FRP Holdings, Inc. (NASDAQ:FRPH) Q2 2023 Earnings Conference Call August 10, 2023 9:30 AM ET
Company Participants
John Baker - Chief Financial Officer and Treasurer
David deVilliers - President
John Baker - Executive Chairman and Chief Executive Officer
John Klopfenstein - Controller and Chief Accounting Officer
Conference Call Participants
Stephen Farrell - Oppenheimer
Curtis Jensen - Robotti
Operator
Good day, everyone, and welcome to today’s FRP Holdings Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, you will have an opportunity to ask questions during the question-and-answer session. [Operator Instructions] Please note, this call is being recorded and that I will be standing by should you need any assistance.
It is now my pleasure to turn today’s program over to John Baker. Sir, please go ahead.
John Baker
Good morning. I’m John Baker, III, Chief Financial Officer and Treasurer of FRP Holdings. And with me today are David deVilliers, Jr., our President; John Baker, II, our Chairman and CEO; John Milton, our Executive Vice President and General Counsel; John Klopfenstein, our Chief Accounting Officer; and David deVilliers, III, our Executive Vice President.
As a reminder, any statements on this call 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 risks and uncertainties are listed in our SEC filings. We have no obligation to revise or update any forward-looking statements except as imposed by law as a result of future events or new information.
To supplement the financial results presented in accordance with GAAP, FRP presents certain non-GAAP financial measures with the meaning of Regulation G promulgated by the Securities and Exchange Commission. The non-GAAP financial measure referenced in this call is net operating income or NOI. FRP uses this non-GAAP financial measure to analyze its operations and monitor, assess and identify meaningful trends in its operating and financial performance. This measure is not and should not be viewed as a substitute for GAAP financial measures. To reconcile GAAP to net income, please refer to the segment titled Non-GAAP Financial Measures on Page 12 and 13 of our most recent earnings release.
Now for our financial highlights from the second quarter. Net income for the second quarter was $598,000 or $0.06 per share versus $657,000 or $0.07 per share in the same period last year. Second quarter of 2023 when compared to the previous year was impacted primarily by an increase of $2,281,000 in equity and loss of joint ventures from 2 projects in lease-up, an increase in management company expense of $235,000 due to new hires and recruiting costs as well as an increase in interest expense of $390,000, offset by an increase in interest income by $2,005,000.