FPH Five Point Holdings LLC

Fourth Quarter 2024 Highlights

• Valencia sold 493 homesites on 54.4 acres of land for an aggregate purchase price of $137.9 million.
• Great Park Venture sold 372 homesites on 32.2 acres of land for an aggregate purchase price of $309.3 million.
• Great Park Venture distributions and incentive compensation payments to the Company totaled $121.5 million.
• Gateway Commercial Venture distribution to the Company of $17.2 million from proceeds generated by the sale of the Gateway Commercial Venture’s remaining interests in the Five Point Gateway Campus.
• Valencia builder sales of 74 homes during the quarter.
• Great Park builder sales of 143 homes during the quarter.
• Consolidated revenues of $159.8 million; consolidated net income of $121.0 million.
• Cash and cash equivalents of $430.9 million as of December 31, 2024.
• Debt to total capitalization ratio of 19.6% and liquidity of $555.9 million as of December 31, 2024.

Additional 2024 Highlights

• Great Park Venture recognized land sale revenue of $505.3 million from the sale of 12.8 acres of commercial land and 559 homesites on 56.1 acres of land.
• Great Park Venture distributions and incentive compensation payments to the Company totaled $231.0 million.
• Valencia builder sales of 348 homes during the year.
• Great Park builder sales of 441 homes during the year.
• Consolidated revenues of $237.9 million; consolidated net income of $177.6 million.
• In January 2024, exchanged $623.5 million of existing 7.875% Senior Notes due November 2025 for $100.0 million in cash and $523.5 million in new 10.500% initial rate Senior Notes due January 2028.
• In April 2024, S&P Global Ratings upgraded our outlook to stable, upgraded our senior notes rating to B, and upgraded our corporate rating to B-.
• In September 2024, renewed the development management agreement with Great Park Venture through December 31, 2026.

Five Point Holdings, LLC (“Five Point” or the “Company”) (NYSE:FPH), an owner and developer of large mixed-use planned communities in California, today reported its fourth quarter and year-end 2024 results.

Dan Hedigan, Chief Executive Officer, said, “I am pleased to report that we finished 2024 strong, with consolidated net income for the quarter of $121.0 million, giving us consolidated net income for the year of $177.6 million and total cash and cash equivalents of $430.9 million and total liquidity of $555.9 million as of year-end. This is our seventh consecutive quarter reporting net income, and the net income numbers for the quarter and the full year represent new high-water marks for the Company.

During the quarter, we saw multiple significant residential land sales close at both our Valencia and Great Park Neighborhoods communities, and our Gateway Commercial Venture sold its remaining interests in the Five Point Gateway Campus to City of Hope. Although the interest rate environment is still uncertain, homebuilder demand for our land remains strong. Successful execution on our key operating priorities over the past few years has positioned us to seek out new growth opportunities, which will be an important initiative for the Company in 2025. Based on our current expectations, we believe that we will see consolidated annual net income for 2025 exceed 2024, with annual earnings growth of approximately 10%, bringing us close to $200 million in net income.”

Consolidated Results

Liquidity and Capital Resources

As of December 31, 2024, total liquidity of $555.9 million was comprised of cash and cash equivalents totaling $430.9 million and borrowing availability of $125.0 million under our unsecured revolving credit facility. Total capital was $2.2 billion, reflecting $3.1 billion in assets and $0.9 billion in liabilities and redeemable noncontrolling interests.

Results of Operations for the Three Months Ended December 31, 2024

Revenues. Revenues of $159.8 million for the three months ended December 31, 2024 were primarily generated from land sales at our Valencia segment. At Valencia we closed the sale of land entitled for an aggregate of 493 homesites on 54.4 acres. The fixed base purchase price of $137.9 million was paid at closing.

Equity in earnings from unconsolidated entities. Equity in earnings from unconsolidated entities was $87.5 million for the three months ended December 31, 2024. The Great Park Venture generated net income of $217.7 million during the three months ended December 31, 2024, and our share of the net income from our 37.5% percentage interest, adjusted for basis differences, was $74.6 million. Additionally, we recognized $13.0 million in earnings from our 75% interest in the Gateway Commercial Venture.

