Stratus Properties ( (STRS) ) has released its Q3 earnings. Here is a breakdown of the information Stratus Properties presented to its investors.
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Stratus Properties Inc. is a real estate company focusing on residential and retail projects primarily in Austin, Texas, and other select Texas markets, known for developing and selling multi-family and single-family properties without exposure to commercial office space.
Stratus Properties reported a significant improvement in its financial performance for the third quarter and first nine months of 2024, with a notable reduction in net loss and a substantial increase in revenue compared to the previous year, primarily driven by increased property sales and leasing operations.
Key financial highlights include a reduction in net loss attributable to common stockholders to $0.4 million in Q3 2024 from $2.8 million in Q3 2023, and a turnaround to a net income of $2.5 million for the nine months of 2024 compared to a net loss of $13.9 million in the same period in 2023. The company’s revenues soared to $8.9 million in Q3 2024 from $3.7 million in Q3 2023, largely due to property sales like the Amarra Villas homes and increased rental income from newly operational projects like The Saint June. Additionally, the EBITDA improved significantly to $3.9 million for the first nine months of 2024 from a negative $9.9 million in the same period of 2023.
The company continues to focus on its construction and development projects, such as The Saint George and Holden Hills, and has completed significant sales at Magnolia Place, retaining potential future development opportunities without project debt. Stratus also maintains a healthy liquidity position with $19.6 million in cash and no outstanding debt on its revolving credit facility.
Looking ahead, Stratus management remains optimistic about improving real estate market conditions over the next year, bolstered by its strategic developments and robust financial position, despite the ongoing challenges in the real estate sector.
