FRP Holdings, Inc. (NASDAQ-FRPH)
Fourth Quarter Operational
Highlights
- Dock 79 ended
the reporting period with residential occupancy above 94% for the
fifth straight quarter
- Completed
construction on two spec buildings at Hollander and transferred
them to Asset Management
- At Bryant
Street, construction is complete on and leasing is underway at the
third residential building, Chase 1A. Construction is also complete
on the fourth building where the Alamo Drafthouse theater is now
open and operating
- Finished
construction on Riverside, our joint venture in Greenville, SC
Fourth Quarter Consolidated Results of
Operations
Net loss attributable to the Company for the
fourth quarter of 2021 was $(592,000) or $(.06) per share versus
net income of $1,493,000 or $.16 per share in the same period last
year. The fourth quarter of 2021 was impacted by the following
items:
- The quarter
includes $659,000 amortization expense of the $4,750,000 fair value
of The Maren’s leases-in-place established when we booked this
asset as part of the gain on remeasurement upon consolidation of
this Joint Venture.
- Operating
expenses includes $807,000 expense for non-refundable deposit of
$500,000 and due diligence costs on a potential warehouse property
where the acquisition has recently been determined to be considered
less than probable. The same quarter last year included a $250,000
credit for settlement of environmental claims on our Anacostia
property.
- Interest income
decreased $651,000 due to bond maturities and the repayment of the
Company’s preferred interest in The Maren upon the building’s
refinancing.
- Interest
expense decreased $439,000 as the same quarter last year included
$902,000 accelerated amortization of deferred loan fees at Dock 79
in anticipation of early refinancing in the first quarter of 2021.
The current quarter includes interest on The Maren’s debt due to
consolidation in April partially offset by a lower interest rate on
the refinanced Dock 79 debt.
Fourth Quarter Segment Operating
Results
Asset Management Segment:
Total revenues in this segment were $656,000,
down $2,000 or .3%, over the same period last year. Operating loss
was $(77,000), down $113,000 from an operating profit of $36,000 in
the same quarter last year. This loss is primarily attributable to
the addition this quarter of two new spec buildings to this segment
and the increase in deprecation associated with these new assets.
At quarter end, Cranberry Run, a five-building industrial park in
Harford County, Maryland totaling 267,737 square feet of
industrial/flex space and at quarter end was 100% leased and 81%
occupied compared to 87.6% leased and occupied at the end of the
same quarter last year. As alluded to previously, during the
quarter we completed construction on two buildings in our Hollander
Business Park, totaling 145,590 square feet. At quarter end, these
assets were 29.1% leased. Our other two properties remain
substantially leased during both periods, with 34 Loveton 95.1%
occupied and Vulcan’s former Jacksonville office (now a vacant
lot), fully leased through March 2026.
Mining Royalty Lands Segment:
Total revenues in this segment were $2,267,000
versus $2,383,000 in the same period last year. Total operating
profit in this segment was $1,967,000, a decrease of $122,000
versus $2,089,000 in the same period last year. This decrease is a
result of Vulcan temporarily shifting operations off our segment of
its quarry in Manassas as part of its mining
plan. Development Segment:
With respect to developments in the quarter on
ongoing projects:
- As referenced
previously, during the fourth quarter, we completed construction on
two industrial buildings totaling approximately 146,000 square feet
at Hollander Business Park. These assets are now a part of the
Asset Management segment. Construction on the build-to-suit
building totaling 101,750 square feet continues and we estimate
shell completion and occupancy in the fourth quarter of 2022.
- We are the
principal capital source of a residential development venture in
Prince George’s County, Maryland known as “Amber Ridge.” Of
the $18.5 million in committed capital to the project, $15.9
million in principal draws have taken place to date. Through the
end of the fourth quarter, 34 of the 187 units have been sold, and
we have received $6,362,000 in preferred interest and principal to
date.
- The Coda, the
first of our four buildings at Bryant Street joint venture,
received a final certificate of occupancy on April 1, 2021, and
leasing efforts are under way. At quarter end, the Coda was 93.5%
leased and 95.5% occupied. Leasing began in August on the
second building at Bryant Street, known as the Chase 1B. At quarter
end, this building was 62.7% leased and 55.9% occupied. Leasing of
the third building, the Chase 1A, began during the fourth quarter
and at quarter end, this building was 16.3% leased and 6.4%
occupied. The fourth building which is purely a commercial space is
90% leased to Alamo Draft House and opened in December. In total,
at quarter end, all four buildings now have their certificate of
occupancy, and Bryant Street’s 487 residential units are 56.1%
leased and 50.9% occupied. Its commercial space is 82.5% leased and
61.7% occupied at quarter end.
- We began
construction on our 1800 Half Street joint venture project at the
end of August 2020 and expect the building to be complete in the
third quarter of 2022. As of the end of the fourth quarter, the
project was 67.01% complete.
- At quarter end,
our first joint venture in Greenville, South Carolina is now
complete and has received its final certificate of occupancy.
Leasing began on Riverside in the third quarter and the building is
60% leased and 49% occupied. .408 Jackson is our second joint
venture project in Greenville and is currently under construction.
This project is 83.23% complete and we expect to complete
construction and begin leasing in third quarter of 2022.
Stabilized Joint Venture Segment:
In March 2021, we reached stabilization on Phase
II (The Maren) of the development known as RiverFront on the
Anacostia in Washington, D.C. As such, as of March 31, 2021, the
Company consolidated the assets (at current fair value based on
appraisal), liabilities and operating results of the joint venture.
