UMH

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 10 a.m. ET Executive Vice President and General Counsel - Craig Koster Founder and Chairman - Eugene Landy President and Chief Executive Officer - Samuel Landy Executive Vice President and Chief Financial Officer - Kevin Miller Executive Vice President and Chief Operating Officer - Brett Taft Vice President of Capital Markets - Jim Lykins Executive Vice President - Daniel Landy Need a quote from a Motley Fool analyst? Email [email protected] Operator: Good morning and welcome to UMH Properties Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note this event is being recorded. It is now my pleasure to introduce your host, Mr. Craig Koster, Executive Vice President and General Counsel. Craig Koster: Thank you very much, operator. In addition to the 10-Q that we filed with the SEC yesterday, we have filed an unaudited second quarter supplemental information presentation. This supplemental information presentation, along with our 10-Q, are available on the company's website at umh.reit. We would like to remind everyone that certain statements made during this conference call, which are not historical facts, may be deemed forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements that we make on this call are based on our 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 that its expectations will be achieved. The risks and uncertainties that could cause actual results to differ materially from expectations are detailed in the company's second quarter 2026 earnings release and filings with the Securities and Exchange Commission. The company disclaims any obligation to update its forward-looking statements. In addition, during today's call, we will be discussing non-GAAP financial metrics. Reconciliations of these non-GAAP financial metrics to the comparable GAAP financial metrics as well as the explanatory and cautioning language are included in our earnings release, our supplemental information and our historical SEC filings. Having said that, I would like to introduce management with us today: Eugene Landy, Founder and Chairman; Samuel Landy, President and Chief Executive Officer; Kevin Miller, Executive Vice President and Chief Financial Officer; Brett Taft, Executive Vice President and Chief Operating Officer; Jim Lykins, Vice President of Capital Markets; and Daniel Landy, Executive Vice President. It is now my pleasure to turn the call over to UMH's President and Chief Executive Officer, Samuel Landy. Samuel Landy: Thank you, Craig, and good morning, everyone. We are pleased to report another strong quarter that was highlighted by operational performance and growing normalized FFO per share. Normalized FFO per share for the second quarter of 2026 was $0.25 per share as compared to $0.23 per share last year, representing an increase of 9%. Our performance is a testament to the foundation we have laid over the past few years. Investments that we have made in value-add acquisitions and expansions are starting to positively impact the bottom line. We anticipate continued earnings growth throughout the remainder of the year. We are maintaining our normalized FFO guidance range at $0.98 to $1.04 per share, keeping our midpoint at $1.01 per share. I want to begin by telling you that since at least 1987, there have been three things we have always worked on. Number one, managing inventory of vacant lots, so we could grow sales income and rental income. We do this by: A, acquiring old homes in our communities and replacing them with new homes; B, obtaining approvals to build additional loss on vacant land; C, acquiring communities with vacancies and filling the sites with rentals or homes for sale. The stock market values UMH based primarily on our FFO, and I believe doing so fails to value something we have spent almost 40 years building, which is our pipeline of vacant and fully approved lots. This is a significant part of UMH that cannot be valued based on current income. Two, the financing of homes for our retail customers. This, reached a nadir in 2009, which required us to pivot to a rental home model in order to continue to grow revenue and occupancy. The ROAD to Housing Act dramatically improves the potential for financing sales for our customers' homes, which should dramatically increase home sales. Three, improvements in the product. The ROAD to Housing Act will result in major improvements to manufactured homes, including the removal of the chassis, which will allow the construction of two-story HUD code homes that UMH, along with one of our home suppliers, Champion Homes, will have on display at the Innovative Housing Showcase at the National Mall in Washington, D.C. on September 22 to September 24. We invite you all to attend and tour these homes in person so you can experience how beautiful these homes are. I want shareholders to fully understand these three points that don't show up anywhere in a financial statement but are of great value. Some people correctly recognize that our stock price does not reflect our asset value. From a stock price viewpoint, it's an easy truth statement to make that the parts are worth more than the stock price. I unequivocally believe that everything we have done for the past 58 years is for the purpose of creating a whole whose value greatly exceeds the value of its parts, and we understand our obligation to not only say that, but to prove it as well. And we believe that this quarter's results are a strong step forward, but only a modest step in proving it. Bigger steps are expected. Yes, the value of the parts exceeds the stock price, but more importantly is that even though the current stock price does not reflect it, the value of the whole greatly exceeds the value of the parts. As we continue to fill rental homes and generate increased sales profits, our earnings should continue to increase in the quarters and years to come. UMH continues to experience strong demand throughout our portfolio of quality manufactured housing communities. This demand is being translated into increased occupancy rates and improved community operating results. During the quarter, rental and related income grew to $61.1 million, representing a 9% increase over last year. Same-property NOI grew by 9% and home sales revenue broke another quarterly record. Overall, occupancy improved by 97 units to 89%. For the first half of the year, overall occupancy increased by 268 units and increased 631 units since June 30 of last year. Additionally, sales of manufactured homes broke another quarterly record and increased by 10% to $11.5 million for the quarter. This increase in sales includes the sales at Honey Ridge, which is owned through our joint venture with Nuveen. We continue to execute our long-term strategy of driving organic growth across our high-quality manufactured home communities. This organic growth translates to increased property values and increased earnings. Our same-property results continue to demonstrate the effectiveness of our long-term business plan. In the second quarter of 2026, we delivered same-property revenue growth of 8% or $4.5 million and same-property NOI growth of 9% or $3 million. This growth in same-property revenue and same-property NOI was driven by site rent increases of 5% and the increase in occupancy of 437 units over last year. This increase in community NOI substantially increases the value of our communities and our portfolio. Our occupancy gains continue to be driven by the successful implementation of our rental home program. During the quarter, we added and rented 193 new homes across our portfolio, including those in our joint venture communities, bringing our total rental home inventory to approximately 11,200 units with a 95.3% occupancy rate. Our home rental program continues to operate efficiently with an annual turnover rate of approximately 20%. Our expenses per unit per year are approximately $400. Our capitalized turnover costs vary, but we are generally able to increase rents to earn 10% on any additional investment in rental homes. We are well positioned to fill 800 or more new rental homes this year. We currently have 150 homes on site and ready for occupancy, 300 homes being set up and 330 homes on order. Our development pace is set by our success in selling and renting homes on newly developed lots. Over the past 4 years, we have developed an average of approximately 200 sites per year. We currently have approximately 500 vacant expansion sites that have been developed over the past few years. These sites have been paid for, so each site we occupy will increase revenue with limited additional investments. Operating expenses, including interest expense related to those unoccupied completed sites are already being expensed. Therefore, filling those sites with revenue-generating homes will substantially improve our earnings. Expansions greatly increase the value of our existing communities. A larger asset generally operates with better margins as a result of economies of scale. These sites will allow us to grow home sales revenue and community operating income. Additionally, these expansion sites are well located and have the potential to greatly increase our sales and sales profits. As we fill our recently developed sites, our earnings can grow substantially. We can increase the number of lots we develop each year as the ROAD to Housing Act enables us to improve our fill rate. UMH is well positioned to continue to grow earnings and increase the value of our manufactured housing portfolio through our capital improvements, investment in rental homes, growth in sales and expansion of our existing communities. We believe we can continue to grow