“Our national strategically located portfolio achieved same store NOI growth of 5.2%, AFFO growth of 6.6% per common share, while maintaining over 90% fixed rate debt. We are pleased to have announced the acquisition of two stores for
2024 First Quarter Results
Revenue for the first quarter of 2024 increased to
Revenue and NOI from Existing Self Storage stores increased by 5.9% and 5.2%, compared to the same period last year. Funds from operations (“FFO”), a non-IFRS measure, were
For a reconciliation of the above NOI, FFO, and AFFO amounts to IFRS, please see “Non-IFRS Financial Measures” and the reconciliation tables below, and the Corporation’s Management’s Discussion & Analysis for the three months ended
Increased Dividend
StorageVault is increasing its quarterly dividend by 0.5% beginning Q2 2024 to
Our Strategy
StorageVault is focused on owning and operating storage in the top markets in
Further Information
For comprehensive disclosure of StorageVault’s performance for the three months ended
Non-IFRS Financial Measures
Management uses both IFRS and non-IFRS Measures to assess the financial and operating performance of the Corporation’s operations. These non-IFRS Measures are not recognized measures under IFRS, do not have a standardized meaning under IFRS and are unlikely to be comparable to similar measures presented by other companies. The non-IFRS Measures referenced in this news release include the following:
- Net Operating Income (“NOI”) – NOI is defined as storage and related services revenue less related property operating costs. NOI does not include interest expense or income, depreciation and amortization, corporate administrative costs, stock based compensation costs or taxes. NOI assists management in assessing profitability and valuation from principal business activities.
- Funds from Operations (“FFO”) – FFO is defined as net income (loss) excluding gains or losses from the sale of depreciable real estate, plus depreciation and amortization, realized gains or losses on real estate, realized and unrealized gains or losses on interest rate swaps, interest accretion on convertible debentures, realized and unrealized gains or losses on derivative financial instruments, stock based compensation expenses and deferred income taxes; and after adjustments for equity accounted entities and non-controlling interests. FFO should not be viewed as an alternative to cash from operating activities, net income, or other measures calculated in accordance with IFRS. The Corporation believes that FFO can be a beneficial measure, when combined with primary IFRS measures, to assist in the evaluation of the Corporation’s ability to generate cash and evaluate its return on investments as it excludes the effects of real estate amortization and gains and losses from the sale of real estate, all of which are based on historical cost accounting and which may be of limited significance in evaluating current performance.
- Adjusted Funds from Operations (“AFFO”) – AFFO is defined as FFO plus acquisition and integration costs. Acquisition and integration costs are one time in nature to the specific assets purchased in the current period or pending and are expensed under IFRS.
- Existing Self Storage – means stabilized stores that StorageVault has owned or leased at least since the beginning of the previous fiscal year.
NOI, FFO, AFFO and Existing Self Storage, should not be viewed as an alternative to, in isolation from, or superior to, net income or cash flow from operations, or results from StorageVault’s comprehensive operations, respectively, or other measures calculated in accordance with IFRS. NOI, FFO and AFFO should not be interpreted as an indicator of cash generated from operating activities and is not indicative of cash available to fund operating expenditures, or for the payment of cash distributions. Existing Self Storage should not be considered a measure of StorageVault’s comprehensive operations. NOI, FFO, AFFO and Existing Self Storage are simply additional measures of operating performance which highlight trends in StorageVault’s core business that may not otherwise be apparent when relying solely on IFRS financial measures. StorageVault’s management also uses these non-IFRS measures in order to facilitate operating performance comparisons from period to period and to prepare operating budgets. In addition, the Corporation’s definitions of NOI, FFO, AFFO and Existing Self Storage may differ from that of other issuers.
