Group 1 - iREIT+HOYA Capital focuses on income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1] - The investment group targets high-yield, dividend growth opportunities, offering portfolios with dividend yields up to 10% [2] - The service provides research on various investment vehicles including REITs, ETFs, closed-end funds, preferreds, and dividend champions [2] Group 2 - The investment philosophy emphasizes defensive stocks with a medium- to long-term horizon [2] - The group aims to help investors achieve dependable monthly income and portfolio diversification [2]

Core Viewpoint - UMH Properties, Inc. reported strong operational results for the fourth quarter and full year 2025, highlighting significant increases in occupancy, sales, and strategic acquisitions, demonstrating the effectiveness of its business plan [1][3]. Operational Performance - The company added 717 new rental homes in 2025, resulting in a total of approximately 11,000 rental homes with an occupancy rate of 93.8% [3]. - Same property occupancy increased by 354 units year-over-year, reaching 88.3% [3]. - Gross home sales revenue for Q4 was $9.2 million, an increase of 7% from $8.6 million in the same period last year, while total sales revenue for the year was approximately $36.3 million, up 8% from $33.5 million [3]. - Rental and related income for Q4 was $57.7 million, an 8% increase from $53.3 million last year, and for the year, it was $226.2 million, up 9% from $207.0 million [3]. Strategic Acquisitions and Refinancing - The company acquired five manufactured home communities for a total of $41.8 million, which included 587 developed homesites with an occupancy rate of 78% [3]. - A community in Albany, GA was purchased for $2.6 million, containing 130 developed homesites with 32% occupancy [3]. - UMH successfully refinanced 17 communities, generating proceeds of $193.2 million at a weighted average interest rate of 5.67%, which will be used for debt repayment, capital improvements, and stock buybacks [4]. Financial Position and Future Outlook - The company completed the sale of approximately $80.2 million of its 5.85% Series B Bonds due 2030, with proceeds allocated for working capital and corporate purposes [3]. - The refinancing efforts resulted in a valuation increase of $169 million, representing a 121% increase in value for the refinanced communities [4]. - The company anticipates continued earnings per share growth due to its strategic investments and operational performance [5].

Core Viewpoint - UMH Properties, Inc. is rated as a strong buy due to its favorable position to capitalize on the shortage of affordable housing in the US [1] Company Summary - The outlook for UMH Properties is very positive, driven by the current demand for affordable housing [1] Industry Summary - The affordable housing sector in the US is experiencing a shortage, presenting significant opportunities for companies like UMH Properties [1]

Core Viewpoint - UMH Properties, Inc. is rated as a strong buy due to its favorable position to capitalize on the shortage of affordable housing in the US [1] Company Summary - The company is expected to benefit significantly from the current market conditions related to affordable housing [1] Analyst Background - The analysis is conducted by a finance professional with a Master's in Banking & Finance, specializing in financial modeling, valuation, and qualitative analysis, particularly in real estate and renewable energy sectors [1]

