The Hamilton Company (NEN) investor relations material

Executive summary

• Net loss of $1.16 million for Q2 2026 and $5.07 million for the six months ended June 30, 2026, compared to net income of $4.15 million and $7.95 million for the same periods in 2025, driven by higher expenses and interest costs.

• Rental income rose 15% year-over-year for both the quarter and six months, primarily due to new property acquisitions, but underlying growth excluding these was minimal.

• Operating expenses increased significantly, up 43.6% for the quarter and 50.3% for the six months, mainly from new properties, higher repairs, maintenance, and administrative costs.

• Interest expense rose 38.6% for the quarter and 44.4% for the six months due to new borrowings for acquisitions and development.

Financial highlights

• Q2 2026 rental income: $24.18 million (up 15% YoY); six months: $48.14 million (up 15.9% YoY).

• Q2 2026 net loss: $1.16 million; six months net loss: $5.07 million.

• Operating expenses for Q2: $20.36 million (up 43.6% YoY); six months: $43.03 million (up 50.3% YoY).

• Interest expense for Q2: $5.73 million (up 38.6% YoY); six months: $11.44 million (up 44.4% YoY).

• Cash and cash equivalents at June 30, 2026: $24.75 million.

Outlook and guidance

• Management expects slowing rent growth for the remainder of 2026 amid elevated vacancy rates in the Boston area.

• Cash from operations, loan refinancings, and available credit are expected to be sufficient for current operations, distributions, and debt payments.