Extra Space Storage Inc. SEC 10-Q Report

Extra Space Storage Inc., a leading provider of self-storage solutions, has released its latest Form 10-Q report, showcasing robust financial and operational performance. The report highlights significant growth in revenues, improved operational efficiency, and strategic business expansions, underscoring the company's strong market position and future growth prospects.

Financial Highlights

• Total Revenues: $2,520.1 million, reflecting an increase from $2,435.0 million in the same period last year, driven by growth in property rental and tenant reinsurance revenues.
• Income from Operations: $1,041.8 million, up from $943.3 million, indicating improved operational efficiency and cost management.
• Net Income: $721.7 million, compared to $622.4 million in the prior year, showcasing strong financial performance and effective cost control.
• Net Income Attributable to Common Stockholders: $686.6 million, up from $592.2 million, highlighting the company's ability to generate shareholder value.
• Basic Earnings Per Common Share: $3.23, an increase from $2.79, reflecting enhanced profitability and shareholder returns.
• Diluted Earnings Per Common Share: $3.23, consistent with basic EPS, indicating minimal dilution impact from potential common shares.

Business Highlights

• Revenue Segments: The company operates in two primary segments: self-storage operations and tenant reinsurance. The self-storage operations segment includes rental operations of stores that are wholly-owned and in consolidated joint ventures. Tenant reinsurance involves the reinsurance of risks related to the loss of goods stored by tenants in the company's stores.
• Geographical Performance: As of September 30, 2025, the company owned or had ownership interests in 2,427 operating stores across 43 states and Washington, D.C. The stores are clustered around large population centers, which helps reduce operating costs through economies of scale. The company managed an additional 1,811 stores for third parties, bringing the total number of stores owned and/or managed to 4,238.
• Sales Units: Approximately 2,460,000 tenants were leasing storage units at the operating stores owned and/or managed by the company, primarily on a month-to-month basis. This provides flexibility to increase rental rates over time as market conditions permit.
• Operational Strategy: The company employs industry-leading revenue management systems to analyze, set, and adjust rental rates daily across its portfolio, allowing it to respond to changing market conditions effectively.
• Future Outlook: The company is under agreement to acquire 25 stores at a total purchase price of $261,778, with acquisitions scheduled to close in 2025. Additionally, the company plans to originate $27,500 in bridge loans in 2025 and $52,200 in 2026 and thereafter.
• Operational Highlights: The company considers a store to be in the lease-up stage after it has been issued a certificate of occupancy but before it has achieved stabilization. A store is considered stabilized once it has been open for three years or has sustained average square foot occupancy of 80% or more for one calendar year.

SEC Filing: Extra Space Storage Inc. [ EXR ] - 10-Q - Oct. 31, 2025