Earnings release
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FOR IMMEDIATE RELEASE FRP Holdings, Inc. Reports Fiscal 2026 Third Quarter Results Mining Royalty Revenue Rises 10%; Multifamily NOI Remains Pressured; Industrial Leasing Remains the Near-Term Priority JACKSONVILLE, FL., November 5, 2026 – FRP Holdings, Inc. (NASDAQ: FRPH), a full-service real estate investment and development company with four distinct business segments including Multifamily, Industrial and Commercial, Development, and Mining Royalty Lands, today reported financial results for the quarter ended September 30, 2026. Key results for the quarter ended September 30, 2026 include: Q3 2026 Financial Highlights & Recent Developments: • Multifamily portfolio average occupancy was 93.0% across 1,827 units; pro rata NOI declined 12% year-over-year as concessions and operating expenses increased, and performance weakened at our Washington, DC properties. • Average Industrial & Commercial occupancy, excluding Chelsea, was 71.4% versus 72.4% a year earlier; quarter-end occupancy was 74.3% • Mining royalties were up 10% as a result of increases in both volume (up 6.9%) and revenue per ton (up 3.0%) • Industrial deliveries are advancing, with leasing and stabilization required to convert development investment into recurring NOI and FFO • Executed 126,682 square feet of industrial leasing activity, the most active quarter since Q2 2021 and more total leasing activity than Q2 2025-Q2 2026 combined. “Third quarter results reflect continued leasing challenges in our Washington, DC multifamily assets and Maryland industrial portfolio, higher G&A following the Altman acquisition, and lower interest income as we deploy cash into development and balances in our lending ventures decline,” said John Baker III, CEO of FRP Holdings. “Mining remained a strong contributor, with royalty revenue increasing approximately 10% year-over-year. Our priority is building industrial scale and converting our investments into recurring NOI, supported by the contribution of our multifamily and mining businesses. We executed approximately 127,000 square feet of industrial leasing activity this quarter, our most active quarter since Q2 2021. Our immediate focus is carrying that activity forward and improving performance across our operating portfolio.” Project Available for Lease Delivery / Acquisition Cranberry 127,482 SF Purchased 2019 Chelsea 258,279 SF Q2 2025 Lakeland 201,420 SF Est. Q4 2026 Davie 183,668 SF Est. Q4 2026 Camp Lake 379,315 SF Est. Q1 2027
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Baker continued, “Chelsea, Lakeland, Davie, and Camp Lake together represent approximately 1.0 million square-feet of industrial space. We expect Lakeland and Davie to be substantially complete in the fourth quarter of 2026, followed by Camp Lake in the first quarter of 2027. As these properties move through shell completion and lease-up, interest expense and property operating costs previously capitalized during construction, along with depreciation will weigh on reported earnings until rental income increases. At stabilization, we estimate these four assets will generate approximately $12 million in annual recurring pro rata NOI and $7 million in annual FFO. These estimates represent annual contributions at stabilization, and their timing will depend on leasing and ultimately rent commencement. We are also focused on leasing vacancies at Cranberry Business Park, which we estimate could contribute approximately $1 million in additional annual recurring NOI and FFO at full occupancy. Our three merchant build projects located in Delray, Florida and Hamilton and Parsippany, New Jersey, totaling 510,307 square feet where FRP owns a minority interest, are in the early stages of lease-up. We intend to monetize these investments following stabilization and recycle the proceeds into future industrial opportunities.” Operating Performance Snapshot (dollars in thousands) Metric Q3 2026 Q3 2025 Net Income Attributable to the Company ($165) $662 Pro Rata NOI $9,034 $9,523 Multifamily Pro Rata NOI $4,028 $4,570 Industrial & Commercial NOI $651 $904 Mining Royalty NOI $4,115 $3,756 Q3 Consolidated Results of Operations • Net loss attributable to the Company of $(165,000), or $(0.01) per share, versus net income of $662,000, or $0.03 per share. • Pro rata NOI was down 5% to $9.0 million versus $9.5 million in Q3 2025, with the decline driven by lower Multifamily, Industrial and Commercial, and Development NOI, partially offset by higher Mining Royalty NOI • Total revenues were $11.0 million, up 1.7%, as a 10% increase in mining royalty revenue and $49,000 of joint venture management fee revenue from the Altman platform helped to offset a 3% decline in lease revenue • G&A increased $1,007,000 versus Q3 2025, driven by higher personnel costs, higher legal fees and integration expenses following the Altman acquisition, partially offset by $365,000 of increased labor capitalization • Investment income decreased $1,018,000, reflecting $761,000 of lower interest income on cash balances due to lower average balances and interest rates, and $257,000 of lower lending venture income as outstanding loan balances declined. Multifamily Segment • Pro rata NOI in this segment was $4.0 million, down $542,000 or 12% versus Q3 2025. Although overall portfolio average occupancy was 93%, higher concessions and operating expenses, together with weaker performance at our Washington, DC properties, reduced NOI.
