Q2 2026 Public Storage Earnings Call Transcript
Key Points
- Public Storage (PSA) successfully closed the NSA transaction, transitioning 1,100 stores and 575,000 units onto its platform overnight, with over 1,500 reservations and 265,000 auto-pay accounts switched on day one.
- The company announced the acquisition of Public Storage Canada, a strategic entry into an underpenetrated Canadian market with high-quality infill assets and significant embedded upside for future growth.
- Core operating metrics are improving, with average move-in rents turning positive at +1.6% year-over-year in Q2 2026, the first time since 2021 that both move-in rates and occupancy were up.
- Guidance was raised across all key metrics for 2026, with same-store revenue growth now expected to exit the year positive in the fourth quarter, driven by improved new move-in rates and occupancy.
- The company's balance sheet remains strong with net debt to EBITDA of 2.9x, and it has completed approximately $12 billion in capital markets activity year-to-date, fully funding accretive external growth.
- Same-store revenue and NOI growth were negative in Q2 2026 at -0.6% and -2.2% respectively, though ahead of internal expectations.
- Expense growth was positive at 4.4% for the quarter, with pressure from property taxes and increased incentive compensation costs.
- Sun Belt markets continue to lag, with Tampa seeing NOI down 10%, Miami down 3%, and Atlanta down 6%, as they work through new supply and tough comps.
- The LA County state of emergency expiration creates a -50 basis point headwind to same-store revenue growth in 2026, with a measured and phased approach to recapturing market rents.
- The company raised equity via an ATM program, issuing nearly 800,000 shares, which can be modestly dilutive to near-term FFO per share.
(Operator Instructions)
As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Jed Ragan.
Thank you. You may begin.
Thank you, operator. Hello, everyone, and thank you for joining us for our second quarter 2026 earnings call. I'm here with Tom Boyle and Joe Fisher.
Before we begin, we want to remind you that certain matters discussed during this call may constitute forward-looking statements within the meaning of the federal securities laws.
These forward-looking statements are subject to certain economic risks and uncertainties.
All forward-looking statements speak only as of today, July 30, 2026, and we assume no obligation to update, revise or supplement statements that become untrue because of subsequent events.
A reconciliation to GAAP of the non-GAAP financial measures we provide on this call is included in our earnings release. You can find our press release, supplement report,
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