short-term earnings while generating long-term value while simultaneously continue to build a best-in-class portfolio of manufactured housing communities. We aim to provide the highest quality affordable housing at the best price point in the markets we serve. We accomplished this goal while being fair to our tenants and satisfying the needs of our shareholders. We have an important social mission that should position UMH and the industry for future growth as the federal government works to tackle our nation's housing challenges. Our communities are well positioned, our balance sheet is solid, and our team continues to perform at a high level. Finally, I want to take this opportunity to acknowledge and thank our former Chief Financial Officer, Anna Chew, who after 35 years of service has retired from her role as CFO on June 1. I'm incredibly grateful to Anna for her many contributions to UMH during her more than 3-decade career with us, including her integral part in growing UMH. Anna will remain as an employee in an advisory role to support a smooth transition of the CFO responsibilities and she will also remain a member of our Board of Directors. Kevin Miller has been named by our Board as Anna's successor as CFO. Kevin has been serving as the CFO of our OZ Fund since October 2022. Prior to joining UMH, Kevin served as the CFO of Monmouth Real Estate Investment Corporation for 10 years. We are fortunate to have Kevin as our CFO and look forward to working with him to continue to grow the company. And now I'll turn the call over to Kevin to review our financial results for the quarter in more detail. Kevin Miller: Net income attributable to common shareholders amounted to $4.4 million or $0.05 per diluted share for the quarter ended June 30, 2026, as compared to net income attributable to common shareholders of $2.5 million or $0.03 per diluted share for the quarter ended June 30, 2025, representing a 75% increase on a dollar basis and a 67% increase on a per diluted share basis. Normalized FFO, which excludes amortization and nonrecurring items, was $21.5 million or $0.25 per diluted share for the quarter ended June 30, 2026. As compared to $19.5 million or $0.23 per diluted share for the quarter ended June 30, 2025, representing an 11% increase on a dollar basis and a 9% increase on a per diluted share basis. Rental and related income for the quarter was $61.1 million compared to $56.2 million a year ago, representing an increase of 9%. This increase was primarily due to acquisitions made in 2025, an increase in same-property occupancy, the addition of rental homes and an increase in rental rates. Community operating expenses increased 10% during the quarter. This increase was mainly due to an increase in payroll and related costs, real estate taxes, insurance and water and sewer expenses. Our community net operating income or NOI, which is our rental and related income less our community operating expenses increased 8%. Our same-property results continue to meet our expectations. Same-property income increased by 8% for the quarter and same-property operating expenses increased 7%, resulting in our same-property NOI increasing 9% for the quarter from $34.2 million in 2025 to $37.2 million in 2026. During the quarter, in May, we expanded and extended our $260 million unsecured revolving credit facility with a $340 million accordion feature, bringing the total potential availability up to $600 million. The new facility extends the maturity date to May 2030 with a further 1-year extension available at our option. Availability is based on 60% of the value of a pool of unencumbered communities. The value of these unencumbered communities was increased through the reduction of the capitalization rate used to value these communities from 6.5% to now 6% being applied to the net operating income generated by these unencumbered communities. The interest rate charge on draws from this facility is based on our overall leverage ratio and has been reduced by approximately 35 to 40 basis points depending on our overall leverage ratio, and is now based on SOFR plus 1.3% to 1.9% or prime plus 0.3% to 0.9%. The interest rate on draws made as of the quarter end is 4.92%. As we turn to our capital structure, at quarter end, we had approximately $789 million in debt, of which $545 million was community-level mortgage debt, $66 million was loans payable, $102 million was our 4.72% Series A bonds and $76 million was our 5.85% Series B bonds. Our total debt at quarter end has a weighted average interest rate of 4.92%. And 94% of our total debt is at a fixed rate. The weighted average interest rate on our mortgage debt was 4.75% at quarter end compared to 4.52% at quarter end last year. The weighted average maturity on our mortgage debt was 5.7 years at quarter end and 5.4 years at quarter end last year. In this volatile interest rate environment, the weighted average interest rate on our short-term borrowings was 94 basis points lower at 5.5% at the current quarter end as compared to 6.44% at quarter end last year. At quarter end, UMH had a total of $333 million in perpetual preferred equity. Our preferred stock, combined with an equity market capitalization of just under $1.3 billion and our $789 million in debt, results in a total market capitalization of just over $2.4 billion at quarter end. During the quarter, we issued and sold 353,000 shares of Series E preferred stock under our preferred stock ATM program at a weighted average price of $21.61 per share, which generated net proceeds after offering costs of $7.2 million. The company also received $2.2 million, including dividends reinvested through our DRIP. During the quarter, we did not sell any shares of our common stock under our ATM program. In fact, we have not sold any shares under the common ATM program since early September 2025, which is over 10 months ago. From a credit standpoint, we ended the quarter with net debt to total market capitalization of 31.5%, net debt less securities to total market capitalization of 30.3%, net debt to adjusted EBITDA of 5.6x and net debt less securities to adjusted EBITDA of 5.4x. Interest coverage was 3.1x and fixed charge coverage was 2.1x. From a liquidity standpoint, we ended the quarter with $28.6 million in cash and cash equivalents and $220 million available on our unsecured revolving credit facility with a potential total availability of up to $600 million pursuant to an accordion feature. We also had $184 million available on our other lines of credit for financing of home sales and the purchase of inventory and rental homes. Additionally, we had $29.7 million in our REIT securities portfolio, all of which is unencumbered. This portfolio represents only 1.3% of our undepreciated assets. We are committed to not increasing our investments in our REIT securities portfolio and have, in fact, continued to sell certain positions. We are well positioned to continue to grow the company internally and externally. And now let me turn it over to Gene before we open it up for questions. Eugene Landy: We have built one of the best portfolios of manufactured housing communities in the country. We have acquired value-add communities, expanded communities, built new communities and have adopted to market conditions during every point in each economic cycle to ensure our success. UMH has well-located communities that are experiencing strong demand, which should result in an increased occupancy, revenue and sales. Our communities in the Marcellus and Utica Shale area continue to experience strong tailwinds as a result of the additional investments in these areas. We have built a best-in-class operating platform that continues to produce industry-leading results year after year. With 3,200 vacant sites and 2,400 acres of vacant land, we are well positioned to grow earnings through the infill of our vacant sites and the development of our vacant land. UMH and manufactured housing industry are an exciting time with many possibilities. We have established relationships with state and federal lawmakers, which we believe will benefit UMH and the industry. We anticipate positive developments stemming from the recently passed U.S. ROAD to Housing legislation. This legislation should encourage the development of more manufactured home communities, improve tenant access to financing and allow manufacturers more design flexibility such as the development of two-story homes. We are proud to have launched a new lending program for our nation's veterans through our third-party loan origination program with Triad Financial. So that veterans can experience the affordability of manufactured homes and the benefits of living in manufactured housing communities. UMH's mission is to provide affordable quality housing to the nation. Great progress is being accomplished by our team. Thank you again for joining us today. Operator, we are now ready to take questions. Operator: [Operator Instructions] The first question today comes from Craig Kucera with Lucid Capital Markets. Craig Kucera: I know it's only been a month since you launched the program, but how has the uptake then in the new zero down payment lending program for veterans? Brett Taft: Yes, Brett Taft here. Again, it's only been a month, but so far, we're getting a lot of positive feedback. I think it's something that really allows veterans to experience manufactured housing, for whatever reason, historically, manufactured homes and land lease communities have been excluded from that program. So we're really making a step forward to hopefully show veterans, how great community living is. We've successfully closed a handful of deals and we've got more in the pipeline. I