Up through the first quarter of this year, accounting for The Maren
was reflected in Equity in loss of joint ventures on the
Consolidated Statements of Income. Starting April 1, 2021, all the
revenue and expenses are accounted for in the same manner as Dock
79 in the stabilized joint venture segment.
Total revenues in this segment were $5,082,000,
an increase of $2,560,000 versus $2,522,000 in the same period last
year. The Maren’s revenue was $2,398,000 and Dock 79 revenues
decreased $162,000. Total operating profit in this segment was
$6,000, a decrease of $262,000 versus $268,000 in the same period
last year. Net Operating Income this quarter for this segment was
$3,132,000, up $1,580,000 or 101.8% compared to the same quarter
last year due to The Maren’s consolidation into this segment.
At the end of December, The Maren was 94.70%
leased and 94.70% occupied. Average residential occupancy for the
quarter was 94.81%, and 65.22% of expiring leases renewed with no
increase in rent due to the mandated rent freeze on renewals in DC.
The Maren is a joint venture between the Company and MRP, in which
FRP Holdings, Inc. is the majority partner with 70.41%
ownership.
Dock 79’s average residential occupancy for the
quarter was 95.59%, and at the end of the quarter, Dock 79’s
residential units were 93.44% leased and 94.43% occupied. This
quarter, 69.64% of expiring leases renewed with no increase in rent
due to the mandated rent freeze on renewals in DC. Dock 79 is a
joint venture between the Company and MRP, in which FRP Holdings,
Inc. is the majority partner with 66% ownership.
Fourth quarter distributions from our CS1031
Hickory Creek DST investment were $86,000.
Calendar Year Operational
Highlights
- Dock 79’s
average occupancy for the year was above 95% for the second time
ever
- Third year in a
row with mining royalties in excess of $9.4 million
- Grew NOI by
22.11% from $17.05 million in 2020 to $20.82 million in 2021
- With
construction complete on both Bryant Street and Riverside, this
year the Company added 687 residential units, an increase of
120.74% over last year
Calendar Year 2021 Consolidated Results
of Operations
Net income attributable to the Company for 2021
was $28,215,000 or $3.00 per share versus $12,715,000 or $1.32 per
share in the same period last year. The calendar year 2021 was
impacted by the following items:
- Gain of $51.1
million on the remeasurement of investment in The Maren real estate
partnership, which is included in Income before income taxes. This
gain on remeasurement is mitigated by a $10.1 million provision for
taxes and $14.0 million attributable to noncontrolling
interest.
- The period
includes $3,899,000 amortization expense of the $4,750,000 fair
value of The Maren’s leases-in-place established when we booked
this asset as part of the gain on remeasurement upon consolidation
of this Joint Venture.
- Operating
expenses includes $807,000 expense for non-refundable deposit of
$500,000 and due diligence costs on a potential warehouse property
where the acquisition has recently been determined to be considered
less than probable. The prior year included a $250,000 credit for
settlement of environmental claims on our Anacostia property.
- Interest income
decreased $3,200,000 due to bond maturities and the repayment of
the Company’s preferred interest in The Maren upon the building’s
refinancing.
- Interest
expense increased $1,204,000 due to interest on The Maren’s debt
consolidated in April partially offset by a lower interest rate on
Dock 79. The current year included a $900,000 prepayment penalty on
Dock 79 while last year included $902,000 accelerated amortization
of deferred loan fees at Dock 79 in anticipation of the early
refinancing.
- Gain from sale
of real estate decreased $8,365,000. The year included $805,000 for
an easement and sale of excess land in the Mining Royalty Lands
Segment. The prior year included a gain of $9,170,000 primarily due
to the sale of the three remaining lots at our Lakeside Business
Park, 1801 62nd Street, our inactive and depleted quarry land at
Gulf Hammock, and 87 acres from our Ft. Myers property.
Calendar Year 2021 Segment Operating
Results
Asset Management Segment:
Total revenues in this segment were $2,575,000,
down $172,000 or 6.3%, over the same period last year due to the
sale of our warehouse 1801 62nd Street in July 2020 which had
$423,000 of revenues in the same period last year. Operating loss
was $(231,000), up $(229,000) from an operating loss of $(2,000) in
the same period last year primarily due to the sale of 1801 62nd
Street.
Mining Royalty Lands Segment:
Total revenues in this segment were $9,465,000
versus $9,477,000 in the same period last year. Total operating
profit in this segment was $8,240,000, a decrease of $101,000
versus $8,341,000 in the same period last year.
Stabilized Joint Venture Segment:
Total revenues in this segment were $17,617,000,
an increase of $7,410,000 versus $10,207,000 in the same period
last year. The Maren’s revenue was $6,989,000 and Dock 79 revenues
increased $422,000. Total operating loss in this segment was
$(1,630,000), a decrease of $3,109,000 versus a profit of
$1,479,000 in the same period last year. The period includes
$3,899,000 amortization expense of the $4,750,000 fair value of The
Maren’s leases-in-place established when we booked this asset as
part of the gain on remeasurement upon consolidation of this Joint
Venture. Net Operating Income for this segment was $10,816,000, up
$4,164,000 or 62.6% compared to the same period last year due to
The Maren’s consolidation into this segment.
