Breaking Down J.W. Mays, Inc. (MAYS) Financial Health: Key Insights for Investors

You're looking at J.W. Mays, Inc. (MAYS) and, honestly, you're trying to figure out if this small-cap commercial real estate holder is finally turning a corner, or just treading water. The full-year 2025 financial results, which reported an annual revenue of $22.47 million, give us a defintely mixed but promising signal. The good news is the company managed to narrow its annual net loss by a massive 66%, bringing the total loss for the fiscal year ended July 31, 2025, down to just $(0.14) million from over four hundred thousand dollars the year prior. That's a clear step in the right direction. Still, the devil is in the details, and the fourth quarter saw a significant profitability deterioration, with the Q4 net loss nearly tripling to $(92,000); that kind of soft exit rate suggests cost or mix pressures are building, and we need to understand what's behind that Q4 swing before making any long-term capital allocation decisions.

Revenue Analysis

You're looking at J.W. Mays, Inc. (MAYS) and trying to figure out where the money actually comes from-a smart move, because the devil is always in the revenue details. The direct takeaway here is that J.W. Mays is a pure-play commercial real estate operator, and its revenue is entirely dependent on rental income from its properties, which showed modest but stable growth in the last fiscal year.

For the fiscal year ending July 31, 2025, J.W. Mays reported total annual revenue of $22.47 million. This top-line number is a low-single-digit increase, but it's important to understand the engine driving it: commercial property leases. Honestly, for a company like this, revenue streams are simple-it's not a complex tech stack; it's rent checks.

The primary revenue source, contributing essentially 100% of the total, is rental income from its commercial real estate portfolio. This includes properties in key New York locations like Brooklyn and Jamaica, as well as warehouse space in Circleville, Ohio. The entire business model is built around leasing out its owned real estate assets.

Year-over-Year Revenue Growth: A Realistic View

The company's year-over-year revenue growth rate for the 2025 fiscal year was 4.1%, up from $21.59 million in the prior fiscal year. While any growth is positive, especially in a volatile market, this modest increase of around $880,000 over the year is a realistic reflection of the commercial real estate market's pace. It's steady, not explosive. To be fair, this kind of stability is what some investors look for in a real estate holding company.

Here's a quick look at the recent annual performance:

Analyzing Revenue Stream Changes

The key driver for the FY 2025 revenue increase was higher rental income, specifically from both existing tenants through escalations and from securing new leases. This is a constant balancing act in real estate investment trusts (REITs) and property companies-you win some, you lose some. The near-term risks and opportunities are clearly visible in the leasing activity:

• Opportunity: A new 10-year office lease was secured in April 2025, adding an annual rent of $216,000 starting in October 2025.
• Risk: A tenant at the 9 Bond Street building in Brooklyn did not renew their lease, resulting in an approximate loss of $142,000 in annual rental income, beginning after June 30, 2025.

So, you can see the gross revenue increase is a net effect of new deals offsetting tenant departures. It's defintely a property-by-property fight for occupancy and higher rents. The company's revenue is not diversified across products or services; the entire financial health hinges on the performance of its physical assets. You can dig deeper into how these assets are performing in the full report: Breaking Down J.W. Mays, Inc. (MAYS) Financial Health: Key Insights for Investors.

Profitability Metrics

You're looking at J.W. Mays, Inc. (MAYS) and trying to figure out if their small, persistent losses are a sign of trouble or just the cost of running a lean real estate holding business. The direct takeaway here is that while the company is technically unprofitable, its fiscal year 2025 performance shows a dramatic narrowing of losses and margins that significantly outperform the broader, more volatile real estate development sector.

For the fiscal year ended July 31, 2025, J.W. Mays, Inc. generated $22.47 million in total revenue. The company's profitability ratios tell a story of a business model with high initial margins that is almost at the breakeven point, but still wrestling with administrative and property-related operating expenses.

