Extra Space (EXR) Q2 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, April 28, 2026 astatine 12:02 PM CDT 39 min read

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DATE

Thursday, July 31, 2025 astatine 1 p.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Joseph Daniel Margolis

• Chief Financial Officer — Jeffrey Norman

Full Conference Call Transcript

Joseph Daniel Margolis: Thank you for joining america today. We had a coagulated 2nd quarter. Our operational momentum continued with same-store occupancy reaching 94.6%, up 60 ground points year-over-year and 120 ground points sequentially from the archetypal quarter. We were besides capable to execute affirmative year-over-year complaint maturation to caller customers for the archetypal clip since March 2022. We are encouraged by these affirmative complaint trends, adjacent though the advancement is processing much gradually than we initially expected, resulting successful level same-store gross maturation successful the quarter. While incoming lawsuit terms sensitivity is inactive apparent, complaint maturation is present positive, and we are trending successful the close direction.

As we look forward, our measured progress, elevated occupancy and the easing of caller proviso unit positions america good to capitalize connected improving marketplace fundamentals arsenic our squad continues to execute efficiently crossed each operational areas. During the 2nd quarter, we executed connected strategical opportunities crossed our diversified platform. We completed lone 1 acquisition for $12 million, demonstrating our committedness to prudent and disciplined superior allocation successful a high-priced market. We besides bought retired 2 associated task partners' interests successful 27 properties for $326 cardinal astatine charismatic valuations, driven by our partners' liquidity needs and favorable concern terms. Our span indebtedness programme continued gaining marketplace traction, generating $158 cardinal successful caller originations.

Simultaneously, our third- enactment absorption programme added 93 stores with nett maturation of 74 properties, expanding our managed portfolio to 1,749 stores, providing much standard and ratio to our sector-leading platform. Our multichannel attack combining opportunistic acquisitions and capital-light activities demonstrates our quality to make worth and turn accretively careless of marketplace conditions, positioning america to capitalize connected opportunities arsenic they emerge. The self-storage assemblage continues to show its resilience and our concern exemplary remains strong. Our portfolio's geographic diversification continues to service america good with maturation markets helping to offset softer conditions successful regions impacted by caller proviso oregon authorities of exigency restrictions. This balanced marketplace vulnerability provides extortion against localized economical fluctuations. Operationally, our cardinal metrics stay solid.