FPH

Download the Complete Report Here Key Takeaways: 3Q FY26 results increasingly reflected ALCO’s post-citrus operating model, with the revenue base now centered on land-management activities. Revenue increased 7.7% y/y to $9.0 million from $8.4 million, as Land Management and Other Operations revenue rose to $7.9 million from $0.6 million, more than offsetting the 85.6% decline in Alico Citrus revenue to $1.1 million from $7.8 million following completion of the final significant citrus harvest. Net income improved to $2.1 million from a loss of $18.3 million y/y, while adjusted EBITDA was $4.6 million and FY26 guidance was raised to approximately $15 million. Beginning in 3Q FY26 (q/e June 30, 2026), ALCO also moved to a single reportable segment following substantial completion of the citrus wind-down, providing a structural marker that the citrus wind-down is substantially complete and the financial reporting increasingly reflects execution of the land-focused model. A key strategic development is ALCO’s new agricultural lease covering approximately 3,280 acres in Hendry County. The lease commenced July 1, 2026, and initially runs through June 30, 2027, with the lessee holding the right to extend it for an additional ten years. More importantly, the agreement includes an option to acquire approximately 3,280 acres for $29.52 million, or $9,000 per acre, if exercised by June 30, 2029, subject to annual escalation and certain acreage adjustments; an extended lease would push the option period through June 2031. Rather than choosing between leasing and selling the asset today, ALCO can therefore generate agricultural income while preserving exposure to future land-value realization. Recent transaction pricing continues to support upside to our agricultural land assumptions. The new purchase option is initially priced at approximately $9,000 per acre, while ALCO sold 3,546 acres during the first nine months of FY26 for $34.6 million, or approximately $9,761 per acre. Both sit materially above the $4,000-$5,000-per-acre assumptions used in the agricultural component of our valuation framework. The broad consistency between recent realized pricing and the new option value provides further evidence that these assumptions leave meaningful room for upside as additional acreage is monetized. While values will vary by location, infrastructure and development potential, the latest transaction evidence supports upside to conservative portfolio assumptions. Corkscrew Grove East Village has moved beyond the local entitlement milestone achieved in April and into the state and federal permitting phase, progressively reducing the regulatory discount embedded in ALCO’s largest development asset. Corkscrew Grove Villages encompasses approximately 4,660 acres and is planned as two master-planned villages supporting roughly 9,000 homes, including approximately 750 affordable units, and approximately 480,000 square feet of commercial uses. More than 6,000 surrounding acres are expected to enter permanent conservation. Following Collier County approval, the remaining process includes permits from the South Florida Water Management District, U.S. Army Corps of Engineers and U.S. Fish and Wildlife Service, with construction potentially beginning in 2028 or 2029 if approvals are obtained. The Citree acquisition increases ALCO’s control over future land monetization by consolidating full ownership of approximately 1,200 acres in DeSoto County. ALCO acquired the remaining 49% interest in Citree for $2.0 million in cash and assumed sole responsibility for approximately $3.3 million of debt that was already reflected on ALCO’s consolidated balance sheet, eliminating the minority interest and giving the company sole discretion over future leasing, sale or other land-use decisions. Following the Citree transaction and recent land sales, ALCO’s owned portfolio stands at approximately 47,300 acres. Full ownership also allows ALCO to retain a greater share of any future value creation from the property, subject to contingent consideration tied to a sale above $12,000 per acre within 24 months. We view the transaction as a strategic step toward simplifying the portfolio and increasing control over monetization timing. The post-citrus cost structure continues to normalize, improving the durability of the underlying operating model. G&A declined 21.2% y/y in 3Q to $2.3 million, driven by lower employee expenses and insurance premiums, while management continues to review overhead following the citrus wind-down. A new office lease is expected to generate additional savings beginning in 2Q FY27. As the remaining legacy citrus costs roll off, ALCO should operate against a lower and more predictable expense base while new lease and land-management revenues build. Adjusted EBITDA remained positive in 3Q FY26, while the raised full-year outlook highlights the timing variability of ALCO’s transformed earnings model. Adjusted EBITDA was $4.6 million in 3Q FY26 versus $19.3 million in the prior-year quarter, with the y/y decline primarily reflecting lower crop-insurance proceeds and a lower gain on property sales. For the first nine months of FY26, adjusted EBITDA totaled $24.2 million versus $25.3 million a year ago. Despite 9M results already exceeding the full-year outlook, ALCO raised FY26 adjusted EBITDA guidance to approximately $15 million from $14 million, with 4Q expected to be an EBITDA usage quarter as revenue steps down materially while recurring property taxes and G&A continue. Stronger liquidity extends ALCO’s operating runway through FY29 without requiring additional asset sales. Cash increased to $55.6 million at June 30 from $38.1 million at FY25-end, while total debt remained essentially unchanged at approximately $85.4 million and net debt declined to $29.8 million from $47.4 million. Working capital reached $50.6 million with a 7.96x current ratio, compared with $49.2 million and 9.56x at September 2025, while ALCO had approximately $92.5 million of available borrowings under its line of credit against a minimum liquidity requirement of $5.8 million. The company now expects to end FY26 with approximately $48 million of cash and $37 million of net debt, improved from prior guidance of $40 million and $45 million, respectively, while maintaining only the minimum required $2.5 million balance on its revolving credit facility. This liquidity gives ALCO greater flexibility to advance development projects on its own timeline rather than relying on near-term asset sales. Inventory also declined to $0.2 million from $4.2 million at FY25-end, while assets held for sale declined from $9.2 million to zero, further reflecting the runoff of the legacy citrus balance-sheet footprint. Land monetization continued to fund the transformation while supporting capital returns and a stronger cash position. Nine-month operating cash flow was $2.3 million versus $22.8 million last year, with the $20.5 million decline largely attributable to significantly higher crop-insurance proceeds received in FY25. Investing cash flow contributed $28.2 million, driven by $35.0 million of property-sale proceeds and partially offset by the $5.1 million Corkscrew advance, while financing outflows totaled $13.1 million, principally reflecting $10.0 million of share