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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) August 7, 2024
FRP HOLDINGS, INC.
(Exact name of registrant as specified in its charter)
Florida
(State or other jurisdiction of incorporation)
001-36769
(Commission File Number)
47-2449198
(IRS Employer Identification No.)
200 W. FORSYTH STREET, 7TH FLOOR
JACKSONVILLE, FL
(Address of principal executive offices)
32202
(Zip Code)
(904) 858-9100
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading Symbol(s) Name of each exchange on which registered
Common Stock FRPH
Nasdaq Global Select Market
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
Emerging growth company o
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o On August 7, 2024, FRP Holdings, Inc. issued a press release announcing results of operations for the second quarter ended June 30, 2024. A copy of the press release is furnished as Exhibit 99.1.



Item 2.02. Results of Operations and Financial Condition.
The information in this report (including the exhibit) shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 9.01. Financial Statements and Exhibits.
(d)Exhibits
Exhibit No. Description
99.1 FRP Holdings, Inc. Press Release dated August 7, 2024



SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
FRP HOLDINGS, INC.
Registrant
Date:  August 7, 2024 By: /s/Matthew C. McNulty
Matthew C. McNulty
Chief Financial Officer & Treasurer

EX-99 2 frph-20240508xexx991.htm EX-99 Document

image_0.jpgFRP HOLDINGS, INC./NEWS
Contact: John D. Baker III
Chief Executive Officer
904/858-9100
FRP HOLDINGS, INC. (NASDAQ: FRPH) ANNOUNCES RESULTS FOR THE SECOND QUARTER AND SIX MONTHS ENDED JUNE 30, 2024
FRP Holdings, Inc. (NASDAQ-FRPH) Jacksonville, Florida; August 7, 2024 –
Second Quarter Highlights
•242% increase in Net Income ($2.0 million vs $598,000)
•21% increase in pro rata NOI ($9.2 million vs $7.6 million)
•84% increase in the Multifamily segment’s pro rata NOI due to the transfer of Bryant St. and .408 Jackson to this segment from our Development segment at the beginning of the year
•41% increase in Industrial and Commercial segment NOI
Executive Summary and Analysis
Net Income increased by 242% in the second quarter and 188% for the first six months compared to last year, despite operating profit remaining more or less flat. This increase is due both to the improved performance of the Verge during lease-up and increased net investment income from the steady sale of lots this year at Aberdeen Overlook, our most recent Lending Venture. In the second quarter, Aberdeen Overlook generated $1.5 million in investment income compared to $564,000 in the second quarter last year from Amber Ridge, a prior Lending Venture project. In the first six months, Aberdeen Overlook generated $2.1 million in investment income compared to $614,000 last year from Amber Ridge. While Lending Ventures are not necessarily part of our long-term core business strategy, they have been an effective way to put our balance sheet to work to generate real cash at better returns than treasuries.

The Company continued to grow Pro rata Net Operating Income (NOI) at the same meaningful clip that we have achieved over the last 36 months (21.6% CAGR since the same period in 2021). In the second quarter, we saw a 21.2% improvement in NOI compared to the same period last year, and a 21.7% increase in NOI in the first six months compared to the same period last year. The Industrial and Commercial and Multifamily Segments were the primary drivers of this increase. We grew our Industrial and Commercial NOI by 41% in the second quarter and 44% in the first six months when compared to the same periods last year as we burned through a rent abatement period (unrealized revenue) at two buildings at Hollander Business Park in 2023 and started generating real cash flow. Multifamily pro rata NOI increased by 84% this quarter and 88% for the first six months when compared to the same periods last year, mostly due to the stabilization of .408 Jackson and Bryant Street. The addition of the Verge to this segment later this year should only serve to increase the performance of this segment on an NOI basis.