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• Bryant Street’s NOI was down $273,000, accounting for over 50% of the decline in NOI year-over-year, driven by a 240 bps decline in occupancy to 91.0%, along with higher operating expenses and increased concessions; Dock 79’s NOI was down $121,000 despite occupancy improving 120 bps to 95.0% due to higher rent concessions and increased operating expenses; The Maren’s NOI was down $71,000 with occupancy declining 50 bps to 93.6%; The Verge’s NOI was down $49,000 with occupancy declining 110 bps to 90.9% • Our Greenville assets remained steady with average overall occupancy above 95% • Renewal rate increases in our DC assets averaged 2.5%; while those in our Greenville assets averaged 4.5% Industrial and Commercial Segment • This segment’s NOI was $651,000, down $253,000 or 28% versus Q3 2025, primarily reflecting the expiration of the former Vulcan land lease at 21 Street ($183,000), along with vacancies in our Maryland assets • Excluding Chelsea, average occupancy for the quarter in our 9 existing in-service buildings was 71.4% versus 72.4% in Q3 2025, with the decline driven by non-renewing lease expirations. At quarter-end, the occupancy in our 9 existing in-service buildings was 74.3% as we added a new tenant during the quarter. • During Q3 2026, we signed 61,065 square feet of new leases, 59,828 square feet of renewals, and a 5,789-square-foot three- month extension, totaling 126,682 square feet. Leasing approximately 399,000 square feet of available space in our Maryland portfolio, which includes 13,710 square feet of office, remains a primary near-term opportunity to increase NOI Mining Royalty Segment • NOI was $4.1 million, up $359,000 or 10% year-over-year, with both volume and pricing trending favorably Development and Active Pipeline • At our Harford County residential lending venture, we sold 23 lots versus 20 lot sales in Q3 2025 (and have now sold 271 of the 344 lots and booked $7.8 million of interest and profit to date) • We expect our Lakeland and Davie warehouses to be substantially complete by the first of the year with Camp Lake to follow in the first quarter of 2027 • The Woven project in Greenville, SC (214 units with 13,500 sq ft of ground floor retail) is under construction with substantial completion expected late 2027 • Estero Phase 1 in the Naples/Ft. Myers, FL market is also under construction (296 multifamily units and 28,745 sq ft of retail) with substantial completion also expected late 2027 Merchant Platform • This was the third full quarter following the October 21, 2025, closing of the Altman Logistics Property acquisition • The acquired projects include warehouses in Delray Beach, FL (199,476 sq ft, completed Q1 2026; additional land for 392,976 sq ft in two warehouses); Hamilton, NJ (170,800 sq ft, completed Q2 2026); Parsippany, NJ (140,031 sq ft, completed Q3 2026); and Southwest Ranches, FL (335,617 sq ft; land acquired July 2026) • The acquisition added origination, construction, and asset management capabilities to support the growth of FRP’s industrial platform Year-to-Date Results st
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Nine Months Ended September 30, 2026 Nine-Month 2026 Financial Highlights: • Multifamily portfolio average occupancy was 92.8% versus 93.7% in the first nine months of last year • Industrial & Commercial NOI was $2.0 million, down 34%, reflecting the March 31, 2026 expiration of the former Vulcan land lease at 21 Street ($365,000) and lower occupancy at other properties • Mining royalties were up 12% over the same period last year (volume up 2.6%, revenue per ton up 10.2%) Operating Performance Snapshot (dollars in thousands) Metric YTD 2026 YTD 2025 Net Income Attributable to the Company ($1,111) $2,950 Pro Rata NOI $27,266 $28,575 Multifamily Pro Rata NOI $12,428 $13,937 Industrial & Commercial NOI $2,025 $3,053 Mining Royalty NOI $12,015 $10,705 Nine-Month Consolidated Results of Operations • The Company reported