EX-99 2 ex99.htm

Exhibit 99


Table of Contents

		Page

Financial Highlights		3

Consolidated Balance Sheets		4

Consolidated Statements of Income (Loss)		5

Consolidated Statements of Cash Flows		6

Reconciliation of Net Income (Loss) to Adjusted EBITDA excluding Non-Recurring Other Expense and Net Income (Loss) Attributable to Common Shareholders to FFO and Normalized FFO		7

Market Capitalization, Debt and Coverage Ratios		8

Debt Analysis		9

Debt Maturity		10

Securities Portfolio Performance		11

Property Summary and Snapshot		12

Same Property Statistics		13

Acquisitions Summary and Property Portfolio		14

Definitions		15

Press Release Dated August 6, 2024		16

Certain information in this Supplemental Information Package contains Non-GAAP financial measures. These Non-GAAP financial measures are REIT industry financial measures that are not calculated in accordance with accounting principles generally accepted in the United States of America. Please see page 15 for a definition of these Non-GAAP financial measures and page 7 for the reconciliation of certain captions in the Supplemental Information Package to the statement of operations as reported in the Company’s filings with the SEC on Form 10-Q.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Financial Highlights

(dollars in thousands except per share amounts) (unaudited)

	Three Months Ended						Six Months Ended
	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Operating Information
Number of Communities ⁽¹⁾								136			135
Total Sites								25,787			25,729
Rental and Related Income	$	51,494		$	47,063		$	101,823		$	92,368
Community Operating Expenses	$	21,595		$	20,034		$	42,692		$	40,122
Community NOI	$	29,899		$	27,029		$	59,131		$	52,246
Expense Ratio		41.9	%		42.6	%		41.9	%		43.4	%
Sales of Manufactured Homes	$	8,834		$	8,227		$	16,185		$	15,529
Number of Homes Sold		105			91			200			174
Number of Rentals Added, net		111			304			167			534
Net Income (Loss)	$	5,181		$	(403	)	$	3,556		$	(1,904	)
Net Income (Loss) Attributable to Common Shareholders	$	527		$	(4,418	)	$	(5,737	)	$	(9,715	)
Adjusted EBITDA excluding Non-Recurring Other Expense	$	28,329		$	25,270		$	55,014		$	48,731
FFO Attributable to Common Shareholders	$	16,182		$	12,043		$	30,228		$	22,683
Normalized FFO Attributable to Common Shareholders	$	16,807		$	13,049		$	31,824		$	24,769

Shares Outstanding and Per Share Data
Weighted Average Shares Outstanding
Basic		71,418			61,236			70,291			60,186
Diluted		71,884			61,760			70,700			60,844
Net Income (Loss) Attributable to Shareholders per Share-
Basic and Diluted	$	0.01		$	(0.07	)	$	(0.08	)	$	(0.16	)
FFO per Share-⁽²⁾
Basic	$	0.23		$	0.20		$	0.43		$	0.38
Diluted	$	0.23		$	0.19		$	0.43		$	0.37
Normalized FFO per Share-⁽²⁾
Basic	$	0.24		$	0.21		$	0.45		$	0.41
Diluted	$	0.23		$	0.21		$	0.45		$	0.41
Dividends per Common Share	$	0.215		$	0.205		$	0.42		$	0.41

Balance Sheet
Total Assets							$	1,441,295		$	1,393,869
Total Liabilities							$	697,315		$	756,002

Market Capitalization
Total Debt, Net of Unamortized Debt Issuance Costs							$	668,876		$	726,862
Equity Market Capitalization							$	1,163,272		$	1,007,888
Series D Preferred Stock							$	295,757		$	265,032
Total Market Capitalization							$	2,127,905		$	1,999,782

	(1)	As of January 1, 2024, includes Duck River Estates, a newly constructed community.
	(2)	Please see Definitions on page 15.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Consolidated Balance Sheets

(in thousands except per share amounts)

	June 30,			December 31,
	2024			2023
	(unaudited)
ASSETS
Investment Property and Equipment
Land	$	87,301		$	86,497
Site and Land Improvements		907,400			896,568
Buildings and Improvements		39,749			39,506
Rental Homes and Accessories		539,746			516,470
Total Investment Property		1,574,196			1,539,041
Equipment and Vehicles		30,059			29,126
Total Investment Property and Equipment		1,604,255			1,568,167
Accumulated Depreciation		(443,448	)		(416,309	)
Net Investment Property and Equipment		1,160,807			1,151,858

Other Assets
Cash and Cash Equivalents		39,457			57,320
Marketable Securities at Fair Value		28,673			34,506
Inventory of Manufactured Homes		31,986			32,940
Notes and Other Receivables, net		85,940			81,071
Prepaid Expenses and Other Assets		15,485			11,729
Land Development Costs		52,736			33,302
Investment in Joint Venture		26,211			24,851
Total Other Assets		280,488			275,719

TOTAL ASSETS	$	1,441,295		$	1,427,577

LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Mortgages Payable, net of unamortized debt issuance costs	$	491,030		$	496,483
Other Liabilities
Accounts Payable		5,386			6,106
Loans Payable, net of unamortized debt issuance costs		77,367			93,479
Series A Bonds, net of unamortized debt issuance costs		100,479			100,055
Accrued Liabilities and Deposits		13,145			15,117
Tenant Security Deposits		9,908			9,543
Total Other Liabilities		206,285			224,300
Total Liabilities		697,315			720,783

