CaliberCos Inc. reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company experienced a notable decline in total revenues, which fell to $11.3 million from $17.0 million in the same quarter of 2023, marking a decrease of 33.6%. This decline was primarily attributed to the deconsolidation of Caliber Hospitality, LP and the Caliber Hospitality Trust, which occurred in March 2024. Despite this, asset management revenues surged to $6.5 million, up 182.0% from $2.3 million year-over-year.

For the nine months ended September 30, 2024, total revenues decreased by 36.7% to $42.4 million compared to $67.0 million in the previous year. This decline was offset by a 106.9% increase in asset management revenues, which reached $12.9 million, up from $6.2 million in 2023. Total expenses for the nine-month period also decreased significantly, falling 43.3% to $50.4 million from $88.8 million, reflecting cost-cutting measures and the impact of deconsolidation.

The company reported a net loss of $10.6 million for the nine months ended September 30, 2024, an improvement from a loss of $23.5 million in the same period of 2023. Notably, net income attributable to CaliberCos Inc. for the third quarter was $146,000, a significant recovery from a loss of $3.4 million in the prior year.

CaliberCos has undertaken strategic measures to address its financial challenges, including a reduction in workforce by approximately 10% in May 2024, expected to save $4.0 million annually. Additionally, the company is pursuing loan extensions and new financing options to manage its debt obligations, as it faces substantial liquidity concerns with $32.4 million in notes maturing within the next 12 months.

As of September 30, 2024, total assets decreased to $158.6 million from $299.4 million at the end of 2023, while total liabilities also fell to $95.3 million from $233.4 million. The company’s accumulated deficit increased to $(45.2 million) from $(36.8 million) at the end of the previous fiscal year.

CaliberCos continues to focus on its core business of alternative asset management, with a portfolio that includes various real estate investments across multiple states. The company is actively developing a range of projects, including multifamily and commercial properties, with an estimated completion cost of $2.1 billion.