Extra Space Storage Inc
For the period ended Sep 30, 2024. Filed Nov 4, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2024 · Filed Nov 4, 2024
EXR$158.95-0.8%Stored close · as of Nov 10, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
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ITEM 1. FINANCIAL STATEMENTS (unaudited)
ITEM 1. FINANCIAL STATEMENTS
Condensed Consolidated Balance Sheets
(amounts in thousands, except share data)
| September 30, 2024 | December 31, 2023 | |
|---|---|---|
| (unaudited) | ||
| Assets: | ||
| Real estate assets, net | $24,385,492 | $24,555,873 |
| Real estate assets - operating lease right-of-use assets | 694,001 | 227,241 |
| Investments in unconsolidated real estate entities | 1,060,213 | 1,071,617 |
| Investments in debt securities and notes receivable | 1,338,619 | 904,769 |
| Cash and cash equivalents | 88,931 | 99,062 |
| Other assets, net | 495,861 | 597,700 |
| Total assets | $28,063,117 | $27,456,262 |
| Liabilities, Noncontrolling Interests and Equity: | ||
| Secured notes payable, net | $1,011,705 | $1,273,549 |
| Unsecured term loans, net | 2,194,894 | 2,650,581 |
| Unsecured senior notes, net | 7,437,231 | 6,410,618 |
| Revolving lines of credit | 884,000 | 682,000 |
| Operating lease liabilities | 706,491 | 236,515 |
| Cash distributions in unconsolidated real estate ventures | 74,173 | 71,069 |
| Accounts payable and accrued expenses | 388,757 | 334,518 |
| Other liabilities | 407,183 | 383,463 |
| Total liabilities | 13,104,434 | 12,042,313 |
| Commitments and contingencies | ||
| Noncontrolling Interests and Equity: | ||
| Extra Space Storage Inc. stockholders' equity: | ||
| Preferred stock, $0.01 par value, 50,000,000 shares authorized, no shares issued or outstanding | — | — |
| Common stock, $0.01 par value, 500,000,000 shares authorized, 211,981,742 and 211,278,803 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively | 2,120 | 2,113 |
| Additional paid-in capital | 14,823,018 | 14,750,388 |
| Accumulated other comprehensive income | 3,340 | 17,435 |
| Accumulated deficit | (817,865) | (379,015) |
| Total Extra Space Storage Inc. stockholders' equity | 14,010,613 | 14,390,921 |
| Noncontrolling interest represented by Preferred Operating Partnership units, net | 191,306 | 222,360 |
| Noncontrolling interests in Operating Partnership, net and other noncontrolling interests | 756,764 | 800,668 |
| Total noncontrolling interests and equity | 14,958,683 | 15,413,949 |
| Total liabilities, noncontrolling interests and equity | $28,063,117 | $27,456,262 |
Condensed Consolidated Statements of Operations
(amounts in thousands, except share data)
| For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||
|---|---|---|---|---|
| 2024 | 2023 | 2024 | 2023 | |
| Revenues: | ||||
| Property rental | $710,874 | $650,887 | $2,096,018 | $1,525,596 |
| Tenant reinsurance | 84,048 | 69,128 | 249,100 | 165,265 |
| Management fees and other income | 29,882 | 28,019 | 89,888 | 71,609 |
| Total revenues | 824,804 | 748,034 | 2,435,006 | 1,762,470 |
| Expenses: | ||||
| Property operations | 209,035 | 185,194 | 610,455 | 416,997 |
| Tenant reinsurance | 17,510 | 19,130 | 55,646 | 37,701 |
| Life Storage Merger transition costs | — | 54,174 | — | 54,174 |
| General and administrative | 39,750 | 37,406 | 123,373 | 107,011 |
| Depreciation and amortization | 195,046 | 152,338 | 586,821 | 309,914 |
| Total expenses | 461,341 | 448,242 | 1,376,295 | 925,797 |
| Loss on real estate assets held for sale | (8,961) | — | (63,620) | — |
| Impairment of Life Storage trade name | (51,763) | — | (51,763) | — |
| Income from operations | 302,739 | 299,792 | 943,328 | 836,673 |
| Interest expense | (142,855) | (122,899) | (412,875) | (289,370) |
| Non-cash interest expense related to amortization of discount on Life Storage unsecured senior notes | (11,005) | (8,228) | (32,563) | (8,228) |
| Interest income | 34,947 | 22,092 | 89,746 | 62,607 |
| Income before equity in earnings and dividend income from unconsolidated real estate entities and income tax expense | 183,826 | 190,757 | 587,636 | 601,682 |
