Company: NXDT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001356115-25-000021
Chunk: 204

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 1
Chunk 204
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. The Company’s two reportable segments serve different strategic purposes. The Diversified segment primarily consists of activities focused on investing in various commercial real estate property types and across the capital structure, including but not limited to equity, mortgage debt, mezzanine debt and preferred equity. The majority of NXDT’s revenue is comprised of Rental income, Dividend income, and Interest income. The Hospitality segment primarily consists of acquiring additional U.S. located hospitality assets that meet its investment objective and criteria and seeking to own, renovate and operate its portfolio of income-producing hotel properties. The majority of NHT’s revenue is comprised of revenue from renting rooms and selling food and beverages (“F&B”). Therefore, the Company has identified Diversified and Hospitality as the two operating segments and the two reportable segments. The Company’s chief operating decision maker is the president of the Company.The following table presents measures of the reportable segment measures of profitability, along with significant segment expenses (in thousands):

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For the Six Months Ended June 30, 2025For the Six Months Ended June 30, 2024DiversifiedHospitalityTotalDiversifiedHospitalityTotalTotal Revenues$31,191 $18,917 $50,108 $25,693 $9,386 $35,079 Less:Advisory and administrative fees6,7643,89810,6626,4202696,689Corporate general and administrative expenses5,577(1,630)3,9475,4605706,030Real estate taxes and insurance2,3751,0393,4142,4665483,014Property operating expense3,0909,39412,4843,3354,9988,333Interest expense7,5136,40013,9138,9113,47112,382Realized (gains) losses from non-real estate investments(4,981)—(4,981)21,875—21,875Change in unrealized (gains) losses from non-real estate investments74,959—74,959(3,136)—(3,136)Gain on sales of real estate—(37)(37)———Property general and administrative expenses1,1472,4603,6071,3261,5662,892Impairment loss—1,7521,752———Income tax expense (benefit)48488572853—853Depreciation and amortization5,7212,216