Non-IFRS Financial Measures Reconciliation
The following table reconciles Net Income (Loss) and Net Operating Income:
(unaudited) | (unaudited) | |||||||||||||||||||||||
Three Months Ended | Fiscal | |||||||||||||||||||||||
Change | Change | |||||||||||||||||||||||
2024 | 2023 | $ | % | 2024 | 2023 | $ | % | |||||||||||||||||
Storage revenue and related services | $ | 70,944,870 | $ | 66,943,141 | $ | 4,001,729 | 6.0 | % | $ | 70,944,870 | $ | 66,943,141 | $ | 4,001,729 | 6.0 | % | ||||||||
Management fees | 446,208 | 474,331 | (28,123 | ) | -5.9 | % | 446,208 | 474,331 | (28,123 | ) | -5.9 | % | ||||||||||||
71,391,078 | 67,417,472 | 3,973,606 | 5.9 | % | 71,391,078 | 67,417,472 | 3,973,606 | 5.9 | % | |||||||||||||||
Operating costs | 27,148,549 | 24,845,593 | 2,302,956 | 9.3 | % | 27,148,549 | 24,845,593 | 2,302,956 | 9.3 | % | ||||||||||||||
Net operating income 1 | 44,242,529 | 42,571,879 | 1,670,650 | 3.9 | % | 44,242,529 | 42,571,879 | 1,670,650 | 3.9 | % | ||||||||||||||
Less: | ||||||||||||||||||||||||
Acquisition and integration costs | 1,512,594 | 972,297 | 540,297 | 55.6 | % | 1,512,594 | 972,297 | 540,297 | 55.6 | % | ||||||||||||||
Selling, general and administrative | 5,507,508 | 5,835,146 | (327,638 | ) | -5.6 | % | 5,507,508 | 5,835,146 | (327,638 | ) | -5.6 | % | ||||||||||||
Interest | 22,090,472 | 20,975,025 | 1,115,447 | 5.3 | % | 22,090,472 | 20,975,025 | 1,115,447 | 5.3 | % | ||||||||||||||
Stock based compensation | 234,379 | 309,837 | (75,458 | ) | -24.4 | % | 234,379 | 309,837 | (75,458 | ) | -24.4 | % | ||||||||||||
Realized (gain) loss on real estate | 1,932,705 | (35,359 | ) | 1,968,064 | -5565.9 | % | 1,932,705 | (35,359 | ) | 1,968,064 | -5565.9 | % | ||||||||||||
Realized (gain) loss on derivative financial instruments | - | (3,970,902 | ) | 3,970,902 | -100.0 | % | - | (3,970,902 | ) | 3,970,902 | -100.0 | % | ||||||||||||
Unrealized (gain) loss on derivative financial instruments | (2,014,752 | ) | (2,074,497 | ) | 59,745 | -2.9 | % | (2,014,752 | ) | (2,074,497 | ) | 59,745 | -2.9 | % | ||||||||||
Interest accretion on convertible debentures | 1,105,212 | - | 1,105,212 | - | 1,105,212 | - | 1,105,212 | - | ||||||||||||||||
Depreciation and amortization | 23,585,744 | 25,621,018 | (2,035,274 | ) | -7.9 | % | 23,585,744 | 25,621,018 | (2,035,274 | ) | -7.9 | % | ||||||||||||
53,953,862 | 47,632,565 | 6,321,297 | 13.3 | % | 53,953,862 | 47,632,565 | 6,321,297 | 13.3 | % | |||||||||||||||
Net income (loss) before taxes | (9,711,333 | ) | (5,060,686 | ) | (4,650,647 | ) | -91.9 | % | (9,711,333 | ) | (5,060,686 | ) | (4,650,647 | ) | -91.9 | % | ||||||||
Deferred tax (expense) recovery | 1,753,251 | 2,156,314 | (403,063 | ) | -18.7 | % | 1,753,251 | 2,156,314 | (403,063 | ) | -18.7 | % | ||||||||||||
Net income (loss) | $ | (7,958,082 | ) | $ | (2,904,372 | ) | $ | (5,053,710 | ) | -174.0 | % | $ | (7,958,082 | ) | $ | (2,904,372 | ) | $ | (5,053,710 | ) | -174.0 | % | ||
