10-Q · May 15, 2026
Presidio Property Trust, Inc. reported Q1 2026 earnings showing a revenue decline to $3.8 million and a diluted EPS of -$0.87, reflecting a downturn in rental income due to the sale of assets. The company continues to…
Earnings analysis · 10-Q
SQFT earnings analysis
Filed August 13, 2026 · Our reading of the company's report
The latest report
Presidio's second-quarter revenue declined to approximately $3.8 million from $4.4 million year over year, reflecting property dispositions and a smaller model-home portfolio; the filing does not disclose…
Read full summary
Presidio's second-quarter revenue declined to approximately $3.8 million from $4.4 million year over year, reflecting property dispositions and a smaller model-home portfolio; the filing does not disclose current-quarter EPS or explicit gross and operating margins. Liquidity improved operationally, with six-month operating cash usage falling to $24,839, and debt declined to $80.9 million, but cash fell to $5.9 million and approximately $19.3 million of mortgage principal payments are due in the last three months of 2026. The Shea Center II default and foreclosure, suspended preferred dividends with $1.1 million of arrears, and potential common-stock issuance under the 5.5-for-1 exchange offer remain significant risks.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Segment
- Office/Industrial represented 74.5% of gross revenue for the six months ended June 30, 2026, versus 72.3% in 2025.
- Segment
- Model Home represented 22.9% of gross revenue, versus 22.7% in 2025.
- Segment
- Retail represented 2.5% of gross revenue, versus 4.2% in 2025.
- Segment
- As of June 30, 2026, Office/Industrial represented 61.4% of total real estate assets, Model Home 33.9%, and Retail 4.7%.
What stood out
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Revenue declined year over year
Second-quarter revenue was approximately $3.8 million, down $0.6 million, or 13.6%, from $4.4 million in the prior-year quarter. The decline was attributed to the Dakota Center sale and a lower average model-home portfolio of 73 properties versus 85.
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Rental cost ratio improved
Rental operating costs fell to approximately $1.3 million from $1.5 million year over year, and costs as a percentage of revenue improved modestly to 33.0% from 33.4%.
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Operating cash burn sharply reduced
Six-month operating cash usage improved substantially to $24,839 from $1.0 million in the prior-year period, while investing activities provided $8.3 million, primarily from approximately $8.7 million of property sale proceeds.
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Debt balance declined
Mortgage notes payable declined to $80.9 million at June 30, 2026, from $94.4 million at December 31, 2025 and $92.9 million at June 30, 2025.
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Cost reduction actions underway
Management reported headcount reductions in the first and second quarters, expects more reductions during 2026, and noted a voluntary 5% reduction in the CEO's annual salary beginning April 2026.
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Non-recourse foreclosure reduced debt
The Shea Center II foreclosure on July 1, 2026 settled approximately $15.4 million of outstanding debt through a $12.0 million minimum credit bid, with approximately $3.4 million of debt forgiven and no cash consideration exchanged.
What to watch
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Shea Center II default and foreclosure
Shea Center II entered default after the January 5, 2026 maturity, was placed in receivership on February 13, 2026, and had approximately $15.4 million of outstanding principal before foreclosure. The lender held approximately $2.4 million of restricted cash, and the property incurred approximately $3.1 million of impairment charges in the first six months.
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Liquidity and near-term maturities
Cash and restricted cash declined to approximately $5.9 million at June 30, 2026 from $7.4 million at December 31, 2025, while the company projects up to $1.6 million of capital spending over the next 12 months and has approximately $19.3 million of mortgage principal payments due in the last three months of 2026.
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Preferred dividend arrears and dilution
The Series D preferred dividend was suspended beginning with the January 2026 payment; cumulative dividends in arrears reached approximately $1.1 million at June 30, 2026 versus $0 at December 31, 2025. A proposed exchange offer would provide 5.5 common shares for each validly tendered Series D preferred share, but the Form S-4 had not yet been declared effective.
Management's outlook
No explicit numeric revenue or EPS guidance was provided. Management expects future interest expense to decrease during 2026 and projects up to $1.6 million of capital improvements, tenant improvements, and leasing costs over the next 12 months.
Earlier filings 4
10-K · March 27, 2026
Presidio Property Trust, Inc. reported total revenues of approximately $16.8 million for the year ended December 31, 2025, marking an 11.2% decline from $18.9 million in 2024. The company recognized a significant…
10-Q · November 12, 2025
Presidio Property Trust, Inc. reported a 10-Q for Q3 2025, indicating a revenue decrease to approximately $4.2 million from $4.7 million in Q3 2024, alongside a widening loss per share of -$0.45. The company continues…
10-Q · August 14, 2025
Presidio Property Trust, Inc. reported a decline in revenues to approximately $4.4 million for Q2 2025, down from $4.6 million in Q2 2024, reflecting reduced commercial real estate rental income. The diluted EPS…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.