think it's a little bit too early to tell exactly what volume is being driven from that program. But so far, it's been successful. Samuel Landy: And I think most importantly, UMH began the program on our own with our own money and our own program. Subsequently, we received a phone call from the Head of VA lending and they're considering instituting the program with their money, which would be a major benefit to the industry. Craig Kucera: That's good news. Again, another thing that's happened recently the ROAD to Housing Act being passed. I believe states have a year to certify that their laws accept chassis-free homes. Have you seen any state-level legislation moving through the process in that direction or any positives in that regard? Samuel Landy: So we believe the ROAD to Housing Act does away with the requirement that the homes have chassis. We believe each state that has a manufactured home community will be required because they're preempted by HUD to allow two-story houses. So the removing of the chassis means that if you're in an area such as Eatontown, New Jersey; Jackson, New Jersey, where there's a dramatic shortage of housing, people need more bedroom, we are going to be able to put two-story homes on those lots and the municipality can't say no because these are HUD-code homes, and that preempts the municipality from any say in what type of house goes on a lot. Craig Kucera: Great. And you mentioned that you were going to be showcasing or along with Clayton Home showcasing a two-story manufactured home. Can you talk about like the cost for those relative to kind of what you traditionally sold? Samuel Landy: Well, at this moment, that's an unknown, but what I would guess is this, we pay, not what the customer pays, what we pay is $70 per square foot. And the second story is not going to have a kitchen, probably has a bathroom, but it could cost less than $70 per square foot for the second story. So one story house is currently single 1,000 square foot. It will be 2 floors, it will be 2,000 square foot, multi-section, currently 2,000 square foot, it will be 4,000 square foot. So that should cost us again, I don't know the exact numbers, but somewhere around $280,000, $320,000, somewhere in that area. And our historic minimal markup on sales is 30%. And in some places, it's much higher. And that's what we talk about. The value of these vacant lots we have and the vacant land. It's the housing market that determines what homes sell for and how quickly they sell. We have the advantage of a great factory-built product that is priced to us based on the factory's cost plus a markup. But we are able to sell that house at local market, which can have a much stronger profit margins than 30%. Craig Kucera: That's helpful. Changing gears, I think you mentioned you had 100 homes on-site and 300 being set up. Can you give us a sense of what you think the net rental additions will be in the back half of the year? Brett Taft: Yes, sure. So for the first half of the year, we did 360 new rental homes, which is generally in line with our goal of hitting 800 homes for the year. the 150 homes that are ready. We've got very strong demand for the 305 homes that are on site. We're making a good amount of progress getting them set up and rented. So I think we will be at that 800 number with the potential to exceed it. Craig Kucera: Great. And same-store operating expenses have been running a little hotter than usual year-to-date. I think they're up about 7.5%. I think you traditionally kind of budget maybe in the 5% to 7%. Do you expect that to come down a bit in the second half? Or are you expecting it to be somewhat elevated? Brett Taft: The first quarter certainly elevated the expenses a little bit. The second quarter while still on the high end of that 5% to 7% range was just below 7%. So that's in line with expectations. Looking into the third and fourth quarters, I mean, without any major weather events or any unforeseen circumstances, I do think we'll fall within that 5% to 7% range. So I think by the end of the year, we'll see expenses up somewhere in the 6% to 7% range, blending in the impact of the first half of the year. Operator: The next question comes from Gaurav Mehta with Alliance Global Partners. Gaurav Mehta: I wanted to ask you on your earnings, FFO per share guidance and maybe try to compare that to what you guys have done year-to-date. So year-to-date, we're at $0.48, which annualizes to $0.96, but the guidance is $0.98 to $1.04. So just wondering if you could help us understand some of the drivers behind the guidance and maybe some of the uptick you're expecting in the second half for earnings? Unknown Executive: Yes, Gaurav. So a couple of things. First of all, we don't put out quarterly guidance, but what I can tell you is in our model for Q1, we had $0.23 built in, we had $0.25 for Q2. So we are exactly on plan for where we thought we would be this year. And as far as assumptions go, it's laid out in our investor presentation, 5% rent increases, 800 new rentals, $120 million to $150 million in capital raised. And one other thing that I can throw in is we have not modeled in any additional shares from the ATM. And that also assumes no acquisitions as well. Gaurav Mehta: Okay. second question on, I guess, same-store NOI. I know in the past, you've talked about high single-digit same-store NOI expectation. Is that still a reasonable target for this year? Brett Taft: Yes, absolutely. I think especially looking at the second quarter results, same-property NOI was up 8.8%. And for the year, we're at 8%. I do expect same-property growth in the third and fourth quarters to be in line with where they were in the second quarter with the potential to outpace that a little bit. So we remain confident in that high single-digit NOI growth. And I just wanted to point out also that sales in the second quarter were very strong, $11.4 million which was a new all-time quarterly sales record. It was 10% over the sales of the quarter a year ago. And I just wanted to point out that sales for July remained strong, they were about $1 million above where we were in July of last year. and we currently have a $5 million sales pipeline, which leads us to believe we'll have another strong sales quarter in the third quarter. Samuel Landy: I'm going to use this as the opportunity to talk about low dollar amount loans. So since about 2009, the regulatory environment virtually did not allow low dollar amount loans because of origination fees, if you did lower dollar amount loans, it was basically considered predatory lending and most banks didn't want to be in the business. The ROAD to Housing Act dramatically changes that. Low dollar amount loans will be allowed and encouraged and we can receive 3% for originating a loan. So the manufactured housing shipment [ volume ], which was 300,000 units per year in the 1990s , fell to a low of 40,000 in 2009 and has been stuck at about 100,000 units per year ever since, should change dramatically because the whole issue is the customer didn't qualify for the financing, which is why UMH rented out 11,000 homes from 2011 to date. And now if the ROAD to Housing Act encourages low dollar amount loans, every bank is going to want to be in that business. These are FHA Title I loans, government guaranteed 3% down. And again, we get 3% for originating a loan. So this is, to me, going to dramatically increase the demand for our vacant lots, for existing lots. A state Senator's aid said to me yesterday manufactured homes in communities are a step to building wealth for young people. And that's how it used to be, and that's how it should be. 80% of the homes we have ever sold appreciated in value. And so a person could buy a manufactured home in a community, even though they're renting a lot, realize appreciation plus building equity every time they make that monthly payment. And when people understand this and recognize this, it's going to increase the demand for our homes, all of which increases the lot rent we collect every year, our gross home sales, our net home sales, our loan income. So I don't know exactly which day this is all going to come into effect. It's going to be soon. And when it does, it's a major change in the dynamics of manufactured housing and manufactured home communities. Operator: The next question comes from John Massocca with B. Riley. Unknown Analyst: This is Matt stepping in for John. What are the outlook for home sales in 3Q? And how are things trending so far this quarter? Samuel Landy: So first, we've been building expansions in great locations for years. In 2026 and '27, we'll create 500 new lots, we'll create 500 new lots the year after that. Again, this Title 1 lending, think of the number $7 per thousand, a $100,000 cost somebody $700 per month. Our most expensive houses sell for $300,000. We are the incredible solution to the affordable housing crisis. People pay cash for our houses, people finance our houses. So we believe that the accessibility of financing will increase the fill rate for these communities, which will increase sales. We did, for the quarter, the sales were, again? Brett Taft: $11.4 million versus $10.5 million last year. Samuel Landy: Yes, which annualizes over $44 million compared to about $36 million last year. Brett Taft: That's correct. The $36.2 million. Samuel Landy: And we believe it's going to grow. Some of these expansions they're in the first phase. The first phase in any development is the most difficult. The last phase is the easiest. So you gain momentum, sales grow, and we see that happening for us. Brett Taft: Yes. And just to touch on where we are this quarter, our July sales were very strong. They