1



In keeping with our strategy to grow our industrial footprint, in July, we closed on the purchase of the land for our industrial joint venture in Broward County, FL for a total purchase price of $24.5 million, of which we contributed $12.25 million. Per our partnership agreement, we represent 80% of the equity capital in this 182,000 square-foot class A building. We also closed on the land for our other industrial JV in Lakeland, FL at the end of the first quarter of this year for a total purchase price of $2.8 million. We will account for 90% of the equity capital for this 200,000 square-foot industrial project. Total expected capex for these projects is $57 million and $28 million respectively with total equity capital of $26 million and $13 million and an expected start of construction by March of 2025 for both projects. We are in the home stretch on finishing shell construction on our Chelsea project in Harford County, MD. This 258,000 square-foot industrial building should be complete in the fourth quarter of this year with an expected total project cost, including land, of $30 million. We have underwritten all these projects at an unlevered 6-7% yield on cost but expect to outperform these assumptions.

Second Quarter Consolidated Results of Operations
Net income for the second quarter of 2024 was $2,044,000 or $.11 per share versus $598,000 or $.03 per share in the same period last year. Pro rata NOI for the second quarter of 2024 was $9,230,000 versus $7,614,000 in the same period last year. The second quarter of 2024 was impacted by the following items:
•Operating profit increased slightly as favorable results in Multifamily, Industrial and Commercial, and Development were partially offset by lower Mining royalties and higher General and administrative costs.
•Net investment income increased $583,000 due to increased earnings on cash equivalents ($408,000) and increased income from our lending ventures ($781,000), partially offset by decreased preferred interest ($606,000) due to the conversion of FRP preferred equity to common equity at Bryant Street.
•Interest expense decreased $300,000 compared to the same quarter last year due to $334,000 more capitalized interest partially offset by increased costs related to our larger credit agreement. More interest was capitalized due to increased in-house and joint venture projects under development this quarter compared to last year.
•Equity in loss of Joint Ventures improved $1,323,000 due to improved performance of our unconsolidated joint ventures. Results improved at The Verge ($891,000), .408 Jackson ($225,000), Bryant Street ($159,000) and BC Realty ($55,000).


Second Quarter Segment Operating Results
Multifamily Segment:

Our Multifamily Segment consists of two consolidated joint ventures (Dock 79 and The Maren) and three unconsolidated joint ventures (Bryant Street, Riverside, and .408 Jackson). Riverside achieved stabilization in 2022 while Bryant Street and .408 Jackson moved from our Development Segment to this segment upon stabilization as of the beginning of 2024.