• Gross Profit Margin: The margin was 30.32% for FY 2025, based on a Gross Profit of $6.814 million.
• Operating Profit Margin: This margin was -0.68%, reflecting an Operating Loss of $(0.154) million.
• Net Profit Margin: The final Net Profit Margin was -0.61%, corresponding to a Net Loss of $(0.136) million.

The gross margin of 30.32% is solid for a real estate entity, showing that after accounting for the direct costs associated with their properties (Cost of Revenue was $15.655 million), they retain a substantial portion of rental income. The real challenge, and the reason for the negative operating and net margins, lies in the operating expenses, which push the company just slightly into the red.

Operational Efficiency and Industry Context

When you look at the trend over time, the picture gets clearer. J.W. Mays, Inc. has been actively improving its financial efficiency. Over the past five years, the company has managed to reduce its losses at an impressive average annual rate of 24.9%. This is a fantastic operational win, especially when you consider the broader Real Estate industry has seen earnings decline at an annual rate of 5.6% over the same period. That's a defintely strong divergence from the sector.

Here's the quick math on their competitive standing:

The industry average net profit margin for Real Estate Development sits at a deeply negative -16.35%, which makes J.W. Mays, Inc.'s -0.61% net loss look almost like breakeven in comparison. This suggests superior cost management and operational control, or perhaps a more stable revenue base from their commercial real estate holdings, shielding them from the deeper losses seen elsewhere. The low Net Loss of $(0.136) million on $22.47 million in revenue shows they are right on the cusp of profitability. You can explore more about the market's perception of this stability in Exploring J.W. Mays, Inc. (MAYS) Investor Profile: Who's Buying and Why?

The key action for you as an investor is to watch the upcoming earnings report on December 11, 2025, for any signs of a sustained positive operating income, which would signal the final push past the breakeven point. That's the pivot point for this stock.

Debt vs. Equity Structure

When you look at J.W. Mays, Inc. (MAYS), the first thing that stands out is its conservative approach to financing, especially when compared to the broader real estate sector. The company's strategy leans heavily on equity, which is a key indicator of its financial stability and lower risk profile.

For the fiscal year 2025, J.W. Mays, Inc.'s debt-to-equity (D/E) ratio stood at a remarkably low 0.52. This means that for every dollar of shareholder equity, the company uses just $0.52 in debt to finance its assets. To put that in perspective, the average D/E ratio for Real Estate Operating Companies in 2025 is around 1.178, and even Real Estate Development companies are near 0.52. Honestly, this is a very strong balance sheet for a real estate firm; it shows a clear preference for equity funding over financial leverage (borrowing money).

Here's the quick math on the company's debt load, based on the most recent quarterly filing data ending April 30, 2025:

• Long-Term Debt: Approximately $4.36 million
• Short-Term Obligations (Current Liabilities): Approximately $2.20 million
• Total Shareholders' Equity: Approximately $52.85 million

The total debt is manageable, but the company's primary financing challenge is not about the amount of debt, but its structure. The core of their debt is a single mortgage of approximately $3.3 million as of April 30, 2025. What this estimate hides is a critical, near-term risk: the loan agreement gives the lender an unconditional right to demand full repayment at any time, effective April 30, 2025, even though the stated maturity is 2040.

This 'demand provision' effectively converts a long-term liability into a potential short-term one, which is why the company has been actively managing its debt portfolio. For instance, another mortgage was fully paid off in December 2024. J.W. Mays, Inc. is defintely aware of the refinancing need, and while they maintain a positive relationship with the bank, they are exploring options to refinance this mortgage after April 1, 2025, to remove that balloon payment risk. Since J.W. Mays, Inc. is a smaller, nano-cap company, it does not typically carry a public credit rating from major agencies, so investors must focus on these specific debt terms and the company's strong equity position.

The low D/E ratio and substantial equity cushion give the company a lot of flexibility. They aren't constrained by high interest payments, so they are well-positioned to fund capital expenditures-like the anticipated $1.2 million in CapEx over the next twelve months-primarily through cash from operations and existing liquidity, rather than new, expensive debt.