Since The Maren achieved stabilization on the
last day of March, average residential occupancy is 94.84% and
67.40% of expiring leases have renewed with no increase in rent due
to the mandated rent freeze on renewals in DC. The Maren is a joint
venture between the Company and MRP, in which FRP Holdings, Inc. is
the majority partner with 70.41% ownership.
Dock 79’s average residential occupancy for 2021
was 95.47%. Through the year, 62.20% of expiring leases renewed
with no increase in rent due to the mandated rent freeze on
renewals in DC. Dock 79 is a joint venture between the Company and
MRP, in which FRP Holdings, Inc. is the majority partner with 66%
ownership.
In March, we completed a refinancing of Dock 79
as well as securing permanent financing for The Maren. This $180
million loan ($92 million for Dock 79, $88 million for The Maren)
lowers the interest rate at Dock 79 from 4.125% to 3.03%, defers
any principal payments for 12 years for both properties, and repays
the $13.75 million in preferred equity along with $2.3 million in
accrued interest.
Distributions from our CS1031 Hickory Creek DST
investment were $343,000 for 2021.
Impact of the COVID-19
Pandemic.
We have continued operations throughout the
pandemic and have made every effort to act in accordance with
national, state, and local regulations and guidelines. During 2020,
Dock 79 and The Maren most directly suffered the impacts to our
business from the pandemic due to our retail tenants being unable
to operate at capacity, the lack of attendance at the Washington
Nationals baseball park and the rent freeze imposed by the
District. In 2021, the Delta and Omicron variants of the virus
impacted our businesses, but because of the vaccine and efforts to
reopen the economy, while still affected, they were not impacted to
the extent that they were in 2020. It is possible that this
version of the virus and its succeeding variants may impact our
ability to lease retail spaces in Washington, D.C. and
Greenville. We expect our business to be affected by
the pandemic for as long as government intervention and regulation
is required to combat the threat.
Summary and Outlook
Royalty revenue ended the year roughly flat
compared to last year. While this is disappointing after the hot
start this segment had to begin the year, it is understandable.
Vulcan shifted most of its mining activity at Manassas to a
different section of the pit, and as a result, our royalties at
that location were down nearly $600,000 compared to last year.
While this is a temporary setback as Vulcan will resume mining the
majority of its material from our land in 2022, it demonstrates the
resiliency of this segment. Despite a $600,000 hole in revenue from
one location, revenues were more or less the same as the year
before. In 2020, we saw similar resiliency. The loss of double
minimums at our Lake Louisa site midway through 2019 left a
$350,000 hole in revenue the next year. And yet in 2020, total
revenue bounced back and even slightly improved. This was a very
good year for this segment, and with the passage of the
infrastructure bill, it is our expectation that 2022 will be even
better.
For the fifth quarter in a row, Dock 79’s
occupancy has been above 94% at quarter end, which is a first. We
also achieved three straight quarters of average occupancy above
95% for the first time since the last three quarters of 2019.
Average occupancy for the year was 95.47%. This is only the second
time Dock has achieved an annual average occupancy rate above 95%
and is in line with Dock 79’s highest annual occupancy (95.46%)
back in 2019.
With The Maren’s stabilization at the end of
March this year, we are now in our third reporting period with The
Maren consolidated on to our books. Because of the increased
depreciation and amortization attributable to the Company as a
result of consolidating The Maren’s results into our income
statement, the impact on net income may in fact be negative for
some time, but the positive impact on our NOI and cash flow will be
significant. The Maren was 94.70% leased and 94.70% occupied at
quarter end, and its retail space is 100% leased. Build out of the
retail space was completed January 1, 2022 and the retail tenant
has moved in and is open for business. It has been over a year
since the District put in place the “emergency” measures which have
prevented us from raising rents on renewals. This has obviously
mitigated our ability to grow NOI at Dock 79. With The Maren now
going through its first generation of renewals, it too felt the
effect of these emergency measures. Some of these measures were
allowed to expire at the end of 2021. While evictions are still a
long and complicated process, we can now increase rents on renewals
which should help grow NOI for both buildings in 2022.
We remain pleased with the current direction of
our asset management segment, particularly the industrial assets.
The speed with which we leased up and then sold our building at
1801 62nd Street last year strengthened our commitment to
industrial development. At Hollander Business Park, we have a
build-to-suit under construction as well as the two spec buildings
we finished building this quarter which are now leasing up. The
build-to-suit project will complete any development at Hollander.
Because of that, over the last 15 months, we have added 72 acres to
our land bank which will be essential for future development.
Looking back on where this Company was a year
ago, the prevailing attitude was cautious optimism. We were
counting our blessings after the first year of the pandemic but
unclear what the future holds. At first blush, it feels a bit like
same song, different verse. Covid continues to dominate headlines
as well as everyday life and conversations; herd immunity remains a
moving target and who knows what the future holds beyond Omicron.
