Company: NXDT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001356115-25-000021
Chunk: 87

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 1A
Chunk 87
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3)45,871 41,062 46,090 39,321 17.2 %Distributions declared per common share$0.15 $0.15 $0.30 $0.30 — %Net income (loss) coverage(4)-6.43x-1.77x-5.96x-2.73xN/MFFO Coverage - diluted(4)-6.6x-1.07x-5.73x-0.37xN/MAFFO Coverage - diluted(4)0.34x-0.34x0.37x-0.52xN/M

62

(1)Represents the percentage change for the six months ended June 30, 2025 compared to the six months ended June 30, 2024.

(2)Represents one-time termination fee paid to the former NHT Adviser in connection with the termination of the advisory agreement following the NHT Merger. Management considers this not indicative of ongoing operating performance.

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

(4)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 June 30, 2025 as compared to the three months ended June 30, 2024

FFO was $(43.5) million for the three months ended June 30, 2025, compared to $(5.2) million for the three months ended June 30, 2024, which was a decrease of approximately $38.4 million. The change in our FFO between the three months ended June 30, 2025 and the three months ended June 30, 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 $2.3 million for the three months ended June 30, 2025, compared to $(2.1) million for the three months ended June 30, 2024, which was an increase of approximately $4.4 million. The change in our AFFO between the three months ended June 30, 2025 and the three months ended June 30, 2024 primarily relates a decrease in expenses.

The six months