a net loss of $1,111,000 or $(0.06) per share, versus net income of $2,950,000 or $0.16 per share in the first nine months of 2025 • Pro rata NOI was down 5% to $27.3 million versus $28.6 million in the first nine months of 2025, with the decline driven by lower Multifamily, Industrial and Commercial and Development segment NOI, partially offset by higher Mining Royalty segment NOI • Total revenues were $32.6 million, up 2.2%, as a 12% increase in mining royalty revenue and $407,000 of joint venture management fee revenue from the Altman platform helped to offset a 5% decline in lease revenue • G&A increased $3,317,000 versus the first nine months of 2025, driven by higher personnel costs, higher audit fees, higher legal fees and integration expenses following the Altman acquisition, partially offset by $966,000 of increased labor capitalization • Investment income decreased $3,002,000, reflecting $2,030,000 of lower interest income on cash balances due to lower average balances and interest rates, and $972,000 of lower lending venture income as outstanding loan balances declined Multifamily Segment — Nine Months • Pro rata NOI in this segment was $12.4 million, down $1,509,000 or 11% versus the first nine months of 2025, as portfolio- wide average occupancy declined to 92.8% from 93.7% • The decline was predominantly concentrated in our DC assets: Bryant Street’s NOI was down $596,000 to $4,134,000 with occupancy declining 160 bps to 91.9%; The Verge’s NOI was down $309,000 to $1,793,000 with occupancy declining 260 bps to 90.3%; Dock 79’s NOI was down $364,000 to $2,474,000 with occupancy declining 250 bps to 92.5%; and The Maren’s NOI was down $221,000 to $2,320,000 with occupancy declining 60 bps to 93.2% st
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• Our Greenville assets remained steady with average occupancy above 95% • Renewal rate increases in our DC assets averaged 2.6%; while those in our Greenville assets averaged 3.0% Industrial and Commercial Segment — Nine Months • This segment’s NOI was $2,025,000, down $1,028,000 or 34% versus the first nine months of 2025, reflecting the March 31, 2026 expiration of the former Vulcan land lease at 21 Street ($365,000) and vacancies in our Maryland assets • Total revenues were $3,220,000, down $730,000 or 18% • Our operating profit before G&A was $246,000, down $1,181,000 or 83%, including $298,000 of Chelsea warehouse depreciation and carrying costs • Leasing up the Maryland portfolio remains the primary near-term NOI driver for the Company Mining Royalty Segment — Nine Months • NOI was $12.0 million, up $1,310,000 or 12% year-over-year, driven both by royalty tons (up 2.6%) and higher revenue per ton (up 10.2%). Development Segment — Nine Months • Operating profit before G&A was $514,000, up $2,316,000 versus an operating loss of $1,802,000 in the first nine months of 2025 • The improvement was driven by $407,000 of joint venture management fee revenue from the Altman platform and the prior year including $1,993,000 of Altman acquisition expenses, partially offset by $195,000 less capitalized real estate taxes st
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Conference Call The Company will host a conference call on Thursday, November 5, 2026, at 9:00 a.m. (ET). Analysts, stockholders and other interested parties may access the teleconference live by calling 1-888-506-0062 (passcode 616988) within the United States or by joining the webcast at https://www.webcaster5.com/Webcast/Page/3158/54289. International callers may dial 1-973- 528-0011 (passcode 616988). Audio replay will be available until November 5, 2027, by accessing it at the same link. The webcast replay will also be available on the Company’s investor relations page (https://investors.frpdev.com) following the call. Additional Information Our investor relations website is https://investors.frpdev.com and we encourage investors to use it as a way of easily finding information about us. We promptly make available on this website, free of charge, the reports that we file or furnish with the SEC, press releases, quarterly earnings presentations, investor presentations, and corporate governance information, and you may subscribe to Email Alerts to be notified of new information posted to this site. 