DALLAS, May 27, 2025 /PRNewswire/ -- NexPoint Residential Trust, Inc. ("NXRT" or the "Company") (NYSE: NXRT) announced today that Matthew McGraner, NXRT's Executive VP and Chief Investment Officer, Paul Richards, NXRT's Chief Financial Officer, Executive VP-Finance, Treasurer and Assistant Secretary, Bonner McDermett, NXRT's VP, Asset Management, and Sean Jacobson, NXRT's VP, Asset Management will be meeting with investors and others at Nareit's REITweek: 2025 Investor Conference, to be held June 2-5 at the ...

Group 1 - The article discusses the author's long-term investment approach, focusing on REITs, preferred stocks, and high-yield bonds, which began in high school in 2011 [1] - The author has recently combined long stock positions with covered calls and cash secured puts, indicating a strategy that balances risk and return [1] - The primary focus of the author's coverage on Seeking Alpha includes REITs and financials, with occasional insights on ETFs and macro-driven stock ideas [1]

Portfolio Overview - As of March 31, 2025, the Portfolio consisted of 35 multifamily properties with 12,984 units, approximately 94.4% leased, and a weighted average monthly effective rent of $1,495 per occupied unit[107]. - Same Store properties were approximately 94.4% leased as of March 31, 2025, down from 94.7% as of March 31, 2024, with a weighted average monthly effective rent per occupied apartment unit of $1,495, a decrease of 1.3% from $1,514[150][150]. - The average effective monthly rent per unit as of March 31, 2025, was $1,350, with an overall occupancy rate of 94.5% across 35 multifamily properties[177][178]. Financial Performance - Total revenues for the three months ended March 31, 2025, were $63.2 million, a decrease of approximately 6.5% from $67.6 million in the same period of 2024[126]. - Total revenues decreased by $4.5 million, or 6.7%, to $62.774 million in Q1 2025 from $67.281 million in Q1 2024[147]. - Rental income decreased to $61.4 million for the three months ended March 31, 2025, down from $65.6 million in 2024, primarily due to disposition activity[127]. - For the three months ended March 31, 2025, rental income was $61.4 million, a decrease of approximately $0.5 million or 0.8% compared to $61.9 million for the same period in 2024[150]. - Same Store NOI decreased by $1.487 million, or 3.8%, to $37.734 million in Q1 2025 from $39.221 million in Q1 2024[147]. - Total NOI decreased by $3.334 million, or 8.1%, to $37.760 million in Q1 2025 from $41.094 million in Q1 2024[147]. - Operating income before gain on sales of real estate was $7.4 million for the three months ended March 31, 2025, compared to $9.3 million in 2024, reflecting a decrease of approximately 20.1%[126]. - The net loss for the three months ended March 31, 2025, was $6.9 million, a significant decline from a net income of $26.4 million in the same period of 2024, primarily due to a decrease in gain on sales of real estate of $31.7 million[126]. - FFO for the three months ended March 31, 2025, was $17.4 million, a decrease of approximately $1.5 million from $18.9 million in the same period in 2024[165]. - Core FFO was $19.1 million for the three months ended March 31, 2025, down approximately $0.3 million from $19.4 million in 2024[166]. - AFFO was $21.6 million for the three months ended March 31, 2025, a decrease of approximately $0.4 million from $22.0 million in 2024[167]. Expenses - Total expenses for the three months ended March 31, 2025, were $55.8 million, a decrease of approximately 4.3% from $58.3 million in 2024[126]. - Property operating expenses were $12.5 million for the three months ended March 31, 2025, down from $13.8 million in 2024, a decrease of approximately 9.4%[129]. - Property operating expenses increased to $13.1 million for the three months ended March 31, 2025, an increase of approximately $0.4 million or 3.3% compared to $12.7 million in 2024[152]. - Real estate taxes and insurance costs were $9.0 million for the three months ended March 31, 2025, compared to $9.3 million in 2024, a decrease of approximately 3.2%[130]. - Real estate taxes and insurance costs rose to $9.0 million for the three months ended March 31, 2025, an increase of approximately $0.4 million from $8.6 million in 2024[153]. - Property management fees were $1.8 million for the three months ended March 31, 2025, down from $2.0 million in 2024, a decrease of approximately 10%[131]. - Corporate general and administrative expenses decreased by approximately $0.4 million to $4.5 million in Q1 2025 from $4.9 million in Q1 2024[133]. - Property general and administrative expenses decreased by $0.3 million to $2.0 million in Q1 2025 from $2.3 million in Q1 2024[134]. - Depreciation and amortization costs increased slightly by $0.1 million to $24.4 million in Q1 2025 compared to $24.3 million in Q1 