During the three months ended December 31, 2024, the Great Park Venture sold 372 homesites on 32.2 acres of land at the Great Park Neighborhoods for an aggregate purchase price of $309.3 million. The Great Park Venture made aggregate distributions of $255.2 million to holders of Percentage Interests during the three months ended December 31, 2024. We received $95.7 million for our 37.5% Percentage Interest.

During the three months ended December 31, 2024, the Gateway Commercial Venture sold its remaining interests in the Five Point Gateway Campus, which included an approximately 189,000 square foot office building and approximately 50 acres of commercial land with additional development rights at the Five Point Gateway Campus, for a purchase price of $88.5 million. The purchase price consisted of $45.0 million in cash paid at closing and a $43.5 million note that matures in December 2026. After retiring the Gateway Commercial Venture’s outstanding debt, the Gateway Commercial Venture made distributions to its members, of which we received $17.2 million.

Upon completion of the asset sale, the Company’s property management agreement with the Gateway Commercial Venture was terminated and the Company is no longer managing any commercial operations at the Five Point Gateway Campus. Although the Gateway Commercial Venture no longer has any commercial operations, the Company’s investment in the Gateway Commercial Venture will remain outstanding through the maturity date of the note that was received as consideration on the sale.

Selling, general, and administrative. Selling, general, and administrative expenses were $14.2 million for the three months ended December 31, 2024.

Net income. Consolidated net income for the quarter was $121.0 million. Net income attributable to noncontrolling interests totaled $74.5 million, resulting in net income attributable to the Company of $46.5 million. Net income attributable to noncontrolling interests represents the portion of income allocated to related party partners and members that hold units of the operating company and the San Francisco Venture. Holders of units of the operating company and the San Francisco Venture can redeem their interests for either, at our election, our Class A common shares on a one-for-one basis or cash. In connection with any redemption or exchange, our ownership of our operating subsidiaries will increase thereby reducing the amount of income allocated to noncontrolling interests in subsequent periods.

Results of Operations for the Twelve Months Ended December 31, 2024

Revenues. Revenues of $237.9 million for the twelve months ended December 31, 2024 were primarily generated from land sales at our Valencia segment and from management services. At Valencia we closed the sale of land entitled for an aggregate of 493 homesites on 54.4 acres. The fixed base purchase price of $137.9 million was paid at closing.

Equity in earnings from unconsolidated entities. Equity in earnings from unconsolidated entities was $132.6 million for the twelve months ended December 31, 2024. The Great Park Venture generated net income of $349.2 million during the twelve months ended December 31, 2024, and our share of the net income from our 37.5% percentage interest, adjusted for basis differences, was $119.8 million. Additionally, we recognized $12.3 million in earnings from our 75% interest in the Gateway Commercial Venture generated from a gain on the sale of its assets at the Five Point Gateway Campus as described above.

During the twelve months ended December 31, 2024, the Great Park Venture closed two commercial land sales planned for retail uses totaling 12.8 acres for an aggregate purchase price of $25.4 million and sold 559 homesites on 56.1 acres of land at the Great Park Neighborhoods for an aggregate purchase price of $480.0 million. The Great Park Venture made aggregate distributions of $18.1 million to holders of Legacy Interests and $485.1 million to holders of Percentage Interests during the twelve months ended December 31, 2024. We received $181.9 million for our 37.5% Percentage Interest.

Selling, general, and administrative. Selling, general, and administrative expenses were $51.2 million for the twelve months ended December 31, 2024.

Net income. Consolidated net income for the year was $177.6 million. Net income attributable to noncontrolling interests totaled $109.3 million, resulting in net income attributable to the Company of $68.3 million.

Conference Call Information

In conjunction with this release, Five Point will host a conference call on Thursday, January 23, 2025 at 5:00 p.m. Eastern Time. Interested investors and other parties can listen to a live Internet audio webcast of the conference call that will be available on the Five Point website at ir.fivepoint.com. The conference call can also be accessed by dialing (877) 451-6152 (domestic) or (201) 389-0879 (international). A telephonic replay will be available starting approximately three hours after the end of the call by dialing (844) 512-2921, or for international callers, (412) 317-6671. The passcode for the live call and the replay is 13751213. The telephonic replay will be available until 11:59 p.m. Eastern Time on February 1, 2025.