repurchases and the $2.0 million Citree acquisition. The company repurchased 245,399 shares, including 38,059 shares in 3Q, and paid approximately $1.1 million of dividends through 9M FY26, returning more than $11 million to shareholders while still increasing cash by $17.5 million since fiscal year-end. Shares outstanding declined to approximately 7.42 million, leaving the company with greater flexibility to balance shareholder returns, entitlement investment and future land monetization. Disclaimer: Exec Edge does not publish proprietary estimates, ratings, price targets, or investment recommendations. The valuation discussion below is illustrative only and is based on company filings, management commentary, and third-party data and estimates. It does not constitute a recommendation, price target, rating, or prediction of future pricing. While we do not publish a formal price target for ALCO, our analysis suggests potential upside from current levels. In light of ALCO’s transition to a land-management-focused business model, we apply a sum-of-the-parts framework combining discounted cash flow analysis for near-term development with risk-adjusted asset values for longer-dated development and agricultural land. Any implied upside reflects the output of this framework and should not be interpreted as a formal price target. We value ALCO using a sum-of-the-parts (SOTP) framework that reflects the company’s evolution into a diversified land platform with distinct asset components and risk profiles. Our approach separates value across near-term development projects with defined execution visibility, longer-dated development optionality embedded in the broader land base, and the long-duration value of agricultural land and royalty streams. Near-term development is valued using a conservative discounted cash flow methodology, while longer-dated development and agricultural land value are incorporated on a risk-adjusted basis to reflect timing, liquidity, and execution uncertainty. We believe this framework more appropriately captures ALCO’s underlying asset value than a single consolidated DCF, while maintaining disciplined underwriting and a clear linkage between upside and execution. Illustrative Valuation. Combining our base-case DCF with risk-adjusted contributions from longer-dated development and agricultural land value, and adjusting for net debt, supports an implied equity value modestly above the current share price. We therefore arrive at an illustrative valuation of approximately $50 per share. Importantly, this upside is driven primarily by execution and entitlement progress rather than discount-rate compression or multiple expansion. As regulatory milestones are achieved and development visibility improves, we see scope for incremental value recognition over time. Recent land transactions continue to support potential upside to ALCO’s underlying land valuation. ALCO’s remaining portfolio comprises approximately 47,300 acres, while recent transaction evidence continues to support values materially above the $4,000-$5,000 per acre agricultural assumptions embedded in our conservative NPV framework. The new 3,280-acre purchase option is initially priced at approximately $9,000 per acre, broadly consistent with recent agricultural land-sale values, while ALCO sold 3,546 acres during the first nine months of FY26 for approximately $34.6 million, or roughly $9,761 per acre. While values vary materially by location, infrastructure and development potential, recent realized and contractual pricing provides additional support for upside to the agricultural component of our SOTP. Read Exec Edge’s Initiation on Alico Here Subscribe to our Weekly Newsletter to Receive All Research Contact: Executives-Edge.com [email protected] The post Alico 3Q Revenue Jumps on Booming Land Management Strategy – Quarterly Update Report appeared first on ExecEdge.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management is pivoting the company from a pure-play California land developer to a diversified entity with a national residential asset management platform via the Hearthstone Venture. The strategic shift aims to create a business model with lower capital intensity and more recurring, predictable fee-based income to reduce dependency on the timing of lumpy land sales. Second quarter performance was anchored by a high-value $159.3 million commercial land sale at Great Park, achieving approximately $9 million per acre for a senior living development. Despite 'choppy and complicated' market conditions, management reports continued support for land values due to the extreme scarcity of entitled land in Southern California. The company maintains a strong balance sheet with a 16.2% debt-to-capital ratio, providing the flexibility to structure builder transactions that optimize land value through market cycles. Operational focus remains on advancing infrastructure at Valencia and San Francisco to ensure the company can respond efficiently as housing demand strengthens. Management reaffirmed its consolidated net income guidance of approximately $100 million for the full year, despite evolving market uncertainty. Remaining land sales for the fiscal year are currently expected to occur in the fourth quarter, though interest rates and affordability factors could impact specific timing. The company is preparing to initiate grading at the Candlestick project in San Francisco during the third quarter, targeting demand from the AI and technology sectors. Future growth at Valencia is supported by a pipeline that, upon approval of three additional villages, would bring the total to more than 10,000 entitled homesites. Capital allocation will continue to balance share repurchases against investments in the Hearthstone platform and legacy community development. The Great Park Venture closed a significant 17.7-acre sale for a senior living community, marking a strategic expansion into age-targeted product segments. Management noted that while home absorption has moderated from prior periods, builder engagement remains steady across active communities. The company successfully converted approximately 100 acres of commercial land into residential land at Great Park, which will be monetized in future periods. San Francisco operations are benefiting from a shift toward more business-friendly political leadership and a recovery in commercial leasing activity. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management acknowledged that while builders are not selling as fast as they were 12 months ago, they remain engaged due to the unique nature of entitled land. The company is willing to use creative transaction structures to help builders move forward without compromising on base land values. Management stated they are not seeing builders walk away from deals or request changes in terms within the Hearthstone portfolio. The stability is attributed to disciplined underwriting and the specific nature of the land banking transactions Hearthstone engages in. The company is actively exploring data center opportunities, particularly in Los Angeles, given the high demand for AI infrastructure. Management noted these projects are difficult to execute and take significant time, but their expertise in large-scale infrastructure makes them a capable partner.

