Tejon Ranch (US:TRC) Newsfilter·2024-08-06 13:15Core Insights - Tejon Ranch Co. reported financial results for the second quarter and first half of 2024, highlighting strategic efforts to unlock land value and diversify cash flow streams [1][4]. Financial Performance - For Q2 2024, the company achieved a net income of $1.0 million, or $0.04 per share, compared to $0.3 million, or $0.01 per share, in Q2 2023, driven by $1.2 million in tax benefits [4][6]. - Year-to-date net income for the first six months of 2024 was $43,000, down from $2.0 million in the same period of 2023, with total revenues decreasing to $18.6 million from $23.2 million [6][4]. - Adjusted EBITDA for Q2 2024 was $5.1 million, up from $4.5 million in Q2 2023, reflecting improved operational performance [4][18]. Real Estate Development - The Terra Vista at Tejon multi-family apartment project is progressing, with 495 units planned and the first units expected to be available in Q2 2025 [2][3]. - The Tejon Ranch Commerce Center (TRCC) industrial portfolio consists of 2.8 million square feet of gross leasable area, fully leased, while the commercial portfolio is 95% leased [3][4]. Segment Performance - The mineral resources segment saw a revenue decrease of 47% year-over-year, primarily due to a decline in water sales revenue [6][4]. - Farming segment revenues dropped by 54% year-over-year, attributed to lower almond sales and reduced crop volumes [6][4]. Liquidity and Capital Resources - As of June 30, 2024, the company had total liquidity of $154.2 million, with a market capitalization of approximately $622.5 million and a debt-to-total market capitalization ratio of 27% [7][22]. - The company reported a total debt of $165.2 million, with a net debt to trailing twelve months adjusted EBITDA ratio of 6.5x [7][22]. Future Outlook - The company plans to continue its focus on commercial and industrial development, as well as residential projects, to meet regional housing needs [8][9].