About Five Point

Five Point, headquartered in Irvine, California, designs and develops large mixed-use planned communities in Orange County, Los Angeles County, and San Francisco County that combine residential, commercial, retail, educational, and recreational elements with public amenities, including civic areas for parks and open space. Five Point’s communities include the Great Park Neighborhoods® in Irvine, Valencia® in Los Angeles County, and Candlestick® and The San Francisco Shipyard® in the City of San Francisco. These communities are designed to include up to approximately 40,000 residential homes and up to approximately 23 million square feet of commercial space.

Forward-Looking Statements

This press release contains forward-looking statements that are subject to risks and uncertainties. These statements concern expectations, beliefs, projections, plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. When used, the words “anticipate,” “believe,” “expect,” “intend,” “may,” “might,” “plan,” “estimate,” “project,” “should,” “will,” “would,” “result” and similar expressions that do not relate solely to historical matters are intended to identify forward-looking statements. Forward-looking statements include, among others, statements that refer to: our expectations of our future home sales and/or builder sales; the impact of inflation and interest rates; our future revenues, costs and financial performance, including with respect to cash generation and profitability; and future demographics and market conditions, including housing supply levels, in the areas where our communities are located. We caution you that any forward-looking statements included in this press release are based on our current views and information currently available to us. Forward-looking statements are subject to risks, trends, uncertainties and factors that are beyond our control. Some of these risks and uncertainties are described in more detail in our filings with the SEC, including our Annual Report on Form 10-K, under the heading “Risk Factors.” Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or projected. We caution you therefore against relying on any of these forward-looking statements. While forward-looking statements reflect our good faith beliefs, they are not guarantees of future performance. They are based on estimates and assumptions only as of the date hereof. We undertake no obligation to update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes, except as required by applicable law.

FIVE POINT HOLDINGS, LLC

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except share and per share amounts)

(Unaudited)

 

 

Three Months Ended

December 31,

 

Twelve Months Ended

December 31,

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

REVENUES:

 

 

 

 

 

 

 

Land sales

$

137,883

 

 

$

100,111

 

 

$

139,097

 

 

$

160,796

 

Land sales—related party

 

—

 

 

 

—

 

 

 

—

 

 

 

595

 

Management services—related party

 

21,369

 

 

 

18,109

 

 

 

96,404

 

 

 

47,621

 

Operating properties

 

534

 

 

 

539

 

 

 

2,425

 

 

 

2,720

 

Total revenues

 

159,786

 

 

 

118,759

 

 

 

237,926

 

 

 

211,732

 

COSTS AND EXPENSES:

 

 

 

 

 

 

 

Land sales

 

90,109

 

 

 

66,684

 

 

 

90,109

 

 

 

105,651

 

Management services

 

4,385

 

 

 

7,751

 

 

 

23,852

 

 

 

22,170

 

Operating properties

 

1,035

 

 

 

1,846

 

 

 

5,134

 

 

 

6,167

 

Selling, general, and administrative

 

14,220

 

 

 

13,095

 

 

 

51,233

 

 

 

51,495

 

Total costs and expenses

 

109,749

 

 

 

89,376

 

 

 

170,328

 

 

 

185,483

 

OTHER INCOME (EXPENSE):

 

 

 

 

 

 

 

Interest income

 

2,283

 

 

 

2,688

 

 

 

10,858

 

 

 

7,230

 

Miscellaneous

 

(120

)

 

 

(1,809

)

 

 

(5,977

)

 

 

(776

)

Total other income

 

2,163

 

 

 

879

 

 

 

4,881

 

 

 

6,454

 

EQUITY IN EARNINGS FROM UNCONSOLIDATED ENTITIES

 

87,546

 

 

 

24,041

 

 

 

132,617

 

 

 

76,595

 

INCOME BEFORE INCOME TAX PROVISION

 

139,746

 

 

 

54,303

 

 

 

205,096

 

 

 

109,298

 