And yet upon closer inspection, we have experienced real progress
over the last twelve months and have much to look forward to. 2020
was a chaotic and downright scary year where treading water felt
like progress. In 2021, we saw the stabilization and consolidation
of The Maren, the permanent financing of The Maren as well as the
refinancing of Dock 79, construction completed on and leasing begin
at both Bryant Street in DC and Riverside in Greenville. We
finished construction on two spec buildings at Hollander, began
construction on a third, and expanded our land bank to accommodate
future development now that Hollander is tapped out. In short, 2021
was supposed to be a year of real growth, and we believe we have
delivered on that. NOI expanded 22.11% from $17.05 million in 2020
to $20.82 in 2021. We increased our industrial square footage by
54.38% from 267,737 square feet to 413,327 square feet. Finally, we
added 687 multi-family units to our portfolio, an increase of
120.74%. Looking forward into 2022, we will finish construction on
and start leasing Half Street and .408 Jackson, finish construction
on a build-to-suit, and in all likelihood start feeling the
practical effects upon the mining royalties segment of the
Infrastructure Investment and Jobs Act.
There are things that will continue to keep us
up at night. We are still in a pandemic, and we still have
buildings under development. Inflation is a concern for the first
time in recent memory, a particularly meaningful concern as it
related to interest rates. It is our plan to put our excess cash to
use over the next year and beyond, but until the money is spent, we
will continue to rely on it as a safety net.
Conference Call
The Company will also host a conference call on Thursday, March
3, 2022 at 2:00 p.m. (EST). Analysts, stockholders and other
interested parties may access the teleconference live by calling
1-800-343-1703 (passcode 48524) within the United
States. International callers may dial 1-203-518-9895
(passcode 48524). Computer audio live streaming is available
via the Internet through this
link https://www.connexcastpro.com/webcasts/cc/events/A37vI5.cfm.
The same link may be used following the call to access the archived
audio once the call is concluded. An audio replay will also be
available on the Company’s investor relations page
(https://www.frpdev.com/investor-relations/) following the
call.
Investors are cautioned that any statements in
this press release which relate to the future are, by their nature,
subject to risks and uncertainties that could cause actual results
and events to differ materially from those indicated in such
forward-looking statements. These include, but are not limited to:
the impact of the COVID-19 Pandemic on our operations and financial
results; the possibility that we may be unable to find appropriate
investment opportunities; levels of construction activity in the
markets served by our mining properties; demand for flexible
warehouse/office facilities in the Baltimore-Washington-Northern
Virginia area; demand for apartments in Washington D.C., Richmond,
Virginia, and Greenville, South Carolina; our ability to obtain
zoning and entitlements necessary for property development; the
impact of lending and capital market conditions on our liquidity;
our ability to finance projects or repay our debt; general real
estate investment and development risks; vacancies in our
properties; risks associated with developing and managing
properties in partnership with others; competition; our ability to
renew leases or re-lease spaces as leases expire; illiquidity of
real estate investments; bankruptcy or defaults of tenants; the
impact of restrictions imposed by our credit facility; the level
and volatility of interest rates; environmental liabilities;
inflation risks; cybersecurity risks; as well as other risks listed
from time to time in our SEC filings; including but not limited to;
our annual and quarterly reports. We have no obligation to revise
or update any forward-looking statements, other than as imposed by
law, as a result of future events or new information. Readers are
cautioned not to place undue reliance on such forward-looking
statements.
FRP Holdings, Inc. is a holding company engaged