Core Viewpoint - Teacher Retirement System of Texas has reduced its holdings in UMH Properties by 17.8%, indicating a shift in institutional investment sentiment towards the company [2] Institutional Holdings - Teacher Retirement System of Texas sold 17,571 shares, reducing its ownership to 80,989 shares, valued at $1,360,000, representing 0.10% of UMH Properties [2] - KBC Group NV purchased a new position valued at approximately $32,000 in the 1st quarter [3] - Principal Financial Group Inc. increased its position by 3.6%, owning 38,816 shares valued at $726,000 after acquiring an additional 1,362 shares [3] - Nisa Investment Advisors LLC raised its position by 5.0%, now owning 22,380 shares valued at $419,000 [3] - Bailard Inc. increased its stake by 11.1%, owning 17,000 shares valued at $318,000 [3] - Allianz Asset Management GmbH acquired a new stake valued at approximately $788,000 [3] - Hedge funds and institutional investors currently own 75.40% of UMH Properties [3] Analyst Ratings - Wall Street Zen downgraded UMH Properties from "hold" to "sell" [4] - Weiss Ratings maintained a "hold (c)" rating [4] - Cantor Fitzgerald initiated coverage with a "neutral" rating and a price target of $15.00 [4] - The average rating for UMH Properties is "Hold" with a price target of $18.50 [4] Price Performance - UMH Properties shares opened at $14.84, with a 1-year low of $13.95 and a high of $20.42 [5] - The company has a market capitalization of $1.26 billion, a PE ratio of 106.00, and a beta of 1.06 [5] Earnings Results - UMH Properties reported earnings of $0.25 per share, matching consensus estimates [6] - Revenue for the quarter was $66.92 million, below analyst estimates of $68.70 million [6] - Analysts expect UMH Properties to post an EPS of 0.93 for the current year [6] Dividend Announcement - A quarterly dividend of $0.225 per share will be paid on December 15th, representing an annualized dividend of $0.90 and a yield of 6.1% [7] - The dividend payout ratio is notably high at 1,125.00% [7] Insider Transactions - Director Angela D. Pruitt sold 1,600 shares at an average price of $16.06, reducing ownership by 13.91% [8] - CEO Samuel A. Landy sold 45,700 shares at an average price of $16.40, representing a 3.98% decrease in ownership [8] - Over the last three months, insiders purchased 10,743 shares valued at $155,097 and sold 175,249 shares valued at $2,775,528 [9] Company Profile - UMH Properties, Inc. is a public equity REIT that owns and operates 135 manufactured home communities with approximately 25,800 developed homesites across several states [10]

Financial Data and Key Metrics Changes - Normalized FFO per diluted share increased to $0.25 for Q3 2025, up 4% from $0.24 in Q3 2024, and up 9% sequentially from $0.23 in Q2 2025 [5][16] - Total revenue rose from $60.7 million in Q3 2024 to $66.9 million in Q3 2025, marking a 10% increase [8] - Year-to-date total income reached $194.8 million, a 9% increase from the prior year [8] Business Line Data and Key Metrics Changes - Rental and related income for Q3 2025 was $57.8 million, an 11% increase from $51.9 million in Q3 2024, driven by higher occupancy and rental rates [16] - Same property rental and related income increased by 9% for the quarter, while same property NOI increased by 12% [10][17] - The company converted 227 new homes from inventory to revenue-generating rental homes during the quarter [10] Market Data and Key Metrics Changes - The portfolio occupancy rate stands at 87.2%, with 3,500 vacant sites available for growth [6] - The company has approximately $33.6 million invested in joint ventures, which are expected to positively impact earnings in upcoming quarters [7] Company Strategy and Development Direction - The company aims to grow earnings per share and property values through disciplined capital management and strategic acquisitions [24] - Focus on increasing occupancy in vacant lots and developing new rental homes to meet the growing demand for affordable housing [14][25] - The company is well-positioned to capitalize on the national housing shortage, particularly in the manufactured housing sector [25] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future growth, citing strong fundamentals in the manufactured housing sector and ongoing operational efficiencies [24][25] - The company anticipates achieving a 5% annual rent increase, generating an additional $11 million in revenue [14] - Management highlighted the potential for increased sales profits and occupancy rates as they fill remaining vacant sites [6][14] Other Important Information - The company issued $80 million of new 5.85% Series B Israeli bonds, which will be deployed accretively over time [9] - Total debt at quarter end was approximately $673 million, with 99% fixed rate [18] Q&A Session Summary Question: Can you provide some color on the occupancy upside for the new acquisition in Georgia? - The property in Albany, Georgia is currently about 30% occupied, with plans to improve infrastructure and add amenities, expecting rental rates to reach $1,000-$1,200 per month [27][28] Question: How do share repurchases fit into your capital allocation plan going forward? - The plan includes selling assets and issuing preferred stock to fund growth, with potential for stock repurchases [31][32] Question: Can you provide details on the opportunity set regarding oil and gas rights? - The company has 4,000 acres in the Marcellus and Utica Shale area, with increasing inquiries and demand for energy, indicating a growing value for these rights [35][36] Question: What are the seasonal expectations for home sales in Q4? - The sales pipeline remains strong, with expectations to potentially exceed last year's sales record despite Q4 typically being a slower season [52][54] Question: Are the homes on site contributing to the vacancy number? - Homes on site are not included in the overall occupancy number until they are rented for the first time [59][60]