INCOME TAX (PROVISION) BENEFIT

 

(18,757

)

 

 

4,434

 

 

 

(27,462

)

 

 

4,418

 

NET INCOME

 

120,989

 

 

 

58,737

 

 

 

177,634

 

 

 

113,716

 

LESS NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS

 

74,496

 

 

 

28,981

 

 

 

109,337

 

 

 

58,322

 

NET INCOME ATTRIBUTABLE TO THE COMPANY

$

46,493

 

 

$

29,756

 

 

$

68,297

 

 

$

55,394

 

 

 

 

 

 

 

 

 

NET INCOME ATTRIBUTABLE TO THE COMPANY PER CLASS A SHARE

 

 

 

 

 

 

 

Basic

$

0.67

 

 

$

0.43

 

 

$

0.98

 

 

$

0.80

 

Diluted

$

0.65

 

 

$

0.39

 

 

$

0.96

 

 

$

0.76

 

WEIGHTED AVERAGE CLASS A SHARES OUTSTANDING

 

 

 

 

 

 

 

Basic

 

69,318,760

 

 

 

68,919,591

 

 

 

69,224,327

 

 

 

68,826,340

 

Diluted

 

147,357,691

 

 

 

145,331,135

 

 

 

146,944,944

 

 

 

145,131,125

 

NET INCOME ATTRIBUTABLE TO THE COMPANY PER CLASS B SHARE

 

 

 

 

 

 

 

Basic and diluted

$

0.00

 

 

$

0.00

 

 

$

0.00

 

 

$

0.00

 

WEIGHTED AVERAGE CLASS B SHARES OUTSTANDING

 

 

 

 

 

 

 

Basic and diluted

 

79,233,544

 

 

 

79,233,544

 

 

 

79,233,544

 

 

 

79,233,544

 

FIVE POINT HOLDINGS, LLC

CONSOLIDATED BALANCE SHEETS

(In thousands, except shares)

(Unaudited)

 

 

December 31, 2024

 

December 31, 2023

ASSETS

 

 

 

INVENTORIES

$

2,298,080

 

 

$

2,213,479

 

INVESTMENT IN UNCONSOLIDATED ENTITIES

 

185,324

 

 

 

252,816

 

PROPERTIES AND EQUIPMENT, NET

 

29,487

 

 

 

29,145

 

INTANGIBLE ASSET, NET—RELATED PARTY

 

9,037

 

 

 

25,270

 

CASH AND CASH EQUIVALENTS

 

430,875

 

 

 

353,801

 

RESTRICTED CASH AND CERTIFICATES OF DEPOSIT

 

992

 

 

 

992

 

RELATED PARTY ASSETS

 

101,670

 

 

 

83,970

 

OTHER ASSETS

 

20,952

 

 

 

9,815

 

TOTAL

$

3,076,417

 

 

$

2,969,288

 

 

 

 

 

LIABILITIES AND CAPITAL

 

 

 

LIABILITIES:

 

 

 

Notes payable, net

$

525,737

 

 

$

622,186

 

Accounts payable and other liabilities

 

100,292

 

 

 

81,649

 

Related party liabilities

 

63,297

 

 

 

78,074

 

Deferred income tax liability, net

 

33,570

 

 

 

7,067

 

Payable pursuant to tax receivable agreement

 

173,424

 

 

 

173,208

 

Total liabilities

 

896,320

 

 

 

962,184

 

 

 

 

 

REDEEMABLE NONCONTROLLING INTEREST

 

25,000

 

 

 

25,000

 

CAPITAL:

 

 

 

Class A common shares; No par value; Issued and outstanding: December 31, 2024—69,369,234 shares; December 31, 2023—69,199,938 shares

 

 

 

Class B common shares; No par value; Issued and outstanding: December 31, 2024—79,233,544 shares; December 31, 2023—79,233,544 shares

 

 

 

Contributed capital

 

593,827

 

 

 

591,606

 

Retained earnings

 

157,077

 

 

 

88,780

 

Accumulated other comprehensive loss

 

(1,468

)

 

 

(2,332

)

Total members’ capital

 

749,436

 

 

 

678,054

 

Noncontrolling interests

 