in the real estate business, namely (i) leasing and management of
commercial properties owned by the Company, (ii) leasing and
management of mining royalty land owned by the Company, (iii) real
property acquisition, entitlement, development and construction
primarily for apartment, retail, warehouse, and office, (iv)
leasing and management of a residential apartment building.
Contact:John D. Baker IIIChief
Financial Officer904/858-9100
FRP HOLDINGS, INC. AND
SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME(In thousands
except per share amounts)(Unaudited)
|
|
THREE MONTHS ENDED |
|
TWELVE MONTHS ENDED |
|
|
DECEMBER 31, |
|
DECEMBER 31, |
|
|
2021 |
|
2020 |
|
2021 |
|
2020 |
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease revenue |
|
$ |
6,132 |
|
|
|
3,470 |
|
|
|
21,755 |
|
|
|
14,106 |
|
Mining lands lease revenue |
|
|
2,267 |
|
|
|
2,383 |
|
|
|
9,465 |
|
|
|
9,477 |
|
Total Revenues |
|
|
8,399 |
|
|
|
5,853 |
|
|
|
31,220 |
|
|
|
23,583 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
3,110 |
|
|
|
1,422 |
|
|
|
12,737 |
|
|
|
5,828 |
|
Operating expenses |
|
|
2,427 |
|
|
|
735 |
|
|
|
6,219 |
|
|
|
3,333 |
|
Property taxes |
|
|
987 |
|
|
|
737 |
|
|
|
3,751 |
|
|
|
2,826 |
|
Management company indirect |
|
|
1,031 |
|
|
|
743 |
|
|
|
3,168 |
|
|
|
2,951 |
|
Corporate expenses |
|
|
585 |
|
|
|
661 |
|
|
|
3,071 |
|
|
|
3,511 |
|
Total cost of operations |
|
|
8,140 |
|
|
|
4,298 |
|
|
|
28,946 |
|
|
|
18,449 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating
profit |
|
|
259 |
|
|
|
1,555 |
|
|
|
2,274 |
|
|
|
5,134 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income,
including realized gains of $0, $1, $0 and $298, respectively |
|
|
849 |
|
|
|
1,500 |
|
|
|
4,215 |
|
|
|
7,415 |
|
Interest expense |
|
|
(519 |
) |
|
|
(958 |
) |
|
|
(2,304 |
) |
|
|
(1,100 |
) |
Equity in loss of joint
ventures |
|
|
(1,757 |
) |
|
|
(1,917 |
) |
|
|
(5,754 |
) |
|
|
(5,690 |
) |
Gain on remeasurement of
investment in real estate partnership |
|
|
— |
|
|
|
— |
|
|
|
51,139 |
|
|
|
— |
|
Gain (loss) on sale of real
estate |
|
|
— |
|
|
|
(159 |
) |
|
|
805 |
|
|
|
9,170 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before income
taxes |
|
|
(1,168 |
) |
|
|
21 |
|
|
|
50,375 |
|
|
|
14,929 |
|
Provision for (benefit from)
income taxes |
|
|
(219 |
) |
|
|
(954 |
) |
|
|
10,281 |
|
|
|
3,207 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) |
|
|
(949 |
) |
|
|
975 |
|
|
|
40,094 |
|
|
|
11,722 |
|
Gain (loss) attributable to
noncontrolling interest |
|
|
(357 |
) |
|
|
(518 |
) |
|
|
11,879 |
|
|
|
(993 |
) |
Net income (loss)
attributable to the Company |
|
$ |
(592 |
) |
|
|
1,493 |
|
|
|
28,215 |
|
|
|
12,715 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per common
share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to the
Company- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
(0.06 |
) |
|
|
0.16 |
|
|
|
3.02 |
|
|
|
1.33 |
|
Diluted |
|
$ |
(0.06 |
) |
|
|
0.16 |
|
|
|
3.00 |
|
|
|
1.32 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of
shares (in thousands) used in computing: |
|
|
|
|
|
|
|
|
|
|
|
-basic
earnings per common share |
|
|
9,363 |
|
|
|
9,384 |
|
|
|
9,355 |
|
|
|
9,580 |
|
-diluted earnings per common share |
|
|
9,363 |
|
|
|
9,412 |
|
|
|
9,397 |
|
|
|
9,609 |
|
Asset Management
Segment:
|
|
Three months ended December 31 |
|
|
|
|
(dollars in thousands) |
|
2021 |
|
% |
|
2020 |
|
% |
|
Change |
|
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease revenue |
|
$ |
656 |
|
|
|
100.0 |
% |
|
|
658 |
|
|
|
100.0 |
% |
|
|
(2 |
) |
|
|
-0.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
170 |
|
|
|
25.9 |
% |
|
|
123 |
|
|
|
18.7 |
% |
|
|
47 |
|
|
|
38.2 |
% |
Operating expenses |
|
|
99 |
|
|
|
15.1 |
% |
|
|
98 |
|
|
|
14.9 |
% |
|
|
1 |
|
|
|
1.0 |
% |
Property taxes |
|
|
39 |
|
|
|
6.0 |
% |
|
|
33 |
|
|
|
5.0 |
% |
|
|
6 |
|
|
|
18.2 |
% |
Management company
indirect |
|
|
264 |
|
|
|
40.2 |
% |
|
|
197 |
|
|
|
29.9 |
% |
|
|
67 |
|
|
|
34.0 |
% |
Corporate expense |
|
|
161 |
|
|
|
24.5 |
% |
|
|
171 |
|
|
|
26.0 |
% |
|
|
(10 |
) |
|
|
-5.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
733 |
|
|
|
111.7 |
% |
|
|
622 |
|
|
|
94.5 |
% |
|
|
111 |