2


Total revenues for our two consolidated joint ventures were $5,496,000, a decrease of $49,000 versus $5,545,000 in the same period last year. Total operating profit for the consolidated joint ventures was $1,130,000, an increase of $218,000, or 24% versus $912,000 in the same period last year primarily because of less depreciation expense.
For our three unconsolidated joint ventures, pro rata revenues were $3,865,000, an increase of $905,000 or 31% compared to $2,960,000 in the same period last year. Pro rata operating profit was $508,000, an increase of $455,000 or 858% versus $53,000 in the same period last year. For ease of comparison these figures and the table below include the results for Bryant Street and .408 Jackson from the same period last year (when these projects were still in our Development segment).
Apartment Building Units
Pro rata NOI
Q2 2024
Pro rata NOI
Q2 2023
Avg. Occupancy Q2 2024
Avg. Occupancy CY 2023
Renewal Success Rate Q2 2024
Renewal % increase Q2 2024
Dock 79 Anacostia DC 305 $932,000 $986,000 93.6  % 94.4  % 60.4  % 4.2  %
Maren Anacostia DC 264 $923,000 $942,000 94.8  % 95.6  % 74.4  % 2.0  %
Bryant Street DC 487 $1,555,000 $1,130,000 91.2  % 93.0  % 60.9  % 1.7  %
Riverside Greenville 200 $215,000 $224,000 93.0  % 94.5  % 52.4  % 5.5  %
.408 Jackson Greenville 227 $345,000 $88,000 96.2  % 59.9  % 65.3  % 4.6  %
Multifamily Segment 1,483 $3,970,000 $3,370,000 93.3  % 88.9  %
The combined consolidated and unconsolidated pro rata net operating income this quarter for this segment was $3,970,000, up $1,818,000 or 84% compared to $2,152,000 in the same quarter last year. Substantially all of this increase was from the transfer of Bryant Street and .408 Jackson from Development to this segment at the beginning of 2024 as same store NOI was more or less flat. These two projects contributed $1,900,000 of pro rata NOI to this segment compared to $1,218,000 in the Development segment in the same quarter last year, an increase of $682,000.
Industrial and Commercial Segment:
Total revenues in this segment were $1,445,000, up $25,000 or 2%, over the same period last year. Operating profit was $490,000, up $80,000 or 20% over the same quarter last year. We now have nine buildings in service at three different locations totaling 515,077 square feet of industrial and 33,708 square feet of office. These assets were 95.6% leased and occupied during the entire quarter. Net operating income in this segment was $1,187,000, up $344,000 or 41% compared to the same quarter last year primarily due to $335,000 more unrealized rental revenue in the prior year due to rent abatements that expired in 2023.
Mining Royalty Lands Segment:
Total revenues in this segment were $3,231,000, a decrease of $33,000 or 1% versus $3,264,000 in the same period last year. Royalty tons were down 5%. Total operating profit in this segment was $2,643,000, a decrease of $89,000 versus $2,732,000 in the same period last year. Net Operating Income this quarter for this segment was $3,028,000, down $97,000 or 3% compared to the same quarter last year. The primary reason for these decreases is the deduction of royalties to resolve an $842,000 overpayment, as referenced in our 10-Q from the quarter ended June 30, 2023. As part of the ongoing resolution of this overpayment, this quarter, the tenant withheld $277,000 in royalties otherwise due the Company.
3


The outstanding balance on this overpayment credit is $53,000 which we expect will be exhausted in the first month of the third quarter of this year.
Development Segment:
With respect to ongoing Development Segment projects:

•We entered into two new joint venture agreements in early 2024 with BBX Logistics. The first joint venture is a 200,000 square-foot warehouse development project in Lakeland, FL, and the second joint venture is a 182,000 square-foot warehouse redevelopment project in Broward County, FL. We anticipate construction to start on both projects in the first quarter of 2025.
•Last summer we broke ground on a new speculative warehouse project in Aberdeen, MD on Chelsea Road. Vertical construction is underway. This Class A, 258,000 square foot building is due to be complete in the 4th quarter of 2024.
•The Verge has achieved residential stabilization and will move to our Multifamily segment on July 1, 2024. At quarter end, the building was 93.3% leased and 90.7% occupied. This is our third mixed-use project in the Anacostia waterfront submarket in Washington, DC.
•We are the principal capital source to develop 344 residential lots on 110 acres in Harford County, MD. The project includes 110 acres and 344 residential building lots. We have funded $24.6 million of our $31.1 million total commitment. A national homebuilder is under contract to purchase all 222 townhome lots and 122 single family lots. At quarter-end, 78 lots have been sold and $12.7 million of preferred interest and principal has been returned to the company of which $3.2 million was booked as profit to the Company.
Six Month Highlights
•188% increase in Net Income ($3.3 million vs $1.2 million)
•22% increase in pro rata NOI ($17.8 million vs $14.6 million)
•88% increase in the Multifamily segment’s NOI due to the transfer of Bryant St. and .408 Jackson to this segment from our Development segment at the beginning of the year
•16% increase in Industrial and Commercial revenue and 44% increase in that segment’s NOI

