Extra Space Storage beats second-quarter FFO estimates on strong occupancy

Extra Space Storage

30/07/2024 22:52

July 30 (Reuters) - Extra Space Storage  EXR.N  beat
Wall Street expectations for second-quarter funds from
operations (FFO) on Tuesday, benefiting from strong occupancy
levels at its properties. 
    The Salt Lake City, Utah-based real estate investment trust
(REIT) posted a quarterly core FFO of $2.06 per share, compared
with analysts' estimates of $2 per share, according to LSEG
data. 
    Extra Space has been shielded from an industry-wide fall in
occupancy rates after the pandemic, as its exposure across the
U.S. smoothened regional volatility in demand. 
    The same-store occupancy rate in the quarter for the REIT
came in at 94.3%, compared with 94% last year.
    "We've maintained strong occupancy levels in the ...
same-store pools despite a challenging demand and new customer
rate environment," CEO Joe Margolis said in a statement. 
    The REIT also slightly raised the lower end of its FFO
forecast for 2024 and expects it in a range of $7.95 to $8.15
per share, compared with $7.85 to $8.15 per share expected
previously.
    Total revenue for the quarter ended June 30 was $810.7
million, up 58.5% from a year earlier. Analysts, on average,
were expecting revenue of $728.8 million in the quarter

 (Reporting by Aishwarya Jain; Editing by Mohammed Safi Shamsi)
 ((Aishwarya.Jain@thomsonreuters.com;))