Executive Summary

Q2 2022 revenue was $498,652, down 9.3% year-over-year, and the company reported a net loss of $39,063 as brokerage revenues fell versus the strong prior-year quarter; cash was $891,244 at quarter-end .
Management highlighted a shift toward scaling integrated real estate services and expanding buying power, including a new $4.5M debt facility secured in July to pursue acquisitions and portfolio growth .
No formal quarterly guidance or Wall Street consensus estimates were available; comparisons to Street expectations are not possible for this micro-cap OTC name [functions.GetEstimates error].
Portfolio run-rate strengthened via the March Chino Valley lease amendment (base rent lifted to $87,581/month on expanded square footage), supporting Property Investment Portfolio growth into H2 2022 .

What Went Well and What Went Wrong

What Went Well

Expanded buying power: “New $4.5 Million Debt Facility Creates Buying Power for New Property Acquisitions and Portfolio Expansion” with interest-only year one and optional fixed/variable rates, enabling national portfolio expansion .
Strategic execution across services: CEO emphasized focus “on investing in the growth and diversity of our top line revenue while maintaining positive cash flow from operations” and scaling real estate services nationally .
PropTech momentum: The company launched Rezone Beta and invested $50,000 in AnamiTech’s GreenSpace platform, building a tech stack to service regulated cannabis real estate workflows .

What Went Wrong

YoY revenue decline: Q2 revenue fell 9.3% YoY to $498,652 as brokerage revenue dropped versus Q2 2021’s unusually strong commissions ($236,592), pulling Real Estate Services segment revenue down sharply .
Profitability pressure: Q2 operating expenses rose 23.7% YoY to $507,856 (compensation, brokerage fees, and G&A), resulting in operating loss of $9,204 and net loss of $39,063 .
High tenant concentration: Significant tenants accounted for 89.5% of Q2 revenue; the model remains exposed to a single-operator ecosystem in Arizona .

Financial Results

Metric	Q2 2021	Q1 2022	Q2 2022
Revenue ($USD)	$550,064	$938,701	$498,652
Operating Income ($USD)	$139,653	$9,518	$(9,204)
Net Income ($USD)	$112,594	$(25,696)	$(39,063)
Basic EPS ($USD)	$0.01	$(0.00)	$(0.00)
Diluted EPS ($USD)	$0.01	$(0.00)	$(0.00)
Cash and Equivalents ($USD)	n/a	$787,918	$891,244

Segment revenue breakdown:

Segment Revenue ($USD)	Q2 2021	Q1 2022	Q2 2022
Property Investment Portfolio	$294,972	$390,097	$450,314
Real Estate Services	$255,092	$548,604	$48,338
Total	$550,064	$938,701	$498,652

Selected KPIs and cash flow:

KPI ($USD)	Q1 2022	Q2 2022
Net Cash Provided by Operating Activities	$119,742	$270,968 (six months ended)
Lease Incentive Receivable (Chino Valley)	$497,706	$490,826

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue, EPS, Margins, OpEx, Tax Rate	Q2 2022 / FY 2022	None disclosed	None disclosed	Maintained (no formal guidance)

Earnings Call Themes & Trends

(No Q2 2022 earnings call transcript was located; themes reflect management’s press releases and filings.)

Topic	Previous Mentions (Q4 2021, Q1 2022)	Current Period (Q2 2022)	Trend
PropTech / Technology	Rezone to launch; JV with Zoneomics Green; Beakon JV impaired	Rezone Beta launched; $50K investment in AnamiTech’s GreenSpace	Building tech stack; expanding usage
Buying Power / Capital Access	Portfolio stabilized; exploring debt financing	Secured $4.5M debt facility; interest-only year 1	Access to capital improved
Portfolio & Rent Run-rate	Chino Valley base rent up to $87,581/mo; square footage expanded	Property Investment Portfolio revenue up YoY in Q2	Portfolio strengthening
Regulatory/Macro	Cannabis regulatory risk; Arizona concentration	Reiterated cannabis focus; national service expansion	Stable risk profile; expansion intent
Services Mix	Brokerage and advisory growing (Q1 spike)	Brokerage commissions light in Q2; services fell YoY	Volatile services mix

Management Commentary

“We are focused on investing in the growth and diversity of our top line revenue while maintaining positive cash flow from operations… metrics… for investors and shareholders to follow.” — Bryan McLaren, CEO .
“We believe we have developed the right business mix of real estate services… designed to feed a strong pipeline of acquisition targets for our Investment Portfolio… scaling… buying power to expand our Investment Portfolio.” .
PropTech: “Rezone… democratizing commercial real estate intelligence… In July 2022, [we] invested… AnamiTech… GreenSpace Pro.” .

Q&A Highlights

No earnings call transcript was available in the document corpus for Q2 2022; no Q&A themes could be extracted [functions.SearchDocuments no results].

Estimates Context

S&P Global consensus estimates were unavailable; comparisons to Street expectations are not possible for Q2 2022 (tool returned error). Values would normally be retrieved from S&P Global; none were accessible in this case [functions.GetEstimates error].

Key Takeaways for Investors

Q2 shows mix shift back to rental-driven revenue as Property Investment Portfolio rose YoY while services fell (brokerage softness), underscoring the importance of stabilized triple-net rents in near-term results .
Debt capacity added: the $4.5M facility (interest-only year one; prime+2% variable or prime+2.25% fixed) supports accretive acquisitions; watch deployment pacing and DSCR/covenants .
Portfolio fundamentals: Chino Valley rent step-ups (to $87,581/month) and expanded square footage increase contracted cash flows, supporting medium-term FFO stability .
Cash and operating cash flow remain adequate for a micro-cap; six-month operating cash flow of $270,968 and $891,244 cash at Q2-end provide runway alongside the debt facility .
Concentration risk persists: Significant Tenants drove 89.5% of Q2 revenue; diversification via new acquisitions and multi-state services remains a priority .
PropTech investments (Rezone, GreenSpace) can enhance pipeline sourcing and client stickiness; execution and monetization timelines should be monitored .
Lack of formal guidance and no Street coverage mean trading can be event-driven around acquisitions and lease amendments; monitor filings and press releases for catalysts .

Zoned Properties, Inc. (ZDPY)·Q2 2022 Earnings Summary