COMMITMENTS AND CONTINGENCIES

Shareholders’ Equity:
Series D- 6.375% Cumulative Redeemable Preferred Stock, $0.10 par value per share; 13,700 shares authorized as of June 30, 2024 and December, 31 2023; 11,830 and 11,607 shares issued and outstanding as of June 30, 2024 and December 31, 2023, respectively		295,757			290,180
Common Stock- $0.10 par value per share: 153,714 shares authorized as of June 30, 2024 and December 31, 2023; 72,750 and 67,978 shares issued and outstanding as of June 30, 2024 and December 31, 2023, respectively		7,275			6,798
Excess Stock- $0.10 par value per share: 3,000 shares authorized; no shares issued or outstanding as of June 30, 2024 and December 31, 2023		-0-			-0-
Additional Paid-In Capital		464,330			433,106
Accumulated Deficit		(25,364	)		(25,364	)
Total UMH Properties, Inc. Shareholders’ Equity		741,998			704,720
Non-Controlling Interest in Consolidated Subsidiaries		1,982			2,074
Total Shareholders’ Equity		743,980			706,794

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,441,295		$	1,427,577

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Consolidated Statements of Income (Loss)

(in thousands except per share amounts) (unaudited)

	Three Months Ended						Six Months Ended
	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
INCOME:
Rental and Related Income	$	51,494		$	47,063		$	101,823		$	92,368
Sales of Manufactured Homes		8,834			8,227			16,185			15,529
TOTAL INCOME		60,328			55,290			118,008			107,897

EXPENSES:
Community Operating Expenses		21,595			20,034			42,692			40,122
Cost of Sales of Manufactured Homes		5,461			5,740			11,017			10,725
Selling Expenses		1,744			1,665			3,390			3,477
General and Administrative Expenses		5,506			5,181			10,874			10,163
Depreciation Expense		15,001			13,751			29,742			27,124
TOTAL EXPENSES		49,307			46,371			97,715			91,611

OTHER INCOME (EXPENSE):
Interest Income		1,501			1,217			3,068			2,355
Dividend Income		362			531			722			1,237
Loss on Sales of Marketable Securities, net		(3,778	)		(1	)		(3,778	)		(43	)
Increase (Decrease) in Fair Value of Marketable Securities		3,338			(2,548	)		(2,031	)		(4,943	)
Other Income		205			288			364			616
Loss on Investment in Joint Venture		(87	)		(175	)		(224	)		(480	)
Interest Expense		(7,371	)		(8,639	)		(14,845	)		(16,969	)
TOTAL OTHER INCOME (EXPENSE)		(5,830	)		(9,327	)		(16,724	)		(18,227	)

Income (Loss) before Gain (Loss) on Sales of Investment Property and Equipment		5,191			(408	)		3,569			(1,941	)
Gain (Loss) on Sales of Investment Property and Equipment		(10	)		5			(13	)		37
NET INCOME (LOSS)		5,181			(403	)		3,556			(1,904	)

Preferred Dividends		(4,712	)		(4,051	)		(9,385	)		(7,887	)
Loss Attributable to Non-Controlling Interest		58			36			92			76

NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS	$	527		$	(4,418	)	$	(5,737	)	$	(9,715	)

NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS PER SHARE –
Basic and Diluted	$	0.01		$	(0.07	)	$	(0.08	)	$	(0.16	)

WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:
Basic		71,418			61,236			70,291			60,186
Diluted		71,884			61,760			70,700			60,844

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Consolidated Statements of Cash Flows

(in thousands) (unaudited)

	Six Months Ended
	June 30, 2024			June 30, 2023
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income (Loss)	$	3,556		$	(1,904	)
Non-Cash Items Included in Net Income (Loss):
Depreciation		29,742			27,124
Amortization of Financing Costs		1,163			1,056
Stock Compensation Expense		2,543			2,999
Provision for Uncollectible Notes and Other Receivables		795			797
Loss on Sales of Marketable Securities, net		3,778			43
Decrease in Fair Value of Marketable Securities		2,031			4,943
(Gain) Loss on Sales of Investment Property and Equipment		13			(37	)
Loss on Investment in Joint Venture		469			577
Changes in Operating Assets and Liabilities:
Inventory of Manufactured Homes		954			27,414
Notes and Other Receivables, net of notes acquired with acquisitions		(5,664	)		(9,017	)
Prepaid Expenses and Other Assets		552			1,591
Accounts Payable		(720	)		317
Accrued Liabilities and Deposits		(1,972	)		(3,534	)
Tenant Security Deposits		365			633
Net Cash Provided by Operating Activities		37,605			53,002
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of Manufactured Home Communities		-0-			(3,679	)
Purchase of Investment Property and Equipment		(41,052	)		(74,604	)
Proceeds from Sales of Investment Property and Equipment		2,348			1,332
Additions to Land Development Costs		(18,249	)		(12,587	)
Purchase of Marketable Securities		(12	)		(11	)
Proceeds from Sales of Marketable Securities		36			502
Investment in Joint Venture		(1,829	)		(5,349	)
Net Cash Used in Investing Activities		(58,758	)		(94,396	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net (Payments) Proceeds from Short-Term Borrowings		(15,837	)		29,527
Principal Payments of Mortgages and Loans		(5,915	)		(64,583	)
Financing Costs on Debt		(552	)		(814	)
Proceeds from At-The-Market Preferred Equity Program, net of offering costs		5,058			34,600
Proceeds from At-The-Market Common Equity Program, net of offering costs		56,478			78,447
Proceeds from Issuance of Common Stock in the DRIP, net of dividend reinvestments		3,503			3,197
Proceeds from Exercise of Stock Options		2,079			550
Preferred Dividends Paid		(9,385	)		(7,887	)
Common Dividends Paid, net of dividend reinvestments		(27,831	)		(23,331	)
Net Cash Provided by Financing Activities		7,598			49,706