First Half Consolidated Results of Operations
Net income for the first six months of 2024 was $3,345,000 or $.18 per share versus $1,163,000 or $.06 per share in the same period last year. Pro rata NOI for the first six months of 2024 was $17,764,000 versus $14,602,000 in the same period last year. The first six months of 2024 were impacted by the following items:
•Operating profit increased slightly as favorable results in Multifamily, Industrial and Commercial, and Development were partially offset by lower Mining royalties and higher General and administrative costs.
•Net investment income increased $984,000 due to increased earnings on cash equivalents ($960,000) and increased income from our lending ventures ($1,230,000), partially offset by decreased preferred interest ($1,206,000) due to the conversion of FRP preferred equity to common equity at Bryant Street.
•Interest expense decreased $395,000 compared to the same period last year due to $461,000 more capitalized interest partially offset by increased costs related to our larger credit agreement. More interest was capitalized due to increased in-house and joint venture projects under development this quarter compared to last year.
4


•Equity in loss of Joint Ventures improved $1,929,000 due to improved results at our unconsolidated joint ventures. Results improved at The Verge ($1,587,000), .408 Jackson ($273,000), and BC Realty ($110,000).

First Half Segment Operating Results
Multifamily Segment:

Total revenues for our two consolidated joint ventures were $10,910,000, an increase of $89,000 versus $10,821,000 in the same period last year. Total operating profit for the consolidated joint ventures was $2,342,000, an increase of $626,000, or 36% versus $1,716,000 in the same period last year primarily because of less depreciation expense.
For our three unconsolidated joint ventures, pro rata revenues were $7,578,000, an increase of $1,912,000 or 34% compared to $5,666,000 in the same period last year. Pro rata operating profit was $917,000, an increase of $654,000 or 249% versus $263,000 in the same period last year. For ease of comparison these figures and the table below include the results for Bryant Street and .408 Jackson from the same period last year (when these projects were still in our Development segment).
Apartment Building Units Pro rata NOI
YTD 2024
Pro rata NOI
YTD 2023
Avg. Occupancy YTD 2024 Avg. Occupancy CY 2023 Renewal Success Rate YTD 2024 Renewal % increase YTD 2024
Dock 79 Anacostia DC 305 $1,878,000 $1,873,000 94.2  % 94.4  % 65.3  % 3.5  %
Maren Anacostia DC 264 $1,847,000 $1,856,000 94.3  % 95.6  % 63.4  % 2.2  %
Bryant Street DC 487 $3,051,000 $2,385,000 92.0  % 93.0  % 58.3  % 3.6  %
Riverside Greenville 200 $439,000 $445,000 93.3  % 94.5  % 58.4  % 3.4  %
.408 Jackson Greenville 227 $638,000 $66,000 94.6  % 59.9  % 53.7  % 4.3  %
Multifamily Segment 1,483 $7,853,000 $6,625,000 93.5  % 88.9  %
The combined consolidated and unconsolidated Pro rata net operating income this quarter for this segment was $7,853,000, up $3,679,000 or 88% compared to $4,174,000 in the same period last year. Substantially all of this increase was from the transfer of Bryant Street and .408 Jackson from Development to this segment at the beginning of 2024 as same store NOI was more or less flat. These two projects contributed $3,689,000 of Pro rata NOI to this segment compared to $2,451,000 in the Development segment in the same period last year, an increase of $1,238,000.

Industrial and Commercial Segment:
Total revenues in this segment were $2,898,000, up $408,000 or 16%, over the same period last year. Operating profit was $1,052,000, up $347,000 or 49% from $705,000 in the same quarter last year. Revenues and operating profit are up because of full occupancy at 1841 62nd Street (which had only $11,000 of revenue in the first quarter last year) and the addition of 1941 62nd Street to this segment in March 2023. We now have nine buildings in service at three different locations totaling 515,077 square feet of industrial and 33,708 square feet of office. We were 95.6% leased and occupied during the entire period.
5


