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GS

Global Self Storage, Inc. (SELF)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 2025 delivered record revenues of $3.23M (+0.8% YoY) but materially lower net income ($0.50M, $0.04 diluted EPS) due to higher operating expenses and an unrealized loss on marketable securities swinging from a gain last year .
  • Revenue beat Wall Street consensus by ~1.2% ($3.23M vs $3.19M), while EPS consensus was unavailable; the top-line beat was driven by stronger occupancy and rate management initiatives *.
  • Same-store occupancy rose 170 bps YoY to 93.2%, with average tenant duration reaching a record ~3.5 years, reflecting targeted marketing and customer experience execution .
  • Non-GAAP FFO and AFFO declined modestly YoY in Q3 (FFO $1.00M/$0.09, AFFO $1.10M/$0.10), but remained covered alongside a maintained quarterly dividend of $0.0725 per share .
  • Shares rose ~1.2% post-earnings; the narrative centers on stable demand, muted new supply in operating markets, and expense pressure as a near-term headwind .

What Went Well and What Went Wrong

What Went Well

  • Sector-leading occupancy growth: Same-store occupancy increased 170 bps YoY to 93.2%, supported by targeted marketing and a superior customer experience; average tenant duration hit a record ~3.5 years .
  • Record revenue: Total revenues reached $3.23M (+0.8% YoY), with drivers including occupancy gains and proprietary revenue rate management .
  • Balance sheet flexibility: Capital resources totaled ~$24.8M (cash/restricted cash $7.5M, marketable securities $2.5M, $14.8M revolver availability), underpinning acquisition and expansion plans .

What Went Wrong

  • Earnings compression: Net income fell to $0.50M ($0.04 diluted EPS) from $1.18M ($0.10) YoY, driven by higher operating expenses and an unrealized loss on marketable securities vs. a gain last year .
  • Cost inflation and one-time items: Same-store cost of operations rose 7.4% YoY to $1.24M (utilities, employment costs, one-time repairs), pushing same-store NOI down 3.0% YoY .
  • Operating leverage headwind: Operating income declined to $0.73M from $0.87M YoY; general & administrative rose to $0.83M from $0.76M, including one-time G&A increases .

Financial Results

Consolidated Results vs Prior Year and Prior Quarter

MetricQ3 2024 (oldest)Q2 2025Q3 2025 (newest)
Revenue ($)$3,200,276 $3,194,378 $3,225,671
Diluted EPS ($)$0.10 $0.06 $0.04
Operating Income ($)$873,090 $828,925 $728,430
Total Operating Expenses ($)$2,327,186 $2,365,453 $2,497,241
Net Income ($)$1,181,657 $664,216 $496,259

Non-GAAP (Unaudited)

MetricQ3 2024 (oldest)Q2 2025Q3 2025 (newest)
FFO ($)$1,091,601 $1,095,380 $1,004,266
FFO per diluted share ($)$0.10 $0.10 $0.09
AFFO ($)$1,167,820 $1,167,598 $1,097,500
AFFO per diluted share ($)$0.10 $0.10 $0.10

Same-Store KPIs

KPIQ3 2024 (oldest)Q2 2025Q3 2025 (newest)
Same-store Revenues ($)$3,182,489 $3,175,596 $3,207,410
Same-store Cost of Operations ($)$1,153,947 $1,179,041 $1,239,432
Same-store NOI ($)$2,028,542 $1,996,555 $1,967,978
Same-store Occupancy (%)91.5% 94.7% 93.2%
Avg Tenant Duration (years)~3.4 ~3.4 ~3.5

Estimate Comparison (S&P Global)

MetricPeriodConsensusActualSurprise
Revenue ($)Q3 2025$3,186,000*$3,225,671 +$39,671 (~+1.2%)*
EPS ($)Q3 2025N/A*$0.04 N/A*

Values retrieved from S&P Global.*

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Dividend per common shareQuarterly$0.0725 $0.0725 (declared Sept 2, 2025) Maintained
RevenueFY/QuarterNot providedNot providedN/A
Margins/OpExFY/QuarterNot providedNot providedN/A
Capital AllocationOngoingStrategic plan focused on acquisitions/JVs/expansions Same focus; muted new supply in operating markets Maintained qualitative stance