NET (DECREASE) INCREASE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH		(13,555	)		8,312
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD		64,437			40,876
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD	$	50,882		$	49,188

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Reconciliation of Net Income (Loss) to Adjusted EBITDA and Net Income (Loss) Attributable to Common Shareholders to FFO and Normalized FFO

(in thousands) (unaudited)

	Three Months Ended						Six Months Ended
	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Reconciliation of Net Income (Loss) to Adjusted EBITDA

Net Income (Loss)	$	5,181		$	(403	)	$	3,556		$	(1,904	)
Interest Expense		7,371			8,639			14,845			16,969
Franchise Taxes		114			100			228			201
Depreciation Expense		15,001			13,751			29,742			27,124
Depreciation Expense from Unconsolidated Joint Venture		204			166			401			325
(Increase) Decrease in Fair Value of Marketable Securities		(3,338	)		2,548			2,031			4,943
Loss on Sales of Marketable Securities, net		3,778			1			3,778			43
Adjusted EBITDA		28,311			24,802			54,581			47,701
Non- Recurring Other Expense ⁽¹⁾		18			468			433			1,030
Adjusted EBITDA without Non-recurring Other Expense	$	28,329		$	25,270		$	55,014		$	48,731

Reconciliation of Net Income (Loss) Attributable to Common Shareholders to Funds from Operations

Net Income (Loss) Attributable to Common Shareholders	$	527		$	(4,418	)	$	(5,737	)	$	(9,715	)
Depreciation Expense		15,001			13,751			29,742			27,124
Depreciation Expense from Unconsolidated Joint Venture		204			166			401			325
(Gain) Loss on Sales of Investment Property and Equipment		10			(5	)		13			(37	)
(Increase) Decrease in Fair Value of Marketable Securities		(3,338	)		2,548			2,031			4,943
Loss on Sales of Marketable Securities, net		3,778			1			3,778			43
Funds from Operations Attributable to Common Shareholders (“FFO”)		16,182			12,043			30,228			22,683

Adjustments:
Amortization of Financing Costs		607			538			1,163			1,056
Non- Recurring Other Expense ⁽¹⁾		18			468			433			1,030
Normalized Funds from Operations Attributable to Common Shareholders (“Normalized FFO”)	$	16,807		$	13,049		$	31,824		$	24,769

(1)

Consists of non-recurring one-time legal fees ($18 and $51, respectively), and costs associated with the liquidation/sale of inventory in a particular sales center ($0 and $382, respectively) for the three and six months ended June 30, 2024. Consists of special bonus and restricted stock grants for the August 2020 groundbreaking Fannie Mae financing, which were being expensed over the vesting period ($431 and $862, respectively) and non-recurring expenses for the joint venture with Nuveen ($3 and $50, respectively), one-time legal fees ($30 and $50, respectively), fees related to the establishment of the OZ Fund ($4 and $37, respectively), and costs associated with an acquisition that was not completed ($0 and $31, respectively) for the three and six months ended June 30, 2023.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Market Capitalization, Debt and Coverage Ratios

(in thousands) (unaudited)

	Six Months Ended						Year Ended
	June 30, 2024			June 30, 2023			December 31, 2023
Shares Outstanding		72,750			63,072			67,978
Market Price Per Share	$	15.99		$	15.98		$	15.32
Equity Market Capitalization	$	1,163,272		$	1,007,888		$	1,041,422
Total Debt		668,876			726,862			690,017
Preferred		295,757			265,032			290,180
Total Market Capitalization	$	2,127,905		$	1,999,782		$	2,021,619

Total Debt	$	668,876		$	726,862		$	690,017
Less: Cash and Cash Equivalents		(39,457	)		(41,484	)		(57,320	)
Net Debt		629,419			685,378			632,697
Less: Marketable Securities at Fair Value (“Securities”)		(28,673	)		(36,701	)		(34,506	)
Net Debt Less Securities	$	600,746		$	648,677		$	598,191

Interest Expense	$	14,845		$	16,969		$	32,475
Capitalized Interest		2,378			2,699			5,032
Preferred Dividends		9,385			7,887			16,723
Total Fixed Charges	$	26,608		$	27,555		$	54,230

Adjusted EBITDA excluding Non-Recurring Other Expenses	$	55,014		$	48,731		$	101,780

Debt and Coverage Ratios

Net Debt / Total Market Capitalization		29.6	%		34.3	%		31.3	%

Net Debt Plus Preferred / Total Market Capitalization		43.5	%		47.5	%		45.7	%

Net Debt Less Securities / Total Market Capitalization		28.2	%		32.4	%		29.6	%

Net Debt Less Securities Plus Preferred / Total Market Capitalization		42.1	%		45.7	%		43.9	%

Interest Coverage		3.2x			2.5x			2.7x

Fixed Charge Coverage		2.1x			1.8x			1.9x

Net Debt / Adjusted EBITDA excluding Non-Recurring Other Expense		5.7x			7.0x			6.2x

Net Debt Less Securities / Adjusted EBITDA excluding Non-Recurring Other Expense		5.5x			6.7x			5.9x

Net Debt Plus Preferred / Adjusted EBITDA excluding Non-Recurring Other Expense		8.4x			9.8x			9.1x

Net Debt Less Securities Plus Preferred / Adjusted EBITDA excluding Non-Recurring Other Expense		8.1x			9.4x			8.7x

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Debt Analysis

(in thousands) (unaudited)

	Six Months Ended						Year Ended
	June 30, 2024			June 30, 2023			December 31, 2023
Debt Outstanding
Mortgages Payable:
Fixed Rate Mortgages	$	495,219		$	449,126		$	501,135
Unamortized Debt Issuance Costs		(4,189	)		(4,329	)		(4,652	)