Net operating income in this segment was $2,346,000, up $716,000 or 44% compared to the same period last year partially due to $401,000 more unrealized rental revenue in the prior year due to rent abatements that expired in 2023.
Mining Royalty Lands Segment:
Total revenues in this segment were $6,194,000, a decrease of $352,000 or 5% versus $6,546,000 in the same period last year. Royalty tons were down 10%. Total operating profit in this segment was $5,089,000, a decrease of $433,000 versus $5,522,000 in the same period last year. Net operating income in this segment was $5,788,000, down $485,000 or 8% compared to the same period last year. Among the reasons for this decrease is a shift in production off our land in Manassas, but the primary factor in the decrease is the deduction of royalties to resolve an $842,000 overpayment which we referenced previously. Through the first two quarters of this year, the tenant has withheld $566,000 in royalties otherwise due to the Company.

Conference Call
The Company will host a conference call on Thursday, August 8, 2024 at 2:00 p.m. (EDT). Analysts, stockholders and other interested parties may access the teleconference live by calling 1-800-579-2543 (passcode 72219) within the United States. International callers may dial 1-785-424-1789 (passcode 72219). Audio replay will be available until August 22, 2024 by dialing 1-800-756-0554 within the United States. International callers may dial 1-402-220-7213. No passcode needed. 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 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 MidAtlantic and Florida; multifamily demand in Washington D.C. 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 residential apartment buildings.
6


FRP HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(In thousands except per share amounts)
(Unaudited)
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
2024 2023 2024 2023
Revenues:
Lease revenue $ 7,246  7,432  $ 14,416  14,264 
Mining royalty and rents 3,231  3,264  6,194  6,546 
Total revenues 10,477  10,696  20,610  20,810 
Cost of operations:
Depreciation/depletion/amortization 2,543  2,819  5,078  5,599 
Operating expenses 1,702  1,822  3,569  3,562 
Property taxes 860  879  1,667  1,826 
General and administrative 2,552  2,409  4,594  4,202 
Total cost of operations 7,657  7,929  14,908  15,189 
Total operating profit 2,820  2,767  5,702  5,621 
Net investment income 3,708  3,125  6,491  5,507 
Interest expense (829) (1,129) (1,740) (2,135)
Equity in loss of joint ventures (2,724) (4,047) (5,743) (7,672)
(Loss) gain on sale of real estate —  (2) — 
Income before income taxes 2,975  714  4,710  1,329 
Provision for income taxes 916  222  1,316  431 
Net income 2,059  492  3,394  898 
Income (loss) attributable to noncontrolling interest 15  (106) 49  (265)
Net income attributable to the Company $ 2,044  598  $ 3,345  $ 1,163 
Earnings per common share (1):
Net income attributable to the Company-
Basic $ .11  .03 $ .18  .06
Diluted $ .11  .03 $ .18  .06
Number of shares (in thousands) used in computing (1):
-basic earnings per common share 18,879 18,864 18,871 18,848
-diluted earnings per common share 18,948 18,932 18,958 18,926
(1)adjusted for the 2 for 1 stock split that occurred in April 2024
7


FRP HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited) (In thousands, except share data)
Assets: June 30
2024
December 31
2023
Real estate investments at cost:
Land $ 141,602  141,602 
Buildings and improvements 282,977  282,631 
Projects under construction 22,568  10,845 
Total investments in properties 447,147  435,078 
Less accumulated depreciation and depletion 72,734  67,758 
Net investments in properties 374,413  367,320 
Real estate held for investment, at cost 11,111  10,662 
Investments in joint ventures 161,391  166,066 
Net real estate investments 546,915  544,048 
Cash and cash equivalents 156,929  157,555 
Cash held in escrow 1,491  860 
Accounts receivable, net 1,827  1,046 
Federal and state income taxes receivable —  337 
Unrealized rents 1,905  1,640 
Deferred costs 2,188  3,091 
Other assets 601  589 
Total assets $ 711,856  709,166 
Liabilities:
Secured notes payable $ 178,779  178,705 
Accounts payable and accrued liabilities 7,303  8,333 
Other liabilities 1,487  1,487 
Federal and state income taxes payable 1,708  — 
Deferred revenue 762  925 
Deferred income taxes 68,356  69,456 
Deferred compensation 1,436  1,409 
Tenant security deposits 877  875 
Total liabilities 260,708  261,190 
Commitments and contingencies —  — 
Equity:
Common stock, $.10 par value
25,000,000 shares authorized,
19,030,474 and 18,968,448 shares issued
and outstanding, respectively
1,903  1,897 
Capital in excess of par value 67,980  66,706 
Retained earnings 349,227  345,882 
Accumulated other comprehensive income, net 22  35 
Total shareholders’ equity 419,132  414,520 
Noncontrolling interest 32,016  33,456 
Total equity 451,148  447,976 
Total liabilities and equity $ 711,856  709,166 
8


