National Storage Affiliates Trust
Q3 2025 Earnings
Market Reaction
Did NSA Beat Earnings? Q3 2025 Results
National Storage Affiliates delivered a challenging third quarter as persistent self storage industry headwinds weighed on results, with Core FFO per share declining to $0.57 from $0.62 a year ago and revenue reaching $188.70 million. The primary culprit was a 5.7% drop in same store NOI across its 771-property pool, where average occupancy slipped 150 basis points to 85.0% and property operating expenses climbed 4.9%, pressured by marketing, property taxes, and utilities costs. Net income came in at $29.02 million, a 2.5% year-over-year decline, while diluted EPS fell to $0.17 from $0.18. Despite the difficult operating environment, management reaffirmed its full-year 2025 Core FFO guidance of $2.17 to $2.23 per share, acknowledging that same store revenue is expected to decline between 3.0% and 2.0% for the full year. CEO David Cramer pointed to improving supply and demand dynamics, potential interest rate cuts, and a more favorable supply environment as reasons for cautious optimism heading into 2026.
- Same store total revenue decreased 2.6% YoY driven by 150 basis point decrease in average occupancy and 0.4% decrease in average annualized rental revenue per occupied square foot
- Same store property operating expenses increased 4.9% driven by increases in marketing, property tax expense and utilities, partially offset by decreases in insurance costs
- Same store NOI decreased 5.7% YoY
- Decrease in FFO and Core FFO per share driven by decrease in same store NOI and increase in interest expense
- Partially offset by decreased management fees paid to former PROs following internalization of PRO structure
- Management fees and other revenue increased $0.6 million in Q3 and $6.4 million YTD
- G&A expenses decreased $1.7 million in Q3 and $7.6 million YTD
“During the third quarter, the majority of our markets showed sequential improvement in same store revenue growth, which supports our view that fundamentals have found a bottom and are beginning to trend upward.”
National Storage Affiliates CEO, on the earnings call
Forward Guidance & Outlook
NSA reaffirmed its full-year 2025 Core FFO guidance of $2.17 to $2.23 per share. Same store operations guidance includes total revenue growth of (3.0)% to (2.0)%, property operating expenses growth of 3.25% to 4.25%, and NOI growth of (5.75)% to (4.25)%. Full-year 2025 earnings per share - diluted is estimated at $0.71 to $0.74. Management expects improved self storage fundamentals in 2026 and beyond, supported by an improving supply/demand balance, potential interest rate cuts, and favorable supply environment. The company guided for $42.0 to $44.0 million in G&A expenses (excluding equity-based compensation), $49.0 to $51.0 million in management fees and other revenue, and $50.0 to $100.0 million in acquisitions (consolidated and JV at share).
NSA YoY Financials
NSA Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.