were about $1 million ahead of where we were July a year ago. Our sales pipeline is about $5 million right now. So we're well positioned to grow sales year-over-year in the third quarter. And just to remind everybody sales last year in the third quarter were about $9.3 million. Again, we did $11.4 million this quarter with a pipeline that seems as strong as it was last quarter. Unknown Analyst: And are there any updates or further updates on vacant or unutilized land optimization? Samuel Landy: Well, we're always working on the approval process end. And both the federal government -- all governments, federal, state and local, have been more favorable than I've ever seen it. The battles we faced in Coxsackie, New York, 360 lots, we're almost, I would say, 90% approved, and we do expect to get approvals this year for 360 lots, 18 miles south of Albany, we have the Saratoga project. So many places we're seeing favorable government reaction to our request to expand and build. Unknown Analyst: And apologies if this was discussed earlier, but why was total rental unit growth in 2Q, only 59 properties? Was that just a timing thing? And how does that impact your outlook on the occupancy of the 800 rental units underlying guidance? Brett Taft: Yes. The 59 units was a timing thing. That includes sale of rental units that includes some shuffling of unit types and the impact of selling those units. So that is the entire rental home portfolio and the change that happened there. But the 800 units that we're talking about is the installation in the rental of 800 brand-new units. So those are new homes we're ordering from the factories. We're putting them into our communities, and we're occupying them. We did 360 units in the first half of the year, and with 150 homes on-site ready for occupancy, 300 homes currently being set up and another 300 on order. Given the demand we're seeing in the locations, we believe we'll hit our target of 800 new rental homes this year. which again will be offset by the sale of older homes. Samuel Landy: And it's an important time to mention. We did the first rentals 15 years ago. They're 15 years old, we paid $40,000 a unit for them. We could sell them for $60,000 without the resident's monthly payment going up, same monthly payment. And that $60,000 could be those low dollar amount Title 1 loans, which is all cash to us. So we take something we bought for $40,000, rent it out profitably for 15 years, sell it for $60,000 cash by the replacement house for $75,000, $80,000 a this time needing only $15,000 or $20,000 new dollars to buy that home when we bought it originally. We needed the full $40,000. So it makes the rental program more profitable than ever while generating sales profits. Eugene Landy: And we think that the resident buying that used home, managing it himself, staying longer in that community and eventually, he will earn a profit on it, and that's important. We want the residents to be satisfied with our product. The resident in a manufactured home community saves $10,000 a year as compared to living an apartment, which is smaller and less amenities and $10,000 a year to the people who live paycheck to paycheck, and it's a big segment of the population is a very significant amount and it's a story that has not gotten out when we talk about residents paying rent. They pay rent, but the rent is $10,000 a year, they would pay if they paid rent in a 2-bedroom apartment. Operator: The next question comes from Rich Anderson with Cantor Fitzgerald. Jeffrey Carr: This is Jeffrey Carr on for Rich. Kind of shifting back to the ROAD to Housing Act and the expansion of tenant financing options to purchase their homes. Do you have a preference between the owned home model versus your rental home model going forward? And does easier financing kind of change that calculus? Samuel Landy: Well, there's a significant part of the population that only sees themselves as needing housing 1 to 3 years. Those are your ideal rental tenants. And they're always going to be there, and many of them have never lived in a manufactured home community never experienced a manufactured home. So the rental is very beneficial in satisfying their need of educating people as to what our community is and just giving them experience. So I don't think that's going to be reduced. I think we'll still do 800 rental homes per year. I think that sales have been artificially reduced since the year 2000 because financing wasn't available. And again, think how big the country was -- how big the country is today compared to how big it was 20 years ago, yet shipments have fallen from 300,000 units a year to 100,000 units per year. And to me, there's only been two issues, lack of retail financing and lack of places to put the houses, the ROAD to Housing Act solves the lack of financing. The lack of places to put the houses, we have 3,000 vacant lots and 2,000 vacant acres to keep growing. So I think we're going from a world that was extremely difficult because it was extremely hard to sell houses to a world that's going to be completely in our favor, continue renting houses continue adding 800 rental homes per year and watch our sales grow. And I don't even want to make a prediction as to how much they'll grow. But people used to get rich in this business. Anybody in this business was considered a success. Art Decio was featured on the cover of Time Magazine for bringing affordable housing to the masses. Warren Buffett made Jim Clayton of billionaire buying Clayton Homes, this was a great business, and it was the lack of retail financing and lack of places to put the homes that hurt it. UMH has been doing this for 58 years. we've managed to solve the problems for ourselves during those years by renting houses, but now things are changing and I think everything is going to be in our favor. Jeffrey Carr: Okay. Yes. That makes sense. And then kind of shifting towards the development front. I know you're carrying a little over $60 million in land development costs on the balance sheet. And you talked about having a little over 3,200 vacant sites and about 2,400 acres to grow into. But can you give us kind of the sense of the expected pace of delivery over the next year or 2, whether we can expect kind of the same historical pace over the last few years or maybe a ramp-up? And kind of what yield are you underwriting on the development spend relative to kind of your current cost of capital? Samuel Landy: Well, so first, in our presentation, there's a page with what we expect to happen in the ideal development where it cost $100,000 per lot to build the site and what happens when you sell the home and potentially earn that $100,000. And can you see what page that is? It's Page 18 of the presentation, potential economics of new lot development. So you can see that there -- the easy thing, right? So the 5% rent increase, which we've done year after year is $10 million. The addition of 800 rentals -- addition of 800 rentals is $10 million. Sales were at $36 million with a strong potential to increase. So you can write that down as pretty easy what to be expected. Then the giant question mark is how much can we grow sales beyond that? How quickly can we fill these vacant lots? We have available beyond that additional, we get finance income, we get brokerage income from selling homes. We get income from selling oil and gas leases and royalties. We get self-storage income, income from selling cable, insurance. So there's a lot of other sources of income that potentially could grow it further. But to be safe, each year, we get that 5%, $10 million, add the $810 million and grow sales. And that's where Jim Lykins' guidance comes from. Brett Taft: And over the past 5 years, we've averaged about 200 new expansion sites per year. We expect to start construction on about 315 sites total this year. We've already started on the construction of 111. We're about to start construction on another site in Marysville, Ohio of 98. Going forward, I would think we'd be able to maintain 200 to 400 new expansion sites per year. If we have an $800 a month lot rent and the site cost us $100,000 to build, and we operate at 70% expense ratio once stabilized those communities yield 7%, not including the sales profit if we earn a $30,000 sales profit that increases that yield to about 10%, and the profits could be much greater than $30,000 per home. Operator: Okay. This concludes our question-and-answer session. I would like to turn the conference back over to Samuel Landy for any closing remarks. Samuel Landy: Thank you, operator. I would like to thank the participants on this call for their continued support and interest in our company. As always, Gene, Kevin, Brett and I are available for any follow-up questions. We look forward to reporting back to you in early November with our third quarter 2026 results. Thank you. Operator: The conference has now concluded. Thank you for attending today's presentation. The teleconference replay will be available in approximately 1 hour. To access this replay, please dial U.S. toll-free 1 (855) 669-9658 or international (412) 317-0088. The conference access code is 4174590. Thank you, and please disconnect your lines. Before you buy stock in UMH Properties, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and UMH Properties wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $403,337!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,334,946!