CTO Realty Growth, Inc. Segments Disclosure
NOTE 23. BUSINESS SEGMENT DATA
The Company operates in four primary business segments: income properties, management services, commercial loans and investments, and real estate operations. The management services segment consists of the revenue generated from managing PINE, the Portfolio Management Agreement and the Subsurface Management Agreement, as described further in Note 5, “Management Services Business”
Our income property operations consist of income-producing properties, and our business plan is focused on investing in additional income-producing properties. Our income property operations accounted for 87.2% and 88.0% of our identifiable assets as of December 31, 2025 and 2024, respectively, and 88.4%, 88.8%, and 88.6%, of our consolidated revenues for the years ended December 31, 2025, 2024, and 2023, respectively. Our management fee income consists primarily of the management fees earned for the management of PINE during the three years ended December 31, 2025, 2024, and 2023, as well as from the Portfolio Management Agreement during the three years ended December 31, 2025, 2024, and 2023, and the Subsurface Management Agreement during the years ended December 31, 2025 and 2024. As of December 31, 2025, our commercial loan and investment portfolio consisted of four commercial loan investments and two preferred equity investments which are classified as commercial loan investments. Our real estate operations consists of revenues generated from the sale of and royalty income related to our interests in subsurface oil, gas, and mineral rights, and the sale of mitigation credits. The Company’s assets underlying its real estate operations were sold during the year ended December 31, 2024, therefore, no further revenues are expected from this segment.
The Company evaluates segment performance based on operating income. The Company’s reportable segments are strategic business units that offer different products. They are managed separately because each segment requires different management techniques, knowledge, and skills.
Information about the Company’s operations in different segments for the year ended December 31, 2025 is as follows (in thousands):
| Income Properties | | Management Services | | Commercial Loans and Investments | Total | ||||||
Revenues: | ||||||||||||
Income Properties | $ | 132,156 | $ | — | $ | — | $ | 132,156 | ||||
Management Fee Income | — | 4,849 | — | 4,849 | ||||||||
Interest Income From Commercial Loans and Investments | — | — | 12,540 | 12,540 | ||||||||
Total Revenues for Reportable Segments | $ | 132,156 | $ | 4,849 | $ | 12,540 | $ | 149,545 | ||||
Operating Expenses: | ||||||||||||
Income Properties | $ | (37,923) | $ | — | $ | — | $ | (37,923) | ||||
Total Revenues Less Direct Costs of Revenues | $ | 94,233 | $ | 4,849 | $ | 12,540 | $ | 111,622 | ||||
Provision for Impairment | — | — | (68) | (68) | ||||||||
Depreciation and Amortization - Real Estate | (59,947) | — | — | (59,947) | ||||||||
Total Revenues Less Operating Expenses for Reportable Segments | $ | 34,286 | $ | 4,849 | $ | 12,472 | $ | 51,607 | ||||
Gain on Disposition of Assets | 21,452 | — | — | 21,452 | ||||||||
Net Income From Operations for Reportable Segments | $ | 55,738 | $ | 4,849 | $ | 12,472 | $ | 73,059 | ||||
Reconciliation to Consolidated Net Income | ||||||||||||
General and Administrative Expenses | (18,527) | |||||||||||
Investment and Other Income | 3,451 | |||||||||||
Interest Expense | (26,928) | |||||||||||
Loss on Extinguishment of Debt | (20,449) | |||||||||||
Depreciation and Amortization - Other | (68) | |||||||||||
Net Income Before Income Tax Expense | $ | 10,538 | ||||||||||
Income Tax Expense | (446) | |||||||||||
Net Income Attributable to the Company | $ | 10,092 | ||||||||||
Information about the Company’s operations in different segments for the year ended December 31, 2024 is as follows (in thousands):
| Income Properties | | Management Services | | Commercial Loans and Investments | Real Estate Operations | Total | ||||||||
Revenues: | |||||||||||||||
Income Properties | $ | 110,591 | $ | — | $ | — | $ | — | $ | 110,591 | |||||
Management Fee Income | — | 4,590 | — | — | 4,590 | ||||||||||
Interest Income From Commercial Loans and Investments | — | — | 7,357 | — | 7,357 | ||||||||||
Real Estate Operations | — | — | — | 1,981 | 1,981 | ||||||||||
Total Revenues for Reportable Segments | $ | 110,591 | $ | 4,590 | $ | 7,357 | $ | 1,981 | $ | 124,519 | |||||
Operating Expenses: | |||||||||||||||
Income Properties | $ | (31,785) | $ | — | $ | — | $ | — | $ | (31,785) | |||||
Real Estate Operations | — | — | — | (1,437) | (1,437) | ||||||||||
Total Revenues Less Direct Costs of Revenues | $ | 78,806 | $ | 4,590 | $ | 7,357 | $ | 544 | $ | 91,297 | |||||
