Extra Space Storage Inc. Reports 2025 Fourth Quarter and Year-End Results

SALT LAKE CITY, Feb. 19, 2026 /PRNewswire/ -- Extra Space Storage Inc. (NYSE: EXR) (the "Company"), a leading owner and operator of self-storage facilities in the United States and a member of the S&P 500 index, announced operating results for the three months and year ended December 31, 2025.

Highlights for the three months ended December 31, 2025:

Highlights for the year ended December 31, 2025:

Joe Margolis, CEO of the Company, stated: "The team delivered steady results in 2025, achieving industry-leading occupancy and new customer rate growth, resulting in positive same-store revenue growth. Core FFO per share grew 1.1%, driven by the strength of our third-party management and bridge loan platform. Our joint venture relationships and disciplined capital allocation enabled us to source creative, off-market investment opportunities that will generate attractive long-term future returns.

As we look ahead to 2026, we are seeing positive trends. We believe customer rates are strengthening, new supply is moderating, and our portfolio is well-positioned to benefit as the operating environment improves. Along with the steady contributions from our ancillary businesses, we expect to deliver improving results in the coming year."

FFO Per Share:

The following table (unaudited) outlines the Company's FFO and Core FFO for the three months and year ended December 31, 2025 and 2024. The table also provides a reconciliation to GAAP net income attributable to common stockholders and earnings per diluted share for each period presented (amounts shown in thousands, except share and per share data):

For the Three Months Ended December 31,

For the Year Ended December 31,

2025

2024

2025

2024

(per share) 1

Net income attributable to

common stockholders

$ 287,395

$ 1.36

$ 262,487

$ 1.24

$ 973,999

$ 4.59

$ 854,681

$ 4.03

Impact of the difference in

weighted average number of

shares – diluted 2

(0.06)

(0.05)

(0.19)

(0.17)

Adjustments:

Real estate depreciation

166,741

0.75

156,027

0.70

655,452

2.95

618,189

2.78

Amortization of intangibles

2,975

0.01

28,305

0.13

20,316

0.09

113,886

0.51

Loss (gain) on real estate

assets held for sale and sold,

net

6,079

0.03

(37,714)

(0.17)

76,310

0.34

25,906

0.12

Unconsolidated joint venture

real estate depreciation and

amortization

8,852

0.04

8,907

0.04

32,748

0.15

32,678

0.15

Unconsolidated joint venture

gain on sale of real estate

assets and sale of a joint

venture interest

(45,167)

(0.20)

—

(54,521)

(0.25)

(13,730)

(0.06)

Income allocated to Operating

Partnership and other

noncontrolling interests

13,469

0.06

15,314

0.07

48,539

0.22

45,551

0.21

FFO

$ 440,344

$ 1.99

$ 433,326

$ 1.96

$ 1,752,843

$ 7.90

$ 1,677,161

$ 7.57

Adjustments:

Non-cash interest expense

related to amortization of

discount on unsecured senior

notes, net

12,350

0.05

11,157

0.05

47,519

0.22

43,720

0.20

Amortization of other

intangibles related to the Life

Storage Merger, net of tax

benefit

3,917

0.02

5,761

0.02

16,283

0.07

26,959

0.12

Acceleration of share-based

compensation expense due to

executive officer retirement

4,200

0.02

—

4,200

0.02

—

Impairment of Life Storage

trade name

—

51,763

0.23

CORE FFO

$ 460,811

$ 2.08

$ 450,244

$ 2.03

$ 1,820,845

$ 8.21

$ 1,799,603

$ 8.12

Weighted average number of

shares – diluted 3

221,727,769

221,329,035

221,891,065

221,623,954

(1)

Per share amounts may not recalculate due to rounding.

(2)

The adjustment to account for the difference between the number of shares used to calculate earnings per share and the number of shares used to calculate FFO per share. Earnings per share is calculated using the two-class method, which uses a lower number of shares than the calculation for FFO per share and Core FFO per share, which are calculated assuming full redemption of all OP units as described in note (3).

(3)

Extra Space Storage LP (the "Operating Partnership") has outstanding preferred and common Operating Partnership units ("OP units"). These OP units can be redeemed for cash or, at the Company's election, shares of the Company's common stock. Redemption of all OP units for common stock has been assumed for purposes of calculating the weighted average number of shares — diluted, as presented above. The computation of weighted average number of shares — diluted, for FFO per share and Core FFO per share also includes the effect of share-based compensation plans.

