NexPoint Residential Trust, Inc. reported its financial results for the three and nine months ended September 30, 2024, revealing a decline in total revenues and a significant net loss for the third quarter. Total revenues for Q3 2024 were $64.1 million, down from $69.8 million in Q3 2023, primarily due to a decrease in rental income, which fell to $61.5 million from $60.3 million. The company did not record any gains from real estate sales in Q3 2024, contrasting sharply with $43.1 million in gains reported in the same period last year.

For the nine months ended September 30, 2024, total revenues decreased to $195.9 million from $208.6 million in 2023. However, net income for the nine-month period increased to $28.2 million, compared to $26.0 million in the prior year, driven by gains from real estate sales totaling $50.4 million, up from $43.1 million in 2023.

Operating income before gains on sales of real estate for Q3 2024 was $5.6 million, a significant drop from $10.4 million in Q3 2023. The company reported a net loss of $8.9 million for Q3 2024, compared to a net income of $33.9 million in the same quarter of the previous year. This resulted in a basic loss per share of $(0.35), down from earnings of $1.31 per share in Q3 2023.

Total expenses for Q3 2024 were $58.5 million, slightly lower than $59.5 million in Q3 2023. For the nine-month period, total expenses decreased marginally to $174.3 million from $175.1 million in 2023. The company’s net cash provided by operating activities for the nine months ended September 30, 2024, was $67.1 million, down from $81.8 million in 2023.

As of September 30, 2024, total gross operating real estate investments increased to $2.3 billion from $2.3 billion at the end of 2023, while total net operating real estate investments decreased to $1.8 billion from $1.9 billion. The company’s total liabilities decreased to $1.5 billion, and total stockholders' equity was reported at $447.1 million, down from $494.6 million at the end of 2023.

Strategically, NexPoint did not engage in any real estate acquisitions during the nine months ended September 30, 2024, but sold two properties, compared to one sale in the same period of 2023. The company also initiated a share repurchase program, authorizing the repurchase of up to $100 million in common stock, with $14.6 million spent on repurchases during the nine months ended September 30, 2024.

About NexPoint Residential Trust, Inc.

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