MacKenzie Realty Capital Revenue Drops 30% to $9.1M in H1 FY2026

MacKenzie Realty Capital reported revenue of $9.13 million for the six months ending December 31, down 30% from $12.98 million in the same period last year. The Maryland-based real estate investment trust posted a second-quarter revenue of $4.59 million, a 43% decline from $8.03 million in the prior-year quarter. Read more earnings reports.

The company recorded an operating loss of $8.20 million for the six-month period, compared with a loss of $12.00 million a year earlier. Second-quarter operating loss totaled $4.71 million, versus a loss of $4.55 million in the year-ago quarter.

Operating expenses for the first half dropped to $17.33 million from $24.98 million in the prior-year period. Second-quarter operating expenses fell to $9.30 million from $12.59 million.

MacKenzie reported a net loss per share of $5.34 for the six months ending December 31, improved from a loss of $10.02 per share in the year-ago period. The second quarter produced a loss of $2.97 per share, compared with a loss of $3.93 per share last year. These figures were based on weighted average shares outstanding of 1.80 million for the six-month period and 1.86 million for the second quarter.

Cash from operations turned negative, with the company consuming $3.59 million during the six months ending December 31. In the prior-year period, operations generated $2.52 million in cash. The company drew $10.50 million from financing activities, compared with a use of $423,918 in the year-ago period. Investing activities consumed $6.21 million, versus $7.88 million last year.

Total assets stood at $238.05 million as of December 31, up marginally from $235.99 million at the end of June. Cash and cash equivalents totaled $4.34 million, compared with $3.63 million six months earlier and $6.51 million a year earlier. Combined cash and restricted cash reached $4.82 million, down from $7.29 million at the end of the prior fiscal year.

Total liabilities increased to $152.02 million from $142.45 million at the end of June. Long-term debt stood at $145.59 million as of December 31. The company reported stockholders' equity of $51.81 million, down from $59.86 million at the end of June. Retained deficit widened to $94.79 million from $85.19 million.

MacKenzie recorded depreciation and amortization of $4.87 million for the six-month period, compared with $4.46 million in the prior year. Second-quarter depreciation and amortization totaled $2.67 million, versus $2.18 million last year.

The company reported 1.91 million common shares outstanding as of December 31, up from 1.58 million at the end of June. Assets held in discontinued operations totaled $11.82 million as of December 31, down slightly from $11.98 million six months earlier.