NexPoint Residential Trust, Inc. Reports First Quarter 2025 Results
NXRT Accelerates Partial Upgrades and Boosts Core FFO Guidance
NexPoint Residential Trust, Inc. (NYSE:NXRT) reported financial results for the first quarter ended March 31, 2025.
Highlights
- NXRT reported a net loss of $(6.9) million, with FFO of $17.4 million, Core FFO of $19.1 million, and AFFO of $21.6 million, respectively, attributable to common stockholders for the quarter.
- Total revenue from Q1 Same Store properties decreased by 1.0%, with NOI down 3.8% year-over-year.
- The weighted average effective monthly rent per unit across all 35 properties stood at $1,495, with a physical occupancy of 94.4%.
- NXRT distributed its first quarter dividend of $0.51 per common share.
- During Q1, NXRT completed 210 partial upgrades and successfully leased 201 upgraded units, achieving an average monthly rent premium of $62.
- Since inception, NXRT has completed 8,558 upgrades resulting in a significant increase in average monthly rental rates.
First Quarter 2025 Financial Results
- Total revenues were $63.2 million for Q1 2025, compared to $67.6 million for the same period in 2024.
- Net loss attributable to common stockholders for Q1 2025 was $(6.9) million or loss of $(0.27) per diluted share.
- For Q1 2025, NOI was recorded at $37.8 million on 35 properties, down from $41.1 million from the previous year.
- Management indicated that decreases in gain on real estate sales affected the net loss results.
- Q1 FFO totaled $17.4 million or $0.68 per diluted share, while Core FFO reached $19.1 million or $0.75 per diluted share.
- AFFO totaled $21.6 million or $0.84 per diluted share.
Subsequent Events
- The Board approved quarterly dividends of $0.51 per share for stockholders of record on June 16, 2025.
- From April 1, 2025, NXRT purchased 223,109 shares of common stock totaling $7.6 million.
- NexPoint entered into a new five-year $100 million SOFR swap agreement.
Upcoming Earnings Call
NXRT will host a conference call to discuss its financial results for Q1 2025, accessible by dialing 888-660-4430 or +1 646-960-0537 for international callers.
About NexPoint Residential Trust
NexPoint Residential Trust is a publicly traded REIT listed on the New York Stock Exchange under the symbol NXRT. The company focuses on acquiring and operating middle-income multifamily properties with value-add potential in urban and suburban areas, targeting comprehensive enhancement strategies.
Frequently Asked Questions
1. What are the main financial highlights for Q1 2025?
NexPoint reported a net loss of $(6.9) million while achieving an FFO of $17.4 million.
2. How has rental occupancy changed?
Physical occupancy across NXRT's properties was reported at 94.4%, with a slight decrease over the year.
3. What is NXRT's strategy for property upgrades?
During Q1 2025, NXRT completed 210 upgrades, resulting in a rent premium and a solid return on investment.
4. When will the next earnings call be held?
The upcoming earnings call will take place on April 29, 2025, at 11:00 a.m. ET.
5. How does NXRT position itself in the market?
NexPoint focuses on acquiring well-located properties within large urban areas, primarily concentrating on enhancing their value through strategic upgrades.