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 our markets; 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; and construction costs; 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, and (iv) leasing and management of residential apartment buildings. Investor & Media Contacts Robert Winters or Nathan Skown FRPH@alpha-ir.com 312-445-2870
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Comparative Results of Operations for the three months ended September 30, 2026 and 2025 Consolidated Results (dollars in thousands) Three Months Ended September 30, 2026 2025 Change % Revenues: Lease revenue $ 6,873 7,086 (213) -3.0% Mining royalty and rents 4,040 3,689 351 9.5% Joint venture management fee revenue 49 — 49 Total revenues 10,962 10,775 187 1.7% Cost of operations: Depreciation, depletion and amortization 2,861 2,825 36 1.3% Operating expenses 2,340 3,304 (964) -29.2% Property taxes 1,043 955 88 9.2% General and administrative 3,335 2,328 1,007 43.3% Total cost of operations 9,579 9,412 167 1.8% Total operating profit 1,383 1,363 20 1.5% Investment income 1,351 2,369 (1,018) -43.0% Interest expense (700) (739) 39 -5.3% Equity in loss of joint ventures (2,492) (2,225) (267) 12.0% Gain on sale of real estate 27 — 27 Income before income taxes (431) 768 (1,199) -156.1% Provision for income taxes (50) 203 (253) -124.6% Net income (loss) (381) 565 (946) -167.4% Income (loss) attributable to noncontrolling interest (216) (97) (119) 122.7% Net income (loss) attributable to the Company$ (165) 662 (827) -124.9%
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Multifamily Segment (Pro rata consolidated and pro rata unconsolidated) Three months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 8,228 100.0% 8,466 100.0% (238) -2.8% Depreciation and amortization 3,511 42.7% 3,347 39.5% 164 4.9% Operating expenses 3,075 37.4% 2,842 33.6% 233 8.2% Property taxes 995 12.1% 1,021 12.1% (26) -2.5% Cost of operations 7,581 92.1% 7,210 85.2% 371 5.1% Operating profit before G&A $ 647 7.9% 1,256 14.8% (609) -48.5% Depreciation and amortization 3,511 3,347 164 Unrealized rents & other (130) (33) (97) Net operating income $ 4,028 49.0% 4,570 54.0% (542) -11.9% Apartment Building Units Pro rata NOI Q3 2026 Pro rata NOI Q3 2025 Avg. Occupancy Q3 2026 Avg. Occupancy Q3 2025 Renewal Success Rate Q3 2026 Renewal % increase Q3 2026 Dock 79 Anacostia DC 305 $817,000 $938,000 95.0% 93.8% 59.2% 5.6% Maren Anacostia DC 264 $725,000 $796,000 93.6% 94.1% 55.2% 2.7% Riverside Greenville 200 $208,000 $213,000 95.8% 92.0% 82.7% 1.8% Bryant Street DC 487 $1,376,000 $1,649,000 91.0% 93.4% 65.4% 2.0% .408 Jackson Greenville 227 $335,000 $358,000 94.7% 92.5% 65.0% 6.8% Verge Anacostia DC 344 $567,000 $616,000 90.9% 92.0% 64.2% 0.5% Multifamily Segment 1,827 $4,028,000 $4,570,000 93.0% 93.0%
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Multifamily Segment (Consolidated - Dock 79 & The Maren) Three months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 5,430 100.0% 5,556 100.0% (126) -2.3% Depreciation and amortization 2,011 37.0% 2,002 36.1% 9 .4% Operating expenses 1,910 35.2% 1,763 31.7% 147 8.3% Property taxes 618 11.4% 636 11.4% (18) -2.8% Cost of operations 4,539 83.6% 4,401 79.2% 138 3.1% Operating profit before G&A $ 891 16.4% 1,155 20.8% (264) -22.9% Multifamily Segment (Pro rata unconsolidated) Our Multifamily Segment has four unconsolidated joint ventures (Bryant Street, The Verge, Riverside, and .408 Jackson). Riverside was moved from the Development segment to the Multifamily segment in 2022, Bryant Street and .408 Jackson moved as of the beginning of 2024 and The Verge moved effective July 1, 2024, each upon reaching lease-up stabilization. Three months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 5,272 100.0% 5,440 100.0% (168) -3.1% Depreciation and amortization 2,410 45.7% 2,250 41.4% 160 7.1% Operating expenses 2,051 38.9% 1,894 34.8% 157 8.3% Property taxes 659 12.5% 675 12.4% (16) -2.4% Cost of operations 5,120 97.1% 4,819 88.6% 301 6.2% Operating profit before G&A $ 152 2.9% 621 11.4% (469) -75.5%
