FRP (FRPH) investor relations material

Executive summary

• Reported a net loss of $0.7 million ($0.04 per share) for Q1 2026, compared to net income of $1.7 million ($0.09 per share) in Q1 2025, driven by higher G&A expenses, lower interest income, and reduced occupancy in Multifamily and Industrial segments.

• Pro rata NOI decreased 5% year-over-year to $8.9 million, with declines in Multifamily and Industrial segments partially offset by strong Mining Royalty performance.

• Leasing activity and tenant engagement improved, with 53,000 sq ft signed or in LOI, representing $1 million in future annualized NOI.

• Integration of the Altman Logistics acquisition contributed to higher G&A expenses and expanded the development pipeline.

• Management is focused on improving leasing, controlling multifamily expenses, and executing on industrial development projects to drive future growth.

Financial highlights

• Pro rata NOI for Q1 2026 was $8.9 million, down from $9.4 million in Q1 2025; FFO was $3.6 million ($0.19 per share).

• Mining and Royalties segment generated $3.8 million of NOI, up 15% year-over-year, with volume up 7.9% and revenue per ton up 6.5%.

• Multifamily NOI was $4.1 million, down 12% year-over-year, with occupancy at 92.1%.

• Industrial & Commercial NOI was $758,000, down 33% year-over-year, with occupancy at 47.5% (69.9% excluding Chelsea Road).

• Total revenues increased 2.8% year-over-year to $10.6 million, while G&A expenses rose 58.5% to $4.1 million.

Outlook and guidance

• NOI for full year 2026 expected to remain stable at approximately $37 million.

• FFO expected to remain pressured in the near term due to lease-up timing, elevated costs, and higher interest expense, with improvement tied to industrial lease-up and development stabilization.

• Management expects to invest $69 million in existing holdings and joint ventures during the remainder of 2026 and $113 million beyond 2026, funded by cash, operations, property sales, JV distributions, or borrowings.

• Focus remains on increasing occupancy, controlling multifamily expenses, and advancing industrial development projects.

• Active development pipeline expected to reshape earnings profile over the next two years, with substantial completion of key warehouse projects in Florida and New Jersey expected between Q2 2026 and Q1 2027.