Company: NXDT
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001356115-25-000003
Chunk: 680

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 680
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 our core investment strategy. A more favorable capital market environment, with lower interest rates and increased liquidity, is expected to facilitate this process. The Company’s objective is to opportunistically sell $100 million to $150 million in assets to free up capital for reinvestment in target asset classes such as residential, self-storage, and life sciences.

We believe that our available cash, expected operating cash flows, and potential debt or equity financings will provide sufficient funds for our operations, anticipated scheduled debt service payments and distribution requirements for the twelve-month period following December 31, 2024. See “—Debt” for additional details regarding our indebtedness and related liquidity requirements.

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Cash Flows

The following table presents selected data from our consolidated statements of cash flows for the year ended December 31, 2024 and 2023 (in thousands):

For the Year Ended December 3120242023Net cash used in operating activities$(11,665)$(24,266)Net cash provided by investing activities25,974 21,990 Net cash provided by (used in) financing activities(18,577)6,796 Net decrease in cash, cash equivalents and restricted cash(4,268)4,520 Cash, cash equivalents and restricted cash, beginning of period53,169 48,649 Cash, cash equivalents and restricted cash, end of period$48,901$53,169

Cash flows from operating activities. During the year ended December 31, 2024, net cash provided by (used in) operating activities was $(11.7) million, compared to net cash provided by operating activities of $(24.3) million for the year ended December 31, 2023. The change in cash flows from operating activities was mainly attributable to a decrease in income taxes payable, life settlement premiums and accounts payable.

Cash flows from investing activities. During the year ended December 31, 2024, net cash provided by investing activities was $26.0 million, compared to net cash provided by investing activities of $22.0 million for the year ended December 31, 2023. The change in cash flows from investing activities was mainly due to the net cash acquired from the consolidation of NHT during the period.

Cash flows from financing activities. During the year ended December 31, 2024, net cash used in financing activities was $(18.6) million, compared to net cash used in financing activities of $6.8 million for the year ended