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Industrial and Commercial Segment Three months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 1,037 100.0% 1,229 100.0% (192) (15.6%) Depreciation and amortization 577 55.6% 567 46.2% 10 1.8% Operating expenses 255 24.6% 224 18.2% 31 13.8% Property taxes 137 13.2% 97 7.9% 40 41.2% Cost of operations 969 93.4% 888 72.3% 81 9.1% Operating profit before G&A $ 68 6.6% 341 27.7% (273) (80.1%) Depreciation and amortization 577 567 10 Unrealized revenues 6 (4) 10 Net operating income $ 651 62.8% $ 904 73.6% $ (253) (28.0%)
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Mining Royalty Lands Segment Results Three months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Mining royalty and rent revenue $ 4,040 100.0% 3,689 100.0% 351 9.5% Depreciation, depletion and amortization 230 5.6% 213 5.8% 17 8.0% Operating expenses 35 0.9% 17 0.5% 18 105.9% Property taxes 76 1.9% 75 2.0% 1 1.3% Cost of operations 341 8.4% 305 8.3% 36 11.8% Operating profit before G&A $ 3,699 91.6% 3,384 91.7% 315 9.3% Depreciation and amortization 230 213 17 Unrealized revenues 186 159 27 Net operating income $ 4,115 101.9% $ 3,756 101.8% $ 359 9.6% Development Segment Results Three months ended September 30, 2026 (dollars in thousands) 2026 2025 Change Lease revenue $ 406 301 105 Joint venture management fee revenue 49 — 49 Total revenues 455 301 154 Depreciation, depletion and amortization 43 43 — Operating expenses 140 1,300 (1,160) Property taxes 212 147 65 Cost of operations 395 1,490 (1,095) Operating profit before G&A $ 60 (1,189) 1,249
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Comparative Results of Operations for the Nine months ended September 30, 2026 and 2025 Consolidated Results (dollars in thousands) Nine Months Ended September 30, 2026 2025 Change % Revenues: Lease revenue $ 20,409 21,399 (990) -4.6% Mining royalty and rents 11,823 10,532 1,291 12.3% Joint venture management fee revenue 407 — 407 Total revenues 32,639 31,931 708 2.2% Cost of operations: Depreciation/depletion/amortization 8,626 8,158 468 5.7% Operating expenses 6,442 7,743 (1,301) -16.8% Property taxes 3,110 2,895 215 7.4% General and administrative 11,107 7,790 3,317 42.6% Total cost of operations 29,285 26,586 2,699 10.2% Total operating profit 3,354 5,345 (1,991) -37.2% Investment income 4,276 7,278 (3,002) -41.2% Interest expense (2,109) (2,258) 149 -6.6% Equity in loss of joint ventures (7,526) (6,635) (891) 13.4% Gain on sale of real estate 27 — 27 Income before income taxes (1,978) 3,730 (5,708) -153.0% Provision for income taxes (332) 907 (1,239) -136.6% Net income (loss) (1,646) 2,823 (4,469) -158.3% Income (loss) attributable to noncontrolling interest (535) (127) (408) 321.3% Net income (loss) attributable to the Company $ (1,111) 2,950 (4,061) -137.7%
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Multifamily Segment (Pro rata consolidated and pro rata unconsolidated) Nine months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 24,446 100.0% 25,238 100.0% (792) -3.1% Depreciation and amortization 10,246 41.9% 10,020 39.7% 226 2.3% Operating expenses 8,717 35.7% 8,158 32.3% 559 6.9% Property taxes 2,931 12.0% 2,999 11.9% (68) -2.3% Cost of operations 21,894 89.6% 21,177 83.9% 717 3.4% Operating profit before G&A $ 2,552 10.4% 4,061 16.1% (1,509) -37.2% Depreciation and amortization 10,246 10,020 226 Unrealized rents & other (370) (144) (226) Net operating income $ 12,428 50.8% 13,937 55.2% (1,509) -10.8% Apartment Building Units Pro rata NOI YTD 2026 Pro rata NOI YTD 2025 Avg. Occupancy YTD 2026 Avg. Occupancy YTD 2025 Renewal Success Rate YTD 2026 Renewal % increase YTD 2026 Dock 79 Anacostia DC 305 $2,474,000 $2,838,000 92.5% 95.0% 63.6% 5.0% Maren Anacostia DC 264 $2,320,000 $2,541,000 93.2% 93.8% 60.1% 3.7% Riverside Greenville 200 $675,000 $650,000 96.7% 92.6% 70.7% 0.9% Bryant Street DC 487 $4,134,000 $4,730,000 91.9% 93.5% 61.8% 1.8% .408 Jackson Greenville 227 $1,032,000 $1,076,000 94.9% 94.9% 55.0% 4.8% Verge Anacostia DC 344 $1,793,000 $2,102,000 90.3% 92.9% 65.4% 0.9% Multifamily Segment 1,827 $12,428,000 $13,937,000 92.8% 93.7%