| Equity in earnings and dividend income from unconsolidated real estate entities | 16,246 | 15,043 | 48,508 | 38,602 |
| Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and sale of a joint venture interest | 13,730 | — | 13,730 | — |
| Income tax expense | (10,857) | (6,944) | (27,443) | (17,238) |
| Net income | 202,945 | 198,856 | 622,431 | 623,046 |
| Net income allocated to Preferred Operating Partnership noncontrolling interests | (1,932) | (2,253) | (6,073) | (6,761) |
| Net income allocated to Operating Partnership and other noncontrolling interests | (7,803) | (8,253) | (24,164) | (29,221) |
| Net income attributable to common stockholders | $193,210 | $188,350 | $592,194 | $587,064 |
| Earnings per common share | ||||
| Basic | $0.91 | $0.96 | $2.79 | $3.78 |
| Diluted | $0.91 | $0.96 | $2.79 | $3.78 |
| Weighted average number of shares | ||||
| Basic | 211,698,436 | 195,324,444 | 211,522,578 | 155,112,071 |
| Diluted | 220,298,870 | 195,328,020 | 220,177,692 | 155,116,149 |
| Cash dividends paid per common share | $1.62 | $1.62 | $4.86 | $4.86 |
Condensed Consolidated Statements of Comprehensive Income
| For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||
|---|---|---|---|---|
| 2024 | 2023 | 2024 | 2023 | |
| Net income | $202,945 | $198,856 | $622,431 | $623,046 |
| Other comprehensive income: | ||||
| Change in fair value of interest rate swaps | (24,887) | (2,264) | (14,691) | (4,175) |
| Total comprehensive income | 178,058 | 196,592 | 607,740 | 618,871 |
| Less: comprehensive income attributable to noncontrolling interests | 8,749 | 10,395 | 29,641 | 35,693 |
| Comprehensive income attributable to common stockholders | $169,309 | $186,197 | $578,099 | $583,178 |
For the three and nine months ended September 30, 2024
| Noncontrolling Interest · Extra Space Storage Inc. Stockholders' Equity | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Preferred Operating Partnership | Operating Partnership | Other | Shares | Par Value | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | Total Noncontrolling Interests and Equity | |
| Balances at June 30, 2024 | $191,306 | $757,102 | $9,800 | 211,927,348 | $2,120 | $14,810,938 | $27,241 | $(667,667) | $15,130,840 |
| Issuance of common stock for share based compensation, exercise of options and taxes paid upon net settlement | — | — | — | 10,515 | — | 8,224 | — | — | 8,224 |
| Offering costs associated with shelf registration | — | — | — | — | — | (28) | — | — | (28) |
| Redemption of Operating Partnership units for stock | — | (3,884) | — | 43,879 | — | 3,884 | — | — | — |
| Noncontrolling interest in consolidated joint ventures | — | — | 825 | — | — | — | — | — | 825 |
| Net income | 1,932 | 7,800 | 3 | — | — | — | — | 193,210 | 202,945 |
| Other comprehensive loss | — | (986) | — | — | — | — | (23,901) | — | (24,887) |
| Distributions to Operating Partnership units held by noncontrolling interests | (1,932) | (13,896) | — | — | — | — | — | — | (15,828) |
| Dividends paid on common stock at $1.62 per share | — | — | — | — | — | — | — | (343,408) | (343,408) |
| Balances at September 30, 2024 | $191,306 | $746,136 | $10,628 | 211,981,742 | $2,120 | $14,823,018 | $3,340 | $(817,865) | $14,958,683 |
| Balances at December 31, 2023 | $222,360 | $791,754 | $8,914 | 211,278,803 | $2,113 | $14,750,388 | $17,435 | $(379,015) | $15,413,949 |
| Issuance of common stock for share based compensation, exercise of options and taxes paid upon net settlement | — | — | — | 178,944 | 2 | 14,417 | — | — | 14,419 |
| Issuance of common stock, net of offering costs | — | — | — | 2,310 | — | 365 | — | — | 365 |
| Offering costs associated with shelf registration | — | — | — | — | — | (522) | — | — | (522) |
| Redemption of Operating Partnership units for stock | (31,054) | (27,321) | — | 521,685 | 5 | 58,370 | — | — | — |
| Noncontrolling interest in consolidated joint ventures | — | — | 1,687 | — | — | — | — | — | 1,687 |
| Net income | 6,073 | 24,137 | 27 | — | — | — | — | 592,194 | 622,431 |
| Other comprehensive loss | — | (596) | — | — | — | — | (14,095) | — | (14,691) |
| Distributions to Operating Partnership units held by noncontrolling interests | (6,073) | (41,838) | — | — | — | — | — | — | (47,911) |
