Company: NXDT
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001628280-25-052132
Chunk: 117

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-11-13
Form: 10-Q
Item: Item 5
Chunk 117
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The nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024

The following table sets forth a summary of our operating results for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024 (in thousands):  

For the Nine Months Ended September 30,20252024$ ChangeTotal revenues$67,567 $57,295 $10,272 Total expenses(65,497)(62,379)(3,118)Operating income2,070(5,084)7,154Interest expense(20,816)(20,670)(146)Equity in income (losses) of unconsolidated ventures(748)(558)(190)Income tax (expense) benefit423(1,553)1,976Change in unrealized gains (losses)(77,464)2,251(79,715)Realized gains (losses)4,987(21,876)26,863Gains on sales of real estate37—37Net loss(91,511)(47,490)(44,021)Net (income) attributable to Series A preferred shareholders(3,465)(3,465)—Net (income) attributable to Series B preferred shareholders(250)— (250)Net loss attributable to noncontrolling interests1,945 8,432 (6,487)Net loss attributable to redeemable noncontrolling interests in the OP25 — 25 Net income (loss) attributable to common shareholders$(93,256)$(42,523)$(50,733)

The net loss for the nine months ended September 30, 2025 increased by $44.0 million as compared to the nine months ended September 30, 2024. The increase between periods primarily relates to mark-to-market losses on our investments accounted for at fair value.

Revenues

Rental income. Rental income was $9.0 million for the nine months ended September 30, 2025, compared to $12.5 million for the nine months ended September 30, 2024, which was a decrease of approximately $3.5 million. Rental income decreased between the periods due to an increase in the allowance for bad debt related to certain tenants.

Rooms revenue. Rooms revenue was $21.4 million for the nine months ended September 30, 2025, compared to $15.