2024[135]. - Interest expense remained flat at $14.4 million for both Q1 2025 and Q1 2024[136]. - Casualty gain was $0.2 million in Q1 2025, an increase of $1.0 million compared to a loss of $0.8 million in Q1 2024[137]. - Gain on sales of real estate was $0.0 million in Q1 2025, a significant decrease from $31.7 million in Q1 2024 due to no property sales[138]. Cash Flow and Liquidity - For the three months ended March 31, 2025, net cash provided by operating activities was $28.3 million, an increase of 43.4% compared to $19.7 million for the same period in 2024[174]. - Net cash used in investing activities was $8.9 million for the three months ended March 31, 2025, a significant decrease from net cash provided of $94.2 million in the same period in 2024, primarily due to a decrease in net proceeds from sales of real estate by $102.7 million[175]. - The company expects to meet its long-term liquidity requirements through various sources, including a revolving credit facility and future debt or equity issuances[169]. - The company had $0.0 million outstanding on the Corporate Credit Facility as of March 31, 2025, with $100.0 million available for borrowing[186]. Debt and Financing - As of March 31, 2025, the company had aggregate mortgage debt outstanding of approximately $1.5 billion at a weighted average interest rate of 5.40%[179]. - Interest rate swap agreements effectively covered 55.6% of the company's $1.5 billion of floating rate mortgage debt outstanding as of March 31, 2025[180]. - The company expects to rely heavily on debt or equity capital for funding capital expenditures and acquisitions due to limitations on retained earnings for REIT qualification[171]. - The company plans to refinance existing indebtedness or incur additional indebtedness for acquisitions, although there is no assurance of favorable terms[184]. - The company expects to complete value-add and capital expenditures programs and may seek to refinance floating rate debt into longer-term fixed rate debt depending on the interest rate environment[185]. - The company has total indebtedness of $1.5 billion with a weighted average interest rate of 5.40%, all of which is floating rate debt[211]. - Interest rate swap agreements cover 55.6% of the $1.5 billion floating rate debt, effectively fixing the interest rate on $0.8 billion at 1.10%[211]. - An increase of 0.25% in interest rates would result in an approximate annual increase to interest expense of $1,630,000[214]. - The company has entered into interest rate cap agreements that cap SOFR on floating rate mortgage debt at a weighted average rate of 7.31%[212]. Market Conditions and Risks - The macroeconomic environment remains challenging, with less available and more expensive debt capital impacting property acquisitions and investments[110]. - The real estate market has not been directly affected by inflation due to increases in rents nationwide, with most lease terms being one year or less[209]. - Credit risk is present in derivative financial instruments, with the company minimizing this risk by dealing with major financial institutions with high credit ratings[215]. - The company evaluates real estate assets for impairment based on estimated future cash flows and liquidation value[208]. - The company manages interest rate risks through interest rate cap and swap agreements to mitigate financing costs[212]. Capital Expenditures and Renovations - As of March 31, 2025, the company had approximately $3.7 million of renovation value-add reserves for planned capital expenditures[168]. - The company anticipates average annual repairs and maintenance expenses of $575 to $725 per apartment unit, with additional capital expenditures of $250 to $350 per unit for non-recurring expenses[196]. - The company completed full and partial interior rehabs on 210 units in Q1 2025, compared to 127 units in Q1 2024, with total rehab expenditures of $709,000 in 2025 versus $2.2 million in 2024[196]. - The company has approximately $3.7 million in renovation value-add reserves for planned capital expenditures and other expenses related to its value-add program[196]. Dividends - Dividends declared per common share increased to $0.51 for the three months ended March 31, 2025, a rise of 10.3% from $0.46 in 2024[163]. - The company declared a quarterly dividend of $0.51 per share on February 24, 2025, which was paid on March 31, 2025[203]. Corporate Governance - The Corporate Credit Facility will mature on June 30, 2025, unless the company voluntarily reduces its revolving commitments before the maturity date[193]. - The maximum exposure of potential commitments related to the agreement with NLMF Holdco, LLC is expected to be no more than $4.0 million[195]. - As of March 31, 2025, the company had no off-balance sheet arrangements that could affect its financial condition[204].

