
|
b. | Includes consolidated general and administrative expenses and eliminations of intersegment amounts. |
|
c. | Represents noncontrolling interest partners’ share in the results of the consolidated projects in which they participate. |
Results of Operations
Stratus’ revenues totaled
The
Debt and Liquidity
At September 30, 2024, consolidated debt totaled
In October 2024, The Saint June construction loan was modified to (i) extend the maturity date of the loan to October 2, 2025; (ii) increase the aggregate commitment under the loan by
As of September 30, 2024, Stratus had
Purchases and development of real estate properties (included in operating cash flows) and capital expenditures (included in investing cash flows) totaled
Stratus is currently discussing options to refinance the Kingwood Place construction loan, the Lantana Place construction loan and the Jones Crossing loan, with the expectation of tighter spreads and with potential additional proceeds. Stratus expects to refinance the Kingwood Place construction loan on or before the December 6, 2024 maturity date. In addition, if market rates continue to decline, interest on Stratus’ outstanding debt, all of which is variable rate, will continue to decline.
Share Repurchase Program
Following the completion of Stratus’
About Stratus
Stratus Properties Inc. is engaged primarily in the entitlement, development, management, leasing and sale of multi-family and single-family residential and commercial real estate properties in the
----------------------------------------------
CAUTIONARY STATEMENT
This press release contains forward-looking statements in which Stratus discusses factors it believes may affect its future performance. Forward-looking statements are all statements other than statements of historical fact, such as plans, projections or expectations related to inflation, interest rates, supply chain constraints, Stratus’ ability to pay or refinance its debt obligations as they become due, availability of bank credit, Stratus’ ability to meet its future debt service and other cash obligations, projected future operating loans or capital contributions to Stratus’ joint ventures, future cash flows and liquidity, the
Under Stratus’ Comerica Bank debt agreements, Stratus is not permitted to repurchase its common stock in excess of
Stratus cautions readers that forward-looking statements are not guarantees of future performance, and its actual results may differ materially from those anticipated, expected, projected or assumed in the forward-looking statements. Important factors that can cause Stratus’ actual results to differ materially from those anticipated in the forward-looking statements include, but are not limited to, Stratus’ ability to implement its business strategy successfully, including its ability to develop, construct and sell or lease properties on terms its Board considers acceptable, increases in operating and construction costs, including real estate taxes, maintenance and insurance costs, and the cost of building materials and labor, increases in inflation and interest rates, supply chain constraints, Stratus’ ability to pay or refinance its debt, extend maturity dates of its loans or comply with or obtain waivers of financial and other covenants in debt agreements and to meet other cash obligations, availability of bank credit, defaults by contractors and subcontractors, declines in the market value of Stratus’ assets, market conditions or corporate developments that could preclude, impair or delay any opportunities with respect to plans to sell, recapitalize or refinance properties, a decrease in the demand for real estate in select markets in
Investors are cautioned that many of the assumptions upon which Stratus’ forward-looking statements are based are likely to change after the date the forward-looking statements are made. Further, Stratus may make changes to its business plans that could affect its results. Stratus cautions investors that it undertakes no obligation to update any forward-looking statements, which speak only as of the date made, notwithstanding any changes in its assumptions, business plans, actual experience or other changes.
This press release also includes EBITDA, which is not recognized under
A copy of this release is available on Stratus’ website, stratusproperties.com.
