Extra Space Storage Inc · NYSE:EXR
Extra Space Storage — Q1 2024 Earnings Presentation
33 slides from Extra Space Storage's earnings presentation, May 1, 2024
Slide 1: Supplemental Financial Information for the Three Months Ended March 31, 2024
SUPPLEMENTAL FINANCIAL INFORMATION FOR THE THREE MONTHS ENDED MARCH 31, 2024 FORWARD IN EXCELLENCE
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain information set forth in this release contains “forward-looking statements” within the meaning of the federal securities laws. Forward-looking statements include statements concerning the benefits of store acquisitions, developments, favorable market conditions, ou
Slide 3: Forward-Looking Statements (continued)
• the failure to maintain our REIT status for U.S. federal income tax purposes; • impacts from any outbreak of highly infectious or contagious diseases, including reduced demand for self- storage space and ancillary products and services such as tenant reinsurance, and potential decreases in occupan
Slide 4: Table of Contents
Table of Contents Page(s) Title 1-13 Press Release - Extra Space Storage Inc. Reports 2024 First Quarter Results 14 Key Highlights 15 Trailing Five Quarter Information 16 Summary Debt Maturity Schedule By Year for Consolidated Fixed- and Variable-Rate Debt 17 Detailed Debt Maturity Schedule and Ente
Slide 5: Extra Space Storage Inc. Reports 2024 First Quarter Results
Extra Space Storage Inc. PHONE (801) 365-4600 2795 East Cottonwood Parkway, Suite 300 Salt Lake City, Utah 84121 www.extraspace.com FOR IMMEDIATE RELEASE Extra Space Storage Inc. Reports 2024 First Quarter Results SALT LAKE CITY, April 30, 2024 — Extra Space Storage Inc. (NYSE: EXR) (the “Company”),
Slide 6: FFO Per Share
FFO Per Share: The following table (unaudited) outlines the Company’s FFO and Core FFO for the three months ended March 31, 2024 and 2023. The table also provides a reconciliation to GAAP net income attributable to common stockholders and earnings per diluted share for each period presented (amounts
Slide 7: Operating Results and Same-Store Performance
Operating Results and Same-Store Performance: The following table (unaudited) outlines the Company’s same-store performance for the three months ended March 31, 2024 and 2023 (amounts shown in thousands, except store count data)1: For the Three Months Ended March 31, Percent 2024 2023 Change Same-st
Slide 8: Investment and Property Management Activity
Investment and Property Management Activity: The following table (unaudited) outlines the Company’s acquisitions and developments that are closed, completed or under agreement (dollars in thousands). Closed/Completed Closed/Completed Scheduled to Still through Subsequent to Close/Complete To Close/C
Slide 9: Dividends and Outlook
Dividends: On March 29, 2024, the Company paid a first quarter common stock dividend of $1.62 per share to stockholders of record at the close of business on March 15, 2024. Outlook: The following table outlines the Company's Core FFO estimates and assumptions for the year ending December 31, 20241.