1 | Non-IFRS Measure. | |||||||||||||||||||||||
The following table reconciles Net Income (Loss), and Funds from Operations and Adjusted Funds from Operations:
(unaudited) | (unaudited) | |||||||||||||||||||||||
Three Months Ended | Fiscal | |||||||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | |||||||||||||||||||
$ | % | $ | % | |||||||||||||||||||||
Net income (loss) | $ | (7,958,082 | ) | $ | (2,904,372 | ) | $ | (5,053,710 | ) | -174.0 | % | $ | (7,958,082 | ) | $ | (2,904,372 | ) | $ | (5,053,710 | ) | -174.0 | % | ||
Adjustments: | ||||||||||||||||||||||||
Stock based compensation | 234,379 | 309,837 | (75,458 | ) | -24.4 | % | 234,379 | 309,837 | (75,458 | ) | -24.4 | % | ||||||||||||
Interest accretion on convertible debentures | 1,105,212 | - | 1,105,212 | - | 1,105,212 | - | 1,105,212 | - | ||||||||||||||||
Realized (gain) loss on real estate | 1,932,705 | (35,359 | ) | 1,968,064 | -5565.9 | % | 1,932,705 | (35,359 | ) | 1,968,064 | -5565.9 | % | ||||||||||||
Realized (gain) loss on derivative financial instruments | - | (3,970,902 | ) | 3,970,902 | -100.0 | % | - | (3,970,902 | ) | 3,970,902 | -100.0 | % | ||||||||||||
Unrealized (gain) loss on derivative financial instruments | (2,014,752 | ) | (2,074,497 | ) | 59,745 | -2.9 | % | (2,014,752 | ) | (2,074,497 | ) | 59,745 | -2.9 | % | ||||||||||
Deferred tax (expense) recovery | (1,753,251 | ) | (2,156,314 | ) | 403,063 | -18.7 | % | (1,753,251 | ) | (2,156,314 | ) | 403,063 | -18.7 | % | ||||||||||
Depreciation and amortization | 23,585,744 | 25,621,018 | (2,035,274 | ) | -7.9 | % | 23,585,744 | 25,621,018 | (2,035,274 | ) | -7.9 | % | ||||||||||||
23,090,037 | 17,693,783 | 5,396,254 | 30.5 | % | 23,090,037 | 17,693,783 | 5,396,254 | 30.5 | % | |||||||||||||||
FFO 1 | $ | 15,131,955 | $ | 14,789,411 | $ | 342,544 | 2.3 | % | $ | 15,131,955 | $ | 14,789,411 | $ | 342,544 | 2.3 | % | ||||||||
Adjustments: | ||||||||||||||||||||||||
Acquisition and integration costs | 1,512,594 | 972,297 | 540,297 | 55.6 | % | 1,512,594 | 972,297 | 540,297 | 55.6 | % | ||||||||||||||
AFFO 1 | $ | 16,644,549 | $ | 15,761,708 | $ | 882,841 | 5.6 | % | $ | 16,644,549 | $ | 15,761,708 | $ | 882,841 | 5.6 | % | ||||||||
1 Non-IFRS Measure. | ||||||||||||||||||||||||
FFO and AFFO Per Basic Common Share Outstanding | ||||||||||||||||||||||||
FFO | $ | 0.040 | $ | 0.039 | $ | 0.001 | 3.3 | % | $ | 0.040 | $ | 0.039 | $ | 0.001 | 3.3 | % | ||||||||
AFFO | $ | 0.044 | $ | 0.042 | $ | 0.003 | 6.6 | % | $ | 0.044 | $ | 0.042 | $ | 0.003 | 6.6 | % | ||||||||
The following table reconciles Existing Self Storage Revenue, Operating Costs and Net Operating Income:
(unaudited) | (unaudited) | |||||||||||||||||||
Three Months Ended | Fiscal | |||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | |||||||||||||||
$ | % | $ | % | |||||||||||||||||
Revenue | ||||||||||||||||||||