STRATUS PROPERTIES INC. CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME (Unaudited) (In Thousands, Except Per Share Amounts) |
|||||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenues: |
|
|
|
|
|
|
|
||||||||
Real estate operations |
$ |
3,971 |
|
|
$ |
— |
|
|
$ |
29,723 |
|
|
$ |
2,551 |
|
Leasing operations |
|
4,920 |
|
|
|
3,669 |
|
|
|
14,165 |
|
|
|
10,450 |
|
Total revenues |
|
8,891 |
|
|
|
3,669 |
|
|
|
43,888 |
|
|
|
13,001 |
|
Cost of sales: |
|
|
|
|
|
|
|
||||||||
Real estate operations |
|
5,344 |
|
|
|
1,467 |
|
|
|
25,046 |
|
|
|
8,651 |
|
Leasing operations |
|
1,964 |
|
|
|
1,381 |
|
|
|
5,384 |
|
|
|
3,786 |
|
Depreciation and amortization |
|
1,365 |
|
|
|
967 |
|
|
|
4,168 |
|
|
|
2,865 |
|
Total cost of sales |
|
8,673 |
|
|
|
3,815 |
|
|
|
34,598 |
|
|
|
15,302 |
|
Gain on sale of assets |
|
(1,626 |
) |
|
|
— |
|
|
|
(1,626 |
) |
|
|
— |
|
General and administrative expenses |
|
3,363 |
|
|
|
3,183 |
|
|
|
11,670 |
|
|
|
11,973 |
|
Total |
|
10,410 |
|
|
|
6,998 |
|
|
|
44,642 |
|
|
|
27,275 |
|
Operating loss |
|
(1,519 |
) |
|
|
(3,329 |
) |
|
|
(754 |
) |
|
|
(14,274 |
) |
Loss on extinguishment of debt |
|
— |
|
|
|
— |
|
|
|
(59 |
) |
|
|
— |
|
Other income, net |
|
163 |
|
|
|
472 |
|
|
|
522 |
|
|
|
1,501 |
|
Loss before income taxes and equity in unconsolidated affiliate’s loss |
|
(1,356 |
) |
|
|
(2,857 |
) |
|
|
(291 |
) |
|
|
(12,773 |
) |
Provision for income taxes |
|
(58 |
) |
|
|
(356 |
) |
|
|
(204 |
) |
|
|
(2,016 |
) |
Equity in unconsolidated affiliate’s loss |
|
— |
|
|
|
(4 |
) |
|
|
— |
|
|
|
(10 |
) |
Net loss and total comprehensive loss |
|
(1,414 |
) |
|
|
(3,217 |
) |
|
|
(495 |
) |
|
|
(14,799 |
) |
Total comprehensive loss attributable to noncontrolling interestsa |
|
1,050 |
|
|
|
373 |
|
|
|
2,958 |
|
|
|
853 |
|
Net (loss) income and total comprehensive (loss) income attributable to common stockholders |
$ |
(364 |
) |
|
$ |
(2,844 |
) |
|
$ |
2,463 |
|
|
$ |
(13,946 |
) |
|
|
|
|
|
|
|
|
||||||||
Basic net (loss) income per share attributable to common stockholders |
$ |
(0.05 |
) |
|
$ |
(0.36 |
) |
|
$ |
0.31 |
|
|
$ |
(1.74 |
) |
|
|
|
|
|
|
|
|
||||||||
Diluted net (loss) income per share attributable to common stockholders |
$ |
(0.05 |
) |
|
$ |
(0.36 |
) |
|
$ |
0.30 |
|
|
$ |
(1.74 |
) |
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares of common stock outstanding: |
|
|
|
|
|
|
|
||||||||
Basic |
|
8,080 |
|
|
|
8,003 |
|
|
|
8,059 |
|
|
|
7,993 |
|
Diluted |
|
8,080 |
|
|
|
8,003 |
|
|
|
8,186 |
|
|
|
7,993 |
|
|
STRATUS PROPERTIES INC. CONSOLIDATED BALANCE SHEETS (Unaudited) (In Thousands) |
|||||||
|
September 30,
|
|
December 31,
|
||||
ASSETS |
|
|
|
||||
Cash and cash equivalents |
$ |
19,638 |
|
|
$ |
31,397 |
|
Restricted cash |
|
698 |
|
|
|
1,035 |
|
Real estate held for sale |
|
4,884 |
|
|
|
7,382 |
|
Real estate under development |
|
261,212 |
|
|
|
260,642 |
|
Land available for development |
|
74,912 |
|
|
|
47,451 |
|
Real estate held for investment, net |
|
137,177 |
|
|
|
144,112 |
|
Lease right-of-use assets |
|
10,368 |
|
|
|
11,174 |
|
Deferred tax assets |
|
173 |
|
|
|
173 |
|
Other assets |
|
14,118 |
|
|
|
14,400 |
|
Total assets |
$ |
523,180 |
|
|
$ |
517,766 |
|
|
|
|
|
||||
LIABILITIES AND EQUITY |
|
|
|
||||
Liabilities: |
|
|