1,405,661

 

 

 

1,304,050

 

Total capital

 

2,155,097

 

 

 

1,982,104

 

TOTAL

$

3,076,417

 

 

$

2,969,288

 

FIVE POINT HOLDINGS, LLC

SUPPLEMENTAL DATA

(In thousands)

(Unaudited)

 

Liquidity

 

 

December 31, 2024

Cash and cash equivalents

$

430,875

Borrowing capacity(1)

 

125,000

Total liquidity

$

555,875

(1)

As of December 31, 2024, no borrowings or letters of credit were outstanding on the Company’s $125.0 million revolving credit facility.

Debt to Total Capitalization and Net Debt to Total Capitalization

 

 

December 31, 2024

Debt(1)

$

524,994

 

Total capital

 

2,155,097

 

Total capitalization

$

2,680,091

 

Debt to total capitalization

 

19.6

%

 

 

Debt(1)

$

524,994

 

Less: Cash and cash equivalents

 

430,875

 

Net debt

 

94,119

 

Total capital

 

2,155,097

 

Total net capitalization

$

2,249,216

 

Net debt to total capitalization(2)

 

4.2

%

(1)

For purposes of this calculation, debt is the amount due on the Company’s notes payable before offsetting for capitalized deferred financing costs.

(2)

Net debt to total capitalization is a non-GAAP financial measure defined as net debt (debt less cash and cash equivalents) divided by total net capitalization (net debt plus total capital). The Company believes the ratio of net debt to total capitalization is a relevant and a useful financial measure to investors in understanding the leverage employed in the Company’s operations. However, because net debt to total capitalization is not calculated in accordance with GAAP, this financial measure should not be considered in isolation or as an alternative to financial measures prescribed by GAAP. Rather, this non-GAAP financial measure should be used to supplement the Company’s GAAP results.

Segment Results

The following tables reconcile the results of operations of our segments to our consolidated results for the three and twelve months ended December 31, 2024 (in thousands):

 

Three Months Ended December 31, 2024

 

Valencia

 

San Francisco

 

Great Park

 

Total reportable segments

 

Corporate and unallocated

 

Total under management

 

Removal of unconsolidated entities(1)

 

Total consolidated

REVENUES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Land sales

$

137,883

 

 

$

—

 

 

$

316,423

 

$

454,306

 

 

$

—

 

 

$

454,306

 

 

$

(316,423

)

 

$

137,883

 

Land sales—related party

 

—

 

 

 

—

 

 

 

2,790

 

 

2,790

 

 

 

—

 

 

 

2,790

 

 

 

(2,790

)

 

 

—

 

Management services—related party(2)

 

—

 

 

 

—

 

 

 

21,276

 

 

21,276

 

 

 

93

 

 

 

21,369

 

 

 

—

 

 

 

21,369

 

Operating properties

 

363

 

 

 

171

 

 

 

—

 

 

534

 

 

 

—

 

 

 

534

 

 

 

—

 

 

 

534

 

Total revenues

 

138,246

 

 

 

171

 

 

 

340,489

 

 

478,906

 

 

 

93

 

 

 

478,999

 

 

 

(319,213

)

 

 

159,786

 

COSTS AND EXPENSES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Land sales

 

90,109

 

 

 

—

 

 

 

77,814

 

 

167,923

 

 

 

—

 

 

 

167,923

 

 

 

(77,814

)

 

 

90,109

 

Management services(2)

 

—

 

 

 

—

 

 

 

4,385

 

 

4,385

 

 

 

—

 

 

 

4,385

 

 

 

—

 

 

 

4,385

 

Operating properties

 

1,035

 

 

 

—

 

 

 

—

 

 

1,035

 

 

 

—

 

 

 

1,035

 

 

 

—

 

 

 

1,035

 

Selling, general, and administrative

 

2,240

 

 

 

1,222

 

 

 

2,325

 

 

5,787

 

 

 

10,758

 

 

 

16,545

 

 

 

(2,325

)

 

 

14,220

 

Management fees—related party

 

—

 

 

 

—

 

 

 

22,512

 

 

22,512

 

 

 

—

 

 

 