Existing Self Storage 1 | $ | 61,617,516 | $ | 58,189,571 | $ | 3,427,945 | 5.9 | % | $ | 61,617,516 | $ | 58,189,571 | $ | 3,427,945 | 5.9 | % | ||||
New Self Storage 1 | 7,326,745 | 6,687,304 | 639,441 | 9.6 | % | 7,326,745 | 6,687,304 | 639,441 | 9.6 | % | ||||||||||
Total Self Storage | 68,944,261 | 64,876,875 | 4,067,386 | 6.3 | % | 68,944,261 | 64,876,875 | 4,067,386 | 6.3 | % | ||||||||||
Portable Storage | 2,000,609 | 2,066,266 | (65,657 | ) | -3.2 | % | 2,000,609 | 2,066,266 | (65,657 | ) | -3.2 | % | ||||||||
Management Fees | 446,208 | 474,331 | (28,123 | ) | -5.9 | % | 446,208 | 474,331 | (28,123 | ) | -5.9 | % | ||||||||
Combined | 71,391,078 | 67,417,472 | 3,973,606 | 5.9 | % | 71,391,078 | 67,417,472 | 3,973,606 | 5.9 | % | ||||||||||
Operating Costs | ||||||||||||||||||||
Existing Self Storage | 21,278,327 | 19,843,439 | 1,434,888 | 7.2 | % | 21,278,327 | 19,843,439 | 1,434,888 | 7.2 | % | ||||||||||
New Self Storage | 4,353,314 | 3,412,835 | 940,479 | 27.6 | % | 4,353,314 | 3,412,835 | 940,479 | 27.6 | % | ||||||||||
Total Self Storage | 25,631,641 | 23,256,274 | 2,375,367 | 10.2 | % | 25,631,641 | 23,256,274 | 2,375,367 | 10.2 | % | ||||||||||
Portable Storage | 1,516,908 | 1,589,319 | (72,411 | ) | -4.6 | % | 1,516,908 | 1,589,319 | (72,411 | ) | -4.6 | % | ||||||||
Combined | 27,148,549 | 24,845,593 | 2,302,956 | 9.3 | % | 27,148,549 | 24,845,593 | 2,302,956 | 9.3 | % | ||||||||||
Net Operating Income 1 | ||||||||||||||||||||
Existing Self Storage | 40,339,189 | 38,346,132 | 1,993,057 | 5.2 | % | 40,339,189 | 38,346,132 | 1,993,057 | 5.2 | % | ||||||||||
New Self Storage | 2,973,431 | 3,274,469 | (301,038 | ) | -9.2 | % | 2,973,431 | 3,274,469 | (301,038 | ) | -9.2 | % | ||||||||
Total Self Storage | 43,312,620 | 41,620,601 | 1,692,019 | 4.1 | % | 43,312,620 | 41,620,601 | 1,692,019 | 4.1 | % | ||||||||||
Portable Storage | 483,701 | 476,947 | 6,754 | 1.4 | % | 483,701 | 476,947 | 6,754 | 1.4 | % | ||||||||||
Management Fees | 446,208 | 474,331 | (28,123 | ) | -5.9 | % | 446,208 | 474,331 | (28,123 | ) | -5.9 | % | ||||||||
Combined | $ | 44,242,529 | $ | 42,571,879 | $ | 1,670,650 | 3.9 | % | $ | 44,242,529 | $ | 42,571,879 | $ | 1,670,650 | 3.9 | % | ||||
1 Non -IFRS Measure. | ||||||||||||||||||||
About
StorageVault owns and operates 244 storage locations across
For further information, contact Mr.
Tel: 1-877-622-0205
ir@storagevaultcanada.com
Forward-Looking Information: This news release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward-looking information. In particular, this news release contains forward-looking information regarding: the Corporation’s goal to continue to be disciplined purchasers of assets, focusing on controlling expenses, while maximizing revenues, NOI and free cash flow; and the Corporation’s strategy, including having multiple stores in the top markets in
Source:
2024 GlobeNewswire, Inc., source