Udr, Inc. · NYSE:UDR
Udr — Q4 2025 Earnings Presentation
28 slides from Udr's earnings presentation, Feb 10, 2026
Slide 1: Fourth Quarter 2025 Earnings And Full-Year 2026 Guidance
The Enclave at Potomac Club Northern Virginia Fourth Quarter 2025 Earnings And Full-Year 2026 Guidance FEBRUARY 2026
Slide 2: Disclaimer and Forward-Looking Statements
DISCLAIMER AND FORWARD-LOOKING STATEMENTS This presentation, which the Company intends to provide on an annual basis in conjunction with its initial guidance outlook, is complementary to the Company’s conference call to discuss its Fourth Quarter and Full-Year 2025 earnings results, taking place on
Slide 3: Featured Speakers
FEATURED SPEAKERS Tom Toomey Dave Bragg Mike Lacy Chairman, President and CEO Chief Financial Officer Chief Operating Officer 3 Source: Company documents.
Slide 4: Reasons to Invest in UDR
REASONS TO INVEST IN UDR Track Record: 10% compounded annual total shareholder return over the last 25 years. Operational Acumen: Robust history of long-term outperformance driven by a culture of continuous innovation, resulting in a sustainable operating margin advantage and high resident satisfact
Slide 5: Strategic Focus
STRATEGIC FOCUS The strategic focus of the enterprise has not change but is enhanced by a heightened focus on efficiently converting data into actions that increase cash flow. 1 Customer Experience: Assess more than 1 million daily data elements to deliver an improved UDR living experience, resultin
Slide 6: Key Takeaways
KEY TAKEAWAYS 1 Fourth Quarter and Full-Year 2025 results above guidance. 2 Positive operating momentum: sequential blended rent growth acceleration from October through January with high-96% occupancy. 3 Supply pressures expected to abate as 2026 progresses. 4 Flexible approach to capital allocatio
Slide 7: Recent Results
RECENT RESULTS 4Q and FY 2025 FFOA per share and Same-Store results met or exceeded guidance. Vs. Guidance Metric 4Q 2025 FY 2025 Midpoint FFOA per diluted share $0.64 $2.54 In-Line Year-Over-Year (“YOY”) Growth 2% 2% YOY Same-Store Growth Revenue 1.8% 2.4% In-Line Expense 2.0% 2.6% Beat NOI 1.7% 2.
Slide 8: 2026 Macro Outlook
2026 MACRO OUTLOOK Positive demand and economic growth balanced by various uncertainties. Positives Uncertainties YOY GDP Growth: 2.0% to 2.5% Economic Uncertainty, including Fed Actions YOY Wage Growth of 2% to 3% Minimal YOY employment growth of 0% to 1% Lower Homeownership Rate (25 to 50bps) Nati
Slide 9: Macro Outlook, Continued
MACRO OUTLOOK, CONTINUED Demographics, affordability, and demand/supply factors continue to support rentership. Steady Rent-to-Income Ratio (“R/I”) Attractive Relative Affordability Median resident R/I ratio in the low-20% range; average UDR Nearly 60%, or $3,200 per month, less expensive to rent ho
Slide 10: 2026 Guidance
2026 GUIDANCE(1) Our 2026 guidance contemplates our balanced macro outlook and operating initiatives as well as refinancing and transaction activity. FY 2026 Metric 1Q 2026 Outlook FY 2026 Outlook Midpoint FFOA per share $0.61 to $0.63 $2.47 to $2.57 $2.52 Same Store Growth Revenue (“SSREV”) - 0.25%
Slide 11: Capital Allocation Heatmap
CAPITAL ALLOCATION HEATMAP UDR utilizes various capital allocation value creation drivers. At present, operating platform enhancements, share repurchases, and NOI enhancing CapEx are viewed as the top uses of capital while JV capital and dispositions are the most attractive sources of capital. Capit
Slide 12: Balance Sheet Strength and Robust Liquidity
BALANCE SHEET STRENGTH AND ROBUST LIQUIDITY Minimal near-term debt maturities(1) Forward Debt Maturity Schedule ($ in millions) Unsecured Debt Secured Debt $1,000 $800 $600 $19.8B Common Equity $400 $200 $0 2026 2027 2028 2029 2030 2031 2032 2033 2034 Robust liquidity Total Liquidity(2): Approximate
Slide 13: 2026 Same-Store Revenue Growth
2026 SAME-STORE REVENUE GROWTH Positive blended lease rate growth, other income innovation, and sustained occupancy and bad debt should drive 2026 Same-Store revenue growth. Components of 2026 SSREV Growth 2.5% High: 2.25% Sustained occupancy 2.0% Driven by further rollout of building-wide Wi-Fi and
Slide 14: 2026 Same-Store Expense Growth
