BRT Apartments (US:BRT)2025-08-07 20:26Financial Performance - Reported net loss per diluted share for Q2 2025 was $2.57 million or $0.14, compared to a net loss of $2.35 million or $0.13 in Q2 2024[12] - The company reported a net loss attributable to common stockholders of $2,566,000 for the three months ended June 30, 2025, compared to a loss of $2,345,000 in 2024, indicating a 9.4% increase in losses[22] - For the three months ended June 30, 2025, GAAP net loss attributable to common stockholders was $(2,566) thousand, compared to $(2,345) thousand for the same period in 2024[79] Funds from Operations - Funds from Operations (FFO) remained stable at $0.29 per diluted share for both Q2 2025 and Q2 2024[12] - Funds from operations (FFO) attributable to common stockholders for the three months ended June 30, 2025, were $5,446,000, slightly down from $5,490,000 in 2024, a decrease of 0.8%[26] - Adjusted Funds from Operations (AFFO) increased to $0.36 per diluted share in Q2 2025, up from $0.35 in Q2 2024[12] - Adjusted funds from operations (AFFO) for the three months ended June 30, 2025, were $6,847,000, compared to $6,568,000 in 2024, reflecting a growth of 4.3%[26] Revenue and Income - Total revenues for the three months ended June 30, 2025, were $24,197,000, an increase from $23,862,000 in the same period of 2024, representing a growth of 1.4%[22] - Total combined revenues for Q2 2025 were $28,817 million, a decrease of 0.5% compared to $28,972 million in Q2 2024[54] - Total combined operating income decreased by 3.4% to $15,100 million in Q2 2025 compared to $15,627 million in Q2 2024[54] - For the six months ended June 30, 2025, total revenues were $10,977 million, a slight decrease of 0.4% from $11,022 million in 2024[78] Operating Metrics - Combined Portfolio Net Operating Income (NOI) was $15.1 million for Q2 2025, a decrease from $15.6 million in the same period last year[12] - The total operating revenues for the consolidated portfolio for the quarter ended June 30, 2025, were $23,729,000, with total expenses of $11,117,000, resulting in a net operating income (NOI) of $12,612,000[48] - Net Operating Income (NOI) for the same period was $12,296 thousand, a decrease of 3.0% from $12,681 thousand in 2024[79] Occupancy and Rent - Average occupancy rate was 94.1% in Q2 2025, slightly down from 94.3% in Q2 2024[14] - Weighted average monthly rent per occupied unit increased to $1,399 in Q2 2025, compared to $1,387 in Q2 2024[14] - The weighted average rent per occupied unit across the consolidated portfolio is $1,358[48] - The average occupancy rate across all properties improved slightly from 93.9% in 2024 to 94.1% in 2025[72] Expenses - Real estate operating expenses for the three months ended June 30, 2025, were $11,117,000, up from $10,846,000 in 2024, marking an increase of 2.5%[22] - Total combined operating expenses increased by 2.8% to $13,717 million in Q2 2025 from $13,345 million in Q2 2024[54] - Total expenses for the six months ended June 30, 2025, were $23,343 thousand, up from $22,292 thousand in 2024, indicating an increase of 4.7%[85] Share Repurchase - The company repurchased 63,356 shares at a weighted average price of $15.84 during Q2 2025[12] - The company repurchased a total of 142,080 shares year to date, costing $2,380,000, with an average cost per share of $16.79[34] - The company has $8,752,000 available for share repurchases under its repurchase program as of August 1, 2025[34] Debt and Capital Expenditures - Debt to Enterprise Value ratio increased to 69% in Q2 2025, compared to 65% in Q2 2024[16] - The company has a debt service coverage ratio of 1.56 for the quarter ended June 30, 2025[45] - Estimated recurring capital expenditures for the company are projected at $1,728,000, while non-recurring capital expenditures are estimated at $1,388,000, totaling $3,116,000[39] Joint Ventures and Investments - The company invested $18,250,000 in two separate joint ventures for multifamily properties, with expected annual returns of 13%[32] - BRT's equity in earnings from joint ventures for the three months ended June 30, 2025, was $299 thousand, down from $389 thousand in 2024, a decrease of 23.2%[81] - The total assets of the unconsolidated joint ventures as of June 30, 2025, amounted to $326,934 thousand, with BRT's pro rata share being $148,042 thousand[87]