Investment Strategy - The company acquired or originated investments totaling $83,484,103 during the three months ended March 31, 2025, with a focus on life sciences, self-storage, and multifamily properties [196]. - The company aims to generate attractive, risk-adjusted returns for stockholders over the long term through a flexible investment strategy [189]. - The company has a target focus on investments in the top 50 MSAs, particularly in stabilized properties or those with light-transitional business plans [188]. - The company’s investment strategy includes reallocating capital periodically among target investment classes to manage risk effectively [189]. - The company is focused on expanding its portfolio through various types of loans and investments, including multifamily properties and preferred equity investments [230]. Financial Performance - Net interest income for Q1 2025 was $11.5 million, a significant increase of approximately $24.3 million compared to a net interest loss of $12.8 million in Q1 2024, representing a change of (189.8)% [211][212]. - Other income rose to $22.7 million in Q1 2025 from $9.2 million in Q1 2024, marking an increase of approximately $13.5 million or 147.2% [213]. - Operating expenses decreased to $8.3 million in Q1 2025 from $11.0 million in Q1 2024, a reduction of approximately $2.7 million or (24.9)% [211]. - Net income attributable to common stockholders for Q1 2025 was $16.5 million, compared to a net loss of $14.3 million in Q1 2024, reflecting a change of 215.6% [219]. - Earnings Available for Distribution (EAD) for Q1 2025 was $9.7 million, a significant improvement from a loss of $11.5 million in Q1 2024, representing a change of 184.5% [228]. - Cash Available for Distribution (CAD) decreased to $10.5 million in Q1 2025 from $14.9 million in Q1 2024, a decline of (29.5)% [228]. - Net income per share, basic, was $0.94 in Q1 2025 compared to a loss of $0.83 in Q1 2024, indicating a change of 213.0% [219]. - The weighted-average number of diluted common shares outstanding increased to 36,049 in Q1 2025 from 24,862 in Q1 2024, a rise of 45.0% [219]. Expenses and Management Fees - The company’s management fees and G&A expenses are capped at 2.5% of equity book value, ensuring cost control [207]. - Management fees increased to $1.4 million in Q1 2025 from $0.8 million in Q1 2024, primarily due to an increase in Equity as defined by the Management Agreement [216]. - Expenses from consolidated real estate owned decreased to $4.0 million in Q1 2025 from $5.4 million in Q1 2024, a reduction of approximately $1.4 million or (25.9)% [217]. Liquidity and Capital Resources - The company expects to meet its short-term liquidity requirements through available cash, expected operating cash flows, and potential debt or equity financings [235]. - Long-term liquidity requirements will be met through various capital sources, including future debt or equity issuances and net cash from operations [236]. - The company has a total of $788.8 million borrowed under the Freddie Mac Credit Facility, with an outstanding balance of $109.7 million as of March 31, 2025 [239]. Shareholder Returns - The company intends to make regular quarterly dividend payments to holders of common stock and has declared a quarterly dividend of $0.50 per share on February 24, 2025 [254]. - As of March 31, 2025, the company has sold 531,728 shares of common stock for total gross sales of $12.6 million under its ATM Program [244]. - The company launched a continuous public offering of up to 16,000,000 shares of Series B Preferred Stock at a price of $25.00 per share, aiming for gross proceeds of $400.0 million [245]. - As of March 31, 2025, the company has sold 8,485,120 shares of Series B Preferred Stock for total gross proceeds of $207.3 million [247]. Market Conditions and Risks - The company has experienced uncertainties regarding the impact of recently announced tariffs on construction materials, which could affect operational costs [192]. - The macroeconomic environment remains challenging due to high interest rates and limited credit availability, impacting commercial real estate financing [285]. Legal and Regulatory Matters - The company is currently involved in ongoing litigation, including the Bankruptcy Trust Lawsuit and the UBS Lawsuit, but does not expect these to materially affect its business [193]. - The company intends to maintain its REIT status for U.S. federal income tax purposes, which commenced with the taxable year ended December 31, 2020 [191]. - The Company elected to be treated as a REIT for U.S. federal income tax purposes, requiring it to distribute at least 90% of its REIT taxable income to stockholders [286]. Investment Portfolio - The company's portfolio consists of assets with a combined unpaid principal balance of $1.5 billion as of March 31, 2025 [230]. - The current yield on senior loans in the portfolio averages 10.16% with a remaining term of 2.15 years [230]. - The highest coupon rate for a senior loan in the portfolio is 14.00% for a loan amount of $151.263 million [230]. - The total net equity for senior loans in the portfolio is $164.874 million [230]. - The company holds CMBS B-Pieces with a total investment of $108.303 million, with a current yield of 9.08% [230]. - The average coupon rate for CMBS B-Pieces is 10.57% with a remaining term of 5.91 years [230]. Commitments and Off-Balance Sheet Arrangements - The Company has one off-balance sheet arrangement that may affect its financial condition as of March 31, 2025 [256]. - The Company committed to fund $24.0 million of preferred equity for a construction project in Phoenix, Arizona, with $6.5 million remaining unfunded as of March 31, 2025 [259]. - The Company fully funded $30.3 million of preferred units for a multifamily property development in Forney, Texas, and committed an additional $4.3 million in common equity, of which $1.3 million was unfunded as of March 31, 2025 [259]. - The Company has an unfunded commitment balance of $105.0 million under the IQHQ Subscription Agreement as of March 31, 2025, having funded $55.0 million [273]. Credit Losses and Valuation - The cumulative effect of adopting ASU 2016-13 as of January 1, 2023, resulted in a $1.6 million reduction in retained earnings [278]. - The beginning allowance for credit loss as of January 1, 2025, was $1.4 million, with a provision for credit losses of $3.6 million for the three months ended March 31, 2025, leading to an ending allowance for credit loss of $5.0 million [278]. - The unrealized loss related to the change in fair value estimate for NSP was $1.2 million for the three months ended March 31, 2025 [281]. - The unrealized loss related to the change in fair value estimate for the Private REIT was $0.2 million for the three months ended March 31, 2025 [282]. - Significant judgment is required in determining impairment and estimating the resulting loss allowance, with actual losses potentially differing from estimates [279].

