St Joe reports record second-quarter revenue of $158.8 million
The real estate developer saw quarterly net income rise 37% to $40.5 million.
St Joe (JOE), the real estate and hospitality developer, reported total quarterly revenue of $158.8 million. The result marked the company's highest second-quarter revenue in 20 years.
Quarterly net income rose 37% year-over-year to $40.5 million. Excluding a one-off gain from 1996, this was its highest second-quarter net income in 30 years. EBITDA for the period increased 24% to $69.7 million, up from $56.0 million in the same quarter last year.
Real estate revenue grew 59% to $69.6 million. The gain was driven by a 39% increase in residential real estate revenue. As of June 30, 2026, residential homesites under contract totaled 3,077, compared to 1,209 homesites under contract on the same date in 2025.
Hospitality revenue reached a quarterly record of $74.2 million, an 8% increase. Revenue at the Watersound Club rose 13% to $28.6 million, while hotel revenue increased 4% to $40.5 million.
Gross margins expanded across all business segments. Residential margins rose to 48% from 45%, hospitality margins increased to 42% from 39%, and commercial margins grew to 65% from 57%.
Leasing revenue decreased 9% to $15.0 million. The decline was primarily due to the sale of the Watercrest joint venture senior living community property in September 2025. Equity in income from unconsolidated joint ventures also fell to $4.5 million from $7.5 million in the prior-year period.
Within the Latitude Margaritaville Watersound joint venture, net new contracts increased 25% to 111 contracts. However, completed home sales dropped to 86 from 137 in the prior year.
St Joe accelerated its share buyback program, spending $37.7 million in the first six months of 2026. This represented a 133% increase over the $16.2 million spent during the first six months of 2025.