Multifamily Segment (Consolidated):
Three months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Lease revenue $ 5,496  100.0  % 5,545  100.0  % (49) -.9  %
Depreciation and amortization 1,981  36.0  % 2,268  40.9  % (287) -12.7  %
Operating expenses 1,519  27.6  % 1,557  28.1  % (38) -2.4  %
Property taxes 576  10.5  % 563  10.2  % 13  2.3  %
General and administrative 290  5.3  % 245  4.4  % 45  18.4  %
Cost of operations 4,366  79.4  % 4,633  83.6  % (267) -5.8  %
Operating profit $ 1,130  20.6  % 912  16.4  % 218  23.9  %
Multifamily Segment (Pro rata Unconsolidated):
Three months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Lease revenue $ 3,865  100.0  % 2,960  100.0  % 905  30.6  %
Depreciation and amortization 1,570  40.6  % 1,420  48.0  % 150  10.6  %
Operating expenses 1,371  35.5  % 1,169  39.5  % 202  17.3  %
Property taxes 416  10.8  % 318  10.7  % 98  30.8  %
Cost of operations 3,357  86.9  % 2,907  98.2  % 450  15.5  %
Operating profit $ 508  13.1  % 53  1.8  % 455  858.5  %
Industrial and Commercial Segment:
Three months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Lease revenue $ 1,445  100.0  % 1,420  100.0  % 25  1.8  %
Depreciation and amortization 360  25.0  % 359  25.3  % 0.3  %
Operating expenses 191  13.2  % 176  12.4  % 15  8.5  %
Property taxes 64  4.4  % 63  4.4  % 1.6  %
General and administrative 340  23.5  % 412  29.0  % (72) -17.5  %
Cost of operations 955  66.1  % 1,010  71.1  % (55) (5.4  %)
Operating profit $ 490  33.9  % 410  28.9  % 80  19.5  %
9


Mining Royalty Lands Segment:
Three months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Mining royalty and rent revenue $ 3,231  100.0  % 3,264  100.0  % (33) -1.0  %
Depreciation, depletion and amortization 159  4.9  % 151  4.6  % 5.3  %
Operating expenses 16  0.5  % 16  0.5  % —  — 
Property taxes 71  2.2  % 74  2.3  % (3) -4.1  %
General and administrative 342  10.6  % 291  8.9  % 51  17.5  %
Cost of operations 588  18.2  % 532  16.3  % 56  10.5  %
Operating profit $ 2,643  81.8  % 2,732  83.7  % (89) -3.3  %
Development Segment:
Three months ended June 30
(dollars in thousands) 2024 2023 Change
Lease revenue $ 305  467  (162)
Depreciation and amortization 43  41 
Operating expenses (24) 73  (97)
Property taxes 149  179  (30)
General and administrative 1,029  1,461  (432)
Cost of operations 1,197  1,754  (557)
Operating loss $ (892) (1,287) 395 
Multifamily Segment (Consolidated):
Six months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Lease revenue $ 10,910  100.0  % 10,821  100.0  % 89  .8  %
Depreciation and amortization 3,962  36.3  % 4,532  41.9  % (570) -12.6  %
Operating expenses 2,980  27.3  % 3,045  28.1  % (65) -2.1  %
Property taxes 1,100  10.1  % 1,094  10.1  % .5  %
General and administrative 526  4.8  % 434  4.0  % 92  21.2  %
Cost of operations 8,568  78.5  % 9,105  84.1  % (537) -5.9  %
Operating profit $ 2,342  21.5  % 1,716  15.9  % 626  36.5  %
10


