Tejon Ranch Co. returned to profitability in the second quarter, reporting $2.6 million in net income attributable to common stockholders.
The company earned $0.10 per share during the quarter ending June 30, compared to a loss of $1.7 million, or $0.06 per share, during the same period last year, according to the Bakersfield Californian.
The big picture: Revenue and other income, including earnings from Tejon Ranch’s unconsolidated joint ventures, rose to $17.4 million.
That marked an increase of $6.3 million from the $11.1 million reported in the second quarter of 2025.
Adjusted EBITDA, a non-GAAP measure of operating performance, increased 47 percent to $8.4 million, up from $5.7 million one year earlier.
Driving the news: Commercial and industrial real estate generated $9.7 million in revenue, compared to $5.1 million during the same quarter last year.
The increase was primarily driven by a $6.9 million land sale connected to Tejon Ranch’s new joint venture with Dedeaux Properties.
Tejon Ranch holds a 60 percent economic interest in the partnership, which has started construction on a 510,500-square-foot industrial building at the Tejon Ranch Commerce Center. The building is expected to be completed in early 2027.
By the numbers: Tejon Ranch also reported strong occupancy across its real estate portfolio.
The company’s 2.8 million-square-foot industrial portfolio remained fully leased.
Its commercial portfolio was 95 percent leased.
Occupancy at the Outlets at Tejon stood at 92 percent.
Leasing at the Terra Vista apartment community surpassed 80 percent.
The company said outlet traffic increased approximately 25 percent from last year, while sales per square foot rose 11 percent.
What they’re saying: Tejon Ranch President and CEO Matthew Walker credited the results to the company’s focus on reducing expenses and using capital more efficiently.
“This quarter’s improved performance reflects a company executing its plan,” Walker said in the company’s earnings release.
Other segments: Farming revenue increased from $600,000 to $800,000 during the quarter.
Mineral resources revenue rose 20 percent to $1.8 million, while the segment’s operating profit increased 25 percent to $900,000.
Corporate expenses totaled $4.7 million through the first six months of the year, down from $9.1 million during the same period in 2025. Last year’s figure included $3.4 million in nonrecurring expenses.
What’s next: Tejon Ranch plans to continue pursuing commercial and industrial development, joint ventures and potential land sales.
The company cautioned that future earnings could fluctuate based on the timing of land sales, leasing activity and commodity prices.
Tejon Ranch reported approximately $79.2 million in available liquidity at the end of the quarter.