Company: NXDT
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001356115-25-000014
Chunk: 152

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 6
Chunk 152
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3)-5.46x-3.72x35.59 %FFO Coverage - diluted(3)-4.87x0.33xN/MAFFO Coverage - diluted(3)0.4x-0.69xN/M

(1)Represents the percentage change for the three months ended March 31, 2025 compared to the three months ended March 31, 2024.

(2)The Company uses actual diluted weighted average common shares outstanding when in a dilutive position for FFO and AFFO.

(3)Indicates coverage ratio of net income (loss)/FFO/AFFO per common share (diluted) over distributions declared per common share during the period.

The three months ended March 31, 2025 as compared to the three months ended March 31, 2024

54

FFO was $(30.3) million for the three months ended March 31, 2025, compared to $3.1 million for the three months ended March 31, 2024, which was a decrease of approximately $33.4 million. The change in our FFO between the three months ended March 31, 2025 and the three months ended March 31, 2024 primarily relates to an increase in unrealized losses, primarily attributed to decreases in mark-to-market values of our investments at fair value.

AFFO was $2.8 million for the three months ended March 31, 2025, compared to $(3.5) million for the three months ended March 31, 2024, which was an increase of approximately $6.3 million. The change in our AFFO between the three months ended March 31, 2025 and the three months ended March 31, 2024 primarily relates to an increase in dividend income from our equity investments.

Net Asset Value

The SEC does not provide rules on the methodology we must use to determine our NAV or NAV per common share. The determination of NAV involves a number of subjective assumptions, estimates and judgments that may not be accurate or complete. We believe there is no established practice among REITs for calculating NAV. Different firms using different property-specific, general real estate, capital markets, economic and other assumptions, estimates and judgments could derive a NAV that could be significantly different from our NAV. Thus, other public REITs methodologies used to calculate NAV may differ materially from ours. Additionally, our NAV differs from the values of our