Financial Data and Key Metrics Changes - For Q1 2025, the company reported net income of $0.70 per diluted share, a significant improvement from a net loss of $0.83 per diluted share in Q1 2024 [5] - Interest income increased by $23.6 million to $22 million in Q1 2025, compared to a net loss of $1.6 million in Q1 2024, driven by higher rates [6] - Earnings available for distribution rose to $0.41 per diluted common share in Q1 2025 from negative $0.46 per diluted share in the same period of 2024 [6] - Cash available for distribution was $0.45 per diluted common share in Q1 2025, down from $0.60 per diluted common share in Q1 2024 [6] - Book value per share increased by 1.47% from Q4 2024 to $17.22 per diluted common share [7] Business Line Data and Key Metrics Changes - The portfolio consists of 85 investments with a total outstanding balance of $1.2 billion, allocated as follows: 49.4% multifamily, 31.9% life sciences, 15.6% single-family rental, 1.6% storage, 0.9% specialty manufacturing, and 0.6% marina [9] - The investment allocation includes 28.4% CMBS BPs, 24.7% mezzanine loans, 19% preferred equity investments, 12.9% revolving credit facilities, 10.4% senior loans, 4.2% IO strips, and 0.3% promissory notes [9] Market Data and Key Metrics Changes - The company reported strong demand in the residential sector, with over 138,000 units absorbed in Q1 2025, marking a record first quarter performance [14] - Sunbelt markets captured a majority of the top 10 markets for absorption in Q1 2025, indicating robust demand in these regions [14] - The life sciences sector is experiencing challenges due to tariff and NIH funding uncertainties, but there are positive developments in specific projects, such as the Alewife project [12][13] Company Strategy and Development Direction - The company remains focused on the residential sector, anticipating increased rental growth and transaction volume in the coming quarters [15] - There is an emphasis on self-storage development opportunities, with expected yields ranging from 8.1% to 8.5% [15][16] - The company plans to actively market several equity investments to generate approximately $75 million of new equity for reinvestment into income-producing assets [16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the residential sector, believing it has bottomed out and is poised for growth [14][22] - The life sciences sector is expected to see a resolution of current uncertainties by mid-2025, which could lead to increased capital allocation decisions [12][21] - Overall, the company is confident in its portfolio's performance and sees opportunities in the multifamily and self-storage sectors [16] Other Important Information - The company paid a regular dividend of $0.50 per share in Q1 2025 and has declared a similar dividend for Q2 2025 [7] - The debt to equity ratio stands at 1.33 times, with a weighted average cost of debt at 6% [10] Q&A Session Summary Question: Can you comment on the credit side and notable credit loss provision? - Management indicated that a weighted average base case and downside scenario for CECL reserve was implemented, contributing to the credit loss provision [19] - A proactive reserve was applied to a private preferred asset, leading to the uptick in credit loss provision [20] Question: What is the leasing momentum for the life science project? - The project is expected to be two-thirds leased, resulting in a debt yield of almost 11% from two tenants [25] Question: What are the future investment plans? - The company plans to focus on residential space, preferreds, and ramping up CMBS B pieces, with a particular interest in short-term stretch senior opportunities [31]