This article first appeared on GuruFocus. Net Income: $29.9 million for the second quarter. Land Sale Revenue: $159.3 million from the sale of 17.7 acres of commercial land. Gross Margin on Land Sale: 76.5% from the Great Park Venture land sale. Management Services Revenue: $14.7 million, including $9.1 million from Great Park Venture management. Incentive Compensation: $5.8 million from Great Park and $5.6 million from Hearthstone. SG&A Expenses: $14.3 million, down from $15.6 million in the prior year. Cash and Cash Equivalents: $348.4 million at the end of the quarter. Total Liquidity: $565.9 million, including $217.5 million available on a revolving credit facility. Debt-to-Capital Ratio: 16.2% at the end of the quarter. Equity in Earnings from Unconsolidated Entities: $41 million, with $39.7 million from Great Park Venture. Home Sales at Great Park: 56 homes sold in the second quarter. Home Sales at Valencia: 78 homes sold in the second quarter. Assets Under Management (Hearthstone): $3.4 billion, with fee-paying assets at $2.8 billion. Warning! GuruFocus has detected 4 Warning Signs with FPH. Is FPH fairly valued? Test your thesis with our free DCF calculator. Release Date: July 23, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Five Point Holdings LLC (NYSE:FPH) generated a net income of $29.9 million for the second quarter, largely driven by a significant land sale at Great Park Ventures. The company ended the quarter with a strong liquidity position of $565.9 million, including $348.4 million in cash and cash equivalents. FPH's investment in the Hearthstone venture is expanding its capabilities beyond land development into land banking and asset management, providing multiple avenues for value creation. The company has a low debt-to-capital ratio of 16.2%, offering considerable financial flexibility. FPH's strategic focus on recurring revenue and lower capital intensity through Hearthstone is expected to make the business more diversified and predictable over time. Home sales in the Great Park and Valencia communities have moderated, with fewer homes sold in the second quarter compared to the first quarter. Market conditions remain uncertain, with potential impacts from interest rates and affordability factors affecting the timing of land sales. The company is cautious about pushing land sales due to slower home sales and is focused on optimizing land value, which may delay transactions. FPH's share repurchase activity is limited as the company balances buybacks against other capital allocation opportunities. The execution of data center projects is challenging due to regulatory and infrastructure complexities, making it uncertain if this opportunity will be pursued. Q: Are you sensing more cautiousness on the builder side, or are you planning for the next phase based on what you're seeing on the home sale front? A: Dan Hedigan, President and CEO, explained that while home sales are being closely monitored, there is still significant interest in their properties due to their unique entitlement in the market. Builders are still engaged, and the company is focused on optimizing land value rather than compromising on it. They are prepared to have conversations with builders to help structure deals that optimize land value. Q: What are you seeing on the builder side with your partners at Hearthstone regarding land banking? Are there any increases in walkaways or requests for changes in pricing or terms? A: Kim Tobler, CFO, stated that Hearthstone is still seeing good flow from builders, and there are no significant requests for changes in terms or pricing. This stability is attributed to Hearthstone's strong underwriting and the nature of their transactions. Q: Have you had any conversations related to selling land for data centers, and is that being contemplated across any of your assets? A: Mike Alvarado, COO, mentioned that while data centers are a topic of conversation, especially in Los Angeles, they are challenging to implement due to municipal regulations. However, the company is exploring this opportunity given the growing demand and their expertise in infrastructure delivery. Q: Can you provide more details on the timing of land sales in Great Park and Valencia? A: Dan Hedigan noted that while there is no immediate need to push sales, they are balancing the optimization of land value with builder engagement. Sales are expected to occur in the fourth quarter, but market conditions and interest rates could affect the timing. Q: How does the current housing market affect your share repurchase strategy? A: Kim Tobler explained that while they view their shares as attractive, they are balancing buybacks with other capital allocation opportunities, such as growing the Hearthstone platform and investing in legacy communities. Maintaining financial flexibility is deemed the right approach given the current market conditions. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Five Point Holdings, LLC? Here are five stocks we like better. Five Point posted Q2 2026 net income of $29.9 million, boosted by a $159.3 million commercial land sale at its Great Park Venture. The sale drove strong equity earnings and highlighted the value embedded in its master-planned communities. The company kept its full-year 2026 guidance at about $100 million in consolidated net income despite “choppy” market conditions. Management said land sales are still expected to close, with most remaining activity likely in the fourth quarter. Development continues across Five Point’s key projects, including Candlestick in San Francisco, Great Park, and Valencia. The company also ended the quarter with $565.9 million in total liquidity and said Hearthstone’s $3.4 billion in assets under management remained steady. Five Point (NYSE:FPH) reported second-quarter 2026 net income of $29.9 million, supported by a major commercial land sale at its Great Park Venture and continued contributions from its management services and asset management platforms. President and Chief Executive Officer Dan Hedigan said the company continued to make progress on its strategy to unlock value from its California master-planned communities while expanding into businesses designed to produce more recurring and predictable earnings. He pointed to Five Point’s investment in the Hearthstone Venture as a key part of that shift, describing it as an expansion beyond land development into land banking and asset management. → Could Truth