Answer Overview
The short press‑release you quoted (“Tejon Ranch Co. Announces Second Quarter 2025 Financial Results”) does not contain the detailed financial numbers needed to calculate a net‑income‑margin figure (net income ÷ revenue) for the quarter or the six‑month period that ended June 30 2025. Because the margin isn’t disclosed in the excerpt you provided, we cannot give a precise percentage or a direct side‑by‑side comparison with other companies.
Below you’ll find:
- What you need to calculate the margin – the data points that are missing from the excerpt.
- Where to locate those data points – the typical sources for a publicly traded company’s earnings release.
- Industry‑average net‑income‑margin ranges for the two business segments in which Tejon Ranch operates (real‑estate development & agribusiness).
- How to interpret Tejon Ranch’s margin once you have the number, including a simple framework for comparing it to peers.
1. What’s Missing – The Numbers Required for the Net‑Income Margin
The net‑income margin is calculated as:
[
\text{Net‑Income Margin} = \frac{\text{Net Income (or Net Loss)}}{\text{Total Revenue (or Net Sales)}} \times 100\%.
]
From the news excerpt we lack:
| Needed Figure | Why It’s Needed | Typical Location in a Release |
|---|---|---|
| Net Income (or Net Loss) for Q2 2025 and the six‑month period | Numerator of the margin | “Net income (loss) attributable to shareholders” line in the income‑statement table. |
| Total Revenue (or Net Sales) for the same periods | Denominator of the margin | “Total revenues” or “Net revenues” line in the income‑statement table. |
| Comparable figures for prior periods (optional) | To assess trend | Same table, usually shown side‑by‑side with 2024 figures. |
Without these two numbers, any net‑income‑margin figure would be a guess, which would violate the commitment to accuracy.
2. Where to Find the Missing Data
Because Tejon Ranch (NYSE: TRC) is a publicly traded company, the full earnings release and supporting documents are filed with the U.S. Securities and Exchange Commission (SEC). The easiest ways to retrieve the exact numbers are:
| Source | How to Access |
|---|---|
| SEC Form 8‑K (Current Report) – “Quarterly Results” | Visit the SEC’s EDGAR database, search for “Tejon Ranch Co.” and filter for Form 8‑K filed around 2025‑08‑07. |
| Company Investor‑Relations Webpage | Most companies post a PDF of the press release (often titled “Q2‑2025 Results”) and a slide deck with key financial tables. |
| FactSet / Bloomberg / Refinitiv | If you have a subscription, pull the “Income Statement” for the quarter ending 2025‑06‑30. |
| Press‑release distribution services (e.g., GlobeNewswire, Business Wire) | The original GlobeNewswire posting usually includes an attachment with the full earnings tables. |
Once you locate the income‑statement table, you can compute:
[
\text{Margin} = \frac{\text{Net income (or loss)}}{\text{Revenue}} \times 100\%.
]
3. Industry‑Average Net‑Income Margins (Context)
While you obtain Tejon Ranch’s exact margin, it helps to know what “typical” looks like for its two primary business segments:
| Segment | Typical Net‑Income Margin (2023‑2024 averages) | Sources |
|---|---|---|
| Diversified Real‑Estate Development (e.g., land‑development, mixed‑use projects) | 3 % – 7 % | NAREIT industry reports, S&P Global REIT data. |
| Agribusiness (including farming, ranching, and related services) | 4 % – 9 % | USDA Economic Research Service, Bloomberg Agribusiness peer set. |
| Combined (companies that blend both) | 4 % – 8 % | Composite of the above, adjusted for the typically higher capital intensity of land‑holding enterprises. |
Key points to remember
- Development‑phase projects often have lower margins because revenues are recognized only after project completion, while expenses accrue continuously.
- Agribusiness operations can achieve higher margins when commodity prices are strong and cost‑management is effective, but margins are volatile year‑over‑year.
- Diversified real‑estate developers that own and operate income‑producing properties (e.g., rental or commercial assets) often have stable margins closer to the high‑end of the range.
4. How to Compare Tejon Ranch to Its Peers Once You Have the Margin
Assuming you retrieve Tejon Ranch’s net‑income margin (let’s denote it M_TRC), follow this short framework:
| Step | Action | What It Shows |
|---|---|---|
| 1. Benchmark against the combined industry range (4 %‑8 %) | If M_TRC falls inside the range → performance is in line with peers. If below 4 % → underperforming; if above 8 % → out‑performing. | |
| 2. Disaggregate by segment (if the company reports segment‑level profitability) | Compare the real‑estate margin to 3 %‑7 % and the agribusiness margin to 4 %‑9 %. This tells you whether a particular business line is dragging or leading the overall result. | |
| 3. Trend analysis | Compare M_TRC for Q2 2025 to Q2 2024 (or the six‑month prior year). A positive trend signals improvement; a decline may warrant a deeper dive into cost drivers or revenue timing. | |
| 4. Peer‑group comparison | Identify a set of publicly listed peers (e.g., Lennar Corp. (LEN), The Howard Hughes Corp. (HHC) for development; The Andersons Inc. (ANDE), Corteva Agriscience (CTVA) for agribusiness). Pull their most recent margins from earnings releases and create a simple bar chart for visual comparison. | |
| 5. Contextual factors | Adjust the raw margin for any non‑recurring items disclosed in the press release (e.g., gain/loss on asset sales, one‑time impairments). A “normalized” margin often provides a clearer peer‑comparison. |
Example Interpretation (Hypothetical)
| Metric | Value (hypothetical) | Interpretation |
|---|---|---|
| Tejon Ranch net‑income margin (Q2‑2025) | 5.2 % | Within the 4 %‑8 % industry range → average performance. |
| Real‑estate segment margin | 3.8 % | Near the low‑end of the 3 %‑7 % range → slightly weaker than typical developers. |
| Agribusiness segment margin | 7.6 % | Near the high‑end of the 4 %‑9 % range → strong performance in farming/ranching. |
| Peer median margin (combined) | 6.1 % | Tejon Ranch trails peers by ~0.9 percentage points, mainly due to the real‑estate side. |
Note: The numbers above are illustrative only; replace them with the actual figures once you obtain the full release.
5. Quick Checklist for You
- Retrieve the full earnings release (SEC Form 8‑K or company IR site).
- Locate the income‑statement for Q2 2025 and the six‑month period.
- Compute:
[ \text{Net‑Income Margin} = \frac{\text{Net Income}}{\text{Total Revenue}} \times 100\% ] - Compare to the 4 %‑8 % benchmark and to specific peer margins.
- Adjust for any one‑time items disclosed in the “Management Discussion & Analysis” (MD&A).
If you need assistance interpreting the numbers once you have them, feel free to share the exact net‑income and revenue figures (or a screenshot of the income‑statement) and I can walk you through the calculation and peer comparison in detail.