NexPoint Residential’s Q3 2024 Earnings Report Highlights

NexPoint Residential ( (NXRT) ) has realeased its Q3 earnings. Here is a breakdown of the information NexPoint Residential presented to its investors.

NexPoint Residential Trust, Inc. (NYSE:NXRT) is a publicly traded real estate investment trust (REIT) that focuses on acquiring, owning, and operating middle-income multifamily properties with value-add potential in major cities and suburban submarkets in the Southeastern and Southwestern United States.

In its third quarter 2024 earnings report, NexPoint Residential Trust announced a quarterly dividend increase of 10.3% and detailed recent refinancing activities involving 17 properties and the sale of Stone Creek at Old Farm for $24.5 million.

The company reported a net loss of $8.9 million for the third quarter of 2024, a significant change from the net income of $33.7 million in the third quarter of 2023, mainly due to a decrease in gain on sales of real estate. Despite the net loss, funds from operations (FFO) increased to $15.7 million, while core FFO slightly decreased to $17.9 million. The occupancy rate for the portfolio improved by 100 basis points, and average effective rent per unit saw a decrease.

Year-to-date, NexPoint’s net income rose to $28.0 million, with total revenues slightly down compared to the previous year. The company completed significant renovations and secured a high return on investment from its upgrades. Despite challenges, NexPoint maintained stable performance metrics and continued to enhance shareholder value through strategic refinancing and dividend growth.

Looking ahead, NexPoint Residential Trust maintains a cautiously optimistic outlook, reaffirming its guidance for same-store performance and adjusting its earnings expectations for the full year. The company remains focused on strategic growth and capital recycling opportunities to enhance its portfolio and shareholder returns.