API Become Trump Media’s First Meaningful Revenue Driver? “Together, these businesses provide multiple avenues for creating value and position us to participate more broadly in the home building ecosystem,” Hedigan said. The quarter’s results were driven in large part by the Great Park Venture’s sale of 17.7 acres of commercial land planned for a senior living retirement community. The land sold for $159.3 million, representing $9 million per acre, according to Hedigan. He said the transaction highlighted the value embedded in Five Point’s master-planned communities and the potential to add uses that complement the company’s traditional residential and commercial development. → 3 Photonics Companies Making Quantum Tech Possible Chief Financial Officer Kim Tobler said Five Point recognized $41 million of equity in earnings from unconsolidated entities during the quarter, including $39.7 million from the Great Park Venture. The Great Park Venture generated net income of $114.2 million, largely attributable to the land sale, which carried a 76.5% gross margin. Five Point also received $79.6 million in distributions and incentive compensation payments from its joint ventures during the quarter. Those included a $33.1 million distribution from the Gateway Venture, a $34.4 million distribution from the Great Park Venture, a $9.3 million incentive compensation payment from the Great Park Venture and $2.8 million from the Valencia land bank venture and other co-investments in Hearthstone-managed funds. → AeroVironment’s Stock Is Down, But Drone Demand Is Taking Off Hedigan said market conditions remain “somewhat choppy and complicated,” but that Five Point continues to see support for land values at its active communities. He said entitled land remains scarce in Southern California, and builders remain engaged at both Great Park and Valencia. The company maintained its prior guidance for approximately $100 million in consolidated net income for the year. Hedigan said Five Point currently believes its land sales will occur as expected, although timing could be affected by interest rates and affordability factors. He said the company expects remaining land sales activity for the year to occur in the fourth quarter. Hedigan said Five Point is not willing to compromise on land value but may work with builders on deal structures to help optimize land values through market cycles. “Builders are still selling in our communities, not as fast as they might have been 12 months ago,” he said during the question-and-answer portion of the call. Chief Operating Officer and Chief Legal Officer Mike Alvarado said builders sold 56 homes at the Great Park Neighborhoods during the second quarter, down from 82 homes in the first quarter. The community currently has 14 actively selling programs, with five additional programs expected to open later this year. Alvarado said Five Point has builders in various stages of due diligence and contracts for five new residential programs at Great Park totaling approximately 28.5 acres. He noted that some of those home sites are on land acquired from the city as part of a land exchange transaction that allowed the company to convert approximately 100 acres from commercial land into residential land. At Valencia, builders sold 78 homes during the second quarter, compared with 90 homes in the first quarter. The community has 12 builder programs open and actively selling, with five new programs expected to open during the remainder of the year. Alvarado said Five Point is finalizing documentation for residential land sales in 2026, though market conditions could affect timing. Since starting home site sales at Valencia in 2019, Five Point has sold more than 3,000 home sites, Alvarado said. He added that recently secured entitlement approvals for Entrada South and Valencia Commerce Center “significantly enhance” the long-term value and development potential of the community. Five Point is also pursuing regulatory approvals for three additional villages, which, together with existing entitlements, would bring its total to more than 10,000 entitled home sites. Alvarado said Five Point continues to advance the next phase of development at Candlestick in San Francisco. The company recorded subdivision maps for the next phase in June and is preparing to begin grading activities in the third quarter. Approvals received in 2024 and 2025 allow the project to include up to approximately 2.8 million square feet of research and development and technology-oriented office space, approximately 7,200 homes and approximately 550,000 square feet of retail, hotel, entertainment and other community uses. Alvarado said Five Point believes the timing for Candlestick is favorable due to factors including demand tied to artificial intelligence and technology activity, renewed focus from San Francisco political leadership on economic recovery and housing production, improving commercial leasing activity and strengthening residential fundamentals. He said Five Point controls “the only project of this scale” offering a potential campus location within San Francisco and within commuting distance of Silicon Valley. Five Point ended the quarter with $348.4 million in cash and cash equivalents and $217.5 million of availability under its revolving credit facility, for total liquidity of $565.9 million. Tobler said this figure does not include $229.6 million of cash held by the Great Park Venture as of June 30. The company’s total debt-to-capitalization ratio was 16.2%, and net debt was $101.6 million, with nothing drawn on the revolving credit facility. Significant uses of cash during the quarter included $18.6 million for the semiannual interest payment on senior notes, $32.2 million for development costs at Valencia and San Francisco, $2.2 million for EB-5 principal and interest payments and $3.1 million to repurchase approximately 623,000 Class A shares. Tobler said Five Point continues to view its shares as attractive but is balancing buybacks against other capital allocation priorities, including growing Hearthstone and investing in its legacy communities. Hearthstone’s assets under management and fee-paying assets under management remained unchanged at $3.4 billion and $2.8 billion, respectively. In response to a question about whether builders are walking away from land bank deals or seeking changes in terms, Tobler said Hearthstone is still seeing “good flow” from builders and is generally not seeing