Mortgages, Net of Unamortized Debt Issuance Costs	$	491,030		$	444,797		$	496,483
Loans Payable:
Unsecured Line of Credit	$	50,000		$	100,000		$	70,000
Other Loans Payable		28,846			83,753			24,683

Total Loans Before Unamortized Debt Issuance Costs		78,846			183,753			94,683
Unamortized Debt Issuance Costs		(1,479	)		(1,319	)		(1,204	)

Loans, Net of Unamortized Debt Issuance Costs	$	77,367		$	182,434		$	93,479
Bonds Payable:
Series A Bonds	$	102,670		$	102,670		$	102,670
Unamortized Debt Issuance Costs		(2,191	)		(3,039	)		(2,615	)
Bonds, Net of Unamortized Debt Issuance Costs	$	100,479		$	99,631		$	100,055

Total Debt, Net of Unamortized Debt Issuance Costs	$	668,876		$	726,862		$	690,017

% Fixed/Floating
Fixed		91.9	%		75.0	%		90.0	%
Floating		8.1	%		25.0	%		10.0	%
Total		100.0	%		100.0	%		100.0	%

Weighted Average Interest Rates ⁽¹⁾
Mortgages Payable		4.17	%		3.88	%		4.17	%
Loans Payable		6.81	%		7.42	%		6.98	%
Bonds Payable		4.72	%		4.72	%		4.72	%
Total Average		4.56	%		4.88	%		4.63	%

Weighted Average Maturity (Years)
Mortgages Payable		4.8			5.2			5.3

(1)

Weighted average interest rates do not include the effect of unamortized debt issuance costs.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Debt Maturity

(in thousands) (unaudited)

As of June 30, 2024:

Year Ended	Mortgages			Loans			Bonds			Total			% of Total
2024	$	-0-		$	4,487		$	-0-		$	4,487			0.6	%
2025		117,008			-0-			-0-			117,008			17.3	%
2026		36,567			50,000	(1)		-0-			86,567			12.8	%
2027		38,524			-0-			102,670	(2)		141,194			20.9	%
2028		24,900			24,359			-0-			49,259			7.3	%
Thereafter		278,220			-0-			-0-			278,220			41.1	%

Total Debt Before Unamortized Debt Issuance Cost		495,219			78,846			102,670			676,735			100.0	%

Unamortized Debt Issuance Cost		(4,189	)		(1,479	)		(2,191	)		(7,859	)

Total Debt, Net of Unamortized Debt Issuance Costs	$	491,030		$	77,367		$	100,479		$	668,876

(1)	Represents $50.0 million balance outstanding on the Company’s Line of Credit due November 7, 2026, with an additional one-year option.
(2)	Represents $102.7 million balance outstanding of the Company’s Series A Bonds due February 28, 2027.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Securities Portfolio Performance

(in thousands) (unaudited)

Year Ended	Securities Available for Sale		Dividend Income		Net Realized Gain (Loss) on Sale of Securities			Net Realized Gain (Loss) on Sale of Securities & Dividend Income
2010-2014		63,556	$	15,066	$	14,414		$	29,480
2015		75,011		4,399		204			4,603
2016		108,755		6,636		2,285			8,921
2017		132,964		8,135		1,747			9,882
2018		99,596		10,367		20			10,387
2019		116,186		7,535		-0-			7,535
2020		103,172		5,729		-0-			5,729
2021		113,748		5,098		2,342			7,440
2022		42,178		2,903		6,394			9,297
2023		34,506		2,318		183			2,501
2024*		28,673		722		(3,778	)		(3,056	)

			$	68,908	$	23,811		$	92,719

* Financial Information is as of and for the six months ended June 30, 2024.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Property Summary and Snapshot

(unaudited)

	June 30, 2024			June 30, 2023			% Change

Communities ⁽¹⁾		136			135			0.7	%
Total Sites		25,787			25,729			0.2	%
Occupied Sites		22,526			22,096			430 sites, 1.9	%
Occupancy %		87.4	%		85.9	%		150 bps
Total Rentals		10,136			9,632			5.2	%
Occupied Rentals		9,630			9,048			6.4	%
Rental Occupancy %		95.0	%		93.9	%		110 bps
Monthly Rent Per Site	$	531		$	509			4.3	%
Monthly Rent Per Home Rental Including Site	$	960		$	905			6.1	%

State	Number		Total Acreage		Developed Acreage		Vacant Acreage		Total Sites		Occupied Sites		Occupancy Percentage			Monthly Rent Per Site		Total Rentals		Occupied Rentals		Rental Occupancy Percentage			Monthly Rent Per Home Rental
			(2)				(2)																		(3)

Alabama		2		69		62		7		325		132		40.6	%	$	193		107		101		94.4	%	$	1,045
Georgia		1		26		26		-0-		118		10		8.5	%	$	450		10		10		100.0	%	$	1,057
Indiana		14		1,105		908		197		4,022		3,602		89.6	%	$	491		1,946		1,855		95.3	%	$	983
Maryland		1		77		29		48		63		61		96.8	%	$	621		-0-		-0-		N/A			N/A
Michigan		4		241		222		19		1,088		917		84.3	%	$	498		385		357		92.7	%	$	998
New Jersey		5		390		226		164		1,265		1,219		96.4	%	$	705		44		38		86.4	%	$	1,253
New York		8		698		327		371		1,367		1,188		86.9	%	$	633		485		462		95.3	%	$	1,130
Ohio		38		2,044		1,515		529		7,302		6,407		87.7	%	$	488		2,973		2,847		95.8	%	$	910
Pennsylvania		53		2,392		1,901		491		7,968		6,961		87.4	%	$	558		3,130		2,955		94.4	%	$	957
South Carolina		2		63		55		8		322		195		60.6	%	$	211		140		121		86.4	%	$	1,027
Tennessee ⁽¹⁾		8		710		368		342		1,947		1,834		94.2	%	$	548		916		884		96.5	%	$	963
Total as of June 30, 2024 ⁽¹⁾		136		7,815		5,639		2,176		25,787		22,526		87.4	%	$	531		10,136		9,630		95.0	%	$	960

