Segment Information

9 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Segment Information

Note 10. Segment Information

The Company operates in three reportable segments, the operation of the Hotel (“Hotel Operations”), the operation of its multi-family residential properties (“Real Estate Operations”) and the investment of its cash in marketable securities and other investments (“Investment Transactions”). These three operating segments, as presented in the financial statements, reflect how management internally reviews each segment’s performance. Management also makes operational and strategic decisions based on this information.

Information below represents reported segments for the three and nine months ended March 31, 2023 and 2022. Segment income from Hotel operations consists of the operation of the Hotel and operation of the garage. Segment income from real estate operations consists of the operation of the rental properties. Loss from investments consists of net investment loss, dividend and interest income and investment related expenses.

THE INTERGROUP CORPORATION

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

As of and for the three months ended March 31, 2023	Hotel Operations			Real Estate Operations			Investment Transactions		Corporate			Total
Revenues	$	10,430,000		$	3,932,000		$	—	$	—		$	14,362,000
Segment operating expenses		(8,413,000	)		(2,770,000	)		—		(836,000	)		(12,019,000	)
Segment income (loss)		2,017,000			1,162,000			—		(836,000	)		2,343,000
Interest expense - mortgage		(1,584,000	)		(517,000	)		—		—			(2,101,000	)
Depreciation and amortization expense		(693,000	)		(687,000	)		—		—			(1,380,000	)
Income from investments		—			—			465,000		—			465,000
Income tax benefits		—			—			—		59,000			59,000
Net income (loss)	$	(260,000	)	$	(42,000	)	$	465,000	$	(777,000	)	$	(614,000	)
Total assets	$	49,162,000		$	48,349,000		$	16,967,000	$	10,411,000		$	124,889,000

As of and for the three months ended March 31, 2022	Hotel Operations			Real Estate Operations			Investment Transactions		Corporate			Total
Revenues	$	6,632,000		$	3,826,000		$	—	$	—		$	10,458,000
Segment operating expenses		(6,544,000	)		(2,270,000	)		—		(580,000	)		(9,394,000	)
Segment income (loss)		88,000			1,556,000			—		(580,000	)		1,064,000
Interest expense - mortgage		(1,624,000	)		(564,000	)		—		—			(2,188,000	)
Depreciation and amortization expense		(576,000	)		(609,000	)		—		—			(1,185,000	)
Gain from investments		—			—			725,000		—			725,000
Income tax benefits		—			—			—		711,000			711,000
Net income (loss)	$	(2,112,000	)	$	383,000		$	725,000	$	131,000		$	(873,000	)
Total assets	$	46,385,000		$	47,625,000		$	25,541,000	$	13,502,000		$	133,053,000

As of and for the nine months ended March 31, 2023	Hotel Operations			Real Estate Operations			Investment Transactions		Corporate			Total
Revenues	$	32,632,000		$	11,991,000		$	—	$	—		$	44,623,000
Segment operating expenses		(26,445,000	)		(7,695,000	)		—		(2,448,000	)		(36,588,000	)
Segment income (loss)		6,187,000			4,296,000			—		(2,448,000	)		8,035,000
Interest expense - mortgage		(4,871,000	)		(1,612,000	)		—		—			(6,483,000	)
Depreciation and amortization expense		(1,955,000	)		(2,057,000	)		—		—			(4,012,000	)
Income from investments		—			—			627,000		—			627,000
Gain on Insurance Recovery		—			2,692,000			—		—			2,692,000
Income tax expense		—			—			—		(107,000	)		(107,000	)
Net income (loss)	$	(639,000	)	$	3,319,000		$	627,000	$	(2,555,000	)	$	752,000
Total assets	$	49,162,000		$	48,349,000		$	16,967,000	$	10,411,000		$	124,889,000

THE INTERGROUP CORPORATION

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

As of and for the nine months ended March 31, 2022	Hotel Operations			Real Estate Operations			Investment Transactions			Corporate			Total
Revenues	$	19,785,000		$	11,808,000		$	—		$	—		$	31,593,000
Segment operating expenses		(19,356,000	)		(6,620,000	)		—			(1,966,000	)		(27,942,000	)
Segment income (loss)		429,000			5,188,000			—			(1,966,000	)		3,651,000
Interest expense - mortgage		(4,939,000	)		(1,773,000	)		—			—			(6,712,000	)
Depreciation and amortization expense		(1,669,000	)		(1,799,000	)		—			—			(3,468,000	)
Gain (loss) from debt extinguishment		2,000,000			(335,000	)		—			—			1,665,000
Loss from investments		—			—			(3,900,000	)		—			(3,900,000	)
Income tax benefits		—			—			—			2,742,000			2,742,000
Net income (loss)	$	(4,179,000	)	$	1,281,000		$	(3,900,000	)	$	776,000		$	(6,022,000	)
Total assets	$	46,385,000		$	47,625,000		$	25,541,000		$	13,502,000		$	133,053,000