Report on Financial Results for the Three and Six Months Ended June 30, 2025

Core Insights - Urbanfund Corp. has filed its financial statements for the three and six months ended June 30, 2025, along with the corresponding Management's Discussion and Analysis [1] - The company focuses on investing in Canadian real estate, including both residential and commercial properties, with assets located in various cities across Ontario and Quebec [2] Business Overview and Strategy - Urbanfund is listed on the TSX Venture Exchange under the symbol UFC and operates as a reporting issuer in Alberta, British Columbia, and Ontario [2] - The company's investment strategy emphasizes a mix of residential and commercial properties [2] Operational Highlights - Urbanfund's strength lies in its ability to attract partners with proven expertise in residential and commercial development [3] - The company continues to build strategic alliances to enhance its operational capabilities [3] Results from Operations - For the three months ended June 30, 2025, rental revenue was CAD 2,220,795, a decrease from CAD 2,274,375 in the same period of 2024 [5] - Income before taxes for the same period was CAD 1,443,047, down from CAD 2,036,581 in 2024 [5] - Net income and comprehensive income for the three months ended June 30, 2025, was CAD 1,067,047, compared to CAD 1,272,581 in 2024 [5] Selected Quarterly Information - For the six months ended June 30, 2025, rental revenue totaled CAD 4,315,716, down from CAD 4,450,274 in 2024 [5] - The net income for the six months ended June 30, 2025, was CAD 2,347,821, compared to CAD 3,145,223 in 2024 [5] Financial Position - As of June 30, 2025, total assets were CAD 154,923,194, slightly down from CAD 155,604,351 in 2024 [7] - Total investment properties increased to CAD 109,071,000 from CAD 108,843,000 in 2024 [7] - Total mortgages payable decreased to CAD 54,724,369 from CAD 55,506,091 in 2024 [7] Non-IFRS Measures - Funds from Operations (FFO) for the three months ended June 30, 2025, was CAD 1,566,779, down from CAD 3,247,993 in 2024 [9] - Adjusted Cash Flows from Operations (ACFO) for the same period was CAD 899,676, compared to CAD 5,404,752 in 2024 [11] Liquidity and Capital Resources - Urbanfund reported cash of CAD 8,818,331 and accounts receivable of CAD 249,557 as of June 30, 2025 [14] - The company expects to meet all obligations, including dividends to shareholders and property maintenance [13] Dividend Reinvestment Plan - Urbanfund has a Dividend Reinvestment Plan (DRIP) allowing shareholders to reinvest dividends to acquire additional shares at a discount [16] - The annual dividend rate was increased to CAD 0.05 per common share, representing a 67% increase from the previous year [17] Summary of Quarterly Distributions - The company issued 103,406 common shares valued at CAD 78,940 to DRIP participants for the six months ended June 30, 2025 [18]