|
|
|
17.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit (loss) |
|
$ |
(77 |
) |
|
|
-11.7 |
% |
|
|
36 |
|
|
|
5.5 |
% |
|
|
(113 |
) |
|
|
-313.9 |
% |
Mining Royalty Lands
Segment:
|
|
Three months ended December 31 |
|
|
|
|
(dollars in thousands) |
|
2021 |
|
% |
|
2020 |
|
% |
|
Change |
|
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Mining lands lease revenue |
|
$ |
2,267 |
|
|
|
100.0 |
% |
|
|
2,383 |
|
|
|
100.0 |
% |
|
|
(116 |
) |
|
|
-4.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
38 |
|
|
|
1.7 |
% |
|
|
58 |
|
|
|
2.4 |
% |
|
|
(20 |
) |
|
|
-34.5 |
% |
Operating expenses |
|
|
13 |
|
|
|
0.6 |
% |
|
|
31 |
|
|
|
1.3 |
% |
|
|
(18 |
) |
|
|
-58.1 |
% |
Property taxes |
|
|
65 |
|
|
|
2.8 |
% |
|
|
76 |
|
|
|
3.2 |
% |
|
|
(11 |
) |
|
|
-14.5 |
% |
Management company
indirect |
|
|
124 |
|
|
|
5.5 |
% |
|
|
75 |
|
|
|
3.1 |
% |
|
|
49 |
|
|
|
65.3 |
% |
Corporate expense |
|
|
60 |
|
|
|
2.6 |
% |
|
|
54 |
|
|
|
2.3 |
% |
|
|
6 |
|
|
|
11.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
300 |
|
|
|
13.2 |
% |
|
|
294 |
|
|
|
12.3 |
% |
|
|
6 |
|
|
|
2.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit |
|
$ |
1,967 |
|
|
|
86.8 |
% |
|
|
2,089 |
|
|
|
87.7 |
% |
|
|
(122 |
) |
|
|
-5.8 |
% |
Development
Segment:
|
|
Three months ended December 31 |
(dollars in thousands) |
|
2021 |
|
2020 |
|
Change |
|
|
|
|
|
|
|
Lease revenue |
|
$ |
394 |
|
|
|
290 |
|
|
|
104 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
49 |
|
|
|
54 |
|
|
|
(5 |
) |
Operating expenses |
|
|
843 |
|
|
|
(96 |
) |
|
|
939 |
|
Property taxes |
|
|
356 |
|
|
|
356 |
|
|
|
— |
|
Management company
indirect |
|
|
493 |
|
|
|
416 |
|
|
|
77 |
|
Corporate expense |
|
|
290 |
|
|
|
398 |
|
|
|
(108 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
2,031 |
|
|
|
1,128 |
|
|
|
903 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating loss |
|
$ |
(1,637 |
) |
|
|
(838 |
) |
|
|
(799 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in loss of Joint
Venture |
|
|
(1,887 |
) |
|
|
(1,996 |
) |
|
|
109 |
|
Interest earned |
|
|
819 |
|
|
|
987 |
|
|
|
(168 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from continuing
operations before income taxes |
|
$ |
(2,705 |
) |
|
|
(1,847 |
) |
|
|
(858 |
) |
Stabilized Joint Venture
Segment:
|
|
Three months ended December 31 |
|
|
|
|
(dollars in thousands) |
|
2021 |
|
% |
|
2020 |
|
% |
|
Change |
|
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease revenue |
|
$ |
5,082 |
|
|
|
100.0 |
% |
|
|
2,522 |
|
|
|
100.0 |
% |
|
|
2,560 |
|
|
|
101.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
2,853 |
|
|
|
56.1 |
% |
|
|
1,187 |
|
|
|
47.1 |
% |
|
|
1,666 |
|
|
|
140.4 |
% |
Operating expenses |
|
|
1,472 |
|
|
|
29.0 |
% |
|
|
702 |
|
|
|
27.8 |
% |
|
|
770 |
|
|
|
109.7 |
% |
Property taxes |
|
|
527 |
|
|
|
10.4 |
% |
|
|
272 |
|
|
|
10.8 |
% |
|
|
255 |
|
|
|
93.8 |
% |
Management company
indirect |
|
|
150 |
|
|
|
3.0 |
% |
|
|
55 |
|
|
|
2.2 |
% |
|
|
95 |
|
|
|
172.7 |
% |
Corporate expense |
|
|
74 |
|
|
|
1.4 |
% |
|
|
38 |
|
|
|
1.5 |
% |
|
|
36 |
|
|
|
94.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
5,076 |
|
|
|
99.9 |
% |
|
|
2,254 |
|
|
|
89.4 |
% |
|
|
2,822 |
|
|
|
125.2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit |
|
$ |
6 |
|
|
|
0.1 |
% |
|
|
268 |
|
|
|
10.6 |
% |
|
|
(262 |
) |
|
|
-97.8 |
% |
Asset Management
Segment:
|
|
Twelve months ended December 31 |
|
|
|
|
(dollars in thousands) |
|
2021 |
|
% |
|
2020 |
|
% |
|
Change |
|
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease revenue |
|
$ |
2,575 |
|
|
|
100.0 |
% |
|
|
2,747 |
|
|
|
100.0 |
% |
|
|
(172 |
) |
|
|
-6.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
578 |
|
|
|
22.4 |
% |
|
|
652 |
|
|
|
23.7 |
% |
|
|
(74 |
) |
|
|
-11.3 |
% |
Operating expenses |
|
|
388 |
|
|
|
15.1 |
% |
|
|
430 |
|
|
|
15.7 |
% |
|
|
(42 |
) |
|
|
-9.8 |
% |
Property taxes |
|
|
156 |
|
|
|
6.1 |
% |
|
|
124 |
|
|
|
4.5 |
% |
|
|
32 |
|
|
|
25.8 |
% |
Management company
indirect |
|
|
841 |
|
|
|
32.7 |
% |
|
|
634 |
|
|
|
23.1 |
% |
|
|
207 |
|
|
|
32.6 |
% |
Corporate expense |
|
|
843 |
|
|
|
32.7 |
% |
|
|
909 |
|
|
|
33.1 |
% |
|
|
(66 |
) |
|
|
-7.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
