CubeSmart, Extra Space Storage, and Public Storage have all released their earnings reports for Q1 2025. Below are statements from each CEO and key highlights, as well as links to the full reports and webcasts. We'll update this to include NSA when they release their report on May 6 at 1pm EST. You can still catch that call on their Live Webcast Page. Dial-in US: 877-407-9711 or International: 412-902-1014.
CubeSmart (NYSE: CUBE)
“"The first quarter represented a positive start to the year, with improving occupancy and rate trends driven by solid demand...
Our high-quality portfolio with its focus on top-tier markets uniquely positions us to perform during uncertain economic climates."
- Christopher P. Marr, President and CEO
Key Q1 2025 Highlights:
- Reported diluted earnings per share (EPS) attributable to the Company's common shareholders of $0.39.
- Reported funds from operations (FFO), as adjusted, per diluted share of $0.64.
- Same-store (606 stores) net operating income (NOI) decreased 0.8% year over year, resulting from a 0.4% decrease in revenues and a 0.6% increase in operating expenses.
- Same-store occupancy averaged 89.5% during the quarter, ending at 89.7%.
- Closed on the acquisition of the remaining 80% interest in the 28-store HVP IV portfolio for $452.8 million, which included $44.4 million to repay the Company's portion of HVP IV's existing indebtedness.
- Added 33 stores to its third-party management platform, bringing the total third-party managed store count to 869.
Extra Space Storage Inc. (NYSE: EXR)
"We had a solid first quarter, beating same store revenue expectations, maintaining historically high occupancy, and continuing to grow our capital light ancillary businesses. This led to FFO growth above our internal projections...
Despite this level of performance, the recent economic uncertainty has caused us to maintain our same-store guidance. While the current environment is volatile and may lead to difficult economic times, our team, strategy, and systems have proven the ability to produce stable cash flow returns in similar conditions."
- Joe Margolis, CEO
Key Q1 2025 Highlights:
- Achieved net income attributable to common stockholders of $1.28 per diluted share, representing a 26.7% increase compared to the same period in the prior year.
- Achieved FFO attributable to common stockholders and unit holders of $1.93 per diluted share. FFO, excluding adjustments, was $2.00 per diluted share, representing a 2.0% increase compared to the same period in the prior year.
- Same-store revenue increased by 0.3% and same-store NOI decreased by (1.2)% compared to the same period in the prior year.
- Reported ending same-store occupancy of 93.4% as of March 31, 2025, compared to 92.4% as of March 31, 2024.
- Acquired 12 operating stores for a total cost of approximately $153.8 million. Acquired six additional properties by exchanging ownership interest in 17 properties from an existing joint venture.
- In conjunction with joint venture partners, acquired two operating stores and completed the development of one store for a total cost of approximately $38.3 million, of which the company invested $24.5 million.
- Originated $53.2 million in mortgage and mezzanine bridge loans and sold $27.7 million in mortgage bridge loans.
- Added 113 stores (100 stores net) to the company's third-party management platform. As of March 31, 2025, the company managed 1,675 stores for third parties and 439 stores in unconsolidated joint ventures, for a total of 2,114 managed stores.
- Paid a quarterly dividend of $1.62 per share.
Public Storage (NYSE: PSA)
“Public Storage’s first quarter performance was in-line with our expectations and reflected broad operational stabilization across the portfolio. We lead a resilient industry that is underpinned by needs-based customer demand and affordable rents relative to other space alternatives...
Our investment in strategic initiatives across the company continues to distinguish our performance. We are growing our portfolio utilizing significant retained cash flow and our industry-leading balance sheet, while our experienced operations team serves more than two million customers each day. We are well-positioned for continued growth.”
- Joe Russell, President and CEO
Key Q4 2024 Highlights:
- Reported net income allocable to common shareholders of $2.04 per diluted share.
- Reported core FFO allocable to common shareholders of $4.12 per diluted share.
- Achieved 77.1% Same Store direct net operating income margin.
- Acquired nine self-storage facilities with 0.7 million net rentable square feet for $141.0 million. Subsequent to March 31, 2025, acquired or under contract to acquire five self-storage facilities with 0.4 million net rentable square feet, for $43.2 million.
- Opened three newly developed facilities and completed various expansion projects, which together added 0.7 million net rentable square feet at a cost of $144.4 million. At March 31, 2025, had various facilities in development and expansion expected to add 3.7 million net rentable square feet at an estimated cost of $665.5 million.
COMMENTS