Slide 10: Supplemental Information and Conference Call
FFO estimates for the year are fully diluted for an estimated average number of shares and OP units outstanding during the year. The Company’s estimates are forward-looking and based on management’s view of current and future market conditions. The Company’s actual results may differ materially from
Slide 11: Risk Factors (continued)
• disruptions in credit and financial markets and resulting difficulties in raising capital or obtaining credit at reasonable rates or at all, which could impede our ability to grow; • our reliance on information technologies, which are vulnerable to, among other things, attack from computer viruses
Slide 12: Definition of Same-Store
Definition of Same-Store: The Company’s same-store pool for the periods presented consists of 1,078 stores that are wholly-owned and operated and that were stabilized by the first day of the earliest calendar year presented. The Company considers a store to be stabilized once it has been open for th
Slide 13: Condensed Consolidated Balance Sheets
Extra Space Storage Inc. Condensed Consolidated Balance Sheets (In thousands, except share data) March 31, 2024 December 31, 2023 (Unaudited) Assets: Real estate assets, net $ 24,494,676 $ 24,555,873 Real estate assets - operating lease right-of-use assets 222,940 227,241 Investments in unconsolidat
Slide 14: Consolidated Statement of Operations
Consolidated Statement of Operations for the Three Months Ended March 31, 2024 and 2023 (In thousands, except share and per share data) - Unaudited For the Three Months Ended March 31, 2024 2023 Revenues: Property rental $ 688,044 $ 433,962 Tenant reinsurance 81,347 47,704 Management fees and other
Slide 15: Reconciliation of GAAP Net Income to Same-Store NOI
Reconciliation of GAAP Net Income to Total Same-Store Net Operating Income — for the Three Months Ended March 31, 2024 and 2023 (In thousands) - Unaudited For the Three Months Ended March 31, 2024 2023 Net Income $ 224,074 $ 208,878 Adjusted to exclude: Equity in earnings and dividend income from un
Slide 16: Reconciliation of Estimated GAAP EPS to Estimated FFO Per Share
Reconciliation of the Range of Estimated GAAP Fully Diluted Earnings Per Share to Estimated Fully Diluted FFO Per Share — for the Year Ending December 31, 2024 - Unaudited For the Year Ending December 31, 2024 Low End High End Net income attributable to common stockholders per diluted share $ 3.86 $
Slide 17: Reconciliation of Estimated GAAP Net Income to Estimated Same-Store NOI
Reconciliation of Estimated GAAP Net Income to Estimated Same-Store Net Operating Income — for the Year Ending December 31, 2024 (In thousands) - Unaudited For the Year Ending December 31, 2024 Low High Net Income $ 896,000 $ 958,500 Adjusted to exclude: Equity in earnings of unconsolidated joint ve
Slide 18: Key Highlights
Key Highlights As of March 31, 2024 (unaudited) (Dollars and shares in thousands) COMMON STOCK EQUIVALENTS Quarter Quarter Weighted Average Ending Common Shares 211,499 211,659 Dilutive Options 4 4 Operating Partnership Units 8,732 8,626 Preferred B Operating Partnership Units (as if converted) 230
Slide 19: Trailing Five Quarter Information
Trailing Five Quarter Information Consolidated Balance Sheet (unaudited) (Dollars in thousands) As of March 31, 2024 December 31, 2023 September 30, 2023 June 30, 2023 March 31, 2023 Assets: Real estate assets, net $ 24,494,676 $ 24,555,873 $ 24,556,678 $ 10,017,351 $ 9,991,446 Real estate assets -
Slide 20: Summary Debt Maturity Schedule by Year
Summary Debt Maturity Schedule by Year for Consolidated Fixed- and Variable-Rate Debt Before and After Extensions As of March 31, 2024 (unaudited) (Dollars in thousands) Maturity Schedule Before Extensions Maturity Schedule After Extensions Wgt. Wgt. Avg. % of Avg. % of 2024 Maturities Amount Rate T
Slide 21: Detailed Debt Maturity Schedule and Enterprise Value
Detailed Debt Maturity Schedule and Enterprise Value As of March 31, 2024 (unaudited) (Dollars in thousands) Maturity Date Description Interest Rate Amount Basis for Rate Extendable Type Secured Fixed-rate debt: April-2025 Notes payable - swapped to fixed 3.5% $ 74,002 Fixed No Bank Loan June-2025 N
Slide 22: Debt Covenant Disclosure