Company Overview - UMH Properties, Inc is a publicly owned REIT operating since 1968, with a robust portfolio of 145 manufactured home communities[8,9] - The company's portfolio contains approximately 27,000 developed homesites across 12 states [8,19] - UMH has an expanding rental portfolio of approximately 10,800 units, with an increase of 500 homes in the last 12 months [8,19] - The company has a finance portfolio of approximately $99.6 million in loans [10] Financial Performance & Growth - Rental and related income increased by 11% [16] - Sales of manufactured homes increased by 5% [16] - Community Net Operating Income (NOI) increased by 11% [16] - Normalized Funds from Operations (FFO) increased by 15%, with Normalized FFO per diluted share up by 4% [16] - Same Property Community NOI increased by 12% [16] - The company issued approximately $80.2 million aggregate principal amount of 5.85% Series B Bonds due 2030 [16] Portfolio & Expansion - Portfolio occupancy stands at 88.2% with home rentals as 40.8% of sites [19] - Home rental occupancy is at 93.9% with an average monthly home rent of $1,026 [19,37] - UMH has approximately 2,300 acres of additional acreage to be developed [8,19] - Subsequent to quarter end, the company acquired one community in Georgia containing approximately 130 homesites for a total cost of approximately $2.6 million [14]

Financial Performance - Rental and related income for Q3 FY 2025 was $57,771,000, a 10.8% increase from $51,937,000 in Q3 FY 2024[4] - Community operating expenses increased to $24,334,000 in Q3 FY 2025, up from $22,511,000 in Q3 FY 2024, resulting in a community NOI of $33,437,000, a 13.8% increase year-over-year[4] - Net income attributable to common shareholders decreased to $4,211,000 in Q3 FY 2025 from $8,181,000 in Q3 FY 2024, reflecting a decline of 48.7%[4] - Adjusted EBITDA excluding non-recurring expenses for Q3 FY 2025 was $33,518,000, compared to $29,138,000 in Q3 FY 2024, marking a 15.8% increase[4] - Total income for the three months ended September 30, 2025, was $66,918,000, an increase of 10.5% compared to $60,671,000 for the same period in 2024[8] - Net income attributable to common shareholders for the nine months ended September 30, 2025, was $6,472,000, up 164.5% from $2,444,000 in 2024[10] - Adjusted EBITDA for the nine months ended September 30, 2025, reached $93,419,000, representing a 11.4% increase from $83,527,000 in 2024[10] - Cash flows from operating activities for the nine months ended September 30, 2025, were $60,643,000, compared to $54,331,000 in 2024, reflecting a growth of 11.5%[9] Assets and Liabilities - Total assets as of September 30, 2025, were $1,629,535,000, an increase from $1,501,533,000 as of September 30, 2024[4] - Total liabilities increased to $703,122,000 as of September 30, 2025, compared to $643,148,000 as of September 30, 2024[4] - The company reported a net cash used in investing activities of $164,736,000 for the nine months ended September 30, 2025, compared to $97,014,000 in 2024[9] - Total debt increased to $672,538,000 from $614,944,000 year-over-year, representing a rise of 9.3%[12] - The net debt less securities was $606,739,000, up from $514,062,000, indicating a 17.9% increase year-over-year[12] Market Capitalization - The company reported a total market capitalization of $2,259,611,000 as of September 30, 2025, down from $2,469,691,000 a year earlier[4] - As of September 30, 2025, the equity market capitalization was $1,265,188,000, a decrease of 18.2% from $1,547,969,000 on September 30, 2024[12] Shareholder Returns - Normalized FFO attributable to common shareholders for Q3 FY 2025 was $21,313,000, up from $18,462,000 in Q3 FY 2024, representing a 10% increase[4] - Dividends per common share increased to $0.225 in Q3 FY 2025 from $0.215 in Q3 FY 2024, reflecting a growth of 4.7%[4] - Basic and diluted net income attributable to common shareholders per share for the three months ended September 30, 2025, was $0.05, down from $0.11 in 2024[8] Community and Occupancy - The number of communities increased to 144 in Q3 FY 2025 from 139 in Q3 FY 2024, with total sites rising to 26,871 from 26,189[4] - As of September 30, 2025, UMH Communities reported a total of 26,400 sites, an increase of 2.2% from 25,826 sites in the previous year[25] - Occupied sites increased by 788 to 23,353, reflecting a growth of 3.5% year-over-year[25] - The occupancy rate improved by 110 basis points to 88.5% compared to 87.4% in September 2024[25] Rental Income and Rates - Rental and related income for the three months ended September 30, 2025, was $56,210,000, a 9.4% increase from $51,374,000 in the same period last year[28] - Monthly rent per site increased by 6.0% to $566 from $534 in the previous year[25] - The average monthly rent per home rental, including site, rose to $1,027, a 6.0% increase from $969[25] - Same Property Community NOI for the nine months ended September 30, 2025, was $100,404,000, up 10.1% from $91,180,000 in 2024[28] - Total rentals for the three months ended September 30, 2025, reached 10,607, a 5.0% increase from 10,103 rentals in the same period last year[28] Debt and Interest - The interest coverage ratio improved to 3.7x for the nine months ended September 30, 2025, compared to 3.3x for the same period in 2024[12] - The weighted average interest rate for total debt was 4.83%, up from 4.36% in the previous year[13] - Fixed rate mortgages accounted for 99.2% of total debt, indicating a stable debt structure[13] - The total fixed charges amounted to $40,973,000, slightly higher than $39,656,000 in the previous year[12] Acquisitions - The company completed the acquisition of one community on October 7, 2025, adding 130 sites with an occupancy rate of 32%[32] - The company has acquired a total of 587 sites in 2025, with an average occupancy of 78% at the time of acquisition[32] Other Financial Metrics - The company incurred total expenses of $54,103,000 for the three months ended September 30, 2025, which is a 10.5% increase from $48,911,000 in the same period of 2024[8] - The weighted average common shares outstanding for the three months ended September 30, 2025, were 84,985,000, compared to 75,610,000 in 2024[8] - The company issued Series B Bonds totaling $80,230,000, which were not present in the previous year[16][17] - The net realized gain on sale of securities for the nine months ended September 30, 2025, was $1,122,000[23] - The adjusted EBITDA excluding non-recurring other expense was $94,263,000, an increase of 12.5% from $84,152,000 in the previous year[12]