requests for changes. Asked about potential demand for land for data centers, Alvarado said Five Point has commercial business park uses in each of its three communities and is evaluating the opportunity. However, he said such projects are not easy to execute and it is “a little too early to say definitively” whether Five Point will pursue them. Five Point Holdings, L.P. (NYSE:FPH) is a California‐based master planned community developer specializing in residential, commercial and mixed‐use projects. Headquartered in Walnut Creek, the company focuses on acquiring and entitling raw land, designing infrastructure and delivering fully integrated neighborhoods that include single‐family homes, multifamily housing, retail centers, office space and community amenities. Since its formation in 2014, Five Point has concentrated its land development efforts in the San Francisco Bay Area and the Los Angeles Basin, targeting key growth corridors with large‐scale, long-term projects. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Five Point Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Second Quarter 2026 Highlights Great Park Venture sold 17.7 acres of commercial land planned for senior living uses for a purchase price of $159.3 million. Great Park Venture distributions and incentive compensation payments to the Company totaled $43.6 million. Gateway Commercial Venture distribution to the Company of $33.1 million. Great Park builder sales of 56 homes during the quarter. Valencia builder sales of 78 homes during the quarter. Consolidated revenues of $13.9 million; consolidated net income of $29.9 million. Cash and cash equivalents of $348.4 million as of June 30, 2026. Debt to total capitalization ratio of 16.2% and liquidity of $565.9 million as of June 30, 2026. IRVINE, Calif., July 23, 2026--(BUSINESS WIRE)--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 second quarter 2026 results. Dan Hedigan, President and Chief Executive Officer, said, "I am pleased to report that Five Point generated consolidated net income of $29.9 million in the second quarter and ended the quarter with total liquidity of $565.9 million, including $348.4 million of cash and cash equivalents. During the quarter, the Great Park Venture completed the sale of 17.7 acres planned for a senior living retirement community for $159.3 million, further demonstrating the substantial value embedded in our California communities. We also received $79.6 million in distributions and incentive compensation payments from our joint ventures, while continuing to grow our recurring management and investment income through our Hearthstone Venture and the Great Park Venture. These results reflect the progress we are making toward a more diversified and capital-efficient business model. Although housing market conditions remain uncertain, the scarcity of entitled land in our markets continues to support the long-term value of our communities. We remain actively engaged with builders regarding additional homesite sales, and we expect that our remaining land sales activity will occur during the fourth quarter, subject to market conditions. At this time, we are not updating or altering our prior guidance of approximately $100 million in consolidated net income for 2026." Consolidated Results Liquidity and Capital Resources As of June 30, 2026, total liquidity of $565.9 million was comprised of cash and cash equivalents totaling $348.4 million and borrowing availability of $217.5 million under our unsecured revolving credit facility. Total capital was $2.3 billion, reflecting $3.2 billion in assets and $0.9 billion in liabilities and redeemable noncontrolling interests. Results of Operations for the Three Months Ended June 30, 2026 Revenues. Revenues of $13.9 million for the three months ended June 30, 2026 were primarily generated from management services at our Great Park and Hearthstone segments. Equity in earnings from unconsolidated entities. Equity in earnings from unconsolidated entities was $41.0 million for the three months ended June 30, 2026. The Great Park Venture generated net income of $114.2 million during the three months ended June 30, 2026, and our share of the net income from our 37.5% percentage interest, adjusted for basis differences, was $39.7 million. During the three months ended June 30, 2026, the Great Park Venture sold 17.7 acres of commercial land planned for senior living uses at the Great Park Neighborhoods for a purchase price of $159.3 million. The Great Park Venture made aggregate distributions of $91.6 million to holders of percentage interests during the three months ended June 30, 2026. We received $34.4 million for our 37.5% percentage interest. Selling, general, and administrative. Selling, general, and administrative expenses were $14.3 million for the three months ended June 30, 2026. Net income. Consolidated net income for the quarter was $29.9 million. Net income attributable to noncontrolling interests totaled $19.1 million, resulting in net income attributable to the Company of $10.9 million. Net income attributable to noncontrolling interests primarily 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 or loss allocated to noncontrolling interests in subsequent periods. Conference Call Information In conjunction with this release, Five Point will host a conference call on Thursday, July 23, 2026 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 13761889. The telephonic replay will be available until 11:59 p.m. Eastern Time on August 2, 2026. 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 20 million square feet of commercial space. Five Point’s Hearthstone platform provides management services to residential land banking funds and oversees approximately $3.4 billion in assets under management. 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; future demographics and market conditions, including housing supply levels, in the areas where our communities are located; the timing and expected benefits of our share repurchase program and other planned and potential transactions and acquisitions; and other statements that are not historical in nature. 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. Segment Results The following tables reconcile the results of operations of our segments to our consolidated results for the three and six months ended June 30, 2026 (in thousands): 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 condensed consolidated statements of operations for the three and six months ended June 30, 2026 (in thousands): View source version on businesswire.com: https://www.businesswire.com/news/home/20260723800423/en/ Contacts Investor Relations:Kim Tobler, [email protected] or Media:Eric Morgan, [email protected]

