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Sep 30, 2021
FRP Q3 2021 Earnings Report
FRP's financial performance for Q3 2021 has been reported.
Key Takeaways
FRP Holdings reported a net income of $352,000, or $0.04 per share, for the third quarter of 2021, compared to $5,455,000, or $0.57 per share, in the same period last year. The results were impacted by various factors, including a decrease in revenues in the Asset Management and Mining Royalty Lands segments, and increased expenses related to the consolidation of The Maren in the Stabilized Joint Venture segment.
Net income attributable to the Company for the third quarter of 2021 was $352,000 or $.04 per share.
Total revenues in the Asset Management segment were $619,000, down 14.1% over the same period last year.
Total revenues in the Mining Royalty Lands segment were $2,249,000 versus $2,507,000 in the same period last year.
Total revenues in the Stabilized Joint Venture segment were $5,204,000, an increase of $2,624,000 versus the same period last year.
FRP
FRP
FRP Revenue by Segment
Revenue by Segment
Hickory Creek Revenue
CapyFin.comAsset Management Segment Revenue
CapyFin.comMining Royalty Lands Segment Revenue
CapyFin.com Forward Guidance
The company anticipates increased depreciation and amortization affecting net income negatively due to The Maren's consolidation, but expects significant positive impact on NOI and cash flow. They also anticipate the impact of infrastructure bill on mining royalties income.
Positive Outlook
- The Maren's retail space is 100% leased with occupancy expected in the fourth quarter of this year once build out is complete.
- Dock 79’s occupancy has been above 94% at quarter end.
- The speed with which we leased up and then sold our building at 1801 62nd Street last year strengthened our commitment to industrial development.
- The company bolstered their land bank with the $10.5 million purchase of 55 acres in Aberdeen, Maryland as well as this quarter’s purchase of 17 acres in Harford County, Maryland.
- The first nine months have seen the stabilization, consolidation, and permanent financing of The Maren; the refinancing of Dock 79; leasing begin at Bryant St and Riverside in Greenville; a build-to-suit opportunity at Hollander as well as the mining royalties’ highest nine-month revenue performance.
Challenges Ahead
- 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
- The District put in place the “emergency” measures which have prevented us from raising rents on renewals which has obviously mitigated our ability to grow NOI at Dock 79.
- The Maren now going through its first generation of renewals, it too is feeling the effect of these emergency measures.
- Although royalty revenue is down this quarter compared to the same quarter last year
- The COVID-19 pandemic continues to have an extraordinary impact on the world economy and the markets in which we operate.
Revenue & Expenses
Visualization of income flow from segment revenue to net income