Financial Performance - NexPoint Residential Trust Inc. reported quarterly funds from operations (FFO) of $0.78 per share, missing the Zacks Consensus Estimate of $0.80 per share, but showing an increase from $0.77 per share a year ago, resulting in an FFO surprise of -2.50% [1] - The company posted revenues of $63.79 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 0.31%, although this is a decrease from year-ago revenues of $68.56 million [2] - The current consensus FFO estimate for the coming quarter is $0.78 on revenues of $64.15 million, and for the current fiscal year, it is $3.19 on revenues of $260.08 million [7] Market Performance - NexPoint Residential Trust Inc. shares have lost approximately 6.7% since the beginning of the year, contrasting with the S&P 500's gain of 1.7% [3] - The company has surpassed consensus FFO estimates two times over the last four quarters [2] Industry Outlook - The REIT and Equity Trust - Residential industry, to which NexPoint belongs, is currently in the bottom 25% of the Zacks industry rankings, indicating potential challenges ahead [8] - The outlook for the industry can significantly impact the performance of NexPoint's stock [8]

Financial Performance - For the year ended December 31, 2024, net income attributable to common stockholders was $1.1 million, a decrease from $44.3 million in 2023[5]. - Total revenues for the full year 2024 were $259.7 million, down from $277.5 million in 2023[12]. - For the fourth quarter of 2024, total revenues were $63.8 million, compared to $68.9 million for the same quarter in 2023[12]. - For the full year 2024, FFO totaled $44.5 million, or $1.69 per diluted share, compared to $71.4 million, or $2.72 per diluted share, in 2023[12]. - For the full year 2024, NOI was $157.0 million, down from $167.4 million in 2023[12]. - Net income for 2024 is reported at $1,114 million, a significant decrease from $44,433 million in 2023[23]. - Total revenues decreased to $259,701 thousand in FY 2024 from $277,526 thousand in FY 2023, representing a decline of 6.9%[38]. - Net income attributable to common stockholders was $1,110 thousand in FY 2024, a significant drop from $44,264 thousand in FY 2023[38]. - Same Store NOI growth was 0.9% in FY 2024 compared to the previous year[38]. - Total revenues for the year ended December 31, 2024, were $257,486,000, a decrease of $19,557,000 or 7.1% compared to $277,043,000 in 2023[60]. - The company reported a total NOI of $157.035 million for 2024, down 6.2% from $167.404 million in 2023[72]. Rental Income and Occupancy - The weighted average effective monthly rent per unit across all properties was $1,491, with physical occupancy at 94.7% as of December 31, 2024[5]. - Same Store Rental Income increased by $20,270 million, representing a 9.4% growth compared to 2022[27]. - Same Store Average Rent per Unit decreased by $25, or 1.7%, from $1,508 in 2022 to $1,483 in 2024[27]. - Same Store Ending Occupancy remained stable at 94.7% for both 2024 and 2023, up from 94.1% in 2022[27]. - Same Store rental income increased by $5,500,000 or 2.3% to $246,688,000 in 2024 from $241,188,000 in 2023[60]. - The occupancy rate for Same Store properties remained stable at approximately 94.7% as of December 31, 2024, unchanged from 2023[70]. Dividends and Shareholder Returns - A fourth quarter dividend of $0.51 per share was paid, representing a 10.3% increase over the prior quarter's dividend[5]. - Dividends declared per common share increased to $1.90 in FY 2024 from $1.72 in FY 2023[38]. - Dividends declared per common share increased to $1.89726 in 2024 from $1.72242 in 2023, a rise of 10.1%[82]. Debt and Capital Structure - The company refinanced mortgage debt totaling $1,469,425 million across 34 properties with a floating interest rate of 5.62%[31]. - The company has a total outstanding mortgage debt of $1,503,242,000, with a weighted average interest rate of 5.62% across various floating rate loans[92]. - The leverage ratio (Total Debt to Market Capitalization plus Total Debt) improved to 59% in FY 2024 from 64% in FY 2023[38]. - The company has entered into interest rate swap agreements totaling a notional amount of $1,067,500,000, with an average fixed rate of 0.9807%[94]. - The company has a total of $2,523,650 in interest rate cap agreements outstanding, with strike rates ranging from 2.74% to 8.91%[96]. - The company has multiple floating rate interest rate caps maturing between 2025 and 2027, with notional amounts ranging from $18,690 to $248,185[96]. Property Sales and Acquisitions - The company completed the sales of three properties for a combined price of $166.8 million during 2024[5]. - The company has disposed of properties with a total sales price of $1,237,675,000, resulting in a total gain on sale of $497,939,000[103]. - The NAVA Portfolio, which includes multiple properties, was sold for $116,000,000, generating a gain of $48,046,000[104]. - The highest acquisition price for a single property was $354,583,000 for Avant at Pembroke Pines, comprising 1,520 units[101]. Future Guidance - NXRT's 2025 guidance for earnings per diluted share ranges from $(1.33) to $(1.05) with a midpoint of $(1.19)[42]. - Core FFO per diluted share guidance for 2025 is projected between $2.56 and $2.83, with a midpoint of $2.70[42]. - Same Store rental income growth is expected to range from -0.5% to 1.0% for 2025[42]. - Total revenue growth for Same Store properties is projected between -0.2% and 1.3%[42]. - Same Store NOI is expected to decline between -3.5% and increase by 0.5%[42]. - The estimated 2025 NOI guidance is between $148.67 million and $154.90 million[46].