(1)	As of January 1, 2024, includes Duck River Estates, a newly constructed community.
(2)	Total and Vacant Acreage of 220 for Mountain View Estates property is included in the above summary.
(3)	Includes home and site rent charges.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Same Property Statistics

(in thousands) (unaudited)

	Three Months Ended									Six Months Ended
	June 30, 2024		June 30, 2023		Change		% Change			June 30, 2024		June 30, 2023		Change		% Change
Same Property Community Net Operating Income (“NOI”)

Rental and Related Income	$	50,939	$	46,722	$	4,217		9.0	%	$	100,639	$	91,711	$	8,928		9.7	%
Community Operating Expenses		20,022		18,863		1,159		6.1	%		39,690		37,872		1,818		4.8	%

Same Property Community NOI	$	30,917	$	27,859	$	3,058		11.0	%	$	60,949	$	53,839	$	7,110		13.2	%

	June 30, 2024			June 30, 2023			Change

Total Sites		25,457			25,405			0.2	%
Occupied Sites		22,333			21,953			380 sites, 1.7	%
Occupancy %		87.7	%		86.4	%		130 bps
Number of Properties		133			133			N/A
Total Rentals		9,980			9,513			4.9	%
Occupied Rentals		9,485			8,939			6.1	%
Rental Occupancy		95.0	%		94.0	%		100 bps
Monthly Rent Per Site	$	534		$	509			4.9	%
Monthly Rent Per Home Rental Including Site	$	958		$	903			6.1	%

Same Property includes all properties owned as of January 1, 2023, with the exception of Memphis Blues and Duck River Estates.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Acquisitions Summary

(dollars in thousands)

Year of Acquisition	Number of Communities	Sites	Occupancy % at Acquisition			Purchase Price		Price Per Site		Total Acres
2021	3	543		59	%	$	18,300	$	34	113
2022	7	1,480		65	%	$	86,223	$	58	461
2023	1	118		-0-	%	$	3,650	$	31	26

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Definitions

Investors and analysts following the real estate industry utilize funds from operations available to common shareholders (“FFO”), normalized funds from operations available to common shareholders (“Normalized FFO”), Community NOI, Same Property Community NOI, and earnings before interest, taxes, depreciation, amortization and acquisition costs (“Adjusted EBITDA excluding Non-Recurring Other Expense”), variously defined, as supplemental performance measures. While the Company believes net income (loss) available to common shareholders, as defined by accounting principles generally accepted in the United States of America (U.S. GAAP), is the most appropriate measure, it considers Community NOI, Same Property Community NOI, Adjusted EBITDA excluding Non-Recurring Other Expense, FFO and Normalized FFO, given their wide use by and relevance to investors and analysts, appropriate supplemental performance measures. FFO, reflecting the assumption that real estate asset values rise or fall with market conditions, principally adjusts for the effects of U.S. GAAP depreciation and amortization of real estate assets. FFO also adjusts for the effects of the change in the fair value of marketable securities and gains and losses realized on marketable securities. Normalized FFO reflects the same assumptions as FFO except that it also adjusts for amortization of financing costs and certain one-time charges. Community NOI and Same Property Community NOI provide a measure of rental operations and do not factor in depreciation and amortization and non-property specific expenses such as general and administrative expenses. Adjusted EBITDA excluding Non-Recurring Other Expense provides a tool to further evaluate the ability to incur and service debt and to fund dividends and other cash needs. In addition, Community NOI, Same Property Community NOI, Adjusted EBITDA, excluding Non-Recurring Other Expense, FFO and Normalized FFO are commonly used in various ratios, pricing multiples, yields and returns and valuation of calculations used to measure financial position, performance and value.

FFO, as defined by The National Association of Real Estate Investment Trusts (“Nareit”), is calculated to be equal to net income (loss) applicable to common shareholders, as defined by U.S. GAAP, excluding gains or losses from sales of previously depreciated real estate assets, impairment charges related to depreciable real estate assets, the change in the fair value of marketable securities, and the gain or loss on the sale of marketable securities plus certain non-cash items such as real estate asset depreciation and amortization. Included in the Nareit FFO White Paper - 2018 Restatement, is an option pertaining to assets incidental to our main business in the calculation of Nareit FFO to make an election to include or exclude gains and losses on the sale of these assets, such as marketable equity securities, and include or exclude mark-to-market changes in the value recognized on these marketable equity securities. In conjunction with the adoption of the FFO White Paper - 2018 Restatement, for all periods presented, we have elected to exclude the gains and losses realized on marketable securities and change in the fair value of marketable securities from our FFO calculation. Nareit created FFO as a non-GAAP supplemental measure of REIT operating performance.

Normalized FFO is calculated as FFO excluding amortization and certain one-time charges.