Financial Data and Key Metrics Changes - For Q1 2025, the company reported a net loss of $6.9 million or a loss of $0.27 per diluted share on total revenue of $63.2 million, compared to a net income of $26.4 million or $1 earnings per diluted share for the same period in 2024 on total revenue of $67.6 million [7] - Net Operating Income (NOI) for Q1 2025 was $37.8 million on 35 properties, down from $41.1 million for Q1 2024 on 37 properties, reflecting a decrease in same store revenues of 1% and a decrease in same store NOI of 3.8% compared to Q1 2024 [7][8] - Core Funds from Operations (FFO) for Q1 2025 was $19.1 million or $0.75 per diluted share, compared to $0.74 per diluted share in Q1 2024 [7] Business Line Data and Key Metrics Changes - The company completed two full and partial upgrades during the first quarter, leasing 201 upgraded units with an average monthly rent premium of $62 and a 16.1% return on investment [7] - Since inception, the company has completed 8,558 upgrades, resulting in an average monthly rental increase of $172 and a 20.7% return on investment [8] Market Data and Key Metrics Changes - Occupancy at the end of Q1 2025 was 94.4%, with significant growth in Nashville and Phoenix, which finished at 95.4% and 96.6% respectively [11] - The company noted that national absorption was strong, with over 38,000 units absorbed in Q1, marking a record first quarter leasing performance [13] - Effective rents ended the quarter at $1,495, up 30 basis points from Q4 2024, with six out of ten markets showing flat to positive rent growth [16] Company Strategy and Development Direction - The company is focusing on driving internal growth and recycling capital as supply continues to be absorbed later in the year, with an emphasis on rent growth initiatives in most markets [20] - The management is optimistic about the inflection of new lease growth, which is seen as a positive sign for the company's assets after several quarters of softness [21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the leasing environment, noting that same store NOI is expected to improve over the remainder of the year despite a 3.8% decline in Q1 [12] - The company is monitoring the impacts of tariffs but has not seen a material effect on operations thus far, with most suppliers maintaining stable prices [18][19] Other Important Information - The company declared a quarterly dividend of $0.51 per share, which was 1.4 times covered by core FFO with a 68.3% payout ratio [8] - The company has initiated a share buyback program, purchasing 223,109 shares totaling approximately $7.6 million at an average price of $34.29 per share [10] Q&A Session Summary Question: Are there markets where cap rates are softer? - Management indicated that Atlanta and some areas in DFW are on the weaker side of the NAV guidance due to ongoing supply [25][26] Question: Could the company sell more assets to repurchase stock? - Management confirmed the intention to maintain a steady buyback program while being opportunistic in recycling capital [28] Question: Is the increase in core FFO guidance driven by share buybacks and swaps? - Management confirmed that the increase is primarily due to favorable swap rates and share buybacks [31][32] Question: What is the outlook for new lease growth? - Management expressed optimism about achieving a 2% growth in new leases for the year, driven by strong demand and limited supply [50][51] Question: What is the CapEx guidance for the year? - Management indicated a stable run rate for recurring and nonrecurring CapEx, with a target of around 300 interior upgrades in Q2 and Q3 [53][54]

Financial Data and Key Metrics Changes - For Q1 2025, the company reported a net loss of $6.9 million, or a loss of $0.27 per diluted share, on total revenue of $63.2 million, compared to a net income of $26.4 million, or $1 earnings per diluted share, for the same period in 2024 on total revenue of $67.6 million [7] - Net Operating Income (NOI) for Q1 2025 was $37.8 million on 35 properties, down from $41.1 million for Q1 2024 on 37 properties, indicating a decrease in same store NOI of 3.8% year-over-year [7][10] - Core Funds from Operations (FFO) for Q1 was $19.1 million, or $0.75 per diluted share, compared to $0.74 per diluted share in Q1 2024 [7] Business Line Data and Key Metrics Changes - Same store rent and occupancy decreased by 1.3% and 0.3% respectively, leading to a 1% decrease in same store revenues [7] - The company completed two full and partial upgrades during the quarter, achieving an average monthly rent premium of $62 and a 16.1% return on investment [8] Market Data and Key Metrics Changes - Occupancy ended the quarter at 94.4%, with significant growth in Nashville and Phoenix, which finished at 95.4% and 96.6% respectively [12] - Nationally, over 38,000 units were absorbed, marking a record first quarter leasing and demand performance [14] Company Strategy and Development Direction - The company is focusing on rent growth initiatives while balancing occupancy maximization, particularly in markets facing new deliveries and concessions [16] - The company is optimistic about the inflection of new lease growth, which is seen as a positive sign for its assets after several quarters of softness [22] Management's Comments on Operating Environment and Future Outlook - Management noted that the operating environment remains strong, with expectations for same store NOI to improve over the remainder of the year [13] - The company is actively monitoring the impacts of tariffs but has not seen a material impact on operations thus far [19][20] Other Important Information - The company reaffirmed its guidance for same store rental income, total revenue, total expenses, and NOI for the year [10] - The company has initiated a share buyback program and purchased 223,109 shares totaling approximately $7.6 million at an average price of $34.29 per share [11] Q&A Session Summary Question: Are there geographies where cap rates are softer? - Management indicated that Atlanta and some areas in DFW are on the weaker side of the NAV guidance due to ongoing supply [25] Question: Could the company sell more assets to repurchase stock? - Management expressed the intention to maintain a steady buyback program while being opportunistic in recycling capital [28] Question: Is the increase in core FFO per share guidance driven by share buybacks and swaps? - Management confirmed that the increase is primarily due to favorable swap rates and share buybacks [34] Question: How does the company view the strength in Las Vegas amidst declining tourism? - Management attributed the strength to the affordable gap in the market, with net migration inflows continuing to support demand [47] Question: What is the CapEx guidance for the year? - Management indicated a stable run rate for recurring and nonrecurring CapEx, with a target of around 300 interior upgrades in Q2 and Q3 [53]