|
||||
Accounts payable |
$ |
12,341 |
|
|
$ |
15,629 |
|
Accrued liabilities, including taxes |
|
6,283 |
|
|
|
6,660 |
|
Debt |
|
181,540 |
|
|
|
175,168 |
|
Lease liabilities |
|
15,564 |
|
|
|
15,866 |
|
Deferred gain |
|
2,131 |
|
|
|
2,721 |
|
Other liabilities |
|
5,186 |
|
|
|
7,117 |
|
Total liabilities |
|
223,045 |
|
|
|
223,161 |
|
|
|
|
|
||||
Commitments and contingencies |
|
|
|
||||
|
|
|
|
||||
Equity: |
|
|
|
||||
Stockholders’ equity: |
|
|
|
||||
Common stock |
|
97 |
|
|
|
96 |
|
Capital in excess of par value of common stock |
|
200,557 |
|
|
|
197,735 |
|
Retained earnings |
|
29,108 |
|
|
|
26,645 |
|
Common stock held in treasury |
|
(33,395 |
) |
|
|
(32,997 |
) |
Total stockholders’ equity |
|
196,367 |
|
|
|
191,479 |
|
Noncontrolling interests in subsidiaries |
|
103,768 |
|
|
|
103,126 |
|
Total equity |
|
300,135 |
|
|
|
294,605 |
|
Total liabilities and equity |
$ |
523,180 |
|
|
$ |
517,766 |
|
STRATUS PROPERTIES INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In Thousands) |
|||||||
|
Nine Months Ended |
||||||
|
September 30, |
||||||
|
|
2024 |
|
|
|
2023 |
|
Cash flow from operating activities: |
|
|
|
||||
Net loss |
$ |
(495 |
) |
|
$ |
(14,799 |
) |
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
|
||||
Depreciation and amortization |
|
4,168 |
|
|
|
2,865 |
|
Cost of real estate sold |
|
19,115 |
|
|
|
2,080 |
|
Loss on extinguishment of debt |
|
59 |
|
|
|
— |
|
Stock-based compensation |
|
1,314 |
|
|
|
1,479 |
|
Debt issuance cost amortization |
|
1,028 |
|
|
|
631 |
|
Gain on sale of assets |
|
(1,626 |
) |
|
|
— |
|
Equity in unconsolidated affiliate’s loss |
|
— |
|
|
|
10 |
|
Purchases and development of real estate properties |
|
(22,925 |
) |
|
|
(34,697 |
) |
Write-off of capitalized project costs |
|
721 |
|
|
|
— |
|
Decrease in other assets |
|
233 |
|
|
|
2,223 |
|
(Decrease) increase in accounts payable, accrued liabilities and other |
|
(3,994 |
) |
|
|
908 |
|
Net cash used in operating activities |
|
(2,402 |
) |
|
|
(39,300 |
) |
|
|
|
|
||||
Cash flow from investing activities: |
|
|
|
||||
Capital expenditures |
|
(22,962 |
) |
|
|
(36,178 |
) |
Proceeds from sale of assets, net of fees |
|
8,586 |
|
|
|
— |
|
Payments on master lease obligations |
|
(649 |
) |
|
|
(730 |
) |
Other, net |
|
— |
|
|
|
5 |
|
Net cash used in investing activities |
|
(15,025 |
) |
|
|
(36,903 |
) |
|
|
|
|
||||
Cash flow from financing activities: |
|
|
|
||||
Borrowings from project loans |
|
27,672 |
|
|
|
41,656 |
|
Payments on project and term loans |
|
(25,058 |
) |
|
|
(8,472 |
) |
Payment of dividends |
|
(356 |
) |
|
|
(678 |
) |
Finance lease principal payments |
|
(12 |
) |
|
|
(11 |
) |
Stock-based awards net payments |
|
(376 |
) |
|
|
(789 |
) |
Noncontrolling interest contribution |
|
3,600 |
|
|
|
40,000 |
|
Purchases of treasury stock |
|
— |
|
|
|
(2,064 |
) |
Financing costs |
|
(139 |
) |
|
|
(2,758 |
) |
Net cash provided by financing activities |
|
5,331 |
|
|
|
66,884 |
|
Net decrease in cash, cash equivalents and restricted cash |
|
(12,096 |
) |
|
|
(9,319 |
) |
Cash, cash equivalents and restricted cash at beginning of year |
|
32,432 |
|
|
|
45,709 |
|
Cash, cash equivalents and restricted cash at end of period |
$ |
20,336 |
|
|
$ |
36,390 |
|
STRATUS PROPERTIES INC.