Multifamily Segment (Pro rata Unconsolidated):
Six months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Lease revenue $ 7,578  100.0  % 5,666  100.0  % 1,912  33.7  %
Depreciation and amortization 3,132  41.3  % 2,685  47.4  % 447  16.6  %
Operating expenses 2,652  35.0  % 2,225  39.3  % 427  19.2  %
Property taxes 877  11.6  % 493  8.7  % 384  77.9  %
Cost of operations 6,661  87.9  % 5,403  95.4  % 1,258  23.3  %
Operating profit $ 917  12.1  % 263  4.6  % 654  248.7  %
Industrial and Commercial Segment:
Six months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Lease revenue $ 2,898  100.0  % 2,490  100.0  % 408  16.4  %
Depreciation and amortization 723  24.9  % 637  25.7  % 86  13.5  %
Operating expenses 406  14.0  % 317  12.7  % 89  28.1  %
Property taxes 127  4.4  % 123  4.9  % 3.3  %
General and administrative 590  20.4  % 708  28.4  % (118) -16.7  %
Cost of operations 1,846  63.7  % 1,785  71.7  % 61  3.4  %
Operating profit $ 1,052  36.3  % 705  28.3  % 347  49.2  %
Mining Royalty Lands Segment:
Six months ended June 30
(dollars in thousands) 2024 % 2023 % Change %
Mining royalty and rent revenue $ 6,194  100.0  % 6,546  100.0  % (352) -5.4  %
Depreciation, depletion and amortization 308  5.0  % 334  5.0  % (26) -7.8  %
Operating expenses 33  0.5  % 33  0.5  % —  — 
Property taxes 144  2.3  % 143  2.2  % 0.7  %
General and administrative 620  10.0  % 514  7.9  % 106  20.6  %
Cost of operations 1,105  17.8  % 1,024  15.6  % 81  7.9  %
Operating profit $ 5,089  82.2  % 5,522  84.4  % (433) -7.8  %
11


Development Segment:
Six months ended June 30
(dollars in thousands) 2024 2023 Change
Lease revenue $ 608  953  (345)
Depreciation and amortization 85  96  (11)
Operating expenses 150  167  (17)
Property taxes 296  466  (170)
General and administrative 2,307  2,546  (239)
Cost of operations 2,838  3,275  (437)
Operating loss $ (2,230) (2,322) 92 



The following table summarizes the Company’s investments in unconsolidated joint ventures (in thousands):
Common
Ownership
Total
Investment
Total Assets of
The Partnership
Profit (Loss)
Of the Partnership
The
Company's
Share of Profit
(Loss) of the
Partnership
As of June 30, 2024
Brooksville Quarry, LLC 50.00  % $ 7,528  14,548  (44) (22)
BC FRP Realty, LLC 50.00  % 5,783  22,708  (130) (65)
Buzzard Point Sponsor, LLC 50.00  % 2,402  4,804  —  — 
Bryant Street Partnerships 72.10  % 68,334  201,139  (4,594) (3,382)
Lending ventures 26,273  15,647  —  — 
BBX Partnerships 50.00  % 2,304  4,598  —  — 
Estero Partnership 16.00  % 3,655  38,520  —  — 
The Verge Partnership 61.37  % 38,568  128,752  (2,797) (1,717)
Greenville Partnerships 40.00  % 6,544  100,330  (1,392) (557)
Total $ 161,391  531,046  (8,957) (5,743)



12


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. We believe these non-GAAP measures provide useful information to our Board of Directors, management and investors regarding certain trends relating to our financial condition and results of operations. Our management uses these non-GAAP measures to compare our performance to that of prior periods for trend analyses, purposes of determining management incentive compensation and budgeting, forecasting and planning purposes. We provide Pro rata net operating income (NOI) because we believe it assists investors and analysts in estimating our economic interest in our consolidated and unconsolidated partnerships, when read in conjunction with our reported results under GAAP. This measure is not, and should not be viewed as, a substitute for GAAP financial measures.