Announces $40 Million Share Repurchase Authorization First Quarter 2026 Highlights Great Park builder sales of 82 homes during the quarter. Valencia builder sales of 90 homes during the quarter. Consolidated revenues of $13.6 million; consolidated net loss of $5.0 million. Cash and cash equivalents of $332.6 million as of March 31, 2026. Debt to total capitalization ratio of 16.3% and liquidity of $550.1 million as of March 31, 2026. IRVINE, Calif., April 23, 2026--(BUSINESS WIRE)--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 first quarter 2026 results. Dan Hedigan, President and Chief Executive Officer, said, "As expected, we began 2026 with a relatively quiet first quarter from a land sales perspective, reflecting the timing of transactions that we anticipate closing in the third and fourth quarters. During the first quarter, we generated $13.6 million in revenue and reported a consolidated net loss of $5.0 million, while maintaining a strong liquidity position of $550.1 million, including $332.6 million of cash and cash equivalents. Our balance sheet strength provides us with the flexibility to navigate the current market environment and to adjust the pace and structure of our land sales in order to protect long-term value. We are also pleased to announce that our Board of Directors has approved a $40 million share repurchase, which we believe represents an attractive opportunity to deploy capital given current share price levels. The size and structure of the authorized repurchase will provide us with the flexibility to repurchase shares while continuing to execute on our development activities and strategic growth initiatives. Looking ahead, we are maintaining our prior guidance for 2026 of approximately $100 million of consolidated net income for the full year." Consolidated Results Liquidity and Capital Resources As of March 31, 2026, total liquidity of $550.1 million was comprised of cash and cash equivalents totaling $332.6 million and borrowing availability of $217.5 million under our unsecured revolving credit facility. Total capital was $2.3 billion, reflecting $3.2 billion in assets and $0.9 billion in liabilities and redeemable noncontrolling interests. Results of Operations for the Three Months Ended March 31, 2026 Revenues. Revenues of $13.6 million for the three months ended March 31, 2026 were primarily generated from management services at our Great Park and Hearthstone segments. Selling, general, and administrative. Selling, general, and administrative expenses were $14.7 million for the three months ended March 31, 2026. Net loss. Consolidated net loss for the quarter was $5.0 million. Net loss attributable to noncontrolling interests totaled $2.7 million, resulting in net loss attributable to the Company of $2.2 million. Net loss attributable to noncontrolling interests primarily represents the portion of loss 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 or loss allocated to noncontrolling interests in subsequent periods. Share Repurchase Authorization Today, the Company announced that its Board of Directors authorized a share repurchase of up to $40 million of the Company’s outstanding Class A common shares, effective immediately. Repurchases may be made at management’s discretion from time to time on the open market, through privately negotiated transactions, or by other means, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), in accordance with applicable securities laws and other restrictions, including Rule 10b-18 under the Exchange Act. The share repurchase program has no expiration date and may be modified, suspended for periods or discontinued at any time and does not obligate the Company to repurchase any shares. The timing and total amount of share repurchases will depend upon business, economic and market conditions, corporate and regulatory requirements, prevailing share prices, and other considerations. The Company expects to fund repurchases with existing cash balances and cash flow from operations. Conference Call Information In conjunction with this release, Five Point will host a conference call on Thursday, April 23, 2026 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 13760204. The telephonic replay will be available until 11:59 p.m. Eastern Time on May 2, 2026. 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 20 million square feet of commercial space. Five Point’s Hearthstone platform provides management services to residential land banking funds and oversees approximately $3.4 billion in assets under management. 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; future demographics and market conditions, including housing supply levels, in the areas where our communities are located; the timing and expected benefits of our share repurchase program and other planned and potential transactions and acquisitions; and other statements that are not historical in nature. 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. View source version on businesswire.com: https://www.businesswire.com/news/home/20260423513937/en/ Contacts Investor Relations: Kim Tobler, 949-425-5211 [email protected] or Media: Eric Morgan, 949-349-1088 [email protected]

This article first appeared on GuruFocus. Release Date: April 23, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Five Point Holdings LLC (NYSE:FPH) ended the quarter with substantial liquidity of $550.1 million, providing flexibility for operations and strategic opportunities. The company announced a $40 million share repurchase program, indicating confidence in its financial position and potential for shareholder value enhancement. FPH's Hearthstone venture secured $600 million in new equity commitments, enabling the deployment of approximately $1 billion in capital with leverage. The company has a strong balance sheet with a debt-to-total capitalization ratio of 16.3%, reflecting financial stability. FPH is strategically positioned in undersupplied California markets, maintaining demand for its home sites despite market challenges. FPH reported a consolidated net loss of $5 million for the first quarter, primarily due to the timing of land sales. The current market environment is unsettled, with consumer