BUSINESS SEGMENTS
Stratus has two operating segments: Real Estate Operations and Leasing Operations.
The Real Estate Operations segment is comprised of Stratus’ real estate assets (developed for sale, under development and available for development), which consists of its properties in
The Leasing Operations segment is comprised of Stratus’ real estate assets held for investment that are leased or available for lease and includes The Saint June, West Killeen Market, Kingwood Place, the retail portion of Lantana Place, the completed retail portion of Jones Crossing, retail pad sites subject to ground leases at Lantana Place, Kingwood Place and Jones Crossing, and, prior to its sale in third-quarter 2024, the retail portion of Magnolia Place.
Stratus uses operating income or loss to measure the performance of each segment. General and administrative expenses, which primarily consist of employee salaries, wages and other costs, are managed on a consolidated basis and are not allocated to Stratus’ operating segments. The following segment information reflects management determinations that may not be indicative of what the actual financial performance of each segment would be if it were an independent entity.
Summarized financial information by segment for the three months ended September 30, 2024, based on Stratus’ internal financial reporting system utilized by its chief operating decision maker, follows (in thousands):
|
Real Estate
|
|
Leasing
|
|
Corporate,
|
|
Total |
||||||||
Revenues: |
|
|
|
|
|
|
|
||||||||
Unaffiliated customers |
$ |
3,971 |
|
|
$ |
4,920 |
|
|
$ |
— |
|
|
$ |
8,891 |
|
Cost of sales, excluding depreciation and amortization |
|
(5,344 |
) |
|
|
(1,964 |
) |
|
|
— |
|
|
|
(7,308 |
) |
Depreciation and amortization |
|
(48 |
) |
|
|
(1,333 |
) |
|
|
16 |
|
|
|
(1,365 |
) |
Gain on sale of assetsc |
|
— |
|
|
|
1,626 |
|
|
|
— |
|
|
|
1,626 |
|
General and administrative expenses |
|
— |
|
|
|
— |
|
|
|
(3,363 |
) |
|
|
(3,363 |
) |
Operating (loss) income |
$ |
(1,421 |
) |
|
$ |
3,249 |
|
|
$ |
(3,347 |
) |
|
$ |
(1,519 |
) |
Capital expenditures and purchases and development of real estate properties |
$ |
6,608 |
|
|
$ |
6,820 |
|
|
$ |
— |
|
|
$ |
13,428 |
|
Total assets at September 30, 2024d |
|
349,701 |
|
|
|
154,257 |
|
|
|
19,222 |
|
|
|
523,180 |
|
a. | Includes sales commissions and other revenues together with related expenses. |
|
b. | Includes consolidated general and administrative expenses and eliminations of intersegment amounts. |
|
c. |
Represents a pre-tax gain on the sale of Magnolia Place – Retail in third-quarter 2024 of |
|
d. |
Corporate, eliminations and other includes cash and cash equivalents and restricted cash of |
Summarized financial information by segment for the three months ended September 30, 2023, based on Stratus’ internal financial reporting system utilized by its chief operating decision maker, follows (in thousands):
|
Real Estate
|
|
Leasing
|
|
Corporate,
|
|
Total |
||||||||
Revenues: |
|
|
|
|
|
|
|
||||||||
Unaffiliated customers |
$ |
— |
|
|
$ |
3,669 |
|
|
$ |
— |
|
|
$ |
3,669 |
|
Cost of sales, excluding depreciation and amortization |
|
(1,467 |
) |
|
|
(1,381 |
) |
|
|
— |
|
|
|
(2,848 |
) |
Depreciation and amortization |
|
(38 |
) |
|
|
(934 |
) |
|
|
5 |
|
|
|
(967 |
) |
General and administrative expenses |
|
— |
|
|
|
— |
|
|
|
(3,183 |
) |
|
|
(3,183 |
) |
Operating (loss) income |
$ |
(1,505 |
) |
|
$ |
1,354 |
|
|
$ |
(3,178 |
) |
|
$ |
(3,329 |
) |
Capital expenditures and purchases and development of real estate properties |
$ |
13,613 |
|
|
$ |
12,701 |
|
|
$ |
— |
|
|
$ |