22,512

 

 

 

(22,512

)

 

 

—

 

Total costs and expenses

 

93,384

 

 

 

1,222

 

 

 

107,036

 

 

201,642

 

 

 

10,758

 

 

 

212,400

 

 

 

(102,651

)

 

 

109,749

 

OTHER (EXPENSE) INCOME:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

—

 

 

 

18

 

 

 

1,159

 

 

1,177

 

 

 

2,265

 

 

 

3,442

 

 

 

(1,159

)

 

 

2,283

 

Miscellaneous

 

(120

)

 

 

—

 

 

 

—

 

 

(120

)

 

 

—

 

 

 

(120

)

 

 

—

 

 

 

(120

)

Total other (expense) income

 

(120

)

 

 

18

 

 

 

1,159

 

 

1,057

 

 

 

2,265

 

 

 

3,322

 

 

 

(1,159

)

 

 

2,163

 

EQUITY IN EARNINGS FROM UNCONSOLIDATED ENTITIES

 

13

 

 

 

—

 

 

 

—

 

 

13

 

 

 

12,964

 

 

 

12,977

 

 

 

74,569

 

 

 

87,546

 

SEGMENT PROFIT (LOSS)/INCOME BEFORE INCOME TAX PROVISION

 

44,755

 

 

 

(1,033

)

 

 

234,612

 

 

278,334

 

 

 

4,564

 

 

 

282,898

 

 

 

(143,152

)

 

 

139,746

 

INCOME TAX PROVISION

 

—

 

 

 

—

 

 

 

—

 

 

—

 

 

 

(18,757

)

 

 

(18,757

)

 

 

—

 

 

 

(18,757

)

SEGMENT PROFIT (LOSS)/NET INCOME

$

44,755

 

 

$

(1,033

)

 

$

234,612

 

$

278,334

 

 

$

(14,193

)

 

$

264,141

 

 

$

(143,152

)

 

$

120,989

 

(1)

Represents the removal of the Great Park Venture operating results, which are included in the Great Park segment operating results at 100% of the venture’s historical basis but are not included in our consolidated results as we account for our investment in the venture using the equity method of accounting.

After the sale of the Gateway Commercial Venture’s commercial operating assets in December 2024, the Company’s commercial segment is no longer operating. The Company has reported the equity in earnings from the Company’s investment in the Gateway Commercial Venture within the corporate and unallocated column in the table above.

(2)

The amounts for the Great Park segment represent the revenues and expenses attributable to the management company for providing services to the Great Park Venture as applicable.

 

Twelve Months Ended December 31, 2024

 

Valencia

 

San Francisco

 

Great Park

 

Total reportable segments

 

Corporate and unallocated

 

Total under management

 

Removal of unconsolidated entities(1)

 

Total consolidated

REVENUES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Land sales

$

139,097

 

 

$

—

 

 

$

590,170

 

$

729,267

 

 

$

—

 

 

$

729,267

 

 

$

(590,170

)

 

$

139,097

 

Land sales—related party

 

—

 

 

 

—

 

 

 

22,636

 

 

22,636

 

 

 

—

 

 

 

22,636

 

 

 

(22,636

)

 

 

—

 

Management services—related party(2)

 

—

 

 

 

—

 

 

 

95,955

 

 

95,955

 

 

 

449

 

 

 

96,404

 

 

 

—

 

 

 

96,404

 

Operating properties

 

1,747

 

 

 

678

 

 

 

—

 

 

2,425

 

 

 

—

 

 

 

2,425

 

 

 

—

 

 

 

2,425

 

Total revenues

 

140,844

 

 

 

678

 

 

 

708,761

 

 

850,283

 

 

 

449

 

 

 

850,732

 

 

 

(612,806

)

 

 

237,926

 

COSTS AND EXPENSES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Land sales

 

90,109

 

 

 

—

 

 

 

144,876

 

 

234,985

 

 

 

—

 

 

 

234,985

 

 

 

(144,876

)

 

 

90,109

 

Management services(2)

 

—

 

 

 

—

 

 

 

23,852

 

 

23,852

 

 

 

—

 

 

 

23,852

 

 

 