Debt Covenant Disclosure As of March 31, 2024 (unaudited) (Dollars in thousands) Public Bond Covenants (1) Covenants Actual 1. Limitation on Total Outstanding Debt ≤ 60% 32.0% Total Outstanding Debt $ 12,083,633 Total Assets (2) $ 37,809,870 2. Limitation on Secured Debt ≤ 40% 4.7% Secured Debt $ 1,
Slide 23: Summary of Notes Receivable Activity and Balances
Summary of Notes Receivable Activity and Balances As of March 31, 2024 (unaudited) (Dollars in thousands) Notes Receivable Mortgage Notes Mezzanine Notes Total Notes Receivable Receivable Receivable1 Notes Receivable Held as of December 31, 2023 $ 411,859 $ 182,868 $ 594,727 Add: Note Originations/D
Slide 24: Store Portfolio Reporting Information
Store Portfolio Reporting Information For the Three Months Ended March 31, 2024 (unaudited) (Dollars in thousands except for net rent per occupied square foot) Stores with Historical Operational Data Average Occupancy Revenue Expenses NOI # of Net Rentable Net Rent / Occupied for the Three Months fo
Slide 25: Same-Store Detail
Same-Store Detail (unaudited) Excluding Tenant Insurance (Dollars in thousands) 2024 Same-Store Pool (1,078 Stores) 2023 Same-Store Pool (913 Stores) 2022 Same-Store Pool (862 Stores) For the Three Months Ended March 31, For the Three Months Ended March 31, For the Three Months Ended March 31, 2024
Slide 26: MSA Performance Summary for Same-Store
MSA (1) Performance Summary for Same-Store For the Three Months Ended March 31, 2024 (unaudited) (Dollars in thousands except for net rent per occupied square foot) Net Rent / Average Occupancy Revenue Expenses NOI # of Net Rentable Occupied for the Three Months Ended for the Three Months Ended for
Slide 27: Life Storage, Inc. Same-Store Detail
Life Storage, Inc. Same-Store Detail For the Three Months and Year Ended March 31, 2024 (unaudited) LSI Same-Store Pool (663 Stores) For the Three Months Ended March 31, 2024 2023 $ Variance % Variance Property revenues Net rental income $ 207,251 $ 203,379 $ 3,872 1.9% Other operating income 9,099
Slide 28: Life Storage, Inc. Same-Store MSA Performance Summary
Life Storage, Inc. Same-Store MSA Performance Summary For the Three Months Ended March 31, 2024 (unaudited) Average Occupancy Revenue Expenses NOI # of Net Rentable Net Rent / Occupied for the Three Months for the Three Months for the Three Months for the Three Months Market Stores Sq. Ft. Sq. Ft.(2
Slide 29: MSA Performance Summary for All Stabilized Stores
MSA (1) Performance Summary for All Stabilized (2) Stores For the Three Months Ended March 31, 2024 (unaudited) (Dollars in thousands except for net rent per occupied square foot) Net Rent / Average Occupancy Revenue Expenses NOI # of Net Rentable Occupied for the Three Months Ended for the Three Mo
Slide 30: Certificate of Occupancy Acquisitions / Development Stores Summary
Certificate of Occupancy Acquisitions / Development Stores Summary (unaudited) (Dollars in thousands) Certificate of Occupancy / Development Stores - Under Agreement as of March 31, 2024 Purchase Price / Land + Estimated Estimated Estimated Construction Store Location Type Opening NRSF Cost in Progr
Slide 31: Certificate of Occupancy / Development Stores Performance Summary
Certificate of Occupancy / Development Stores Performance Summary For the Three Months Ended March 31, 2024 (unaudited) (Dollars in thousands) Revenue for the Expenses for the NOI for the Date EXR % Net Rentable Occupancy at Three Months Ended Three Months Ended Three Months Ended Opened Ownership P
Slide 32: Reconciliation of Joint Venture Net Income to Equity in Earnings
Reconciliation of Joint Venture Net Income to Equity in Earnings For the Three Months Ended March 31, 2024 (unaudited) (Dollars in thousands) EXR EXR EXR EXR Preferred Total EXR EXR Pro- # of Equity Promote EXR EXR into Equity in Promoted Equity Equity in Net Income rata Share Joint Venture Name Sto
Slide 33: Consolidated Store Data by State
Consolidated Store Data by State (unaudited) Total Operated Store Data by State (unaudited) As of March 31, 2024 As of March 31, 2024 Average Occupancy Average Occupancy # of Net Rentable Total Quarter as of # of Net Rentable Total Quarter as of State Stores Sq. Ft. Units Occupancy March 31, 2024 St