BRT Apartments (US:BRT)2025-11-06 21:26Financial Performance - Reported net loss for Q3 2025 was $2.7 million or $0.14 per diluted share, compared to a net loss of $2.2 million or $0.12 in Q3 2024[12] - Funds from Operations (FFO) per diluted share was $0.28, down from $0.30 in Q3 2024[12] - Adjusted Funds from Operations (AFFO) per diluted share remained stable at $0.36 for both Q3 2025 and Q3 2024[12] - The company reported a net loss attributable to common stockholders of $2,707 million for the three months ended September 30, 2025, compared to a loss of $2,205 million in 2024, and a loss of $7,625 million for the nine months ended September 30, 2025, compared to $7,721 million in 2024[23] - Funds from operations (FFO) attributable to common stockholders for the three months ended September 30, 2025, were $5,215 million, down from $5,669 million in 2024, while FFO for the nine months ended September 30, 2025, increased to $16,379 million from $15,786 million in 2024[23] - The company reported a loss from continuing operations of $2,666 million for the three months ended September 30, 2025, compared to a loss of $2,477 million in 2024[21] - The company’s accumulated deficit increased to $89,306 million as of September 30, 2025, from $67,485 million as of December 31, 2024[27] - The company reported a GAAP net loss attributable to common stockholders of $(2,707) million, compared to $(2,205) million for the same period in 2024[77] - The net operating income (NOI) for the same period in 2025 was $12,689 million, a decrease from $12,990 million in 2024, representing a decline of approximately 2.3%[77] Revenue and Occupancy - Total revenues for the three months ended September 30, 2025, were $24,434 million, a slight increase from $24,396 million in the same period of 2024, while total revenues for the nine months ended September 30, 2025, rose to $72,737 million from $71,661 million in 2024[21] - The total operating revenues for the consolidated portfolio reached $24,031,000, with a net operating income (NOI) of $12,689,000, reflecting an occupancy rate of 94.7%[46] - The average occupancy rate for the properties was 94.5% in Q3 2025, compared to 94.4% in Q3 2024[14] - The consolidated portfolio had a total of 5,420 units with an average occupancy rate of 94.2% and an average rent per occupied unit of $1,366[49] - The unconsolidated properties had a total of 2,891 units, with an average occupancy rate of 94.1% and an average rent per occupied unit of $1,466[50] - The average occupancy rate across all properties improved slightly from 94.4% in 2024 to 94.7% in 2025[70] Expenses and Liabilities - Total combined operating expenses for the same period were $40,590,000, reflecting a 1.1% increase from $40,147,000 in 2024[54] - Total combined operating expenses for the third quarter of 2025 were $13,883,000, which is a 1.1% increase from $13,727,000 in 2024[52] - The payroll expenses for the nine months ended September 30, 2025, were $7,689,000, up 4.1% from $7,383,000 in 2024[54] - The real estate taxes for the same period increased by 2.5% to $10,818,000 from $10,551,000 in 2024[54] - Total liabilities increased to $527,512 million as of September 30, 2025, compared to $508,549 million as of December 31, 2024[27] Investments and Acquisitions - The company acquired two properties in Q3 2025 for a total of $59.5 million, funded through joint ventures and credit facilities[12] - The company invested $18,250 million in two joint ventures acquiring multifamily properties, with an annual return of 13% and a current return of 6% to 6.5%[28] - The company has $8,752,028 available for share repurchases under its current program as of October 31, 2025[32] - The company has acquired properties in Auburn, AL, and Savannah, GA, with a total purchase price of $59,500,000 and an 80% ownership stake in both[30] Future Projections - Revenues for 2025 are projected at $70,107 million, showing a slight decrease of 0.0% compared to 2024's $70,117 million[72] - Property Operating Expenses for 2025 are estimated at $32,649 million, an increase of 1.2% from $32,268 million in 2024[72] - Net Operating Income (NOI) for 2025 is expected to be $37,458 million, a decrease of 1.0% from $37,849 million in 2024[72] - The weighted average occupancy rate for 2025 is projected at 94.1%, a slight increase of 0.1% from 94.0% in 2024[72] - Estimated recurring capital expenditures for the year are projected at $1,550,000, while non-recurring capital expenditures are estimated at $981,000, leading to total capital expenditures of $2,531,000[37] Debt and Financing - As of October 31, 2025, the company had $17.5 million outstanding on its revolving credit facility of up to $40.0 million[12] - Debt to Enterprise Value ratio increased to 70% in Q3 2025 from 68% in Q3 2024[15] - The company has a debt service coverage ratio of 1.50 for the quarter ended September 30, 2025[43] - The total principal payments due at maturity amount to $594,528, with a weighted average interest rate of 4.11%[43] - The total debt service is used to calculate the debt service coverage ratio, indicating the company's ability to meet debt obligations[67]