Earnings Call Themes & Trends

TopicPrevious Mentions (Q1 & Q2 2025)Current Period (Q3 2025)Trend
Competitive move-in rate environmentPersistently competitive; still delivering peer-leading growth Environment remains competitive; fundamentals gradually improving Stabilizing
Targeted marketing & brand strengthDrives high-quality inquiries; 4.9/5 reviews; boosts conversions Primary driver of occupancy gains and longer tenant duration Consistent driver
Occupancy and durationOccupancy +80 bps to 92.1% (Q1); +170 bps to 94.7% (Q2); duration to 3.4–3.5 years Occupancy +170 bps YoY to 93.2%; duration ~3.5 years High and durable
Expense trendsStore-level and G&A decreased in Q1/Q2 Utilities, employment costs, one-time repairs increased; G&A one-time items Upward pressure
Supply/macroOperating markets not experiencing new supply headwinds; rates stabilizing Muted new supply; move-in rate stabilization continuing Supportive backdrop
Strategy/capital$24.9–$25.2M capital resources; focus on acquisitions/JVs/expansion ~$24.8M resources; same strategic focus Steady execution

Management Commentary

  • “In Q3, we continued to produce growth in same-store revenue and occupancy, despite the competitive move-in rate environment… market fundamentals continue to gradually improve.” — Mark C. Winmill, President & CEO .
  • “Our same-store occupancy increased year over year by a sector-leading 1.7 percentage points to reach 93.2%… targeted marketing program and… exceptional customer experience.” .
  • “Our strong balance sheet, with about $24.8 million in capital resources, positions us well to execute our strategic business plan… growth through acquisitions, joint ventures, and expansion in select markets…” .

Q&A Highlights

  • The company did not furnish an earnings call transcript in available sources during the period; no Q&A details were accessible via the document tools or company catalog [ListDocuments showed no earnings-call-transcript for SELF 9/1–11/20/2025].

Estimates Context

  • Revenue modestly beat S&P Global consensus in Q3 2025 (~$3.23M actual vs ~$3.19M consensus), driven by occupancy gains and rate management; EPS consensus was unavailable for the quarter *.
  • With higher operating expenses and the mark-to-market loss on marketable securities, models may need to carry higher OpEx assumptions and more conservative non-operating line expectations near-term .

Values retrieved from S&P Global.*

Key Takeaways for Investors

  • Operational execution remains strong: sector-leading occupancy growth and record tenant duration underpin revenue resilience despite competitive move-in rates .
  • Expense pressure is the swing factor: utilities/employment costs and one-time repairs elevated OpEx, compressing NOI and earnings; monitor cost normalization into Q4/Q1 .
  • Top-line momentum intact: proprietary rate management plus occupancy gains delivered a modest revenue beat vs consensus, indicating demand stability in SELF’s markets *.
  • Non-GAAP coverage sufficient: FFO/AFFO remained healthy and dividend was maintained and covered; capital resources (~$24.8M) support selective external growth .
  • Near-term trading: Expect sensitivity to expense commentary and non-operating items; positive catalysts include continued rate stabilization and confirmation of muted new supply .
  • Medium-term thesis: Targeted marketing and focus on high-quality tenants in select markets should sustain occupancy and duration; any tuck-in acquisitions/JVs could leverage platform efficiencies .
  • Risk checks: Watch for utility inflation, wage pressures, and episodic G&A; track mark-to-market on securities and interest rate cap impacts within other income/expense .

Additional Data Drivers and Explanations

  • The YoY net income decline was primarily due to higher store OpEx and the unrealized loss on marketable equity securities versus a gain in Q3 2024, dampening total other income .
  • Same-store NOI decline (-3.0% YoY) traced to elevated store operating expenses (utilities, employment, one-time repairs), despite revenue growth .
  • QTD G&A included one-time expenses, contributing to lower operating income YoY .

Stock Reaction

  • Post-earnings, SELF shares rose ~1.2%, with the market acknowledging solid occupancy metrics but weighing expense headwinds .