NexPoint Residential Trust, Inc.

Highlights

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NXRT 1 reported net loss, FFO 2, Core FFO 2 and AFFO 2 of $(6.9)M, $17.4M, $19.1M and $21.6M, respectively, attributable to common stockholders for the quarter ended March 31, 2025, compared to net income, FFO, Core FFO, and AFFO of $26.3M, $18.9M, $19.4M and $22.0M, respectively, attributable to common stockholders for the quarter ended March 31, 2024.

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For the three months ended March 31, 2025, Q1 Same Store properties 3 total revenue, NOI 2, average effective rent, and occupancy decreased 1.0%, 3.8%, 1.3% and 30 bps, respectively, over the prior year period.

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The weighted average effective monthly rent per unit across all 35 properties held as of March 31, 2025 (the “Portfolio”), consisting of 12,984 units 4, was $1,495, while physical occupancy was 94.4%.

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NXRT paid a first quarter dividend of $0.51 per share of common stock on March 31, 2025.

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During the first quarter, for the properties in the Portfolio, NXRT completed 210 full and partial upgrades, leased 201 upgraded units, achieving an average monthly rent premium of $62 and a 16.1% ROI 5.

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Since inception, NXRT has completed installation of 8,558 full and partial upgrades, 4,795 kitchen and laundry appliances and 11,389 technology packages, resulting in $172, $50 and $43 average monthly rental increase per unit and 20.7%, 64.5% and 37.2% ROI, respectively.

(1)

In this release, “we,” “us,” “our,” the “Company,” and “NXRT” each refer to NexPoint Residential Trust, Inc., a Maryland corporation.

(2)

FFO, Core FFO, AFFO and NOI are non-GAAP measures. For a discussion of why we consider these non-GAAP measures useful and reconciliations of FFO, Core FFO, AFFO and NOI to net income (loss), see the “Definitions and Reconciliations of Non-GAAP Measures” and “FFO, Core FFO and AFFO” sections of this release.

(3)

We define “Same Store” properties as properties that were in our Portfolio for the entirety of the periods being compared. There are 35 properties encompassing 12,948 units of apartment space in our Same Store pool for the three months ended March 31, 2025 (our “Q1 Same Store” properties). The same store unit count excludes 36 units that are currently down due to fires (Rockledge: 20 units and Bella Solara: 16 units).

(4)

Total number of units owned as of March 31, 2025 is 12,984, however 36 units are currently down due to fires (Rockledge: 20 units and Bella Solara: 16 units).

(5)

We define Return on Investment (“ROI”) as the sum of the actual rent premium divided by the sum of the total cost.