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 12, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool recommends UMH Properties. The Motley Fool has a disclosure policy. UMH (UMH) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in UMH Properties, Inc.? Here are five stocks we like better. Strong second-quarter results: Normalized FFO rose to $21.5 million, or $0.25 per share, while net income increased to $4.4 million. UMH maintained its 2026 normalized FFO guidance of $0.98 to $1.04 per share. Operational growth continued: Rental and related income increased 9% to $61.1 million, occupancy reached 89%, and manufactured-home sales rose 10% to a quarterly record of $11.5 million. The company added 193 rental homes and expects to install at least 800 during 2026. Expansion and financing capacity remain solid: UMH has roughly 3,200 vacant sites and 2,400 acres of land, plans to begin construction on about 315 expansion sites in 2026, and expanded its revolver to potentially provide up to $600 million of availability. 3 Stocks Built for America’s Affordable Housing Reality UMH Properties (NYSE:UMH) reported higher second-quarter earnings and operating results, driven by rental income growth, increased occupancy and record manufactured-home sales, while maintaining its full-year normalized funds from operations guidance. Normalized FFO was $21.5 million, or $0.25 per diluted share, for the quarter ended June 30, up from $19.5 million, or $0.23 per share, a year earlier. Net income attributable to common shareholders rose to $4.4 million, or $0.05 per diluted share, compared with $2.5 million, or $0.03 per share, in the prior-year period. → No Hangover: Revisiting Microsoft One Week After Earnings “We are pleased to report another strong quarter that was highlighted by operational performance and growing Normalized FFO per share,” President and Chief Executive Officer Samuel Landy said. The company maintained its 2026 normalized FFO guidance range of $0.98 to $1.04 per share, with a midpoint of $1.01. Rental and related income increased 9% year over year to $61.1 million. Chief Financial Officer Kevin Miller said the increase reflected 2025 acquisitions, higher same-property occupancy, additional rental homes and increased rental rates. → MarketBeat Week in Review – 08/03 - 08/07 Community net operating income increased 8%, while same-property revenue rose 8% and same-property NOI increased 9% to $37.2 million. Management said same-property performance was supported by 5% site-rent increases and an increase of 437 occupied units from the prior year. Overall occupancy increased by 97 units during the quarter to 89%. Occupancy rose by 268 units in the first half and by 631 units from June 30, 2025, according to Samuel Landy. → Why the Landlord of the AI Boom Could Outlast the Chipmakers The company added and rented 193 new homes during the quarter, including units at joint-venture communities, bringing its rental-home inventory to about 11,200 units with occupancy of 95.3%. UMH said it remains positioned to install and rent 800 or more new rental homes during 2026. At quarter-end, the company had 150 homes on-site and ready for occupancy, about 300 being set up and 330 on order. Manufactured-home sales revenue increased 10% to a quarterly record of $11.5 million, including sales at Honey Ridge, which is owned through a joint venture with Nuveen. Chief Operating Officer Brett Taft said July sales were about $1 million ahead of the prior-year month and that the company had a roughly $5 million sales pipeline entering the third quarter. Management emphasized the company’s inventory of vacant sites and land as a source of potential future growth. Eugene Landy, UMH’s founder and chairman, said the company has 3,200 vacant sites and 2,400 acres of vacant land. Samuel Landy said UMH has about 500 developed but vacant expansion sites, which have already been paid for. Filling those sites with homes could increase revenue with limited additional investment, he said. The company has developed an average of about 200 sites annually over the past four years. Taft said UMH expects to begin construction on about 315 expansion sites during 2026, including 111 already started and a planned 98-site project in Marysville, Ohio. He said the company believes it can maintain a pace of 200 to 400 new expansion sites per year. During May, UMH expanded and extended its unsecured revolving credit facility. The $260 million facility has a $340 million accordion feature, creating potential availability of up to $600 million, and now matures in May 2030, with an optional one-year extension. At quarter-end, UMH had approximately $789 million of debt, 94% of which was fixed rate, with a weighted average interest rate of 4.92%. The company reported $28.6 million of cash and cash equivalents and $220 million available under its unsecured revolver. It also had $184 million available on other lines of credit for home-sales financing and purchases of inventory and rental homes. Management repeatedly cited what it called the recently passed U.S. Road to Housing legislation as a potential catalyst for manufactured housing. Executives said they believe the legislation could improve access to financing for lower-dollar manufactured-home loans, support development of additional communities and permit greater design flexibility, including chassis-free and two-story HUD-code homes. Samuel Landy said UMH and Champion Homes plan to display a two-story manufactured home at the Innovative Housing Showcase in Washington, D.C., from Sept. 22 through Sept. 24. The company also recently introduced a lending program for veterans through its third-party loan origination program with Triad Financial. Taft said the program had closed “a handful” of transactions during its first month and had additional deals in the pipeline. Eugene Landy added that UMH initially began the program using its own capital and later received outreach from the head of VA lending regarding a possible broader program. UMH also announced a finance leadership transition. Former CFO Anna Chew retired from the CFO role on June 1 after 35 years with the company, though she will remain in an advisory capacity and continue serving on the board. Miller, who previously served as CFO of UMH’s opportunity-zone fund and was CFO of Monmouth Real Estate Investment Corp. for 10 years before joining UMH, succeeded Chew as CFO. UMH Properties, Inc is a self-administered real estate investment trust (REIT) that specializes in the ownership, operation, acquisition and development of manufactured home communities and recreational vehicle (RV) communities. The company's business model centers on providing affordable housing solutions by offering land lease lots and home sales in well-maintained, amenity-rich settings. UMH Properties focuses on maximizing occupancy and enhancing tenant satisfaction through professional on-site management and ongoing community improvements. The company generates revenue through rental lot fees, home sales and related community services. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "UMH Properties Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

UMH Properties, Inc. recently reported its second‑quarter and first‑half 2026 results, showing year‑over‑year increases in sales, revenue, and net income, and also reiterated full‑year 2026 diluted net income attributable to common shareholders guidance of US$0.07 to US$0.13 per share. This combination of improved profitability and unchanged earnings guidance highlights management’s consistent outlook, even as reported earnings for the year to date move within the guided range. We’ll now examine how UMH’s reaffirmed 2026 earnings guidance, alongside stronger first‑half results, affects the company’s existing investment narrative. Invest in the nuclear renaissance through our list of 89 elite nuclear energy infrastructure plays powering the global AI revolution. To own UMH, you generally need to believe in manufactured housing as an affordable housing solution and in UMH’s ability to grow income from its communities while managing a capital intensive model. The latest results show higher sales, revenue, and net income for both the quarter and first half of 2026, but the reaffirmed full year earnings guidance suggests the immediate catalyst still hinges on consistent execution rather than a step change. The key near term risk around funding growth in a higher rate setting is not meaningfully altered by this update. The most relevant recent announcement here is management’s decision on August 6 to reiterate full year 2026 diluted net income guidance of US$0.07 to US$0.13 per share. Placed alongside first half diluted EPS of US$0.08, that range frames expectations for how much of the current earnings pace is likely to carry through. For investors watching UMH’s ability to convert operating performance into per share earnings while balancing leverage, this guidance range is an important reference point. Yet while earnings are progressing, investors should still be aware that rising borrowing costs and a heavy capital need could start to... Read the full narrative on UMH Properties (it's free!) UMH Properties' narrative projects $330.1 million revenue and $19.7 million earnings by 2029. Uncover how UMH Properties' forecasts yield a $19.43 fair value, a 24% upside to its current price. Some of the lowest ranked analysts were assuming revenue of about US$334 million and earnings of only US$7.3 million by 2029, which reflects a far more pessimistic view than the consensus and could be challenged or reinforced as you weigh this guidance update alongside UMH’s reliance on expanding its Southern rental footprint. Explore 5 other fair value estimates on UMH Properties - why the stock might be worth 30% less than the current price! Don't just follow the ticker - dig into the data and build a conviction that's truly your own. A great starting point for your UMH Properties research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision. Our free UMH Properties research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate UMH Properties' overall financial health at a glance. Markets shift fast. These stocks won't stay hidden for long. Get the list while it matters: Find 49 companies with promising cash flow potential yet trading below their fair value. Rare earth metals are the new gold rush. Find out which 28 stocks are leading the charge. Uncover the next big thing with 20 elite penny stocks that balance risk and reward. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include UMH. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Normalized FFO per share grew 9% year-over-year, driven by the realization of returns from long-term investments in value-add acquisitions and community expansions. Record quarterly home sales revenue of $11.5 million was achieved through strong demand across the portfolio, including contributions from the Nuveen joint venture. Same-property NOI increased 9% due to a combination of 5% site rent increases and the addition of 437 occupied units compared to the prior year. The rental home program remains the primary driver of occupancy gains, with 193 new homes added and rented during the quarter at a 95.3% occupancy rate. Management attributes operational efficiency to a consistent 20% annual turnover rate and low maintenance costs of approximately $400 per unit per year. Strategic focus remains on monetizing the pipeline of 3,200 vacant sites and 2,400 acres of land, which management believes is undervalued by current FFO-based market metrics. Full-year normalized FFO guidance is maintained at $0.98 to $1.04 per share, assuming 5% rent increases and the addition of 800 new rental units. The ROAD to Housing Act is expected to catalyze growth by enabling two-story HUD-code homes and improving retail financing through FHA Title I loans. Management plans to develop 200 to 400 new expansion sites annually, with 315 sites targeted for construction starts in the current year. Future earnings growth is predicated on filling 500 recently developed vacant sites where interest and operating expenses are already being fully expensed. The company expects high single-digit same-property NOI growth to continue through the second half of 2026, supported by a $5 million sales pipeline. The unsecured revolving credit facility was expanded to $260 million with a $340 million accordion feature, extending maturity to 2030 and reducing interest margins. The capitalization rate used to value unencumbered communities for credit facility availability was reduced from 6.5% to 6.0%, reflecting increased asset values. Management reaffirmed a commitment to stop increasing investments in the REIT securities portfolio, continuing to sell positions to focus on core operations. Transition of the CFO role from Anna Chew to Kevin Miller was completed on June 1, with Chew remaining in an advisory capacity and on the Board. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Early feedback is positive with several deals closed; the program aims to open manufactured housing to a demographic historically excluded from such financing. The VA is reportedly considering instituting a similar program with federal funds, which would provide a significant tailwind for industry-wide volume. The Act removes the chassis requirement, allowing for two-story homes that can bypass local municipal zoning restrictions via HUD-code preemption. Management expects the legislation to encourage banks to return to low-dollar-amount lending, potentially returning industry shipments toward historical highs. While year-to-date expenses rose 7.5%, management expects second-half growth to moderate into the 5% to 7% range, barring major weather events. The 10% increase in community operating expenses this quarter was primarily driven by payroll, real estate taxes, and utility costs. UMH is beginning to sell 15-year-old rental units for approximately $60,000 (originally purchased for $40,000) and replacing them with new $80,000 units. This cycle allows the company to upgrade its portfolio while requiring only $20,000 in new capital per unit, funded by the sale of the older asset.

FREEHOLD, NJ, Aug. 05, 2026 (GLOBE NEWSWIRE) -- UMH Properties, Inc. (NYSE:UMH) (TASE:UMH) reported Total Income for the quarter ended June 30, 2026 of $71.6 million as compared to $66.6 million for the quarter ended June 30, 2025, representing an increase of 7%. Net Income Attributable to Common Shareholders amounted to $4.4 million or $0.05 per diluted share for the quarter ended June 30, 2026 as compared to Net Income Attributable to Common Shareholders of $2.5 million or $0.03 per diluted share for the quarter ended June 30, 2025, representing a 75% increase and by a 67% increase on a per diluted share basis. Normalized Funds from Operations Attributable to Common Shareholders (“Normalized FFO”), was $21.5 million or $0.25 per diluted share for the quarter ended June 30, 2026, as compared to $19.5 million or $0.23 per diluted share for the quarter ended June 30, 2025, representing an 11% increase and by a 9% increase on a per diluted share basis. A summary of significant financial information for the three and six months ended June 30, 2026 and 2025 is as follows (in thousands except per share amounts): A summary of significant balance sheet information as of June 30, 2026 and December 31, 2025 is as follows (in thousands): Samuel A. Landy, President and CEO, commented on the results of the second quarter of 2026. “We are pleased to announce another solid quarter of operating results. During the quarter, we: Increased Net Income Attributable to Common Shareholders by 75% and by 67% on a per diluted share basis; Increased Rental and Related Income by 9%; Increased Sales of Manufactured Homes by 10%, including sales at Honey Ridge; Increased Community Net Operating Income (“NOI”) by 8%; Increased Normalized Funds from Operations (“Normalized FFO”) by 11% and by 9% on a per diluted share basis; Increased Same Property Community NOI by 9%; Increased Same Property Occupancy by 110 basis points from 88.3% to 89.4%; Improved our Same Property expense ratio by 40 basis points from 38.5% in the second quarter of 2025 to 38.1% at quarter end; Expanded and extended our existing unsecured revolving credit facility, increasing the available borrowings and reducing interest costs; and Issued and sold approximately 353,000 shares of Series D Preferred Stock through our At-the-Market Sale Program at a weighted average price of $21.61 per share, generating gross proceeds of $7.6 million and net proceeds of $7.2 million, after offering expenses.” Samuel A. Landy, President and CEO, commented, “UMH Properties continues to deliver strong operational and financial performance. Normalized FFO per share for the second quarter of 2026 was $0.25 as compared to $0.23 per share last year, representing an increase of approximately 9%. This earnings growth was the result of our years of hard work investing in and growing the company. This quarter was highlighted by continued occupancy and associated revenue growth and a new quarterly sales record.” “Our communities continue to experience strong demand which is being translated into increased sales profitability, growing occupancy and improving community operating results. During the quarter, sales of manufactured homes, including Honey Ridge, increased to $11.5 million as compared to $10.5 million last year, representing an increase of approximately 10%. Our sales pipeline remains solid and we anticipate continued sales growth throughout the remainder of the year. Our same property operating results continue to highlight the strength of our long-term business plan and the quality and desirability of our communities. During the quarter, same property income increased by 8.1% driving same property NOI growth of 8.8%. Additionally, same property occupancy improved by 437 units over last year.” “We continue to make progress building a strong and stable business with growing revenue and additional future growth opportunities. With approximately 3,200 vacant sites and 2,400 acres of vacant land, we can continue to grow revenue and earnings organically for the foreseeable future.” “We are well-positioned with a strong balance sheet to execute on our growth initiatives which should result in per share earnings growth going forward. We are reiterating our current guidance range of $0.98 - $1.04 (3) per diluted share. We remain confident in hitting the midpoint of our guidance range.” UMH Properties, Inc. will host its Second Quarter 2026 Financial Results Webcast and Conference Call. Senior management will discuss the results, current market conditions and future outlook on Thursday, August 6, 2026, at 10:00 a.m. Eastern Time. The Company’s 2026 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 Thursday, August 6, 2026, and can be accessed by dialing toll free 855-669-9658 (domestically) and 412-317-0088 (internationally) and entering the passcode 4174590. 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 currently owns and operates 145 manufactured home communities containing approximately 27,100 developed homesites, of which contain 11,200 contain rental homes, and over 1,000 self-storage units. These communities are located in New Jersey, New York, Ohio, Pennsylvania, Tennessee, Indiana, Maryland, Michigan, Alabama, South Carolina, Florida and Georgia. Included in the 145 communities are two communities in Florida, containing 363 sites, and one community in Pennsylvania, containing 113 sites, that UMH has an ownership interest in and operates through its joint ventures 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. 