Transcontinental Realty Investors, Inc. Reports Earnings for Quarter Ended June 30, 2024
Transcontinental Realty Investors (NYSE:TCI) reported its Q2 2024 results, showing a net income of $1.5 million or $0.17 per diluted share, up from $0.5 million or $0.06 per share in Q2 2023. Total occupancy was 78%, with 93% in multifamily and 49% in commercial properties. Rental revenues decreased slightly to $11.2 million from $11.4 million in Q2 2023. The company saw a $2.4 million decrease in net operating loss to $1.1 million, primarily due to reduced general and administrative expenses. TCI also refinanced its Forest Grove property with a $6.6 million loan at SOFR plus 1.85%, maturing in 2031.
Transcontinental Realty Investors (NYSE:TCI) ha riportato i risultati del secondo trimestre 2024, mostrando un utile netto di 1,5 milioni di dollari o $0,17 per azione diluita, in aumento rispetto ai 0,5 milioni di dollari o $0,06 per azione nel secondo trimestre 2023. Il tasso di occupazione totale è stato del 78%, con il 93% per le proprietà multifamiliari e il 49% per quelle commerciali. I ricavi da affitto sono leggermente diminuiti a 11,2 milioni di dollari rispetto agli 11,4 milioni del secondo trimestre 2023. L'azienda ha registrato una riduzione della perdita operativa netta di 2,4 milioni di dollari, scendendo a 1,1 milioni di dollari, principalmente a causa della diminuzione delle spese generali e amministrative. TCI ha anche rifinanziato la sua proprietà di Forest Grove con un prestito di 6,6 milioni di dollari a SOFR più 1,85%, con scadenza nel 2031.
Transcontinental Realty Investors (NYSE:TCI) reportó sus resultados del segundo trimestre de 2024, mostrando un ingreso neto de 1.5 millones de dólares o $0.17 por acción diluida, un aumento desde 0.5 millones de dólares o $0.06 por acción en el segundo trimestre de 2023. La ocupación total fue del 78%, con un 93% en propiedades multifamiliares y un 49% en propiedades comerciales. Los ingresos por alquiler disminuyeron ligeramente a 11.2 millones de dólares desde 11.4 millones en el segundo trimestre de 2023. La compañía vio una disminución de 2.4 millones de dólares en la pérdida operativa neta a 1.1 millones, principalmente debido a la reducción de los gastos generales y administrativos. TCI también refinanció su propiedad en Forest Grove con un préstamo de 6.6 millones de dólares a SOFR más 1.85%, que vencerá en 2031.
Transcontinental Realty Investors (NYSE:TCI)는 2024년 2분기 실적을 발표하며 순이익이 150만 달러 또는 희석 주당 0.17달러로 2023년 2분기의 50만 달러 또는 주당 0.06달러에서 증가했다고 보고하였습니다. 총 점유율은 78%로, 다가구 주택에서 93%, 상업용 부동산에서 49%를 기록했습니다. 임대 수익은 소폭 감소하여 2023년 2분기의 1140만 달러에서 1120만 달러로 줄었습니다. 회사는 순운영 손실이 240만 달러 감소하여 110만 달러에 이르렀습니다, 주로 일반 관리비용 감소 덕분입니다. TCI는 또한 2031년에 만기되는 SOFR 플러스 1.85%로 660만 달러의 대출로 Forest Grove 부동산을 재융자했습니다.
Transcontinental Realty Investors (NYSE:TCI) a annoncé ses résultats du deuxième trimestre 2024, montrant un revenu net de 1,5 million de dollars ou 0,17 dollar par action diluée, en hausse par rapport à 0,5 million de dollars ou 0,06 dollar par action au deuxième trimestre 2023. Le taux d'occupation total était de 78%, avec 93% dans le résidentiel multifamilial et 49% dans les propriétés commerciales. Les revenus locatifs ont légèrement diminué pour atteindre 11,2 millions de dollars, contre 11,4 millions de dollars au deuxième trimestre 2023. La société a constaté une diminution de 2,4 millions de dollars de sa perte opérationnelle nette, s'élevant à 1,1 million de dollars, principalement en raison de la réduction des frais généraux et administratifs. TCI a également refinancé sa propriété de Forest Grove avec un prêt de 6,6 millions de dollars à SOFR plus 1,85%, arrivant à échéance en 2031.
Transcontinental Realty Investors (NYSE:TCI) hat seine Ergebnisse für das 2. Quartal 2024 veröffentlicht und einen Nettoertrag von 1,5 Millionen Dollar oder 0,17 Dollar pro verwässerter Aktie erzielt, was einen Anstieg gegenüber 0,5 Millionen Dollar oder 0,06 Dollar pro Aktie im 2. Quartal 2023 darstellt. Die Gesamtauslastung betrug 78%, mit 93% in Mehrfamilienhäusern und 49% in Gewerbeimmobilien. Die Mieteinnahmen sind leicht gesunken und lagen bei 11,2 Millionen Dollar nach 11,4 Millionen Dollar im 2. Quartal 2023. Das Unternehmen verzeichnete eine Abnahme des Netto-Betriebsverlusts um 2,4 Millionen Dollar auf 1,1 Millionen Dollar, hauptsächlich aufgrund gesunkener allgemeiner und administrativer Ausgaben. TCI hat auch seine Forest Grove Immobilie mit einem Darlehen von 6,6 Millionen Dollar zu SOFR plus 1,85% refinanziert, das im Jahr 2031 fällig wird.