Core Insights - UMH Properties, Inc. reported a total income of $66.9 million for Q3 2025, a 10% increase from $60.7 million in Q3 2024 [1][2] - Net income attributable to common shareholders decreased to $4.2 million or $0.05 per diluted share in Q3 2025, down from $8.2 million or $0.11 per diluted share in Q3 2024 [1][2] - Normalized Funds from Operations (Normalized FFO) increased to $21.3 million or $0.25 per diluted share in Q3 2025, compared to $18.5 million or $0.24 per diluted share in Q3 2024, reflecting a 4% year-over-year growth [1][2][4] Financial Performance - Total expenses for Q3 2025 were $54.1 million, up from $48.9 million in Q3 2024 [2] - For the nine months ended September 30, 2025, total income was $194.8 million, compared to $178.7 million for the same period in 2024, marking a growth of 9% [2] - Net income attributable to common shareholders for the nine months ended September 30, 2025, was $6.5 million or $0.08 per diluted share, significantly up from $2.4 million or $0.03 per diluted share in 2024 [2] Operational Highlights - The company owns 145 communities with approximately 27,000 developed homesites, of which 10,800 are rental homes [9] - Same property community Net Operating Income (NOI) increased by 12.1% year-over-year, driven by a 9.4% increase in rental and related income [4][5] - The occupancy rate for same properties improved by 110 basis points from 87.4% to 88.5% [5] Growth Initiatives - The company acquired five communities year-to-date, adding 587 sites for a total cost of approximately $42 million [4] - The rental home program has converted 523 homes from inventory to revenue-generating rental homes, with plans to add 700 to 800 new rental homes [6] - The company issued approximately $80.2 million in Series B Bonds and amended its revolving line of credit to extend the maturity date to June 1, 2027 [5] Market Outlook - The company anticipates continued growth in home sales, which increased by 5% to $9.1 million in Q3 2025 [6] - With a strong balance sheet and significant development opportunities, UMH is positioned for increased earnings per share and shareholder value creation [6]