Operating Results and Same-Store Performance:

The following table (unaudited) outlines the Company's same-store performance for the three months and year ended December 31, 2025 and 2024 (amounts shown in thousands, except store count data) 1:

For the Three Months

Ended December 31,

Percent

For the Year Ended

December 31,

Percent

2025

2024

Change

2025

2024

Change

Same-store property revenues 2

Net rental income

$ 639,489

$ 636,530

0.5 %

$ 2,549,537

$ 2,540,782

0.3 %

Other income

24,744

25,278

(2.1) %

99,277

104,752

(5.2) %

Total same-store revenues

$ 664,233

$ 661,808

0.4 %

$ 2,648,814

$ 2,645,534

0.1 %

Same-store operating expenses 2

Payroll and benefits

$ 42,387

$ 39,983

6.0 %

$ 164,241

$ 158,699

3.5 %

Marketing

14,763

13,781

7.1 %

63,166

60,059

5.2 %

Office expense 3

19,727

19,765

(0.2) %

80,381

80,565

(0.2) %

Property operating expense 4

16,032

16,950

(5.4) %

69,649

69,108

0.8 %

Repairs and maintenance

13,782

12,547

9.8 %

55,391

51,742

7.1 %

Property taxes

73,079

75,654

(3.4) %

298,563

277,569

7.6 %

Insurance

8,559

7,619

12.3 %

32,626

30,586

6.7 %

Total same-store operating expenses

$ 188,329

$ 186,299

1.1 %

$ 764,017

$ 728,328

4.9 %

Same-store net operating income 2

$ 475,904

$ 475,509

0.1 %

$ 1,884,797

$ 1,917,206

(1.7) %

Same-store square foot occupancy as of quarter

end

92.6 %

93.3 %

92.6 %

93.3 %

Average same-store square foot occupancy

93.1 %

93.6 %

93.7 %

93.3 %

Properties included in same-store 5

1,804

(1)

A reconciliation of net income to same-store net operating income is provided later in this release, entitled "Reconciliation of GAAP Net Income to Total Same-Store Net Operating Income."

(2)

Same-store revenues, operating expenses and net operating income do not include tenant reinsurance revenue or expense.

(3)

Includes general office expenses, computer, bank fees, and credit card merchant fees.

(4)

Includes utilities and miscellaneous other store expenses.

(5)

On January 1, 2025, the Company updated the property count of the same-store pool from 1,071 to 1,829 stores. In the year ended December 31, 2025, 25 properties were sold, reducing the same-store pool to 1,804 stores.

Details related to the same-store performance of stores by metropolitan statistical area ("MSA") for the three months and year ended December 31, 2025 and 2024 are provided in the supplemental financial information published on the Company's Investor Relations website at https://ir.extraspace.com/.

Investment and Property Management Activity:

The following table (unaudited) outlines the Company's acquisitions and developments that are closed, completed or under agreement (dollars in thousands).

Closed/Completed through

December 31, 2025

Closed /Completed or

Scheduled to Still

Close/Complete in 2026

Total 2026

Wholly-Owned Investment 1

Stores

Price

Stores

Price

Stores

Price

Operating Stores 2

$ 483,561

$ 12,500

Buyout of JV Partners' Interest in

Operating Stores

342,150

—

EXR Investment in Wholly-

Owned Stores

825,711

12,500

Joint Venture Investment 1

EXR Investment in JV Acquisition of

Operating Stores

24,495

2,730

EXR Investment in JV Development

and C of O

29,031

58,091

EXR Investment in Joint

Ventures

53,526

60,821

Total EXR Investment

$ 879,237

$ 73,321

(1)

The locations of C of O and development stores and joint venture ownership interest details are included in the supplemental financial information published on the Company's Investor Relations website at https://ir.extraspace.com/.

(2)

Includes the buyout of a partner's interest in one existing consolidated joint venture in the year ended December 31, 2025.

The projected developments and acquisitions under agreement described above are subject to customary closing conditions and no assurance can be provided that these developments and acquisitions will be completed on the terms described, or at all.

Property Sales:

During the three months ended December 31, 2025, the Company sold its interest in nine of ten properties held in a joint venture, resulting in a net gain of $45.2 million, and the Company continues to manage these properties. The Company purchased the interest of its partner in the remaining property for $15.8 million. During the quarter the Company also completed the sale of 26 properties previously held for sale. Additionally, the Company listed one property as held for sale.

Bridge Loans:

During the three months ended December 31, 2025, the Company originated $80.4 million in bridge loans and sold two bridge loans for $16.2 million. Outstanding balances of the Company's bridge loans were approximately $1.5 billion at the end of the quarter. The Company has an additional $57.7 million in bridge loans that have closed subsequent to quarter end or are under agreement to close in 2026. Additional details related to the Company's loan activity and balances held are included in the supplemental financial information published on the Company's Investor Relations website at https://ir.extraspace.com/.

Property Management:

As of December 31, 2025, the Company managed 1,856 stores for third-party owners and 407 stores owned in unconsolidated joint ventures, for a total of 2,263 stores under management. The Company is the largest self-storage management company in the United States.