confidence impacted by geopolitical uncertainty and rising mortgage rates. The company experienced slower absorption rates and a cautious approach by builders in committing to new land purchases. FPH's earnings are expected to be weighted toward the third and fourth quarters, indicating potential variability in financial performance. Inflation concerns, particularly related to fuel prices, could impact development expenses, although no immediate effects were reported. Warning! GuruFocus has detected 5 Warning Signs with FPH. Is FPH fairly valued? Test your thesis with our free DCF calculator. Q: Can you explain how your typical land banking deals with builders are structured and if there have been any changes in builders' appetite for land banking recently? A: (Kim Tobler, CFO) Our land banks use a contract with a monthly option payment. Builders have the right to buy the land at the cost we purchased it at, plus any improvements made during the contract's life. There have been no significant changes in builders' appetite; interest remains consistent. Q: With rising fuel prices, have you seen any inflation affecting your development expenses? A: (Dan Hedigan, CEO) Currently, we are not actively grading, which gives us time for fuel markets to stabilize. We haven't seen major impacts on our budget from fuel costs, and overall, there are no additional increases in our land development budgets. Q: Could you provide more details on the Hearthstone venture's recent developments and its impact on your financials? A: (Mike Alvarado, COO) We closed two new funds with $600 million in new equity commitments, allowing us to deploy approximately $1 billion in capital with leverage. Hearthstone now manages $3.4 billion in assets and controls over 30,000 home sites across 16 states. Q: What is your outlook for the rest of the year, especially regarding earnings and liquidity? A: (Kim Tobler, CFO) We reaffirm our guidance, expecting approximately $100 million in earnings for 2027, with significant sales in the third and fourth quarters. We anticipate ending the year with over $300 million in cash and total liquidity exceeding $500 million, even after share repurchases. Q: How is the current market environment affecting your operations and strategic decisions? A: (Dan Hedigan, CEO) The market is unsettled due to geopolitical uncertainties and rising mortgage rates, impacting consumer confidence. However, our liquidity and balance sheet allow us to adjust land sales pace and structure to protect long-term value. We remain focused on optimizing homesite value and expanding through capital-light growth initiatives. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

$5 million Q1 consolidated net loss was driven primarily by the timing of land sales, with revenue of $13.6 million from management services; management reiterated a 2026 outlook of about $100 million in consolidated net income and said earnings will be weighted to the second half of the year. Five Point finished the quarter with total liquidity of $550.1 million (including $332 million cash) and the board authorized an opportunistic up-to-$40 million share repurchase while expecting to maintain more than $300 million in cash after buybacks. Hearthstone expanded its fee-based platform by closing two funds with $600 million of new equity commitments, bringing Five Point’s AUM to about $3.4 billion (≈$2.8 billion fee-paying after builder deposits) and strengthening recurring management-fee revenue. Interested in Five Point Holdings, LLC? Here are five stocks we like better. Five Point (NYSE:FPH) opened 2026 with a relatively quiet first quarter for land sales, reporting a consolidated net loss of $5 million as it recorded no significant residential land closings during the period. Management emphasized that results typically fluctuate based on the timing of land transactions and said it expects earnings to be weighted toward the second half of the year as land sales close and fee-based income from its Hearthstone platform grows. President and CEO Dan Hedigan said the quarter’s loss was “driven primarily by the timing of land sales,” noting that Five Point did not have any meaningful residential land closings in the period. Revenue totaled $13.6 million, which Hedigan said was generated “primarily from management services associated with our Great Park and Hearthstone segments.” → Amazon Stock Up 30%: Is AMZN Still a Buy Before Earnings? Chief Financial Officer Kim Tobler broke down the quarter’s results further, stating that the $5 million loss included $13 million of management services revenue. Of that amount, $6.9 million was associated with management of the Great Park Venture, including $3.5 million of incentive compensation, and $6.1 million was associated with Hearthstone. Management services costs and expenses were $6.9 million, Tobler said. Tobler added that the company recognized a small loss from unconsolidated entities of $145,000, “largely because we did not have any sales at the Great Park Venture.” Selling, general and administrative expenses were $14.7 million, in line with $14.8 million in the prior-year quarter, and the company recorded a tax benefit of $900,000. → GE Vernova Beats Earnings by 790% as Data Center Demand Explodes Hedigan said Five Point ended the quarter with total liquidity of $550.1 million, including $332 million of cash and cash equivalents, describing the balance sheet as providing “substantial flexibility” to manage through market cycles and pursue strategic opportunities. During the call, the company discussed a new share repurchase authorization. Hedigan said the board approved a share repurchase of up to $40 million, which he described as an “opportunistic” use of capital given that shares were “currently trading at a significant discount to book value.” He added that the repurchase was structured to preserve flexibility and that the company expects to maintain “substantial liquidity” after executing buybacks. → 3M Stock Pulls Back, But Catalysts Point to New Highs Tobler said that while the company is not predicting the time period over which the repurchase will occur, management expects to finish the year with more than $300 million in cash and total liquidity above $500 million even after taking repurchases into account. Tobler also provided leverage metrics, stating that at quarter-end Five Point had $332.6 million in cash and $217.5 million of availability under a revolving credit facility. The