AMREP (AXR) Q2 2026 earnings summary

Executive summary

• Net income for Q2 FY2026 was $1.2M ($0.22/diluted share), down from $4.04M ($0.75/diluted share) in Q2 FY2025; six-month net income was $5.89M ($1.09/diluted share), down from $8.11M ($1.51/diluted share) year-over-year.

• Revenue for Q2 FY2026 was $9.4M, a 21% decrease from $11.91M in Q2 FY2025; six-month revenue was $27.25M, down from $31.0M year-over-year.

• Delays in municipal entitlements, infrastructure, and utility response times increased costs and delayed revenue realization in both segments.

• Affordability challenges and higher mortgage rates pressured demand, leading to sales incentives, price reductions, and slower project starts.

Financial highlights

• Land sale revenues for Q2 FY2026 were $0.8M (down 86%); home sale revenues were $7.7M (up 45%); other revenues were $0.8M (up 19%) compared to Q2 FY2025.

• Land sale gross margin rose to 80% from 60% year-over-year; home sale gross margin increased to 25% from 20%.

• Operating income for Q2 FY2026 was $1.1M, down from $3.1M in Q2 FY2025.

• Cash, cash equivalents, and restricted cash totaled $45.1M at October 31, 2025, up 13% from April 30, 2025.

• Weighted average shares outstanding remained stable year-over-year.

Outlook and guidance

• Management expects a reduction in revenues from developed residential land sales in FY2026 due to market headwinds and entitlement delays.

• Affordability challenges, inflation, and high mortgage rates are expected to continue impacting demand and project pacing.