For a deeper dive into who is buying the stock and what drives their investment thesis, you should check out Exploring J.W. Mays, Inc. (MAYS) Investor Profile: Who's Buying and Why?

Liquidity and Solvency

You need to know if J.W. Mays, Inc. (MAYS) can cover its near-term obligations, and the 2025 numbers give us a clear, if slightly tight, picture of its liquidity. The company's financial health is anchored in its real estate holdings, which means its cash flow and working capital are the critical metrics to watch, not just the balance sheet ratios.

The core takeaway is that J.W. Mays, Inc. maintains a decent current position, but its quick ratio signals a reliance on less-liquid current assets to meet immediate debts. That's a classic real estate profile, but it still requires careful monitoring.

Here's the quick math on J.W. Mays, Inc.'s liquidity for the 2025 fiscal year:

• Current Ratio (FY 2025): 1.76
• Quick Ratio (FY 2025): 0.92

The Current Ratio, which is Current Assets divided by Current Liabilities, stood at a solid 1.76 for the 2025 fiscal year. This means J.W. Mays, Inc. has $1.76 in short-term assets for every dollar of short-term debt, which is defintely a healthy buffer. However, the Quick Ratio (Acid-Test Ratio), which excludes less-liquid inventory, was only 0.92. This is the first signal of a potential liquidity concern; it means that without selling off inventory (which is usually a small part of a real estate company's current assets anyway), the company cannot fully cover its short-term liabilities with its most liquid assets alone.

Working Capital and Liquidity Positions

Working capital-the difference between current assets and current liabilities-is a better measure of a company's operating flexibility. For the fiscal quarter ending April 30, 2025, J.W. Mays, Inc. reported Current Assets of $6.84 million and Current Liabilities of $2.20 million. This translates to a working capital of approximately $4.64 million, which is a strong positive balance, indicating operational headroom. Earlier in the year, as of January 31, 2025, the working capital was reported at $1,490,663, showing a significant positive trend in the subsequent quarter.

What this estimate hides is the composition of those current assets. Since the Quick Ratio is below 1.0, a large portion of the current assets must be non-cash items like receivables, which can take time to convert to cash. For a real estate firm, this is often rent receivables or prepaid expenses.

Cash Flow Statements Overview

Looking at the cash flow statement for the fiscal quarter ending April 30, 2025, provides the real story on liquidity-it shows the actual cash coming in and going out, not just accounting entries. The trends are clear and point to a self-funding operation, which is a major strength.

Cash Flow from Operating Activities (CFO) was a robust inflow of $3.35 million. This is the most important number: the company's core business of leasing commercial real estate is generating significant cash. Cash Flow from Investing Activities (CFI) showed an outflow of $1.72 million, which is typical for a real estate owner that needs to spend on capital expenditures (CapEx) to maintain or improve its properties-they anticipate incurring an additional $1.5 million in CapEx over the next twelve months. Cash Flow from Financing Activities (CFF) was a $0.62 million outflow, suggesting they are managing their debt or returning capital, rather than relying on new borrowings.

Liquidity Concerns and Strengths

The primary strength is the consistent, positive cash flow from operations, which more than covers the cash used in investing and financing activities. The positive CFO is the ultimate liquidity buffer. The main potential concern is that Quick Ratio of 0.92. While the company is not a retailer, a ratio below 1.0 means that an unexpected, large short-term liability could force them to liquidate an asset quickly or draw on a line of credit.

You should also consider the company's reliance on rental income, which is generally stable but subject to economic conditions and tenant solvency. For a deeper dive into who is betting on this stability, you should read Exploring J.W. Mays, Inc. (MAYS) Investor Profile: Who's Buying and Why?

Your next step should be to track the cash flow from operations in the next quarterly report. If CFO remains above $3.0 million per quarter, the liquidity position is defintely secure.

Valuation Analysis

You want to know if J.W. Mays, Inc. (MAYS) is a bargain or a trap. Honestly, based on the core valuation metrics for the 2025 fiscal year, the stock looks overvalued when compared to typical real estate peers, and the market is signaling caution.