debt-to-total-capitalization ratio was 16.3%, and net debt was $117.4 million. In addition, Tobler noted that during the quarter the company paid down $40.1 million of principal and $6.2 million of accrued and current interest related to a related-party EB-5 reimbursement obligation, leaving approximately $18.5 million outstanding. Hedigan described the current market as “unsettled,” citing geopolitical uncertainty stemming from the conflict in the Middle East, increased financial market volatility, and mortgage rates that “have risen again recently after trending down briefly.” He said these factors have made consumers more hesitant to make large purchase decisions and have contributed to slower absorption rates and a more cautious stance by builders when committing to new land purchases. Still, Hedigan said the company’s California communities remain in “chronically undersupplied” markets, and he said Five Point continues to see demand for its homesites. He added that the company’s liquidity allows it to adjust pacing and land-sale structures “in order to protect long-term value.” Operationally, Hedigan said activity remained steady across communities. At the Great Park, builders sold 82 homes in the quarter, and Valencia saw 90 home sales. At Great Park, Hedigan said Five Point has 12 actively selling programs and expects seven additional programs to open later this year. He also said the company completed a bidding process and selected builders for five new residential programs totaling approximately 28.5 acres. Those builders are in due diligence, and Hedigan said the company expects to close those land sales by year-end, with pricing anticipated to be consistent with the most recent land sales. In Valencia, Hedigan said the community is still in the early stages of a long development timeline and currently has 11 builder programs open and actively selling, with six new programs expected to open during 2026. He said the company is in discussions with builders about potential residential land sales in 2026, which “may include a rolling option land sale structure” intended to enhance land values by reducing builders’ carry costs. Hedigan also referenced entitlement approvals secured in 2025 for Entrada South and Valencia Commerce Center, which he said enhanced the long-term value and development potential of the asset. He reiterated the company’s expectations for those projects: Entrada South: approximately 120 net acres of residential land, more than 1,300 market-rate homesites, and about 40 net acres of commercial land. Valencia Commerce Center: approximately 110 net acres, expected to cater to industrial and light manufacturing-focused uses. He said the company is working on infrastructure plans and ministerial permits and expects to start development of the two villages in the first half of 2027, with first land sales projected to occur in 2028. He added that the company is advancing approvals for three additional villages and said that, upon approval, those villages combined with existing entitlements would bring the total to more than 10,000 entitled homesites. In San Francisco, Hedigan said Five Point is waiting for final permits to initiate the next phase of land development at Candlestick and expects initial work to begin shortly. He said the development is beginning as residential rents and home prices in San Francisco are rising, and that demand from AI and other tech companies “seem to be growing quarter after quarter” in the commercial space. Hedigan said the company intends to engage potential large users to serve as an anchor for Candlestick’s redevelopment. Chief Operating Officer and Chief Legal Officer Mike Alvarado provided an update on Hearthstone, which offers management services to residential land banking funds. He said Hearthstone closed two new funds during the first quarter totaling $600 million in new equity commitments, which he said provides the ability to deploy approximately $1 billion in capital with leverage. Alvarado said Hearthstone has approximately $3.4 billion in assets under management and controls more than 30,000 homesites with 13 homebuilders across 16 states. Tobler added detail on the fee base, noting that Five Point does not earn fees on a portion of AUM attributable to builder deposits. As of March 31, Tobler said builder deposits were approximately $600 million, implying $2.8 billion of fee-paying AUM. She also said Hearthstone’s asset management fees include a monthly base fee plus a deferred performance fee, which can create volatility due to changes in performance-fee estimates and true-ups when funds or tranches are completed. During the Q&A, Tobler described the typical land banking structure, saying the land banks use a contract with a monthly option payment and that the builder has the right to buy the land at the cost the fund purchased it at, plus any improvements made during the contract term. Asked about changes in builder appetite, Tobler said: “No, very consistent. We’re still seeing reasonable interest and progress.” Separately, Hedigan said the company is exploring additional growth opportunities in its core land development business using outside capital partners in joint ventures to generate recurring management fees—an approach he said has been used successfully at the Great Park. Looking ahead, Hedigan said the company is reaffirming its outlook and continues to expect consolidated net income in 2026 to be approximately $100 million, with earnings weighted to the second half of the year. He said Five Point remains “well-positioned” due to its balance sheet, liquidity, and land inventory in supply-constrained markets, while noting management will continue monitoring market conditions and adapt as needed. Five Point Holdings, L.P. (NYSE:FPH) is a California‐based master planned community developer specializing in residential, commercial and mixed‐use projects. Headquartered in Walnut Creek, the company focuses on acquiring and entitling raw land, designing infrastructure and delivering fully integrated neighborhoods that include single‐family homes, multifamily housing, retail centers, office space and community amenities. Since its formation in 2014, Five Point has concentrated its land development efforts in the San Francisco Bay Area and the Los Angeles Basin, targeting key growth corridors with large‐scale, long-term projects. The article "Five Point Q1 Earnings Call Highlights" was originally published by MarketBeat.