BRT Apartments Corp. (BRT) · Nov 5, 2026 · Earnings

BRT earnings miss as AFFO falls and joint-venture NOI slides

Miss — EPS $(0.23) vs approximately $(0.21) consensus

BRT’s third-quarter earnings missed expectations as AFFO declined and joint-venture NOI weakened despite stable occupancy and modest rent growth.

BRT is a small multifamily REIT pursuing selective Sunbelt acquisitions, value-add renovations, and joint ventures rather than rapid broad-based expansion. This quarter says the portfolio is holding occupancy, but the cash earnings engine is under pressure from weaker joint-venture properties, higher costs, and heavier leverage.

The headline result missed the published bar. GAAP loss per share was $(0.23), versus an approximately $(0.21) consensus estimate, making this a modest earnings miss. The larger operating measure also deteriorated: AFFO per share fell to $0.31 from $0.36, while FFO per share declined to $0.26 from $0.28. The filing reports that “Adjusted funds from operations per diluted common share” was $0.31 in the quarter.

MetricQ3 2026Q3 2025Consensus
Loss per share (Per share data)$(0.23)$(0.14)$(0.21)
FFO per share (FFO reconciliation)$0.26$0.28
AFFO per share (AFFO reconciliation)$0.31$0.36
Combined same-store NOI (Same-store comparisons)$15.09M$15.34M
Consolidated same-store NOI (Same-store comparisons)$12.43M$12.42M
Weighted average occupancy (Portfolio metrics)94.4%94.4%
Debt to enterprise value (Financial highlights)76%70%

The consolidated portfolio is stable, but the joint ventures are pulling down the total story. Consolidated same-store NOI was essentially flat at $12.43 million versus $12.42 million, helped by 0.4% rent growth and unchanged 94.7% occupancy. But unconsolidated same-store NOI fell 8.8% to $2.66 million, driven particularly by Texas, where nine-month NOI declined 15.0% and occupancy fell to 89.9%. The filing states that “Combined Operating Income” declined 1.60% in the quarter as expenses rose faster than revenue.

The balance sheet gives BRT less room for operating weakness. Debt to enterprise value rose to 76% from 70%, while total debt outstanding reached $676.6 million and interest expense increased to $6.3 million from $5.9 million. Refinancing extended maturities, but largely at higher interest rates: the company replaced 3.73% and 3.97% mortgages with debt carrying rates of 5.38% and 5.45%. That protects near-term liquidity but raises the recurring financing burden.

Capital allocation remains active, but it is not yet translating into stronger per-share cash earnings. BRT acquired Riverbend through a 70%-owned joint venture, has a 336-unit Ranch Lake acquisition targeted for the first quarter of 2027, continued its value-add program, and repurchased shares. Those actions support future portfolio growth and per-share value, but the current quarter still shows AFFO down 14% and combined same-store NOI down 1.6% year over year. The filing says the company “repurchased 242,631 shares of its common stock” after quarter-end. 〔0〕

Bottom line: This was not a breakdown in occupancy or the consolidated portfolio, but it was a clear step backward in current cash earnings. The earnings miss, falling AFFO, weak joint-venture NOI, and higher leverage outweigh the acquisition and buyback activity for this quarter.

What to watch next

Ranch Lake acquisition closing, Q1 2027

Original filing on SEC EDGAR

BRT earnings miss as AFFO falls and joint-venture NOI slides | BRT Stock News
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