NexPoint Real Estate Finance (NREF) Q1 2025 Earnings Call May 01, 2025 11:00 AM ET Company Participants Kristen Griffith - Investor RelationsPaul Richards - CFO, Executive VP-Finance, Treasurer and Assistant SecretaryMatt McGraner - EVP and CIOJade Rahmani - Managing Director Operator As a reminder, today's call is being recorded. I will now hand today's call over to Kristin Griffith, Investor Relations. Please go ahead. Kristen Griffith Thank you. Good day, everyone, and welcome to NexLint Real Estate Fina ...

NexPoint Real Estate Finance (NREF) Q1 2025 Earnings Call May 01, 2025 11:00 AM ET Speaker0 As a reminder, today's call is being recorded. I will now hand today's call over to Kristin Griffith, Investor Relations. Please go ahead. Speaker1 Thank you. Good day, everyone, and welcome to NexLint Real Estate Finance conference call to review the company's results for the first quarter ended 03/31/2025. On the call today are Paul Richards, executive vice president and chief financial officer, and Matt McGriner, ...

NexPoint (NREF) came out with quarterly earnings of $0.41 per share, missing the Zacks Consensus Estimate of $0.46 per share. This compares to loss of $0.46 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -10.87%. A quarter ago, it was expected that this company would post earnings of $0.78 per share when it actually produced earnings of $0.83, delivering a surprise of 6.41%.Over the last four quarters, the company has surpass ...

NYSE:NREF 1Q 2022 FINANCIAL SUPPLEMENT 1Q 2025 Financial Supplement May 1, 2025 CONTACT NEXPOINT REAL ESTATE FINANCE (NYSE:NREF) 300 Crescent Court, Suite 700 Dallas, Texas 75201 (w) nref.nexpoint.com INVESTOR RELATIONS Kristen Griffith (e) kgriffith@nexpoint.com 28 APRIL 2022 NYSE:NR EF Cautionary Statements FORWARD LOOKING STATEMENTS This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on management's current expe ...

NREF Announces First Quarter 2025 Results, Provides Second Quarter 2025 Guidance Dallas, TX, Thursday, May 01, 2025 – NexPoint Real Estate Finance, Inc. ("NREF" or the "Company") (NYSE: NREF) today reported its financial results for the quarter ended March 31, 2025. NREF reported net income attributable to common stockholders of $16.5 million, or $0.70 per diluted share1, for the three months ended March 31, 2025. EXHIBIT 99.1 Contact: Kristen Griffith Investor Relations IR@nexpoint.com Media: pro-nexpoint@ ...

DALLAS, May 1, 2025 /PRNewswire/ -- NexPoint Real Estate Finance, Inc. ("NREF" or the "Company") (NYSE: NREF) today reported its financial results for the quarter ended March 31, 2025.NREF reported net income attributable to common stockholders of $16.5 million, or $0.70 per diluted share1, for the three months ended March 31, 2025.NREF reported cash available for distribution2 of $10.5 million, or $0.45 per diluted common share2, for the three months ended March 31, 2025."NREF is pleased to announce anothe ...

Company Overview - NexPoint Real Estate Finance, Inc. is a publicly traded REIT listed on the New York Stock Exchange under the symbols "NREF" and "NREF-PRA" [4] - The company focuses on originating, structuring, and investing in various financial instruments including first-lien mortgage loans, mezzanine loans, preferred equity, convertible notes, multifamily properties, and common equity investments [4] Upcoming Events - The company is scheduled to host a conference call on May 1, 2025, at 11:00 a.m. ET to discuss first quarter 2025 financial results [1] - A press release with the financial results will be issued before market open on the same day [3] Access Information - The conference call can be accessed by dialing 888-660-4430 for domestic callers and +1 646-960-0537 for international callers, using passcode Conference ID: 6891136 [2] - A live audio webcast will be available on the company's website, and a replay will be accessible for 60 days after the call [2][3]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________ FORM 10-K __________________________________ (Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-39210 __________________________________ NexP ...