—

 

 

 

23,852

 

Operating properties

 

5,134

 

 

 

—

 

 

 

—

 

 

5,134

 

 

 

—

 

 

 

5,134

 

 

 

—

 

 

 

5,134

 

Selling, general, and administrative

 

10,356

 

 

 

4,883

 

 

 

11,033

 

 

26,272

 

 

 

35,994

 

 

 

62,266

 

 

 

(11,033

)

 

 

51,233

 

Management fees—related party

 

—

 

 

 

—

 

 

 

113,934

 

 

113,934

 

 

 

—

 

 

 

113,934

 

 

 

(113,934

)

 

 

—

 

Total costs and expenses

 

105,599

 

 

 

4,883

 

 

 

293,695

 

 

404,177

 

 

 

35,994

 

 

 

440,171

 

 

 

(269,843

)

 

 

170,328

 

OTHER (EXPENSE) INCOME:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

—

 

 

 

69

 

 

 

6,221

 

 

6,290

 

 

 

10,789

 

 

 

17,079

 

 

 

(6,221

)

 

 

10,858

 

Miscellaneous

 

(49

)

 

 

—

 

 

 

—

 

 

(49

)

 

 

(5,928

)

 

 

(5,977

)

 

 

—

 

 

 

(5,977

)

Total other (expense) income

 

(49

)

 

 

69

 

 

 

6,221

 

 

6,241

 

 

 

4,861

 

 

 

11,102

 

 

 

(6,221

)

 

 

4,881

 

EQUITY IN EARNINGS FROM UNCONSOLIDATED ENTITIES

 

483

 

 

 

—

 

 

 

—

 

 

483

 

 

 

12,347

 

 

 

12,830

 

 

 

119,787

 

 

 

132,617

 

SEGMENT PROFIT (LOSS)/INCOME BEFORE INCOME TAX PROVISION

 

35,679

 

 

 

(4,136

)

 

 

421,287

 

 

452,830

 

 

 

(18,337

)

 

 

434,493

 

 

 

(229,397

)

 

 

205,096

 

INCOME TAX PROVISION

 

—

 

 

 

—

 

 

 

—

 

 

—

 

 

 

(27,462

)

 

 

(27,462

)

 

 

—

 

 

 

(27,462

)

SEGMENT PROFIT (LOSS)/NET INCOME

$

35,679

 

 

$

(4,136

)

 

$

421,287

 

$

452,830

 

 

$

(45,799

)

 

$

407,031

 

 

$

(229,397

)

 

$

177,634

 

(1)

Represents the removal of the Great Park Venture operating results, which are included in the Great Park segment operating results at 100% of the venture’s historical basis but are not included in our consolidated results as we account for our investment in the venture using the equity method of accounting.

After the sale of the Gateway Commercial Venture’s commercial operating assets in December 2024, the Company’s commercial segment is no longer operating. The Company has recast the segment presentation for the full year to report the equity in earnings from the Company’s investment in the Gateway Commercial Venture within the corporate and unallocated column in the table above.

(2)

The amounts for the Great Park segment represent the revenues and expenses attributable to the management company for providing services to the Great Park Venture as applicable.

The table below reconciles the Great Park segment results to the equity in earnings from our investment in the Great Park Venture that is reflected in the consolidated statements of operations for the three and twelve months ended December 31, 2024 (in thousands):

 

Three Months Ended December 31, 2024

 

Twelve Months Ended December 31, 2024

Segment profit from operations

$

234,612

 

 

$

421,287

 

Less net income of management company attributed to the Great Park segment

 

16,891

 

 

 

72,103

 

Net income of the Great Park Venture

 

217,721

 

 

 

349,184

 

The Company’s share of net income of the Great Park Venture

 

81,645

 

 

 

130,944

 

Basis difference amortization, net

 

(7,076

)

 

 

(11,157

)

Equity in earnings from the Great Park Venture

$

74,569

 

 

$

119,787

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250123384577/en/

Investor Relations: Kim Tobler, 949-425-5211 Kim.Tobler@fivepoint.com or Media: Eric Morgan, 949-349-1088 Eric.Morgan@fivepoint.com