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 certain 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 85.6 million and 85.5 million shares for the three and six months ended June 30, 2026, respectively, and 84.8 million and 84.1 million shares for the three and six months ended June 30, 2025, respectively. Common stock equivalents resulting from employee stock options to purchase 6.9 million shares of common stock amounted to 380,000 shares and 384,000 shares, respectively, for the three and six months ended June 30, 2026, were included in the computation of Diluted Net Income per Share. Common stock equivalents resulting from employee stock options to purchase 6.3 million shares of common stock amounted to 805,000 shares and 818,000 shares, respectively, for the three and six months ended June 30, 2025, were included in the computation of Diluted Net Income per Share. The reconciliation of the Company’s U.S. GAAP net income to the Company’s FFO and Normalized FFO for the three and six months ended June 30, 2026 and 2025 are calculated as follows (in thousands): (2) Consists of one-time legal fees and professional fees ($593 and $863, respectively) and employee transition pay ($83 and $148, respectively) for the three and six months ended June 30, 2026. Consists of one-time legal and professional fees for the three and six months ended June 30, 2025. The following are the cash flows provided by (used in) operating, investing and financing activities for the six months ended June 30, 2026 and 2025 (in thousands): (3) The following table reconciles Net Income Attributable to Common Shareholders per share – fully diluted guidance to FFO Attributable to Common Shareholders per share - fully diluted guidance and Normalized FFO Attributable to Common Shareholders per share - fully diluted guidance: Contact: Nelli Madden 732-577-9997

FREEHOLD, NJ, July 02, 2026 (GLOBE NEWSWIRE) -- UMH Properties, Inc. (NYSE: UMH) (TASE: UMH), a real estate investment trust (REIT) specializing in the ownership and operation of manufactured home communities, is providing investors with the following update on our second quarter 2026 operating results: We increased total rental and related income by 10.3% and same store rental and related income by 9.2% for July 2026 compared to July 2025. We increased home sales income by 9.2% compared to the same period last year, increasing sales from $10.5 million in last year’s second quarter to $11.4 million this most recent quarter. During the quarter, we rented 193 new rental homes. Net rental home occupancy increased by 139 units. UMH now owns approximately 11,200 rental homes with an occupancy rate of 95.3%. Same property occupancy increased 430 units for the first half of the year. During the quarter, occupancy increased by 97 units. Community occupancy was 89.0% and same property occupancy was 89.4%. We issued and sold approximately 353,000 shares of our Series D Preferred stock through our Preferred At-The-Market sale program at a weighted average price of $21.61 per share generating gross proceeds of $7.6 million. We amended and extended our unsecured revolving line of credit which now provides for $260 million in available borrowings, with a $340 million accordion feature, bringing the total potential availability up to $600 million. The value of the unencumbered communities included under the line had a reduction of the capitalization rate from 6.5% to now 6.0% applied to the Net Operating Income. The interest charged on our line has also been reduced by approximately 35 to 40 basis points, depending on our leverage ratio. The amended line has a four-year term with an additional one-year option. Samuel A. Landy, President and CEO of UMH Properties, Inc., stated “UMH continued our strong momentum in the second quarter. Our high-quality communities are experiencing strong demand which is resulting in record sales, growing occupancy and increased revenue. “We are pleased to report that we set a quarterly sales record of $11.4 million with over $5 million in sales closings in June. Our sales pipeline is growing, and we anticipate continued growth throughout the remainder of the year. Additionally, we converted 193 new homes from inventory to revenue generating rental homes. We currently have 100 homes on site that are ready for occupancy with another 300 homes currently being set up. This inventory will allow us to drive additional occupancy, revenue growth and sales volume in the third quarter of 2026 and beyond. “Additionally, we strengthened our balance sheet through the issuance of our preferred shares and the successful amendment and extension of our revolving line of credit, which will allow us to continue our internal investments and provides us with financial flexibility. “The investments we have made in our communities, expansions and value-added acquisitions have positioned the company to grow further through the occupancy of our 3,200 vacant sites and development of 2,300 acres of vacant land. We look forward to reporting our full second quarter results on August 5, 2026.” It should be noted that the financial information set forth above reflects our preliminary estimates with respect to such information, based on information currently available to management, and may vary from our actual financial results as of and for the second quarter ended June 30, 2026. UMH’s final second quarter results will be released on Wednesday, August 5, 2026, after the close of trading on the New York Stock Exchange and will be available on the Company’s website at www.umh.reit, in the Financials section. Senior management will discuss the results, current market conditions and future outlook on Thursday, August 6, 2026, at 10:00 a.m. Eastern Time. UMH Properties, Inc., which was organized in 1968, is a public equity REIT that owns and operates 145 manufactured home communities, containing approximately 27,100 developed homesites, of which 11,200 contain rental homes, and over 1,000 self-storage units. These communities are located in New Jersey, New York, Ohio, Pennsylvania, Tennessee, Indiana, Maryland, Michigan, Alabama, South Carolina, Florida and Georgia. Included in the 145 communities are two communities in Florida, containing 363 sites, and one community in Pennsylvania, containing 113 sites, that UMH has an ownership interest in and operates through its joint ventures 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. Contact: Nelli Madden732-577-4062

Q1 normalized FFO of $0.23 per share was unchanged year‑over‑year (normalized FFO $19.4M, +3% in dollars), with results pressured by higher interest costs and seasonal headwinds even as same‑property NOI rose ~7.1%. Operating momentum: overall occupancy climbed to about 88% (up 184 units), UMH added 166 rental homes this quarter bringing rental inventory to ~11,200 units (94.6% occupied), and management says it can fill 800+ new rental homes this year with a target to exceed 90% portfolio occupancy. Balance sheet and guidance: total debt roughly $760M (99% fixed, weighted average rate ~4.92%), liquidity of $37.4M cash plus $260M available on the revolver, and tightened full‑year normalized FFO guidance to $0.98–$1.04 per share with expected mid‑single‑digit growth. Interested in UMH Properties, Inc.? Here are five stocks we like better. 3 Stocks Built for America’s Affordable Housing Reality UMH Properties (NYSE:UMH) reported first-quarter 2026 normalized funds from operations (FFO) of $0.23 per diluted share, unchanged from the year-ago period, as management pointed to higher interest costs and seasonal pressures that moderated per-share earnings despite improving occupancy and same-property growth. President and CEO Samuel Landy said normalized FFO for the quarter was $0.23 per share versus $0.23 last year, with results “impacted by increased interest rates and increased investment in rental units and expansion lots, which are not yet occupied.” He added that the company faced seasonal headwinds that affected sales volume and increased community operating expenses. → Roblox Stock Slides to New Low as Safety Changes Weigh on Outlook Still, Landy said operating momentum improved during the quarter, highlighting “meaningful” occupancy gains, 7% same-property net operating income (NOI) growth, and stable home sales revenue. Those positives were “partially offset by higher interest costs associated with refinancing debt, bringing expansion lots online, adding rental homes, and the seasonal impact on home sales and operating expenses,” he said. In prepared remarks on the call, the company reported normalized FFO (excluding amortization and non-recurring items) of $19.4 million, compared with $18.8 million in the first quarter of 2025, a 3% increase on a dollar basis. → These 3 AI Stocks Just Crushed Earnings: Still Time To Buy? Landy said demand across the company’s manufactured housing portfolio continues to translate into higher occupancy and improved operating results. Overall occupancy increased by 184 units in the quarter to about 88%, which he attributed to converting 166 homes from inventory to revenue-producing rental homes and improved occupancy in the existing rental portfolio. On a same-property basis, Landy said revenue grew 7.6% (or $4.1 million) and same-property NOI rose 7.1% (or $2.3 million). He said that performance was driven by 5% site rent increases and an increase in occupancy of 412 units versus last year. Expenses were “elevated as a result of the bad winter, as well as an increase in real estate taxes,” he said. → SanDisk Earnings Crush Estimates With 251% Revenue Surge During the