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Dec 31, 2019
Extra Space Q4 2019 Earnings Report
Extra Space Storage's Q4 2019 performance showed positive growth, with increases in net income, FFO, and same-store revenue.
Key Takeaways
Extra Space Storage Inc. reported a positive fourth quarter, marked by a 7.5% increase in net income attributable to common stockholders, a 2.5% rise in same-store revenue, and the addition of 41 stores to its third-party management platform.
Net income attributable to common stockholders increased by 7.5% to $0.86 per diluted share.
FFO reached $1.26 per diluted share, with Core FFO at $1.27 per diluted share, a 4.1% increase.
Same-store revenue grew by 2.5%, and same-store NOI increased by 1.0%.
Same-store occupancy was 92.4% as of December 31, 2019, compared to 91.7% the previous year.
Extra Space
Extra Space
Extra Space Revenue by Segment
Revenue by Segment
Tenant Reinsurance Revenue
CapyFin.com Forward Guidance
The company provided FFO estimates and annual assumptions for the year ending December 31, 2020.
Positive Outlook
- FFO is expected to be between $4.96 and $5.05.
- Core FFO is projected to be in the range of $4.99 to $5.08.
- Same-store revenue growth is anticipated to be between 0.75% and 1.75%.
- Net tenant reinsurance income is estimated at $107,000,000 to $108,000,000.
- Management fees, other income, and interest income are projected to be $69,000,000 to $70,000,000.
Challenges Ahead
- Dilution per share from C of O and value add acquisitions is expected to be $0.20.
- Same-store expense growth is projected to be between 4.00% and 5.00%.
- Same-store NOI growth is expected to be between -0.50% and 1.00%.
- Interest expense is estimated to be $179,000,000 to $181,000,000.
- Taxes associated with the Company's taxable REIT subsidiary are projected to be $13,000,000 to $14,000,000.