Sep 30, 2021

Public Storage Q3 2021 Earnings Report

Reported strong earnings growth driven by increased revenues and efficient cost management.

Key Takeaways

Public Storage reported a significant increase in net income and core FFO for the three months ended September 30, 2021, driven by strong same-store performance and strategic acquisitions. The company continues to expand its portfolio and optimize its capital structure.

Net income allocable to common shareholders increased to $2.52 per diluted share.

Core FFO increased by 30.0% to $3.42 per diluted share compared to the same period in 2020.

Same Store direct net operating income increased by 20.8% due to revenue growth and cost control.

Acquired 27 self-storage facilities with 2.2 million net rentable square feet for $0.3 billion.

Total Revenue
$841M
Previous year: $684M
+22.9%
EPS
$3.42
Previous year: $2.63
+30.0%
REVPAF
$18.7
Previous year: $16.5
+13.3%
Average Occupancy
96.8%
Previous year: 95.5%
+1.4%
Gross Profit
$658M
Previous year: $510M
+29.0%
Cash and Equivalents
$958M
Previous year: $294M
+226.0%
Total Assets
$15.3B
Previous year: $11.4B
+34.3%

Public Storage

Public Storage

Public Storage Revenue by Segment

Public Storage Revenue by Geographic Location

Forward Guidance

Public Storage provided guidance for the year ending December 31, 2021, with expectations for continued revenue and net operating income growth. The company anticipates significant investment in acquisitions and development openings.

Positive Outlook

  • Revenue growth between 9.50% and 10.50%.
  • Expense growth between 0.00% and 0.50%.
  • Net operating income growth between 13.10% and 14.70%.
  • Acquisitions of $5,000,000.
  • Development openings of $215,000.

Challenges Ahead

  • General and administrative expense between $96,000 and $99,000.
  • Interest expense between $94,000 and $96,000.
  • Preferred dividends of $185,000.
  • Capital expenditures of approximately $250,000.
  • Core FFO per share between $12.50 and $12.80.