Normalized FFO per Diluted Common Share is calculated using diluted weighted shares outstanding of 71.9 million and 70.7 million shares for the three and six months ended June 30, 2024, respectively, and 61.8 million and 60.8 million shares for the three and six months ended June 30, 2023, respectively. Common stock equivalents resulting from stock options in the amount of 466,000 shares for the three months ended June 30, 2024, were included in the computation of Diluted Net Income per Share. Common stock equivalents resulting from stock options in the amount of 409,000 for the six months ended June 30, 2024, and 524,000 and 658,000 for the three and six months ended June 30, 2023, respectively, were excluded from the computation of Diluted Net Loss per Share as their effect would have been anti-dilutive.

Community NOI is calculated as rental and related income less community operating expenses such as real estate taxes, repairs and maintenance, community salaries, utilities, insurance and other expenses.

Same Property Community NOI is calculated as Community NOI, using all properties owned as of January 1, 2023, with the exception of Memphis Blues and Duck River Estates.

Adjusted EBITDA excluding Non-Recurring Other Expense is calculated as net income (loss) plus interest expense, franchise taxes, depreciation, the change in the fair value of marketable securities and the gain (loss) on sales of marketable securities, adjusted for non-recurring other expenses.

Community NOI, Same Property Community NOI, Adjusted EBITDA excluding Non-Recurring Other Expense, FFO and Normalized FFO do not represent cash generated from operating activities in accordance with U.S. GAAP and are not necessarily indicative of cash available to fund cash needs, including the repayment of principal on debt and payment of dividends and distributions. Community NOI, Same Property Community NOI, Adjusted EBITDA excluding Non-Recurring Other Expense, FFO and Normalized FFO should not be considered as substitutes for net income (loss) applicable to common shareholders (calculated in accordance with U.S. GAAP) as a measure of results of operations, or cash flows (calculated in accordance with U.S. GAAP) as a measure of liquidity. Community NOI, Same Property Community NOI, Adjusted EBITDA excluding Non-Recurring Other Expense, FFO and Normalized FFO as currently calculated by the Company may not be comparable to similarly titled, but variously calculated, measures of other REITs.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Press Release Dated August 6, 2024

FOR IMMEDIATE RELEASE	August 6, 2024
	Contact: Nelli Madden
	732-577-9997

UMH PROPERTIES, INC. REPORTS RESULTS FOR THE SECOND QUARTER ENDED JUNE 30, 2024

FREEHOLD, NJ, August 6, 2024........ UMH Properties, Inc. (NYSE:UMH) (TASE:UMH) reported Total Income for the quarter ended June 30, 2024 of $60.3 million as compared to $55.3 million for the quarter ended June 30, 2023, representing an increase of 9%. Net Income Attributable to Common Shareholders amounted to $527,000 or $0.01 per diluted share for the quarter ended June 30, 2024 as compared to a Net Loss of $4.4 million or $0.07 per diluted share for the quarter ended June 30, 2023. Normalized Funds from Operations Attributable to Common Shareholders (“Normalized FFO”), was $16.8 million or $0.23 per diluted share for the quarter ended June 30, 2024, as compared to $13.0 million or $0.21 per diluted share for the quarter ended June 30, 2023, representing a 10% per diluted share increase.

A summary of significant financial information for the three and six months ended June 30, 2024 and 2023 is as follows (in thousands except per share amounts):

	Three Months Ended
	June 30,
	2024			2023

Total Income	$	60,328		$	55,290
Total Expenses	$	49,307		$	46,371
Net Income (Loss) Attributable to Common Shareholders	$	527		$	(4,418	)
Net Income (Loss) Attributable to Common Shareholders per Diluted Common Share	$	(0.01	)	$	(0.07	)
FFO ⁽¹⁾	$	16,182		$	12,043
FFO ⁽¹⁾ per Diluted Common Share	$	0.23		$	0.19
Normalized FFO ⁽¹⁾	$	16,807		$	13,049
Normalized FFO ⁽¹⁾ per Diluted Common Share	$	0.23		$	0.21
Basic Weighted Average Shares Outstanding		71,418			61,236
Diluted Weighted Average Shares Outstanding		71,884			61,760

	Six Months Ended
	June 30,
	2024			2023

Total Income	$	118,008		$	107,897
Total Expenses	$	97,715		$	91,611
Net Loss Attributable to Common Shareholders	$	(5,737	)	$	(9,715	)
Net Loss Attributable to Common Shareholders per Diluted Common Share	$	(0.08	)	$	(0.16	)
FFO ⁽¹⁾	$	30,228		$	22,683
FFO ⁽¹⁾ per Diluted Common Share	$	0.43		$	0.37
Normalized FFO ⁽¹⁾	$	31,824		$	24,769
Normalized FFO ⁽¹⁾ per Diluted Common Share	$	0.45		$	0.41
Basic Weighted Average Shares Outstanding		70,291			60,186
Diluted Weighted Average Shares Outstanding		70,700			60,844

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

A summary of significant balance sheet information as of June 30, 2024 and December 31, 2023 is as follows (in thousands):

	June 30, 2024		December 31, 2023

Gross Real Estate Investments	$	1,574,196	$	1,539,041
Marketable Securities at Fair Value	$	28,673	$	34,506
Total Assets	$	1,441,295	$	1,427,577
Mortgages Payable, net	$	491,030	$	496,483
Loans Payable, net	$	77,367	$	93,479
Bonds Payable, net	$	100,479	$	100,055
Total Shareholders’ Equity	$	743,980	$	706,794

Samuel A. Landy, President and CEO, commented on the results of the second quarter of 2024.