Core Insights - NexPoint Residential Trust, Inc. (NXRT) reported a net income of $1.1 million for the year ended December 31, 2024, a significant decrease from $44.3 million in 2023, primarily due to lower gains on real estate sales and rental income [5][12] - Total revenues for 2024 were $259.7 million, down from $277.5 million in 2023, reflecting a challenging market environment [12] - The company completed the sale of three properties for a total of $166.8 million during 2024, contributing to its overall financial performance [5] Financial Performance - For the full year 2024, Funds from Operations (FFO) totaled $44.5 million, down from $71.4 million in 2023, while Core FFO was $73.1 million compared to $76.6 million in the previous year [12][15] - The Average Effective Rent per unit across all properties was $1,491, with a physical occupancy rate of 94.7% as of December 31, 2024 [5][12] - The company paid a fourth-quarter dividend of $0.51 per share, marking a 10.3% increase from the previous quarter, and has increased its dividend per share by 147.6% since inception [5][12] Operational Highlights - The Same Store properties experienced a 2.0% increase in total revenue and a 0.9% increase in Net Operating Income (NOI) for 2024 [5][12] - NXRT completed 388 upgrades and installations in 2024, achieving an average monthly rent premium of $153 and a 24.7% return on investment [5] - The company repurchased 438,678 shares at an average price of $33.19 per share, representing a 36% discount to the midpoint of its Q4'24 Net Asset Value [5] Guidance and Future Outlook - For 2025, NXRT anticipates a net loss of approximately $31.5 million, with projected FFO of $64.1 million and Core FFO of $71.1 million [33] - The company expects to maintain its focus on value-add opportunities in middle-income multifamily properties, particularly in the Southeastern and Southwestern United States [13][33]

Core Viewpoint - NexPoint Residential Trust (NXRT) has shown significant upside potential, with a 30% upside identified in its discounted market valuation, despite challenges such as external management and high floating-rate debt [2][3]. Company Performance - NXRT's performance has ranked near the top of the multifamily REIT sector over the past year, attributed to management's successful execution of strategic initiatives, including profitable property sales and debt reduction [3][5]. - The company has effectively recycled capital through property sales, resulting in a total portfolio return of approximately 37.85% [4]. Debt Management - NXRT has refinanced and paid down debt, reducing costs and extending maturities, with total debt amounting to approximately $1.46 billion at a weighted average interest rate of 5.58% [5][6]. Market Positioning - NXRT owns 12,984 apartment units across 10 markets in the Southeastern and Southwestern United States, strategically positioned in high-demand areas [9][11]. - The company has exited Houston but maintains a presence in the top four markets identified by Marcus & Millichap, which are expected to perform well financially in 2025 [11]. Rental Market Dynamics - The disparity in rental prices between Class A and Class B apartments is significant, with a gap of $510 per month, which may drive increased demand for NXRT's Class B+ portfolio [12][13]. - As new supply is absorbed in these markets, both occupancy and rents are expected to rise, benefiting NXRT's operational performance [14]. Valuation Metrics - Despite a nearly 30% increase in share price, NXRT remains significantly discounted compared to its multifamily peers, with a P/AFFO ratio of 13.2, below the sector mean of 17.9 [16][17]. - NXRT's shares are priced at 77% of consensus Net Asset Value (NAV), indicating a valuation advantage compared to the sector average [18][19]. Dividend Growth - NXRT has raised its dividend for the ninth time since its IPO in 2015, indicating a strong commitment to returning value to shareholders [20][21].