Pro rata Net Operating Income Reconciliation
 Six months ended 06/30/24 (in thousands)
Industrial and
Commercial
Segment
Development
Segment
Multifamily
Segment
Mining
Royalties
Segment
Unallocated
Corporate
Expenses
FRP
Holdings
Totals
Net income (loss) $ 805  (1,115) (2,477) 3,876  2,305  3,394 
Income tax allocation 247  (343) (772) 1,191  993  1,316 
Income (loss) before income taxes 1,052  (1,458) (3,249) 5,067  3,298  4,710 
Less:
Unrealized rents 19  229  257 
Interest income 2,554  3,937  6,491 
Plus: — 
Professional fees 15  15 
Equity in loss of joint ventures —  1,782  3,939  22  5,743 
Interest expense —  —  1,652  —  88  1,740 
Depreciation/amortization 723  85  3,962  308  5,078 
General and administrative 590  2,307  526  620  551  4,594 
— 
Net operating income (loss) 2,346  162  6,836  5,788  —  15,132 
NOI of noncontrolling interest (3,111) (3,111)
Pro rata NOI from unconsolidated joint ventures 1,615  4,128  5,743 
Pro rata net operating income $ 2,346  1,777  7,853  5,788  —  17,764 
13


Pro rata Net Operating Income Reconciliation
Six months ended 06/30/23 (in thousands)
Industrial and
Commercial
Segment
Development
Segment
Multifamily
Segment
MiningRoyalties
Segment
Unallocated
Corporate
Expenses
FRP
Holdings
Totals
Net income (loss) $ 513  (5,257) (509) 4,018  2,133  898 
Income tax allocation 190  (1,950) (90) 1,490  791  431 
Income (loss) before income taxes 703  (7,207) (599) 5,508  2,924  1,329 
Less:
Unrealized rents 420  —  —  97  —  517 
Gain on sale of real estate —  —  —  10  —  10 
Interest income —  2,561  —  —  2,946  5,507 
Plus:            
Unrealized rents —  —  100  —  —  100 
Loss on sale of real estate —  —  —  — 
Professional fees —  —  59  —  —  59 
Equity in loss of joint ventures —  7,446  202  24  —  7,672 
Interest Expense —  —  2,113  —  22  2,135 
Depreciation/amortization 637  96  4,532  334  —  5,599 
General and administrative 708  2,546  434  514  —  4,202 
Net operating income (loss) 1,630  320  6,841  6,273  —  15,064 
NOI of noncontrolling interest —  —  (3,112) —  —  (3,112)
Pro rata NOI from unconsolidated joint ventures —  2,205  445  —  —  2,650 
Pro rata net operating income $ 1,630  2,525  4,174  6,273  —  14,602 

The following tables detail the Development and Multifamily Segment Pro rata NOI by project:

Development Segment:
Six months ended FRP
Portfolio
Bryant
Street
BC FRP
Realty, LLC
.408
Jackson
The
Verge
Total
Pro rata NOI
6/30/2024 $162  —  299  —  1,316  1,777 
6/30/2023 $320  2,385  189  66  (435) 2,525 
Multifamily Segment:
Six months ended Dock
79
The Maren Riverside .408
Jackson
Bryant
Street
Total
Pro rata NOI
6/30/2024 $1,878  1,847  439  638  3,051  7,853 
6/30/2023 $1,873  1,856  445  —  —  4,174