“We are pleased to announce another solid quarter of operating results. During the quarter, we:

	●	Increased Rental and Related Income by 9%;
	●	Increased Sales of Manufactured Homes by 7%;
	●	Increased Community Net Operating Income (“NOI”) by 11%;
	●	Increased Same Property NOI by 11%;
	●	Increased Same Property Occupancy by 130 basis points from 86.4% to 87.7%;
	●	Improved our Same Property expense ratio by 110 basis points from 40.4% in the second quarter of 2023 to 39.3% at quarter end;
	●	Amended our unsecured credit facility to expand available borrowings by $80 million from $180 million to $260 million syndicated with BMO Capital Markets Corp., JPMorgan Chase Bank, NA and Wells Fargo, N.A;
	●	For the fourth time since 2020, raised our quarterly common stock dividend by $0.01 representing a 4.9% increase to $0.215 per share or $0.86 annually;
	●	Issued and sold approximately 2.4 million shares of Common Stock through our At-the-Market Sale Program at a weighted average price of $15.46 per share, generating gross proceeds of $36.9 million and net proceeds of $36.1 million, after offering expenses;
	●	Issued and sold approximately 29,000 shares of Series D Preferred Stock through our At-the-Market Sale Program at a weighted average price of $23.18 per share, generating gross proceeds of $670,000 and net proceeds of $659,000, after offering expenses;
	●	Subsequent to quarter end, issued and sold approximately 765,000 shares of Common Stock through our At-the-Market Sale Program at a weighted average price of $16.94 per share, generating net proceeds of $12.8 million, after offering expenses; and
	●	Subsequent to quarter end, issued and sold approximately 150,000 shares of Series D Preferred Stock through our At-the-Market Sale Program at a weighted average price of $23.01 per share, generating net proceeds of $3.4 million, after offering expenses.”

Mr. Landy stated, “UMH is pleased to report that Normalized FFO for the second quarter increased to $0.23 from $0.21 last year, representing an increase of approximately 10%. Sequentially, Normalized FFO increased from $0.22 to $0.23, representing an increase of approximately 5%. UMH has intentionally acquired value-added communities with vacant sites over the past 10 years. We have been improving the communities through our capital improvements, adding approximately 800 homes per year and selling 200 homes per year. These investments have added to the supply of affordable housing and generated best-in-class operating results.

“Our same property operating results continue to demonstrate the effectiveness of our business plan. Same property NOI increased by 11.0% for the quarter and 13.2% for the first six months, compared to the corresponding prior year periods. UMH has now increased same property NOI by double digits for four consecutive quarters. This increase was driven by an increase in rental and related income of 9.0% and 9.7% for the three and six months, respectively, partially offset by an increase in same property expenses of 6.1% and 4.8%, respectively. The growth in rental and related income is primarily attributed to a strong increase in occupancy of 380 units and rental rate increases of 4.9%.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

“Our sales for the quarter increased from $8.2 million to $8.8 million, representing an increase of 7%. Notably, our gross margin increased from 30% last year to 38% this year. Sales demand remains strong, and we anticipate another solid quarter of profitable home sales in the third quarter.

“We are initiating guidance for the remainder of 2024, with Normalized FFO in a range of $0.91-0.95 per diluted share for the full year, or $0.93 at the midpoint. This represents approximately 8% annual normalized FFO growth at the midpoint over full year 2023 Normalized FFO of $0.86 per diluted share.

“UMH continues to execute on our long-term business plan of acquiring communities. Our high-quality communities continue to experience strong demand for our products, which is translating to growing occupancy, net operating income and property value. Our 3,300 vacant sites and 2,200 acres of vacant land give us a runway to generate earnings growth for years to come. We maintain a strong balance sheet to ensure that we can execute our organic growth plan and be prepared when external acquisition opportunities become available. This strategy has allowed us to build a first-class portfolio of manufactured housing communities that deliver shareholders a resilient and growing dividend, greater scale, and improved net asset value per share.”

UMH Properties, Inc. will host its Second Quarter 2024 Financial Results Webcast and Conference Call. Senior management will discuss the results, current market conditions and future outlook on Wednesday, August 7, 2024, at 10:00 a.m. Eastern Time.

The Company’s 2024 second quarter financial results being released herein will be available on the Company’s website at www.umh.reit in the “Financials” section.

To participate in the webcast, select the webcast icon on the homepage of the Company’s website at www.umh.reit, in the Upcoming Events section. Interested parties can also participate via conference call by calling toll free 877-513-1898 (domestically) or 412-902-4147 (internationally).

The replay of the conference call will be available at 12:00 p.m. Eastern Time on Wednesday, August 7, 2024, and can be accessed by dialing toll free 877-344-7529 (domestically) and 412-317-0088 (internationally) and entering the passcode 7242441. A transcript of the call and the webcast replay will be available at the Company’s website, www.umh.reit.

UMH Properties, Inc., which was organized in 1968, is a public equity REIT that owns and operates 136 manufactured home communities containing approximately 25,800 developed homesites. These communities are located in New Jersey, New York, Ohio, Pennsylvania, Tennessee, Indiana, Maryland, Michigan, Alabama, South Carolina and Georgia. UMH also has an ownership interest in and operates two communities in Florida, containing 363 sites, through its joint venture with Nuveen Real Estate.

