US Masters Residential Property Fund (URF) Q1 2025 earnings summary

Executive summary

• Q1 2025 saw persistent US market uncertainty due to inflation and tariff concerns, but a rebound in equity markets improved buyer sentiment; mortgage rates remained high.

• 39 properties sold for US$48.07 million; sales pipeline at quarter-end was US$150.50 million, supporting optimism for meeting the 2025 sales target.

• Operational focus remains on executing the sales program and returning proceeds to security holders.

Financial highlights

• Net Operating Income (NOI) on a same-home basis for the 12 months ended 31 March 2025 was US$8.1 million, up 5% year-over-year.

• Funds From Operations (FFO) loss for Q1 2025 was A$8.8 million; adjusted FFO loss (excluding disposal costs and one-off items) was A$2.3 million.

• General & Administrative (G&A) expenses for Q1 2025 were A$2.8 million (A$2.6 million normalized), up from A$2.4 million in Q1 2024 due to FX and internalized RE structure costs.

• Post-tax Net Asset Value (NAV) at 31 March 2025 was $0.611 per stapled security.

Outlook and guidance

• 2025 sales target set at US$200–225 million; Q1 closed sales of US$48.07 million and US$71.86 million under contract at quarter-end.

• Directors committed to ongoing capital management, including buybacks and distributions, with future distributions dependent on market and sales progress.