| Dividends paid on common stock at $4.86 per share | — | — | — | — | — | — | — | (1,031,044) | (1,031,044) |
| Balances at September 30, 2024 | $191,306 | $746,136 | $10,628 | 211,981,742 | $2,120 | $14,823,018 | $3,340 | $(817,865) | $14,958,683 |
For the three and nine months ended September 30, 2023
| Noncontrolling Interest · Extra Space Storage Inc. Stockholders' Equity | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Preferred Operating Partnership | Operating Partnership | Other | Shares | Par Value | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | Total Noncontrolling Interests and Equity | |
| Balances at June 30, 2023 | $222,940 | $553,610 | $3,079 | 135,058,897 | $1,351 | $3,383,303 | $47,065 | $(175,941) | $4,035,407 |
| Issuance of common stock in connection with share based compensation | — | — | — | 1,253 | — | 6,994 | — | — | 6,994 |
| Taxes paid upon net settlement of share based compensation | — | — | — | (414) | — | (63) | — | — | (63) |
| Restricted stock grants cancelled | — | — | — | (3,128) | — | — | — | — | — |
| Redemption of Operating Partnership units for stock | — | (163) | — | 2,119 | — | 163 | — | — | — |
| Life Storage Merger issuance of common stock and Operating Partnership units | — | 249,470 | — | 76,217,359 | 762 | 11,352,576 | — | — | 11,602,808 |
| Noncontrolling interest in consolidated joint ventures | — | — | 5,209 | — | — | — | — | — | 5,209 |
| Net income (loss) | 2,253 | 8,284 | (31) | — | — | — | — | 188,350 | 198,856 |
| Other comprehensive loss | — | (111) | — | — | — | — | (2,153) | — | (2,264) |
| Distributions to Operating Partnership units held by noncontrolling interests | (2,254) | (12,706) | — | — | — | — | — | — | (14,960) |
| Dividends paid on common stock at $1.62 per share | — | — | — | — | — | — | — | (265,286) | (265,286) |
| Balances at September 30, 2023 | $222,939 | $798,384 | $8,257 | 211,276,086 | $2,113 | $14,742,973 | $44,912 | $(252,877) | $15,566,701 |
| Balances at December 31, 2022 | $261,502 | $556,095 | $1,080 | 133,921,020 | $1,339 | $3,345,332 | $48,798 | $(135,872) | $4,078,274 |
| Issuance of common stock in connection with share based compensation | — | — | — | 144,640 | 2 | 19,431 | — | — | 19,433 |
| Taxes paid upon net settlement of share based compensation | — | — | — | (8,074) | — | (7,606) | — | — | (7,606) |
| Restricted stock grants cancelled | — | — | — | (6,983) | — | — | — | — | — |
| Redemption of Operating Partnership units for stock | — | (163) | — | 2,119 | — | 163 | — | — | — |
| Redemption of Preferred A Units in the Operating Partnership for stock | (16,339) | — | — | 851,698 | 8 | 11,015 | — | — | (5,316) |
| Redemption of Preferred D Units in the Operating Partnership for stock | (22,064) | — | — | 154,307 | 2 | 22,062 | — | — | — |
| Life Storage Merger issuance of common stock and Operating Partnership units | — | 249,470 | — | 76,217,359 | 762 | 11,352,576 | — | — | 11,602,808 |
| Noncontrolling interest in consolidated joint ventures | — | — | 7,309 | — | — | — | — | — | 7,309 |
| Net income (loss) | 6,761 | 29,353 | (132) | — | — | — | — | 587,064 | 623,046 |
| Other comprehensive loss | — | (289) | — | — | — | — | (3,886) | — | (4,175) |
| Distributions to Operating Partnership units held by noncontrolling interests | (6,921) | (36,082) | — | — | — | — | — | — | (43,003) |
| Dividends paid on common stock at $4.86 per share | — | — | — | — | — | — | — | (704,069) | (704,069) |
| Balances at September 30, 2023 | $222,939 | $798,384 | $8,257 | 211,276,086 | $2,113 | $14,742,973 | $44,912 | $(252,877) | $15,566,701 |
For the three and nine months ended September 30, 2023
Condensed Consolidated Statements of Cash Flows
| For the Nine Months Ended September 30, | ||
|---|---|---|
| 2024 | 2023 | |
| Cash flows from operating activities: | ||
| Net income | $622,431 | $623,046 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||
| Depreciation and amortization | 586,821 | 309,914 |
| Amortization of deferred financing costs | 13,419 | 9,716 |
| Non-cash interest expense related to amortization of discount on Life Storage unsecured senior notes | 32,563 | 8,228 |