Certain statements included in this press release which are not historical facts may be deemed forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements are based on the Company’s current expectations and involve various risks and uncertainties. Although the Company believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, the Company can provide no assurance those expectations will be achieved. The risks and uncertainties that could cause actual results or events to differ materially from expectations are contained in the Company’s annual report on Form 10-K and described from time to time in the Company’s other filings with the SEC. The Company undertakes no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events, or otherwise.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

Note:

	(1)	Non-GAAP Information: We assess and measure our overall operating results based upon an industry performance measure referred to as Funds from Operations Attributable to Common Shareholders (“FFO”), which management believes is a useful indicator of our operating performance. FFO is used by industry analysts and investors as a supplemental operating performance measure of a REIT. FFO, as defined by The National Association of Real Estate Investment Trusts (“NAREIT”), represents net income (loss) attributable to common shareholders, as defined by accounting principles generally accepted in the United States of America (“U.S. GAAP”), excluding gains or losses from sales of previously depreciated real estate assets, impairment charges related to depreciable real estate assets, the change in the fair value of marketable securities, and the gain or loss on the sale of marketable securities plus certain non-cash items such as real estate asset depreciation and amortization. Included in the NAREIT FFO White Paper - 2018 Restatement, is an option pertaining to assets incidental to our main business in the calculation of NAREIT FFO to make an election to include or exclude gains and losses on the sale of these assets, such as marketable equity securities, and include or exclude mark-to-market changes in the value recognized on these marketable equity securities. In conjunction with the adoption of the FFO White Paper - 2018 Restatement, for all periods presented, we have elected to exclude the gains and losses realized on marketable securities investments and the change in the fair value of marketable securities from our FFO calculation. NAREIT created FFO as a non-U.S. GAAP supplemental measure of REIT operating performance. We define Normalized Funds from Operations Attributable to Common Shareholders (“Normalized FFO”), as FFO excluding certain one-time charges. FFO and Normalized FFO should be considered as supplemental measures of operating performance used by REITs. FFO and Normalized FFO exclude historical cost depreciation as an expense and may facilitate the comparison of REITs which have a different cost basis. However, other REITs may use different methodologies to calculate FFO and Normalized FFO and, accordingly, our FFO and Normalized FFO may not be comparable to all other REITs. The items excluded from FFO and Normalized FFO are significant components in understanding the Company’s financial performance.

		FFO and Normalized FFO (i) do not represent Cash Flow from Operations as defined by U.S. GAAP; (ii) should not be considered as alternatives to net income (loss) as a measure of operating performance or to cash flows from operating, investing and financing activities; and (iii) are not alternatives to cash flow as a measure of liquidity. FFO and Normalized FFO, as calculated by the Company, may not be comparable to similarly titled measures reported by other REITs.

		The diluted weighted shares outstanding used in the calculation of FFO per Diluted Common Share and Normalized FFO per Diluted Common Share were 71.9 million and 70.7 million shares for the three and six months ended June 30, 2024, respectively, and 61.8 million and 60.8 million shares for the three and six months ended June 30, 2023, respectively. Common stock equivalents resulting from stock options in the amount of 409,000 for the six months ended June 30, 2024, were excluded from the computation of the Diluted Net Loss per Share as their effect would be anti-dilutive. Common stock equivalents resulting from employee stock options to purchase 4.0 million shares of common stock amounted to 466,000 shares, for the three months ended June 30, 2024, were included in the computation of Diluted Net Income per Share. Common stock equivalents resulting from stock options in the amount of 524,000 and 658,000 shares for the three and six months ended June 30, 2023, respectively, were excluded from the computation of the Diluted Net Loss per Share as their effect would be anti-dilutive.

		The reconciliation of the Company’s U.S. GAAP net income (loss) to the Company’s FFO and Normalized FFO for the three and six months ended June 30, 2024 and 2023 are calculated as follows (in thousands):

	Three Months Ended						Six Months Ended
	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Net Income (Loss) Attributable to Common Shareholders	$	527		$	(4,418	)	$	(5,737	)	$	(9,715	)
Depreciation Expense		15,001			13,751			29,742			27,124
Depreciation Expense from Unconsolidated Joint Venture		204			166			401			325
(Gain) Loss on Sales of Depreciable Assets		10			(5	)		13			(37	)
(Increase) Decrease in Fair Value of Marketable Securities		(3,338	)		2,548			2,031			4,943
Loss on Sales of Marketable Securities, net		3,778			1			3,778			43
FFO Attributable to Common Shareholders		16,182			12,043			30,228			22,683
Amortization of Financing Costs		607			538			1,163			1,056
Non-Recurring Other Expense ^(a)		18			468			433			1,030
Normalized FFO Attributable to Common Shareholders	$	16,807		$	13,049		$	31,824		$	24,769

(a) Consists of non-recurring one-time legal fees ($18 and $51, respectively), and costs associated with the liquidation/sale of inventory in a particular sales center ($0 and $382, respectively) for the three and six months ended June 30, 2024. Consists of special bonus and restricted stock grants for the August 2020 groundbreaking Fannie Mae financing, which are being expensed over the vesting period ($431 and $862, respectively) and non-recurring expenses for the joint venture with Nuveen ($3 and $50, respectively), one-time legal fees ($30 and $50, respectively), fees related to the establishment of the OZ Fund ($4 and $37, respectively), and costs associated with an acquisition that was not completed ($0 and $31, respectively) for the three and six months ended June 30, 2023.

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information

The following are the cash flows provided by (used in) operating, investing and financing activities for the six months ended June 30, 2024 and 2023 (in thousands):

	2024			2023
Operating Activities	$	37,605		$	53,002
Investing Activities		(58,758	)		(94,396	)
Financing Activities		7,598			49,706

(2)

The following are the assumptions used in the 2024 Normalized FFO guidance:

	-	Rent increases of 5%;
	-	Occupancy of 400 rental units in the second half of 2024;
	-	Overall capital needs to fund rental home purchases, notes, expansions, and improvements of approximately $110-$120 million for the year;
	-	Includes the opportunistic sales of common and preferred stock through our ATM programs; and
	-	Excludes any potential acquisitions, dispositions, and development projects.

# # # #

UMH Properties, Inc. | Second Quarter FY 2024 Supplemental Information