Company Performance - NexPoint Residential Trust Inc. reported quarterly funds from operations (FFO) of $0.84 per share, exceeding the Zacks Consensus Estimate of $0.77 per share, but down from $0.86 per share a year ago, indicating a 2.33% year-over-year decline [1] - The company achieved an FFO surprise of 9.09% for the quarter, while the previous quarter saw an FFO of $0.78, which was below the expected $0.80, resulting in a surprise of -2.50% [1][2] - Over the last four quarters, NexPoint has surpassed consensus FFO estimates three times, but only topped revenue estimates once [2] Revenue Insights - For the quarter ended March 2025, NexPoint reported revenues of $63.22 million, which missed the Zacks Consensus Estimate by 0.93% and decreased from $67.58 million year-over-year, reflecting a decline of approximately 6.98% [2] - The current consensus FFO estimate for the upcoming quarter is $0.78 on revenues of $64.04 million, while for the current fiscal year, the estimate is $3.19 on revenues of $258.09 million [7] Market Context - NexPoint shares have declined about 12.2% since the beginning of the year, compared to a 6% decline in the S&P 500 [3] - The Zacks Industry Rank places the REIT and Equity Trust - Residential sector in the bottom 44% of over 250 Zacks industries, suggesting that the industry outlook may negatively impact stock performance [8]

Exhibit 99.1 29 April 2025 | NYSE: NXRT EARNINGS SUPPLEMENT: FIRST QUARTER 2025 TABLE OF CONTENTS | Earnings Release | 1 | | --- | --- | | Cautionary Statement Regarding Forward-Looking Statements | 2 | | Overview | 3 | | Highlights of Recent Activity | 4 | | Financial Summary | 6 | | 2025 Full Year Guidance | 7 | | Components of Net Asset Value | 8 | | Consolidated Balance Sheets | 9 | | Consolidated Statements of Operations | 10 | | NOI and Same Store NOI | 11 | | Q1 Same Store Results | 12 | | Q1 Same St ...

NexPoint Residential Trust Inc. (NXRT) shares soared 7.6% in the last trading session to close at $34.90. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 18.7% loss over the past four weeks.The increased investor optimism in the stock can be attributed to President Donald Trump’s recent announcement to put a 90-day pause on the reciprocal tariff for most countries.This real estate investment trust is expected to post quarterly fu ...

Core Viewpoint - NexPoint Residential Trust, Inc. is set to host a conference call on April 29, 2025, to discuss its first quarter 2025 financial results [1] Group 1: Conference Call Details - The conference call will take place at 11:00 a.m. ET (10:00 a.m. CT) [1] - Access to the call can be made via phone at 888-660-4430 for domestic callers and +1 646-960-0537 for international callers, using passcode Conference ID: 5001576 [2] - A live audio webcast will be available on the Company's website, with a replay accessible for 60 days after the call [2][3] Group 2: Financial Results Announcement - The Company plans to issue a press release with first quarter 2025 financial results before the market opens on April 29, 2025 [3] Group 3: Company Overview - NexPoint Residential Trust is a publicly traded REIT listed on the NYSE under the symbol "NXRT," focusing on acquiring, owning, and operating middle-income multifamily properties with "value-add" potential [4] - The Company primarily operates in large cities and suburban submarkets in the Southeastern and Southwestern United States [4] - NexPoint Residential Trust is externally advised by NexPoint Real Estate Advisors, L.P., which has extensive real estate experience [4]

