Bluerock Homes Trust (BHM) Q2 2024 earnings summary

Executive summary

• Rental and other property revenues rose 16% year-over-year to $11.9 million for Q2 2024, driven by the acquisition of Villas at Huffmeister and organic rent growth, partially offset by the sale of 90 homes since April 2023.

• Net loss attributable to common stockholders was $1.6 million for Q2 2024, compared to $0.3 million in Q2 2023, reflecting higher operating and interest expenses.

• Average rent per occupied unit increased 3.7% year-over-year to $1,615, with average occupancy at 92.3%.

• Issued 1.76 million shares of Series A Preferred Stock, raising $38.8 million in net proceeds during the first half of 2024.

Financial highlights

• Total revenues for Q2 2024 were $12.5 million, up from $10.3 million in Q2 2023.

• Property operating expenses increased 30% year-over-year to $6.0 million, mainly due to new acquisitions and higher repairs and maintenance.

• Net operating income (NOI) for Q2 2024 was $5.98 million, up from $5.69 million in Q2 2023.

• FFO attributable to common stockholders and unit holders was negative $0.3 million for Q2 2024, compared to $2.1 million in Q2 2023; CFFO was $3.1 million, down from $5.4 million.

• Cash and cash equivalents at June 30, 2024 were $116.0 million.

Outlook and guidance

• Management expects continued improvement in results from anticipated investments in single-family and build-to-rent properties.

• Plans to meet liquidity needs through cash on hand, operating cash flow, credit facilities, and proceeds from preferred stock offerings.

• Ongoing focus on acquisitions, development, and value-add renovations in Sunbelt and Western U.S. markets.