The company's valuation ratios are stretched, which is a common red flag for investors. Here's the quick math on the key multiples, using data from the fiscal year ending in July 2025 and current market prices in November 2025.

• Price-to-Earnings (P/E) Ratio: The P/E ratio is effectively negative, reported around -489.56 as of November 2025, or simply negative for the 2025 fiscal year. This isn't a valuation multiple; it's a flashing warning sign that J.W. Mays, Inc. is operating at a net loss, so the traditional P/E metric is not useful for comparison.
• Price-to-Book (P/B) Ratio: At a fiscal year 2025 P/B of 1.54, the stock trades at a premium to its book value, meaning you are paying 1.54 times the value of its net assets. For a real estate holding company, a P/B over 1.5 suggests the market sees significant unrealized value in its properties, or it's simply priced high.
• Enterprise Value-to-EBITDA (EV/EBITDA): The FY 2025 EV/EBITDA ratio stands at a very high 64.71. This multiple measures the total value of the company (Enterprise Value) against its operating cash flow proxy (Earnings Before Interest, Taxes, Depreciation, and Amortization). A figure this high is defintely a sign of overvaluation or extremely low recent EBITDA, which is the case here.

The high EV/EBITDA ratio, coupled with a negative P/E, tells a clear story: J.W. Mays, Inc. has a very small operating profit (EBITDA) relative to its total market value and debt, making its current market price hard to justify on fundamental earnings power alone. You are paying a lot for very little recent operating income.

Stock Price and Analyst Sentiment

Looking at the stock price trends over the last 12 months, J.W. Mays, Inc. has seen some volatility but is currently trading at the lower end of its range. The 52-week high was $45.27, and the 52-week low was $32.32. With the stock price hovering around $39.17 in November 2025, it has declined from its close price of $40.25 at the end of the fiscal year 2025.

The market is not expecting a quick turnaround, and analyst sentiment is unambiguously negative. The consensus rating on J.W. Mays, Inc. is a clear Sell. This is a small-cap real estate company, and the lack of positive analyst coverage or even a 'Hold' rating shows a distinct lack of confidence in its near-term financial performance or strategy.

Dividend Policy and Payout

For income-focused investors, there is a simple answer: J.W. Mays, Inc. does not pay a dividend. Therefore, the dividend yield is 0.00%, and the payout ratio is not applicable. This means any return on your investment must come entirely from capital appreciation, which, given the negative P/E and high valuation multiples, appears risky right now.

Here is a snapshot of the key valuation metrics:

If you are considering this stock, you need to dig deep into the underlying real estate assets-the 'book value' story-because the earnings and cash flow metrics are not supporting the current price. For a deeper look at the company's asset base, read our full analysis: Breaking Down J.W. Mays, Inc. (MAYS) Financial Health: Key Insights for Investors.

Next Step: You should model a liquidation value for the company's commercial properties to see if the P/B ratio is truly justified by asset value, not just market sentiment.

Risk Factors

You're looking at J.W. Mays, Inc. (MAYS), a real estate holding company, and you need to know where the landmines are. The direct takeaway is this: while the company narrowed its annual loss in fiscal year 2025, the core risks are a concentrated tenant base and a high-interest-rate environment that makes capital expenditures and tenant retention much harder.

We need to be realists about their commercial real estate exposure in the New York City metro area. The shift from office to remote work is a long-term headwind, and it directly impacts the ability of J.W. Mays, Inc. to maintain high occupancy and rental rates. Plus, you have to consider the current cost of capital.

Operational and Financial Concentration Risks

The most immediate risk is tenant concentration. When you own commercial real estate, losing a few big tenants can punch a hole right through your revenue. As of April 30, 2025, four tenants accounted for roughly 67% of the company's total receivables. That's a significant credit risk.

We've already seen this risk materialize in 2025. For example, the company received notice of non-renewal for a few leases, including a significant one in Brooklyn, which will result in an estimated loss of rental income of approximately $885,000 per annum. Another non-renewal in May 2025 for a 3,080 square foot space means a loss of about $142,000 per annum. That's a lot of lost rent to replace quickly.