26,314 |
|
Total assets at September 30, 2023c |
|
302,927 |
|
|
|
164,565 |
|
|
|
34,529 |
|
|
|
502,021 |
|
a. | Includes sales commissions and other revenues together with related expenses. |
|
b. | Includes consolidated general and administrative expenses and eliminations of intersegment amounts. |
|
c. |
Corporate, eliminations and other includes cash and cash equivalents and restricted cash of |
Summarized financial information by segment for the first nine months ended September 30, 2024, based on Stratus’ internal financial reporting system utilized by its chief operating decision maker, follows (in thousands):
|
Real Estate
|
|
Leasing
|
|
Corporate,
|
|
Total |
||||||||
Revenues: |
|
|
|
|
|
|
|
||||||||
Unaffiliated customers |
$ |
29,723 |
|
|
$ |
14,165 |
|
|
$ |
— |
|
|
$ |
43,888 |
|
Cost of sales, excluding depreciation and amortization |
|
(25,046 |
) |
|
|
(5,384 |
) |
|
|
— |
|
|
|
(30,430 |
) |
Depreciation and amortization |
|
(136 |
) |
|
|
(4,080 |
) |
|
|
48 |
|
|
|
(4,168 |
) |
Gain on sale of assetsc |
|
— |
|
|
|
1,626 |
|
|
|
— |
|
|
|
1,626 |
|
General and administrative expenses |
|
— |
|
|
|
— |
|
|
|
(11,670 |
) |
|
|
(11,670 |
) |
Operating income (loss) |
$ |
4,541 |
|
|
$ |
6,327 |
|
|
$ |
(11,622 |
) |
|
$ |
(754 |
) |
Capital expenditures and purchases and development of real estate properties |
$ |
22,925 |
|
|
$ |
22,962 |
|
|
$ |
— |
|
|
$ |
45,887 |
|
a. | Includes sales commissions and other revenues together with related expenses. |
|
b. | Includes consolidated general and administrative expenses and eliminations of intersegment amounts. |
|
c. |
Represents a pre-tax gain on the sale of Magnolia Place – Retail in third-quarter 2024 of |
Summarized financial information by segment for the first nine months ended September 30, 2023, based on Stratus’ internal financial reporting system utilized by its chief operating decision maker, follows (in thousands):
|
Real Estate
|
|
Leasing
|
|
Corporate,
|
|
Total |
||||||||
Revenues: |
|
|
|
|
|
|
|
||||||||
Unaffiliated customers |
$ |
2,551 |
|
|
$ |
10,450 |
|
|
$ |
— |
|
|
$ |
13,001 |
|
Cost of sales, excluding depreciation and amortization |
|
(8,651 |
) |
|
|
(3,786 |
) |
|
|
— |
|
|
|
(12,437 |
) |
Depreciation and amortization |
|
(115 |
) |
|
|
(2,764 |
) |
|
|
14 |
|
|
|
(2,865 |
) |
General and administrative expenses |
|
— |
|
|
|
— |
|
|
|
(11,973 |
) |
|
|
(11,973 |
) |
Operating (loss) income |
$ |
(6,215 |
) |
|
$ |
3,900 |
|
|
$ |
(11,959 |
) |
|
$ |
(14,274 |
) |
Capital expenditures and purchases and development of real estate properties |
$ |
34,697 |
|
|
$ |
36,178 |
|
|
$ |
— |
|
|
$ |
70,875 |
|
a. | Includes sales commissions and other revenues together with related expenses. |
|
b. | Includes consolidated general and administrative expenses and eliminations of intersegment amounts. |
RECONCILIATION OF NON-GAAP MEASURE
EBITDA
EBITDA (earnings before interest, taxes, depreciation and amortization) is a non-GAAP (generally accepted accounting principles in the
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Net loss |
$ |
(1,414 |
) |
|
$ |
(3,217 |
) |
|
$ |
(495 |
) |
|
$ |
(14,799 |
) |
Depreciation and amortization |
|
1,365 |
|
|
|
967 |
|
|
|
4,168 |
|
|
|
2,865 |
|
Interest expense, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Provision for income taxes |
|
58 |
|
|
|
356 |
|
|
|
204 |
|
|
|
2,016 |
|
EBITDA |
$ |
9 |
|
|
$ |
(1,894 |
) |
|
$ |
3,877 |
|
|
$ |
(9,918 |
) |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241113373701/en/
Financial and Media Contact:
William H. Armstrong III
(512) 478-5788
Source: Stratus Properties Inc.