Core Viewpoint - NexPoint Residential Trust, Inc. has announced the final income allocations for its 2024 dividend distributions on common stock, detailing the taxable and non-taxable components of the dividends [1][2]. Dividend Distribution Summary - The total dividend distribution for 2024 amounts to $1.89726 per share, with $1.28868 classified as taxable ordinary income and $0.60858 as return of capital [1]. - The breakdown of the dividends per share for each quarter is as follows: - Q1: $0.46242 ordinary income, $0.31409 unrecaptured Section 1250 gain, $0.19558 return of capital - Q2: $0.46242 ordinary income, $0.31409 unrecaptured Section 1250 gain, $0.19558 return of capital - Q3: $0.46242 ordinary income, $0.31409 unrecaptured Section 1250 gain, $0.19558 return of capital - Q4: $0.51000 ordinary income, $0.34641 unrecaptured Section 1250 gain, $0.21571 return of capital [1]. - 100% of the taxable ordinary income is treated as a qualified REIT dividend for Section 199A purposes [1]. Company Overview - NexPoint Residential Trust is a publicly traded Real Estate Investment Trust (REIT) focused on acquiring, owning, and operating middle-income multifamily properties with value-add potential in major urban and suburban markets, primarily in the Southeastern and Southwestern United States [3]. - The company is externally advised by NexPoint Real Estate Advisors, L.P., which is affiliated with NexPoint Advisors, L.P., an SEC-registered investment advisor with extensive real estate experience [3].

Company Announcement - NexPoint Residential Trust Inc (NXRT) will host a conference call on February 25 2025 at 11:00 am ET to discuss Q4 and full year 2024 financial results [1] - The conference call can be accessed live via phone or webcast with a replay available for 60 days on the company website [2][3] - A press release with Q4 and full year 2024 financial results will be issued before market open on February 25 2025 [3] Company Overview - NexPoint Residential Trust is a publicly traded REIT listed on the NYSE under the symbol NXRT [4] - The company focuses on acquiring owning and operating middle-income multifamily properties with value-add potential in large cities and suburban submarkets primarily in the Southeastern and Southwestern United States [4] - NXRT is externally advised by NexPoint Real Estate Advisors LP an affiliate of NexPoint Advisors LP an SEC-registered investment advisor with extensive real estate experience [4]

Core Viewpoint - NexPoint Residential Trust, Inc. has successfully closed 17-property agency mortgage refinancings, significantly improving its debt profile and extending its debt maturity schedule [1][2][4]. Debt Refinancing Summary - The company has refinanced a total of 34 loans, resulting in gross proceeds of $1.469 billion, which accounts for approximately 97.8% of its total outstanding debt [2]. - The refinancing has improved the interest rate pricing compared to prior terms, reducing the weighted average interest rate on total debt by 48 basis points to 5.65% before the impact of interest rate swaps [3]. - After accounting for interest rate swaps, the adjusted weighted average interest rate is expected to decrease from 3.44% to 2.95% [3]. - The refinancing extends the company's weighted average debt maturity to approximately 6.82 years, with only about 2.2% of total debt maturing through 2028, down from approximately 33% [2][3]. Financial Position and Strategy - The company has total indebtedness of $1.503 billion at an adjusted weighted average interest rate of 5.65%, with $1.469 billion of this being floating rate debt [8]. - Interest rate swap agreements cover 72.6% of the floating rate mortgage debt, effectively managing interest rate risk [8]. - The completion of this refinancing initiative is viewed as a strategic move to fortify the company's balance sheet and support future growth [4][9].

Group 1 - NexPoint Residential Trust, Inc. (NXRT) will participate in Nareit's REITworld: 2024 Annual Conference from November 18-21, 2024, in Las Vegas [1] - Key executives attending the conference include Brian Mitts (CFO), Matthew McGraner (CIO), Bonner McDermett (VP, Asset Management), and Sean Jacobson (VP, Asset Management) [1] - Meeting materials will be available on NXRT's website on the morning of November 18, 2024 [2] Group 2 - NXRT is a publicly traded Real Estate Investment Trust (REIT) listed on the NYSE under the symbol "NXRT" [3] - The company focuses on acquiring, owning, and operating middle-income multifamily properties with value-add potential, primarily in the Southeastern and Southwestern United States [3] - NXRT is externally advised by NexPoint Real Estate Advisors, L.P., which has extensive real estate experience [3]

Multifamily operator and REIT, NexPoint Residential Trust (NYSE: NXRT ) reported positive Q3 results which included a dividend increase and revised guidance. Already near the top end of its 52-week range, however, shares remained little changed following the release. Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinio ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ 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 001-36663 NexPoint Residential Trust, Inc. (Exact Name of Registrant as Specified in Its Charter) Maryland 47-1881359 (State or other Juri ...