Dec 31, 2022

FRP Q4 2022 Earnings Report

FRP Holdings reported net income and increased revenues across multiple segments, driven by improved occupancy, rent growth, and strategic acquisitions.

Key Takeaways

FRP Holdings, Inc. announced its Q4 2022 results, reporting a net income of $2,756,000 or $0.29 per share, compared to a net loss of $(592,000) or $(0.06) per share in the same period last year. The company saw revenue growth in its Asset Management, Mining Royalty Lands, and Stabilized Joint Venture segments.

Net income for the fourth quarter of 2022 was $2,756,000, a significant improvement compared to the same period last year.

Asset Management segment revenue increased by 51.7%, driven by improved occupancy and rent growth.

Mining Royalty Lands segment revenue increased due to additional royalties from the Astatula acquisition.

Stabilized Joint Venture segment revenue increased, with The Maren and Dock 79 showing revenue growth.

Total Revenue
$9.85M
Previous year: $8.4M
+17.3%
EPS
$0.15
Previous year: -$0.03
-600.0%
Net Operating Income
$2.23M
Previous year: $3.13M
-28.9%
Gross Profit
$8.83M
Previous year: $7.41M
+19.1%
Cash and Equivalents
$177M
Previous year: $162M
+9.9%
Free Cash Flow
$7.69M
Previous year: $867K
+786.4%
Total Assets
$701M
Previous year: $678M
+3.4%

FRP

FRP

FRP Revenue by Segment

Forward Guidance

FRP Holdings anticipates continued growth with new industrial building occupancies and the ongoing partnership with SIC and MRP for mixed-use development.

Positive Outlook

  • Expect two buildings at Hollander to achieve occupancy in the first half of next year.
  • Occupancy will increase occupied square footage for industrial by 54.3%.
  • SIC and MRP partnership to develop over three million square feet of mixed-use development.
  • Expansion of footprint in DC with nearly every asset visible from the south entrance to the nation’s capital.
  • Mining royalties had its highest revenue quarter ever.

Challenges Ahead

  • The immediate future remains unclear on a macro level.
  • Inflation and rising interest rates appear to be our reality for at least the immediate future.
  • The business is expected to be affected by the pandemic for as long as government intervention and regulation is deemed necessary to combat the threat.
  • Possibility that we may be unable to find appropriate investment opportunities.
  • Levels of construction activity in the markets served by our mining properties.

Revenue & Expenses

Visualization of income flow from segment revenue to net income