Q&A, EVP and COO Brett Taft described weather-related expense pressure across multiple states, citing deep freezes that affected water and sewer systems, maintenance tied to freeze-ups, and snow removal costs. Taft said management expects expense growth to moderate as the year progresses and reiterated an expectation for expenses to grow in the 5% to 7% range, adding that the company remains “absolutely confident” in its ability to deliver high single-digit same-property NOI growth. Taft also said he believes portfolio occupancy has room to improve further, stating, “I don’t see any reason why, in the near term, call it the end of the year, we can’t get, you know, above 90% occupancy.” UMH continues to expand its rental home program, which management identified as a key driver of occupancy gains. Landy said the company added and rented 166 new homes during the quarter (including homes in joint venture communities), bringing total rental home inventory to about 11,200 units with a 94.6% occupancy rate. He cited a turnover rate of about 20% and said expenses per unit per year are approximately $400. Landy said UMH is “well-positioned to fill 800 or more new rental homes this year,” noting 80 homes on site and ready for occupancy, 400 being set up, and 160 on order. He also pointed to $45 million invested in 600 vacant expansion sites that have already been developed, saying each occupied site should add revenue with limited additional investment because the sites have been paid for and the interest is already being expensed. On home sales, Landy said manufactured home sales increased 6% to $7.1 million in the quarter, including sales at Honey Ridge, a community owned through a joint venture with Nuveen. He also said UMH financed 63% of its home sales during the quarter and that its notes receivable portfolio “continues to perform well.” Taft provided an early look into second-quarter trends, saying April sales were “very strong” at about $3.5 million. He added that the sales pipeline remains in good shape, supported by inventory ready for sale at recently opened expansions, and noted second-quarter 2025 sales were about $10.5 million. While he said there is “a long way to go,” Taft said management remains confident in its ability to grow sales year-over-year in the second quarter. Executive Vice President and CFO Anna Chew said UMH ended the quarter with approximately $760 million of debt, comprised of $554 million in community-level mortgage debt, $28 million in loans payable, $102 million of 4.72% Series A bonds, and $76 million of 5.85% Series B bonds. Chew said total debt was 99% fixed rate with a weighted average interest rate of 4.92%. Chew said the weighted average interest rate on mortgage debt was 4.75% at quarter end, up from 4.18% a year earlier, and that the weighted average maturity on mortgage debt was 5.9 years versus 4.2 years at the prior-year quarter end. On liquidity, Chew said UMH had $37.4 million in cash and cash equivalents and $260 million available on its unsecured revolving credit facility, with potential total availability up to $500 million via an accordion feature. The facility expires in November, and Chew said the company is working on a renewal. UMH also had $183 million available on other lines of credit used for home sales financing and for purchasing inventory and rental homes. Chew noted the company had $26.4 million in an unencumbered REIT securities portfolio and said UMH is committed to not increasing those investments and has continued to sell certain positions. The company tightened its normalized FFO guidance range to $0.98 to $1.04 per share, from a prior range of $0.97 to $1.05 per share. Landy said the company still expects full-year normalized FFO per share growth in the mid-single-digit range. In the Q&A, management addressed interest expense expectations for the remainder of the year, with Chew saying she expects it to be “pretty much the same” throughout 2026 without major increases or decreases. Landy added that increased interest expense has been driven by refinancing at higher rates as well as interest tied to adding rental units and building lots that “cannot possibly earn money until they’re occupied,” which he said are now becoming occupied. Taft also referenced last year’s refinancing activity and the resulting higher interest costs, saying the company does not expect large fluctuations going forward. Chairman Eugene Landy said UMH remains focused on its mission of providing “high-quality, affordable housing” and argued that the manufactured housing industry has performed well across economic cycles. He said earnings have been impacted by rising interest rates, expansion completions, additions to rental inventory, and seasonal fluctuations, but that management believes UMH is positioned for meaningful earnings growth this year. On the regulatory front, Samuel Landy and Eugene Landy discussed potential changes related to manufactured housing rules and financing. Samuel Landy said a change removing the chassis requirement is “not complete yet,” but could enable two-story homes and expand product options, including duplex configurations. He said removing the chassis could reduce the cost of each unit “by $3,000 or more,” though setup costs may initially rise before efficiencies develop. He also discussed possible improvements in tenant financing, including changes to the Title I program and broader efforts to expand access to credit, which he said could benefit home sales and potentially lead to refinancing of existing loans that would provide cash to the company. UMH also highlighted leasing momentum in its Opportunity Zone (OZ) Fund properties in the Southeast. Executive Vice President Daniel Landy said the Georgia property has been leasing “around, you know, four or five homes a month,” while the South Carolina property has an “incredible waiting list” and has filled every home set up to date. He said the company is pursuing additional approvals for expansion and infill in South Carolina. UMH said it plans to report second-quarter 2026 results in early August. UMH Properties, Inc is a self-administered real estate investment trust (REIT) that specializes in the ownership, operation, acquisition and development of manufactured home communities and recreational vehicle (RV) communities. The company's business model centers on providing affordable housing solutions by offering land lease lots and home sales in well-maintained, amenity-rich settings. UMH Properties focuses on maximizing occupancy and enhancing tenant satisfaction through professional on-site management and ongoing community improvements. The company generates revenue through rental lot fees, home sales and related community services. The article "UMH Properties Q1 Earnings Call Highlights" was originally published by MarketBeat.

Never miss an important update on your stock portfolio and cut through the noise. Over 7 million investors trust Simply Wall St to stay informed where it matters for FREE. UMH Properties (UMH) kicked off 2026 with a Q1 earnings update that caught investor attention, reporting higher revenue, improved net income for common shareholders, tighter guidance, and an expanded development pipeline for its manufactured home communities. See our latest analysis for UMH Properties. The Q1 2026 update arrives after a 30 day share price return of 7.66% and a 3 year total shareholder return of 18.54%. However, the 1 year total shareholder return of 6.33% suggests recent momentum has not fully matched the longer term record. If UMH’s earnings progress has you thinking about where else capital could work hard, this is a good moment to broaden your search with our 18 top founder-led companies Against that backdrop of higher revenue, tighter guidance and a recent 1 year total shareholder return decline of 6.33%, the key question is whether UMH is still undervalued or if the market is already pricing in its future growth. At a last close of $15.74 against a narrative fair value of $19.36, UMH Properties is framed as having upside that hinges on how its growth plan plays out. Read the complete narrative. Want to see what this story looks like in numbers? Revenue expectations, margin shifts, and a future earnings profile sit at the core of this valuation. The narrative pins its fair value on a specific growth glide path, a modest change in profitability, and a rich earnings multiple that stands well above sector norms. Result: Fair Value of $19.36 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, this depends on UMH actually securing new acquisitions and funding its annual US$120 million to US$150 million capital needs without higher debt costs eroding margins. Find out about the key risks to this UMH Properties narrative. The mix of potential risks and rewards around UMH can feel finely balanced, so it makes sense to move fast and check the details yourself before opinions harden. To see both sides clearly, start with the 3 key rewards and 2 important warning signs. If UMH has sharpened your focus, do not stop there. The screener can quickly surface other opportunities that might fit your goals even better today. Target steadier compounding by reviewing companies with a history of consistent payouts using our 13 dividend fortresses. Hunt for potential mispriced opportunities by scanning quality companies trading below their estimated worth through the 51 high quality undervalued stocks. Prioritise resilience by filtering for companies that pair financial strength with lower risk profiles via the 67 resilient stocks with low risk scores. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include UMH. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]