2,806 |
|
|
|
109.0 |
% |
|
|
2,749 |
|
|
|
100.1 |
% |
|
|
57 |
|
|
|
2.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating loss |
|
$ |
(231 |
) |
|
|
-9.0 |
% |
|
|
(2 |
) |
|
|
-0.1 |
% |
|
|
(229 |
) |
|
|
11450.0 |
% |
Mining Royalty Lands
Segment:
|
|
Twelve months ended December 31 |
|
|
|
|
(dollars in thousands) |
|
2021 |
|
% |
|
2020 |
|
% |
|
Change |
|
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Mining lands lease revenue |
|
$ |
9,465 |
|
|
|
100.0 |
% |
|
|
9,477 |
|
|
|
100.0 |
% |
|
|
(12 |
) |
|
|
-0.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
199 |
|
|
|
2.1 |
% |
|
|
218 |
|
|
|
2.3 |
% |
|
|
(19 |
) |
|
|
-8.7 |
% |
Operating expenses |
|
|
47 |
|
|
|
0.5 |
% |
|
|
74 |
|
|
|
0.8 |
% |
|
|
(27 |
) |
|
|
-36.5 |
% |
Property taxes |
|
|
264 |
|
|
|
2.8 |
% |
|
|
267 |
|
|
|
2.8 |
% |
|
|
(3 |
) |
|
|
-1.1 |
% |
Management company
indirect |
|
|
397 |
|
|
|
4.2 |
% |
|
|
289 |
|
|
|
3.1 |
% |
|
|
108 |
|
|
|
37.4 |
% |
Corporate expense |
|
|
318 |
|
|
|
3.3 |
% |
|
|
288 |
|
|
|
3.0 |
% |
|
|
30 |
|
|
|
10.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
1,225 |
|
|
|
12.9 |
% |
|
|
1,136 |
|
|
|
12.0 |
% |
|
|
89 |
|
|
|
7.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit |
|
$ |
8,240 |
|
|
|
87.1 |
% |
|
|
8,341 |
|
|
|
88.0 |
% |
|
|
(101 |
) |
|
|
-1.2 |
% |
Development
Segment:
|
|
Twelve months ended December 31 |
(dollars in thousands) |
|
2021 |
|
2020 |
|
Change |
|
|
|
|
|
|
|
Lease revenue |
|
$ |
1,563 |
|
|
|
1,152 |
|
|
|
411 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
208 |
|
|
|
214 |
|
|
|
(6 |
) |
Operating expenses |
|
|
976 |
|
|
|
319 |
|
|
|
657 |
|
Property taxes |
|
|
1,438 |
|
|
|
1,375 |
|
|
|
63 |
|
Management company
indirect |
|
|
1,489 |
|
|
|
1,820 |
|
|
|
(331 |
) |
Corporate expense |
|
|
1,557 |
|
|
|
2,108 |
|
|
|
(551 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
5,668 |
|
|
|
5,836 |
|
|
|
(168 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating loss |
|
$ |
(4,105 |
) |
|
|
(4,684 |
) |
|
|
579 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in loss of Joint
Venture |
|
|
(5,427 |
) |
|
|
(5,990 |
) |
|
|
563 |
|
Gain on sale of real
estate |
|
|
— |
|
|
|
1,877 |
|
|
|
(1,877 |
) |
Interest earned |
|
|
3,427 |
|
|
|
4,133 |
|
|
|
(706 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from continuing
operations before income taxes |
|
$ |
(6,105 |
) |
|
|
(4,664 |
) |
|
|
(1,441 |
) |
Stabilized Joint Venture
Segment:
|
|
Twelve months ended December 31 |
|
|
|
|
(dollars in thousands) |
|
2021 |
|
% |
|
2020 |
|
% |
|
Change |
|
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease revenue |
|
$ |
17,617 |
|
|
|
100.0 |
% |
|
|
10,207 |
|
|
|
100.0 |
% |
|
|
7,410 |
|
|
|
72.6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and
amortization |
|
|
11,752 |
|
|
|
66.7 |
% |
|
|
4,744 |
|
|
|
46.5 |
% |
|
|
7,008 |
|
|
|
147.7 |
% |
Operating expenses |
|
|
4,808 |
|
|
|
27.3 |
% |
|
|
2,510 |
|
|
|
24.6 |
% |
|
|
2,298 |
|
|
|
91.6 |
% |
Property taxes |
|
|
1,893 |
|
|
|
10.8 |
% |
|
|
1,060 |
|
|
|
10.4 |
% |
|
|
833 |
|
|
|
78.6 |
% |
Management company
indirect |
|
|
441 |
|
|
|
2.5 |
% |
|
|
208 |
|
|
|
2.0 |
% |
|
|
233 |
|
|
|
112.0 |
% |
Corporate expense |
|
|
353 |
|
|
|
2.0 |
% |
|
|
206 |
|
|
|
2.0 |
% |
|
|
147 |
|
|
|
71.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of operations |
|
|
19,247 |
|
|
|
109.3 |
% |
|
|
8,728 |
|
|
|
85.5 |
% |
|
|
10,519 |
|
|
|
120.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit (loss) |
|
$ |
(1,630 |
) |
|
|
-9.3 |
% |
|
|
1,479 |
|
|
|
14.5 |
% |
|
|
(3,109 |
) |
|
|
-210.2 |
% |
Non-GAAP Financial
Measures.
To supplement the financial results presented in
accordance with GAAP, FRP presents certain non-GAAP financial
measures within the meaning of Regulation G promulgated by the
Securities and Exchange Commission. The non-GAAP financial measure
included in this quarterly report is net operating income (NOI).
FRP uses this non-GAAP financial measure to analyze its operations
and to monitor, assess, and identify meaningful trends in its
operating and financial performance. This measure is not, and
should not be viewed as, a substitute for GAAP financial
measures.