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Multifamily Segment (Consolidated - Dock 79 and The Maren) Nine months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 16,064 100.0% 16,547 100.0% (483) -2.9% Depreciation and amortization 6,027 37.6% 5,932 35.8% 95 1.6% Operating expenses 5,259 32.7% 4,875 29.5% 384 7.9% Property taxes 1,852 11.5% 1,919 11.6% (67) -3.5% Cost of operations 13,138 81.8% 12,726 76.9% 412 3.2% Operating profit before G&A $ 2,926 18.2% 3,821 23.1% (895) -23.4% Multifamily Segment (Pro rata unconsolidated) Our Multifamily Segment has four unconsolidated joint ventures (Bryant Street, The Verge, Riverside, and .408 Jackson). Riverside was moved from the Development segment to the Multifamily segment in 2022, Bryant Street and .408 Jackson moved as of the beginning of 2024 and The Verge moved effective July 1, 2024, each upon reaching lease-up stabilization. Nine months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 15,694 100.0% 16,225 100.0% (531) -3.3% Depreciation and amortization 6,944 44.2% 6,768 41.7% 176 2.6% Operating expenses 5,925 37.8% 5,560 34.3% 365 6.6% Property taxes 1,923 12.3% 1,954 12.0% (31) -1.6% Cost of operations 14,792 94.3% 14,282 88.0% 510 3.6% Operating profit before G&A $ 902 5.7% 1,943 12.0% (1,041) -53.6%
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Industrial and Commercial Segment Nine months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Lease revenue $ 3,220 100.0% 3,950 100.0% (730) (18.5%) Depreciation and amortization 1,743 54.2% 1,529 38.7% 214 14.0% Operating expenses 840 26.1% 687 17.4% 153 22.3% Property taxes 391 12.1% 307 7.8% 84 27.4% Cost of operations 2,974 92.4% 2,523 63.9% 451 17.9% Operating profit before G&A $ 246 7.6% 1,427 36.1% (1,181) (82.8%) Depreciation and amortization 1,743 1,529 214 Unrealized revenues 36 97 (61) Net operating income $ 2,025 62.9% $ 3,053 77.3% $ (1,028) (33.7%)
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Mining Royalty Lands Segment Results Nine months ended September 30, 2026 (dollars in thousands) 2026 % 2025 % Change % Mining royalty and rent revenue $ 11,823 100.0% 10,532 100.0% 1,291 12.3% Depreciation, depletion and amortization 727 6.2% 568 5.4% 159 28.0% Operating expenses 92 0.8% 49 0.5% 43 87.8% Property taxes 229 1.9% 226 2.1% 3 1.3% Cost of operations 1,048 8.9% 843 8.0% 205 24.3% Operating profit before G&A $ 10,775 91.1% 9,689 92.0% 1,086 11.2% Depreciation and amortization 727 568 159 Unrealized revenues 513 448 65 Net operating income $ 12,015 101.6% $ 10,705 101.6% $ 1,310 12.2% Development Segment Results Nine months ended September 30, 2026 (dollars in thousands) 2026 2025 Change Lease revenue $ 1,125 902 223 Joint venture management fee revenue 407 — 407 Total revenues 1,532 902 630 Depreciation, depletion and amortization 129 129 — Operating expenses 251 2,132 (1,881) Property taxes 638 443 195 Cost of operations 1,018 2,704 (1,686) Operating profit before G&A $ 514 (1,802) 2,316
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CONSOLIDATED BALANCE SHEETS – (In thousands, except share data)