Here's the quick math on their recent performance: for the full fiscal year ending July 31, 2025, J.W. Mays, Inc. reported a net loss of $(136,240) on revenues of $22.47 million. But what this estimate hides is the fourth quarter, where the net loss widened considerably to $(92,000), nearly tripling the loss from the prior year's quarter. That's a negative trend reversal you defintely can't ignore.

External and Strategic Headwinds

The external environment is not doing J.W. Mays, Inc. any favors. The high interest rate environment and reduced liquidity are putting pressure on smaller businesses-the very tenants the company is trying to attract. Even historically financially strong tenants are now at risk, which ties back to the concentration issue.

The costs of simply running the properties are also rising. Real estate operating expenses, driven by higher real estate taxes and insurance, have been increasing. Plus, the company anticipates incurring additional capital expenditures (CapEx) of about $1.5 million over the next twelve months to maintain and improve properties, which is a big number for a company with a working capital of only $1,490,663 as of January 31, 2025.

• High interest rates make property development costly.
• Regulatory changes and local taxes add to operating expenses.
• The long-term lease for the Jamaica, New York premises expires in 2035, posing a future turnover challenge.

To be fair, J.W. Mays, Inc. is aware of these risks and has mitigation strategies. They try to diversify their tenant base and aggressively market to stable entities like governmental agencies and educational institutions. They also emphasize long-term tenant retention. Still, the execution of these plans in a tough market is the real test. If you want to dig deeper into who is buying this stock and why, you should check out Exploring J.W. Mays, Inc. (MAYS) Investor Profile: Who's Buying and Why?.

Growth Opportunities

You're looking at J.W. Mays, Inc. (MAYS) and wondering where the growth comes from in a real estate holding company. Honestly, it's not about some flashy new product; it's about location and management. The company's future growth isn't a moonshot-it's a slow, steady grind rooted in its core portfolio of commercial real estate assets, primarily in the New York metropolitan area.

The key takeaway from the fiscal year (FY) 2025 results is that the company is stabilizing its bottom line, which is crucial for a smaller operator. Total annual revenue for FY 2025 reached $22.47 million, representing a modest 4.06% growth year-over-year. More importantly, the net loss narrowed significantly to $0.14 million, down from a $0.41 million net loss in FY 2024. That's a massive improvement in operating control.

Growth Drivers: Location and Leasing

For a company like J.W. Mays, Inc., growth drivers are property-centric, not product-centric. Their strategy is simple: maximize rental income from their existing, strategically-located properties and selectively pursue new acquisitions and development opportunities (Acquisition and Development) when the price is right.

The primary growth levers are:

• Lease Agreements: Securing long-term leases with premium tenants to ensure predictable, stable revenue.
• Occupancy Rates: Maintaining high occupancy in their core properties, such as those in Brooklyn and Jamaica, New York.
• Property Management: Active, hands-on management that fosters tenant retention and allows for rental rate increases upon lease renewal.

What this estimate hides is the lack of analyst coverage; there are no S&P Global consensus estimates for FY 2026 revenue or earnings per share (EPS). So, we must project based on the 4.06% revenue growth seen in FY 2025 and the narrowing loss. If they can maintain this modest revenue trajectory and continue to cut operating costs, we could see them tip into net profitability in the near-term.

Competitive Edge in a Crowded Market

J.W. Mays, Inc. maintains its competitive advantage (moat) through its established presence and property positioning, especially in the competitive New York City market. They aren't trying to be a national real estate investment trust (REIT). They focus on a deep understanding of their local commercial real estate fundamentals.

Breaking Down J.W. Mays, Inc. (MAYS) Financial Health: Key Insights for Investors shows you the full picture, but here is the quick math on their positioning:

Still, the company's small size-just 28 full-time employees-means they must be extremely efficient, but it also limits their capacity for large-scale, transformative acquisitions that would immediately spike revenue. The growth will be incremental, driven by rent escalations and high tenant retention.