2026 SAME-STORE EXPENSE GROWTH 2026 SSEXP Growth, by Category FY 2025 Actual High: 9.0% 10% 6% High: 5.5% High: 4.5% High: 4.5% Low: 7.0% High: 4.75% High: 4.50% Driven by costs associated with continued property-wide WiFi implementation which, Low: 3.5% on net, are NOI accretive. 2% Low: 2.5% Low:
Slide 15: Recent Updates and Trends
RECENT UPDATES AND TRENDS 2026 is off to a healthy start. More lease expirations are concentrated in the vibrant second and third quarters after one-third of our fourth quarter 2025 expirations were shifted to the summer months. Early 2026 Operating Trends January Blended Lease Rate Growth: +1% (str
Slide 16: Innovation and AI Strategy
INNOVATION AND AI STRATEGY UDR has consistently executed innovative strategies and tactics to create value. Utilizing AI tools enhances our culture of innovation and we are currently prioritizing three high- impact pilots focusing on pricing, customer experience, and enterprise effectiveness. 1 Cust
Slide 17: Conclusion
CONCLUSION 1 Fourth Quarter and Full-Year 2025 results above guidance. 2 Positive operating momentum: sequential blended rent growth acceleration from October through January with high-96% occupancy. 3 Supply pressures expected to abate in 2026. 4 Investment grade balance sheet with approximately $1
Slide 18: Appendix
APPENDIX DEFINITIONS AND RECONCILIATIONS FEBRUARY 2026
Slide 19: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS Acquired Communities: The Company defines Acquired Communities as those communities acquired by the Company, other than development and redevelopment activity, that did not achieve stabilization as of the most recent quarter. Adjusted Funds from Operations (“AFFO”) at
Slide 20: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS Contractual Return Rate: The Company defines Contractual Return Rate as the rate of return or interest rate that the Company is entitled to receive on a preferred equity investment or loan, as specified in the applicable agreement. Controllable Expenses: The Company r
Slide 21: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS Effective Blended Lease Rate Growth: The Company defines Effective Blended Lease Rate Growth as the combined proportional growth as a result of Effective New Lease Rate Growth and Effective Renewal Lease Rate Growth. Management considers Effective Blended Lease Rate G
Slide 22: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS Funds From Operations (“FFO”) attributable to common stockholders and unitholders: The Company defines FFO attributable to common stockholders and unitholders as net income/(loss) attributable to common stockholders (computed in accordance with GAAP), excluding impair
Slide 23: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS Net Operating Income (“NOI”): The Company defines NOI as rental income less direct property rental expenses. Rental income represents gross market rent and other revenues less adjustments for concessions, vacancy loss and bad debt. Rental expenses include real estate
Slide 24: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS QTD Same-Store Communities: The Company defines QTD Same-Store Communities as those communities Stabilized for five full consecutive quarters. These communities were owned and had stabilized operating expenses as of the beginning of the quarter in the prior year, were
Slide 25: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS 2026 Guidance: All guidance is based on current expectations of future economic conditions and the judgment of the Company's management team. The following reconciles from GAAP Net income/(loss) per share for the first quarter of 2026 and full-year 2026 to forecasted
Slide 26: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS Quarter Ended Coverage Ratios December 31, 2025 Net income/(loss) $ 238,285 Adjustments: Interest expense, including debt extinguishment and other associated costs 49,684 Real estate depreciation and amortization 163,610 Other depreciation and amortization 4,451 Tax p
Slide 27: Definitions and Reconciliations
DEFINITIONS AND RECONCILIATIONS Three Months Ended Twelve Months Ended December 31, December 31, In thousands, except per share and unit amounts 2025 2024 2025 2024 Net income/(loss) attributable to common stockholders $ 221,691 $ (6,241) $ 372,865 $ 84,750 Real estate depreciation and amortization
Slide 28: Investor Relations Contact: Trent Trujillo
Investor Relations Contact: Trent Trujillo ttrujillo@udr.com 720.283.6135