Financial Performance - Net income decreased primarily due to a reduction in gains on sales of real estate by $13.7 million and rental income by $18.2 million, alongside an increase in loss on extinguishment of debt and modification costs of $21.6 million[30]. - As of December 31, 2024, the company had total indebtedness of $1.5 billion at a weighted average interest rate of 5.56%[404]. - 73% of the company's floating rate mortgage debt is effectively fixed through interest rate swap agreements, resulting in an adjusted weighted average interest rate of 2.90%[404]. - The company has entered into interest rate cap agreements that effectively cap SOFR on $2.6 billion of floating rate mortgage debt at a weighted average rate of 6.31%[405]. - A quarter point change in SOFR results in an approximate increase to annual interest expense costs of $1,000 for floating rate indebtedness[407]. - An increase of 0.50% in interest rates would lead to an annual increase in interest expense of $2,000[407]. - A 0.75% increase in interest rates would result in an annual increase to interest expense of $3,000[407]. - A 1.00% increase in interest rates would cause an annual increase in interest expense of $4,000[407]. Real Estate Portfolio - As of December 31, 2024, the real estate portfolio consisted of 35 properties with 12,984 units, approximately 94.7% occupancy, and a weighted average monthly effective rent of $1,491 per occupied unit[31]. - The company completed full and partial renovations on 8,348 units, resulting in an average monthly rental increase of $175 per unit and an average renovation cost of $10,123 per unit[41]. - The average effective monthly rent per unit is calculated as the average contractual rent for commenced leases minus tenant concessions, divided by the number of units under commenced leases[33]. - The company intends to acquire primarily Class B multifamily properties at discounts to replacement costs, targeting markets with strong job growth and household formation[34]. - The company plans to hold multifamily properties for at least three years, with potential early sales if market conditions are favorable[43]. Cash Position and Financial Strategy - The company had a cash position of $53.9 million as of December 31, 2024, with $3.2 million reserved for future renovations and $27.6 million for lender-required escrows and security deposits[33]. - The company aims to reduce leverage to 40-45% loan-to-value over time by increasing property values and refinancing long-term holdings[35]. Management and Advisory Fees - The company is externally managed by an adviser that has a fiduciary responsibility to maximize long-term stockholder value[50]. - The advisory fee on Contributed Assets is capped at $4.5 million per calendar year to limit fees post Spin-Off[54]. - The administrative fee on Contributed Assets is capped at $890,000 per calendar year, while New Assets are not subject to this cap[58]. - The Expense Cap for reimbursement of Adviser Operating Expenses and fees is set at 1.5% of Average Real Estate Assets per calendar year[62]. - The Advisory Agreement has a one-year term and was unanimously renewed by the Board on February 24, 2025[63]. - BH operates and leases properties for the company, charging a management fee of approximately 3% of monthly gross income from each property[71]. - The management fee calculation includes all receipts from property operations, excluding insurance or condemnation awards[76]. - BH receives a construction supervision fee of 5-6% of total project costs if it performs these services[76]. - The company is required to indemnify its Adviser and reimburse reasonable expenses in certain proceedings[68]. - The Adviser is obligated to provide sufficient resources to manage the company's operations despite engaging in other business ventures[69]. - The Advisory Agreement may be terminated with 30 to 60 days' written notice by either party[64]. Risk Management - The company expects to manage exposure to interest rate risk by maintaining a mix of fixed and floating rates for its indebtedness[405]. - The company is exposed to credit risk in derivative financial instruments due to potential failure of counterparties to perform[408]. - Credit risk arises when the fair value of a derivative financial instrument is positive, indicating that counterparties owe the company[408]. - The company aims to minimize credit risk by transacting with major financial institutions that have high credit ratings[408]. Compliance and Operations - The company believes it operates its properties in substantial compliance with the Fair Housing Act, which prohibits discrimination in housing[84]. - The company has conducted Phase I Environmental Site Assessments at all properties, with no known past or present contamination identified that would materially affect business operations[88]. - The company maintains comprehensive general liability coverage on its properties, with limits customary within the industry[92]. - The company competes with numerous housing alternatives, including rental apartments, condominiums, and single-family homes, affecting its ability to lease units and set rental rates[94]. - The company has two employees as of December 31, 2024, and maintains a workplace free from discrimination or harassment[96].