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Assets: September 30, 2026 December 31, 2025 Real estate investments at cost: Land $ 182,846 182,936 Buildings and improvements 310,640 309,132 Projects under construction 112,839 45,032 Total investments in properties 606,325 537,100 Less accumulated depreciation and depletion 97,169 88,558 Net investments in properties 509,156 448,542 Real estate held for investment, at cost 12,983 12,626 Investments in joint ventures 165,766 153,084 Net real estate investments 687,905 614,252 Cash, cash equivalents and restricted cash including $11,706 and $11,394 of restricted cash at September 30, 2026 and December 31, 2025, respectively 73,180 105,361 Accounts receivable, net 2,057 1,874 Federal and state income taxes receivable 1,455 1,071 Unrealized rents 1,517 1,264 Deferred costs 3,509 3,768 Goodwill 6,893 6,893 Other assets 693 662 Total assets $ 777,209 735,145 Liabilities: Notes payable, net $ 231,666 192,554 Accounts payable and accrued liabilities 16,153 12,148 Other liabilities 1,552 2,317 Deferred revenue 3,850 3,356 Deferred income taxes 66,900 66,900 Deferred compensation 1,519 1,524 Tenant security deposits 789 689 Total liabilities 322,429 279,488 Commitments and contingencies Equity: Common stock, $.10 par value 25,000,000 shares authorized, 19,198,301 and 19,109,541 shares issued and outstanding, respectively 1,920 1,911 Capital in excess of par value 73,139 71,368 Retained earnings 354,099 355,210 Accumulated other comprehensive income, net 12 24 Total shareholders’ equity 429,170 428,513 Noncontrolling interests 25,610 27,144 Total equity 454,780 455,657 Total liabilities and equity $ 777,209 735,145
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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 operating profit before G&A and Pro rata net operating income (NOI) because we believe they assist investors and analysts in estimating our economic interest in our consolidated and unconsolidated partnerships, when read in conjunction with our reported results under GAAP. These measures are not, and should not be viewed as, a substitute for GAAP financial measures.
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Pro rata Net Operating Income Reconciliation Nine months ending 9/30/26 (in thousands) Industrial and Commercial Segment Development Segment Multifamily Segment Mining Royalties Segment Unallocated Corporate Expenses FRP Holdings Totals Net income (loss) $ 188 1,747 (4,830) 8,235 (6,986) (1,646) Income tax allocation 58 537 (1,319) 2,530 (2,138) (332) Income (loss) before income taxes 246 2,284 (6,149) 10,765 (9,124) (1,978) Less: Unrealized rents — — 289 — — 289 Management fee revenue — 407 — — — 407 Gain on sale of real estate — — — 27 — 27 Interest income — 1,810 19 — 2,447 4,276 Plus: Unrealized rents 36 — — 513 — 549 Professional fees — 11 140 — — 151 Equity in loss of joint ventures — 40 7,449 37 — 7,526 Interest expense — — 1,645 — 464 2,109 Depreciation/amortization 1,743 129 6,027 727 — 8,626 General and administrative — — — — 11,107 11,107 Net operating income (loss) 2,025 247 8,804 12,015 — 23,091 NOI of noncontrolling interest — — (4,010) — — (4,010) Pro rata NOI from unconsolidated joint ventures — 551 7,634 — — 8,185 Pro rata net operating income $ 2,025 798 12,428 12,015 — 27,266
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Pro rata Net Operating Income Reconciliation Nine months ending 9/30/25 (in thousands) Industrial and Commercial Segment Development Segment Multifamily Segment Mining Royalties Segment Unallocated Corporate Expenses FRP Holdings Totals Net income (loss) $ 1,092 948 (3,940) 7,385 (2,662) 2,823 Income tax allocation 335 291 (1,221) 2,269 (767) 907 Income (loss) before income taxes 1,427 1,239 (5,161) 9,654 (3,429) 3,730 Less: Unrealized rents — — — — — — Interest income — 2,782 10 — 4,486 7,278 Plus: Unrealized rents 97 — 20 448 — 565 Professional fees — 1,975 114 — — 2,089 Equity in loss of joint ventures — (259) 6,859 35 — 6,635 Interest expense — — 2,133 — 125 2,258 Depreciation/amortization 1,529 129 5,932 568 — 8,158 General and administrative — — — — 7,790 7,790 Net operating income (loss) 3,053 302 9,887 10,705 — 23,947 NOI of noncontrolling interest — — (4,508) — — (4,508) Pro rata NOI from unconsolidated joint ventures — 578 8,558 — — 9,136 Pro rata net operating income $ 3,053 880 13,937 10,705 — 28,575