| Compensation expense related to share-based awards | 14,417 | 19,433 |
| Accrual of interest income added to principal of debt securities and notes receivable | (23,455) | (30,127) |
| Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate assets and sale of a joint venture interest | (13,730) | — |
| Impairment of Life Storage trade name | 51,763 | — |
| Loss on real estate assets held for sale | 63,620 | — |
| Distributions from unconsolidated real estate ventures | 21,839 | 11,484 |
| Changes in operating assets and liabilities: | ||
| Other assets | 45,737 | (31,675) |
| Accounts payable and accrued expenses | 45,145 | 134,310 |
| Other liabilities | 18,581 | (16,370) |
| Net cash provided by operating activities | 1,479,151 | 1,037,959 |
| Cash flows from investing activities: | ||
| Acquisition of real estate assets and improvements | (361,126) | (197,333) |
| Life Storage Merger, net of cash acquired | — | (1,182,411) |
| Development and redevelopment of real estate assets | (100,507) | (66,533) |
| Proceeds from sale of real estate assets and investments in real estate ventures | 4,415 | 2,132 |
| Investment in unconsolidated real estate entities | (7,175) | (179,258) |
| Return of investment in unconsolidated real estate ventures | 12,999 | — |
| Issuance and purchase of notes receivable | (739,702) | (210,712) |
| Principal payments received from notes receivable | 153,971 | 73,514 |
| Proceeds from sale of notes receivable | 175,335 | 134,064 |
| Purchase of equipment and fixtures | (15,713) | (9,515) |
| Net cash used in investing activities | (877,503) | (1,636,052) |
| Cash flows from financing activities: | ||
| Proceeds from unsecured term loans and senior notes and revolving lines of credit | 5,542,362 | 5,194,665 |
| Principal payments on unsecured term loans and senior notes and revolving lines of credit | (6,062,896) | (4,617,755) |
| Proceeds from issuance of public bonds, net | 1,000,000 | 950,000 |
| Deferred financing costs | (12,633) | (51,359) |
| Proceeds from share issuances | 365 | — |
| Offering costs associated with shelf registration | (522) | — |
| Redemption of Preferred A Units for cash | — | (5,000) |
| Contributions from noncontrolling interests | 15 | — |
| Dividends paid on common stock | (1,031,044) | (704,069) |
| Distributions to noncontrolling interests | (48,053) | (43,003) |
| Net cash (used in) provided by financing activities | (612,406) | 723,479 |
| Net (decrease) increase in cash, cash equivalents, and restricted cash | (10,758) | 125,386 |
| Cash, cash equivalents, and restricted cash, beginning of the period | 105,083 | 97,735 |
Condensed Consolidated Statements of Cash Flows
| For the Nine Months Ended September 30, | ||
|---|---|---|
| 2024 | 2023 | |
| Cash, cash equivalents, and restricted cash, end of the period | $94,325 | $223,121 |
| Cash and equivalents, including restricted cash at the beginning of the period: | ||
| Cash and equivalents | $99,062 | $92,868 |
| Restricted cash included in other assets | 6,021 | 4,867 |
| $105,083 | $97,735 | |
| Cash and equivalents, including restricted cash at the end of the period: | ||
| Cash and equivalents | $88,931 | $216,121 |
| Restricted cash included in other assets | 5,394 | 7,000 |
| $94,325 | $223,121 | |
| Supplemental schedule of cash flow information | ||
| Interest paid | $381,434 | $207,569 |
| Income taxes paid | 30,635 | 20,222 |
| Supplemental schedule of noncash investing and financing activities: | ||
| Redemption of Operating Partnership units held by noncontrolling interests for common stock | ||
| Noncontrolling interests in Operating Partnership | $58,375 | $116,336 |
| Common stock and paid-in capital | (58,375) | (11,336) |
| Noncontrolling interests in Operating Partnership Note Receivable Payoff | — | (100,000) |
| OP Unit Redemption - Cash Proceeds | — | (5,000) |
| Accrued construction costs and capital expenditures | ||
| Acquisition of real estate assets | $9,094 | $6,835 |
| Accounts payable and accrued expenses | (9,094) | (6,835) |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.