Company Operations - As of September 30, 2025, the company operated 145 manufactured home communities with approximately 27,000 developed homesites, following the acquisition of a community in Albany, Georgia for $2.6 million[132]. - The company added 433 rental homes during the first nine months of 2025, bringing the total number of rental homes to approximately 10,800, which represents 40.8% of total sites[140]. - The company acquired a total of 587 sites for $41.825 million during 2025, with an average occupancy of 78% across the acquired communities[141]. - The Company owned and operated 144 communities as of September 30, 2025, with 69 of those communities being unencumbered[179]. Financial Performance - For the three and nine months ended September 30, 2025, rental and related income increased by 11% and 10% respectively compared to the prior year periods, with Community Net Operating Income (NOI) also increasing by 11% and 10%[137]. - Same property NOI increased by 12% and 10% for the three and nine months ended September 30, 2025, driven by a 110 basis point increase in occupancy to 88.5% and a rental rate increase of 5.2%[137]. - FFO attributable to common shareholders for Q3 2025 was $19.743 million, up from $17.662 million in Q3 2024, representing an increase of 12%[149]. - Rental and related income increased 11% from $51.9 million in Q3 2024 to $57.8 million in Q3 2025, driven by acquisitions and increased rental rates[152]. - Community NOI rose 11% from $29.4 million in Q3 2024 to $32.8 million in Q3 2025, attributed to higher occupancy and rental rates[154]. - Operating activities generated $60.643 million in cash for the nine months ended September 30, 2025, compared to $54.331 million in 2024, marking an increase of 12%[151]. - The Company generated net cash from operating activities of $60.6 million for the nine months ended September 30, 2025, compared to $54.3 million for the same period in 2024, representing an increase of approximately 4.3%[177]. Investment and Financing - The company intends to continue increasing real estate investments and expansions, focusing on acquiring communities expected to yield returns exceeding the cost of funds[137]. - The Company has $260 million available on its credit facility, with a potential total availability of up to $500 million due to an accordion feature[177]. - The Company issued and sold 2.6 million shares of Common Stock through the September 2024 Common ATM Program, generating net proceeds of $44.2 million after offering expenses[173]. - The Company raised $7.1 million from the issuance of common stock in the DRIP during the nine months ended September 30, 2025, which included dividend reinvestments of $2.6 million[175]. - The Company issued approximately $80.2 million of its 5.85% Series B Bonds due 2030, with net proceeds of approximately $75.1 million after transaction costs[176]. Economic Environment - The macro-economic environment continues to favor home rentals, with 30-year fixed mortgage rates remaining above 6%, making rental homes in manufactured home communities an attractive option[140]. Expenses and Liabilities - General and administrative expenses rose 8% from $15.3 million in the first nine months of 2024 to $16.5 million in 2025, primarily due to payroll and professional fees[158]. - Interest expense increased 22% from $6.5 million in Q3 2024 to $7.9 million in Q3 2025, mainly due to the issuance of new bonds and refinancing at higher rates[164]. - As of September 30, 2025, the Company had total assets of $1.6 billion and total liabilities of $703.1 million, resulting in a net debt to total market capitalization ratio of approximately 28%[180]. Cash and Investments - As of September 30, 2025, the Company had $34.1 million in cash and cash equivalents and $31.7 million in marketable securities[177]. - The Company paid dividends totaling $55.8 million on common stock and $15.4 million on Series D Preferred Stock for the nine months ended September 30, 2025[175]. Occupancy Rates - Occupancy in rental homes was strong at 94.1% as of September 30, 2025, with occupied rental homes representing approximately 43.4% of total occupied sites[140]. - The occupancy rate of rental homes increased to 94.1% as of September 30, 2025, up from 94.0% at December 31, 2024[165].