Provision for Impairment | — | — | (676) | — | (676) | ||||||||||
Depreciation and Amortization - Real Estate | (64,981) | — | — | — | (64,981) | ||||||||||
Total Revenues Less Operating Expenses for Reportable Segments | $ | 13,825 | $ | 4,590 | $ | 6,681 | $ | 544 | $ | 25,640 | |||||
Gain on Disposition of Assets | 3,763 | — | — | 4,545 | 8,308 | ||||||||||
Net Income From Operations for Reportable Segments | $ | 17,588 | $ | 4,590 | $ | 6,681 | $ | 5,089 | $ | 33,948 | |||||
Reconciliation to Consolidated Net Income | |||||||||||||||
General and Administrative Expenses | (16,269) | ||||||||||||||
Investment and Other Income | 2,606 | ||||||||||||||
Interest Expense | (22,521) | ||||||||||||||
Depreciation and Amortization - Other | (68) | ||||||||||||||
Net Loss Before Income Tax Benefit | $ | (2,304) | |||||||||||||
Income Tax Benefit | 339 | ||||||||||||||
Net Loss Attributable to the Company | $ | (1,965) | |||||||||||||
Information about the Company’s operations in different segments for the year ended December 31, 2023 is as follows (in thousands):
| Income Properties | | Management Services | | Commercial Loans and Investments | Real Estate Operations | Total | ||||||||
Revenues: | |||||||||||||||
Income Properties | $ | 96,663 | $ | — | $ | — | $ | — | $ | 96,663 | |||||
Management Fee Income | — | 4,388 | — | — | 4,388 | ||||||||||
Interest Income From Commercial Loans and Investments | — | — | 4,084 | — | 4,084 | ||||||||||
Real Estate Operations | — | — | — | 3,984 | 3,984 | ||||||||||
Total Revenues for Reportable Segments | $ | 96,663 | $ | 4,388 | $ | 4,084 | $ | 3,984 | $ | 109,119 | |||||
Operating Expenses: | |||||||||||||||
Income Properties | $ | (28,455) | $ | — | $ | — | $ | — | $ | (28,455) | |||||
Real Estate Operations | — | — | — | (1,723) | (1,723) | ||||||||||
Total Revenues Less Direct Costs of Revenues | $ | 68,208 | $ | 4,388 | $ | 4,084 | $ | 2,261 | $ | 78,941 | |||||
Provision for Impairment | (929) | — | (627) | — | (1,556) | ||||||||||
Depreciation and Amortization - Real Estate | (44,107) | — | — | — | (44,107) | ||||||||||
Total Revenues Less Operating Expenses for Reportable Segments | $ | 23,172 | $ | 4,388 | $ | 3,457 | $ | 2,261 | $ | 33,278 | |||||
Gain on Disposition of Assets | 7,543 | — | — | — | 7,543 | ||||||||||
Net Income From Operations for Reportable Segments | $ | 30,715 | $ | 4,388 | $ | 3,457 | $ | 2,261 | $ | 40,821 | |||||
Reconciliation to Consolidated Net Income | |||||||||||||||
General and Administrative Expenses | (14,249) | ||||||||||||||
Investment and Other Income | 1,987 | ||||||||||||||
Interest Expense | (22,359) | ||||||||||||||
Depreciation and Amortization - Other | (66) | ||||||||||||||
Net Income Before Income Tax Expense | $ | 6,134 | |||||||||||||
Income Tax Expense | (604) | ||||||||||||||
Net Income Attributable to the Company | $ | 5,530 | |||||||||||||
Capital expenditures of each segment as of December 31, 2025, 2024, and 2023 are as follows (in thousands):
For the Year Ended | |||||||||
December 31, 2025 | December 31, 2024 | December 31, 2023 | |||||||
Capital Expenditures: | |||||||||
Income Properties | $ | 160,189 | $ | 241,859 | $ | 102,688 | |||
Commercial Loans and Investments | 14,339 | 63,930 | 32,869 | ||||||
Corporate and Other | 38 | 39 | 261 | ||||||
Total Capital Expenditures | $ | 174,566 | $ | 305,828 | $ | 135,818 | |||
Identifiable assets of each segment as of December 31, 2025 and 2024 are as follows (in thousands):
As of | ||||||
| December 31, 2025 | | December 31, 2024 | |||
Identifiable Assets: | ||||||
Income Properties | $ | 1,102,631 | $ | 1,039,466 | ||
Management Services | 2,465 | 1,481 | ||||
Commercial Loans and Investments | 118,129 | 114,107 | ||||
Real Estate Operations | 455 | 611 | ||||
Corporate and Other | 40,222 | 25,979 | ||||
Total Assets | $ | 1,263,902 | $ | 1,181,644 | ||
Identifiable assets by segment are those assets that are used in the Company’s operations in each segment. Real Estate Operations includes the identifiable assets of certain real estate operations receivables as well as Subsurface Interests and mitigation credits. Corporate and other assets consist primarily of cash and restricted cash, property, plant, and equipment related to the other operations, as well as the general and corporate operations.
The Management Services and Real Estate Operations segments had no capital expenditures during the years ended December 31, 2025, 2024 or 2023.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 19, 2026 | Showing above |
| 2024 | Feb 20, 2025 | |
| 2023 | Feb 22, 2024 | |
| 2022 | Feb 23, 2023 | |
| 2021 | Feb 24, 2022 | |
| 2020 | Mar 5, 2021 | |
| 2019 | Mar 6, 2020 | |
| 2018 | Feb 28, 2019 | |
| 2017 | Feb 28, 2018 | |
| 2016 | Feb 24, 2017 | |
| 2015 | Mar 1, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.