- Net income increased to $1.5 million from $0.5 million year-over-year
- Earnings per share improved to $0.17 from $0.06 year-over-year
- Net operating loss decreased by $2.4 million to $1.1 million
- Multifamily property revenues increased by $0.3 million
- High occupancy rate of 93% in multifamily properties
- Overall rental revenues decreased by $0.2 million to $11.2 million
- Commercial property revenues decreased by $0.5 million
- Low occupancy rate of 49% in commercial properties
- Decrease in interest income
Insights
Transcontinental Realty Investors' Q2 2024 results show mixed performance. The company's net income increased to
The occupancy rate of
The reduction in net operating loss from
TCI's Q2 2024 results reflect the ongoing challenges in the commercial real estate sector, with a low
On the flip side, the multifamily segment shows resilience with a strong
The refinancing of the Forest Grove property with a
TCI's Q2 2024 results present a nuanced picture for investors. The significant improvement in net income and reduction in operating loss are positive indicators of the company's financial health. However, the slight decline in rental revenues and the stark difference in occupancy rates between multifamily and commercial properties warrant careful consideration.
The company's strategic focus on multifamily properties, as evidenced by the successful lease-up of Landing on Bayou Cane, appears to be a sound approach given current market conditions. Investors should monitor the company's efforts to improve commercial property performance, as this segment represents a potential area for growth if market conditions improve.
The recent refinancing of the Forest Grove property demonstrates proactive financial management, which could enhance the company's flexibility and profitability in the long term. Overall, while TCI shows signs of improvement, investors should remain cautious and watch for sustained growth in rental revenues and occupancy rates across all property types.
Financial Highlights
-
Total occupancy was
78% at June 30, 2024, which includes93% at our multifamily properties and49% at our commercial properties. -
On July 10, 2024, we replaced the existing loan on Forest Grove with a
$6.6 million 1.85% and matures on July 10, 2031.
Financial Results
Rental revenues decreased
Net operating loss decreased
Net income attributable to the Company increased
About Transcontinental Realty Investors, Inc.
Transcontinental Realty Investors, Inc., a
| TRANSCONTINENTAL REALTY INVESTORS, INC. | ||||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||||
| (Dollars in thousands, except per share amounts) | ||||||||||||||||||
| (Unaudited) | ||||||||||||||||||
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||||||||||
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||||
| Revenues: | ||||||||||||||||||
| Rental revenues | $ |
11,188 |
|
$ |
11,389 |
|
$ |
22,467 |
|
$ |
22,398 |
|
||||||
| Other income |
|
585 |
|
|
850 |
|
|
1,205 |
|
|
1,529 |
|
||||||
| Total revenue |
|
11,773 |
|
|
12,239 |
|
|
23,672 |
|
|
23,927 |
|
||||||
| Expenses: | ||||||||||||||||||
| Property operating expenses |
|
6,624 |
|
|
7,031 |
|
|
13,258 |
|
|
13,137 |
|
||||||
| Depreciation and amortization |
|
3,137 |
|
|
3,200 |
|
|
6,309 |
|
|
6,302 |
|
||||||
| General and administrative |
|
1,414 |
|
|
3,521 |
|
|
2,675 |
|
|
6,404 |
|
||||||
| Advisory fee to related party |
|
1,680 |
|
|
2,000 |
|
|
3,845 |
|
|
4,170 |
|
||||||
| Total operating expenses |
|
12,855 |
|
|
15,752 |
|
|
26,087 |
|
|
30,013 |
|
||||||
| Net operating loss |
|
(1,082 |
) |
|
(3,513 |
) |
|
(2,415 |
) |
|
(6,086 |
) |
||||||
| Interest income |
|
5,200 |
|
|
8,494 |
|
|
11,327 |
|
|
17,322 |
|
||||||
| Interest expense |
|
(1,862 |
) |
|
(2,426 |
) |
|
(3,731 |
) |
|
(5,513 |
) |
||||||
| Gain on foreign currency transactions |
|
- |
|
|
22 |
|
|
- |
|
|
993 |
|
||||||
| Loss on early extinguishment of debt |
|
- |
|
|
(1,710 |
) |
|
- |
|
|
(1,710 |
) |
||||||
| Equity in income from unconsolidated joint venture |
|
109 |
|
|
25 |
|
|
544 |
|
|
713 |
|
||||||
| Gain on sale or write-down of assets, net |
|
- |
|
|
188 |
|
|
- |
|
|
188 |
|
||||||
| Income tax provision |
|
(669 |
) |
|
(204 |
) |
|
(1,272 |
) |
|
(1,316 |
) |
||||||
| Net income |
|
1,696 |
|
|
876 |
|
|
4,453 |
|
|
4,591 |
|
||||||
| Net income attributable to noncontrolling interest |
|
(198 |
) |
|
(346 |
) |
|
(406 |
) |
|
(544 |
) |
||||||
| Net income attributable to the Company | $ |
1,498 |
|
$ |
530 |
|
$ |
4,047 |
|
$ |
4,047 |
|
||||||
| Earnings per share | ||||||||||||||||||
| Basic and diluted | $ |
0.17 |
|
$ |
0.06 |
|
$ |
0.47 |
|
$ |
0.47 |
|
||||||
| Weighted average common shares used in computing earnings per share | ||||||||||||||||||
| Basic and diluted |
|
8,639,316 |
|
|
8,639,316 |
|
|
8,639,316 |
|
|
8,639,316 |
|
||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20240808223562/en/
Transcontinental Realty Investors, Inc.
Investor Relations
Erik Johnson (469) 522-4200
investor.relations@transconrealty-invest.com
Source: Transcontinental Realty Investors, Inc.
FAQ
What was Transcontinental Realty Investors' (TCI) net income for Q2 2024?
How did TCI's rental revenues change in Q2 2024 compared to Q2 2023?
What was the occupancy rate for TCI's properties as of June 30, 2024?
How did TCI's net operating loss change in Q2 2024?