Net Operating Income
Reconciliation |
|
|
|
|
|
|
|
|
|
|
|
Twelve months ended 12/31/21
(in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stabilized |
|
|
|
|
|
|
|
Asset |
|
|
|
Joint |
|
Mining |
|
Unallocated |
|
FRP |
|
Management |
|
Development |
|
Venture |
|
Royalties |
|
Corporate |
|
Holdings |
|
Segment |
|
Segment |
|
Segment |
|
Segment |
|
Expenses |
|
Totals |
Net Income (loss) |
|
(187 |
) |
|
|
(4,454 |
) |
|
|
37,472 |
|
|
|
6,587 |
|
|
|
676 |
|
|
|
40,094 |
|
Income Tax Allocation |
|
(70 |
) |
|
|
(1,651 |
) |
|
|
9,490 |
|
|
|
2,443 |
|
|
|
69 |
|
|
|
10,281 |
|
Income (loss) before
income taxes |
|
(257 |
) |
|
|
(6,105 |
) |
|
|
46,962 |
|
|
|
9,030 |
|
|
|
745 |
|
|
|
50,375 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on remeasurement of real
estate investment |
|
— |
|
|
|
— |
|
|
|
51,139 |
|
|
|
— |
|
|
|
— |
|
|
|
51,139 |
|
Gain on investment land
sold |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
831 |
|
|
|
— |
|
|
|
831 |
|
Unrealized rents |
|
116 |
|
|
|
— |
|
|
|
100 |
|
|
|
219 |
|
|
|
— |
|
|
|
435 |
|
Interest income |
|
— |
|
|
|
3,427 |
|
|
|
— |
|
|
|
— |
|
|
|
788 |
|
|
|
4,215 |
|
Plus: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss on sale of land |
|
26 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
26 |
|
Equity in loss of Joint
Venture |
|
— |
|
|
|
5,427 |
|
|
|
286 |
|
|
|
41 |
|
|
|
— |
|
|
|
5,754 |
|
Interest Expense |
|
— |
|
|
|
— |
|
|
|
2,261 |
|
|
|
— |
|
|
|
43 |
|
|
|
2,304 |
|
Depreciation/Amortization |
|
578 |
|
|
|
208 |
|
|
|
11,752 |
|
|
|
199 |
|
|
|
— |
|
|
|
12,737 |
|
Management Co.
Indirect |
|
841 |
|
|
|
1,489 |
|
|
|
441 |
|
|
|
397 |
|
|
|
— |
|
|
|
3,168 |
|
Allocated Corporate
Expenses |
|
843 |
|
|
|
1,557 |
|
|
|
353 |
|
|
|
318 |
|
|
|
— |
|
|
|
3,071 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Operating Income
(loss) |
|
1,915 |
|
|
|
(851 |
) |
|
|
10,816 |
|
|
|
8,935 |
|
|
|
— |
|
|
|
20,815 |
|
Net Operating Income
Reconciliation |
|
|
|
|
|
|
|
|
|
|
|
Twelve months ended 12/31/20
(in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stabilized |
|
|
|
|
|
|
|
Asset |
|
|
|
Joint |
|
Mining |
|
Unallocated |
|
FRP |
|
Management |
|
Development |
|
Venture |
|
Royalties |
|
Corporate |
|
Holdings |
|
Segment |
|
Segment |
|
Segment |
|
Segment |
|
Expenses |
|
Totals |
Income (loss) from continuing operations |
|
2,944 |
|
|
|
(3,725 |
) |
|
|
413 |
|
|
|
9,508 |
|
|
|
2,582 |
|
|
|
11,722 |
|
Income Tax Allocation |
|
743 |
|
|
|
(939 |
) |
|
|
354 |
|
|
|
2,398 |
|
|
|
651 |
|
|
|
3,207 |
|
Income (loss) from
continuing operations before income taxes |
|
3,687 |
|
|
|
(4,664 |
) |
|
|
767 |
|
|
|
11,906 |
|
|
|
3,233 |
|
|
|
14,929 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in profit of Joint
Ventures |
|
— |
|
|
|
— |
|
|
|
339 |
|
|
|
— |
|
|
|
— |
|
|
|
339 |
|
Gains on sale of
buildings |
|
3,689 |
|
|
|
1,877 |
|
|
|
— |
|
|
|
3,604 |
|
|
|
— |
|
|
|
9,170 |
|
Unrealized rents |
|
153 |
|
|
|
— |
|
|
|
— |
|
|
|
235 |
|
|
|
— |
|
|
|
388 |
|
Interest income |
|
— |
|
|
|
4,133 |
|
|
|
— |
|
|
|
— |
|
|
|
3,282 |
|
|
|
7,415 |
|
Plus: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized rents |
|
— |
|
|
|
— |
|
|
|
15 |
|
|
|
— |
|
|
|
— |
|
|
|
15 |
|
Equity in loss of Joint
Venture |
|
— |
|
|
|
5,990 |
|
|
|
— |
|
|
|
39 |
|
|
|
— |
|
|
|
6,029 |
|
Interest Expense |
|
— |
|
|
|
— |
|
|
|
1,051 |
|
|
|
— |
|
|
|
49 |
|
|
|
1,100 |
|
Depreciation/Amortization |
|
652 |
|
|
|
214 |
|
|
|
4,744 |
|
|
|
218 |
|
|
|
— |
|
|
|
5,828 |
|
Management Co.
Indirect |
|
634 |
|
|
|
1,820 |
|
|
|
208 |
|
|
|
289 |
|
|
|
— |
|
|
|
2,951 |
|
Allocated Corporate
Expenses |
|
909 |
|
|
|
2,108 |
|
|
|
206 |
|
|
|
288 |
|
|
|
— |
|
|
|
3,511 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Operating Income
(loss) |
|
2,040 |
|
|
|
(542 |
) |
|
|
6,652 |
|
|
|
8,901 |
|
|
|
— |
|
|
|
17,051 |
|
Grafico Azioni FRP (NASDAQ:FRPH)
Storico
Da Giu 2024 a Lug 2024
Grafico Azioni FRP (NASDAQ:FRPH)
Storico
Da Lug 2023 a Lug 2024