Balance Sheet:

During the three months ended December 31, 2025, the Company repurchased 1,089,659 shares of common stock for $140.9 million at an average price of $129.32 per share using its stock repurchase program, and as of December 31, 2025, the Company had authorization to purchase up to $350.5 million under the program.

During the three months ended December 31, 2025, the Company did not issue any shares on its ATM program, and as of December 31, 2025, the Company had $800.0 million available for issuance.

As of December 31, 2025, the Company's commercial paper program had total capacity of $1.0 billion, with $680.0 million in outstanding issuances.

As of December 31, 2025, the Company's percentage of fixed-rate debt to total debt was 82.1%. Net of the impact of variable rate receivables, the effective fixed-rate debt to total debt was 92.7%. The weighted average interest rates of the Company's fixed and variable-rate debt were 4.2% and 4.8%, respectively. The combined weighted average interest rate was 4.3% with a weighted average maturity of approximately 4.5 years. Full details related to the Company's debt schedule are included in the supplemental financial information published on the Company's Investor Relations website at https://ir.extraspace.com/.

Dividends:

On December 31, 2025, the Company paid a fourth quarter common stock dividend of $1.62 per share to stockholders of record at the close of business on December 15, 2025.

Outlook:

The following table outlines the Company's Core FFO estimates and assumptions for the year ending December 31, 2026.

Ranges for 2026

Annual Assumptions

Notes

(February 19, 2026)

Low

High

Core FFO

$8.05

$8.35

Dilution per share from C of O and

value add acquisitions

$0.18

Same-store revenue growth

(0.50) %

1.50 %

Same-store pool of 1,871 stores

Same-store expense growth

2.00 %

3.50 %

Same-store pool of 1,871 stores

Same-store NOI growth

(2.25) %

1.25 %

Same-store pool of 1,871 stores

Weighted average one-month SOFR

3.46 %

Net tenant reinsurance income

$289,000,000

$292,000,000

Management fees and other income

$138,000,000

$139,500,000

Interest income

$149,500,000

$151,000,000

Includes interest from bridge loans and dividends from

NexPoint preferred investment

General and administrative expenses

$190,500,000

$192,500,000

Includes non-cash compensation

Equity in earnings of real estate

ventures

$63,500,000

$64,500,000

Includes dividends from SmartStop preferred

investments

Interest expense

$590,000,000

$595,000,000

Excludes non-cash interest expense shown below

Non-cash interest expense related to

amortization of discount on unsecured

senior notes, net

$42,000,000

$43,000,000

Amortization of debt mark-to-market; excluded from

Core FFO

Income Tax Expense

$47,000,000

$48,000,000

Taxes associated with the Company's taxable REIT

subsidiary

Acquisitions

$200,000,000

Includes wholly-owned acquisitions and the Company's

investment in joint ventures

Bridge loans outstanding

$1,475,000,000

Represents the Company's average retained loan

balances for the year

Weighted average share count

221,100,000

Assumes redemption of all OP units for common stock

(1)

A reconciliation of net income outlook to same-store net operating income outlook is provided later in this release entitled "Reconciliation of Estimated GAAP Net Income to Estimated Same-Store Net Operating Income." The reconciliation includes details related to same-store revenue and same-store expense outlooks. A reconciliation of net income per share outlook to funds from operations per share outlook is provided later in this release entitled "Reconciliation of the Range of Estimated GAAP Fully Diluted Earnings Per Share to Estimated Fully Diluted FFO Per Share."

FFO estimates for the year are fully diluted for an estimated average number of shares and OP units outstanding during the year. The Company's estimates are forward-looking and based on management's view of current and future market conditions. The Company's actual results may differ materially from these estimates.

Supplemental Financial Information:

Supplemental unaudited financial information regarding the Company's performance can be found on the Company's website at www.extraspace.com. Under the "Company Info" navigation menu on the home page, click on "Investor Relations," then under the "Financials" navigation menu click on "Quarterly Results." This supplemental information provides additional detail on items that include store occupancy and financial performance by portfolio and market, debt maturity schedules and performance of lease-up assets.

Conference Call:

The Company will host a conference call at 1:00 p.m. Eastern Time on Friday, February 20, 2026, to discuss its financial results. Telephone participants may avoid any delays in joining the conference call by pre-registering for the call using the following link to receive a special dial-in number and PIN: https://events.q4inc.com/analyst/127770346?pwd=vGIh5v5J

A live webcast of the call will also be available on the Company's investor relations website at https://ir.extraspace.com. To listen to the live webcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download and install any necessary audio software.

A replay of the call will be available for 30 days on the investor relations section of the Company's website beginning at 5:00 p.m. Eastern Time on February 20, 2026.

Forward-Looking Statements:

Certain information set forth in this release contains "forward-looking statements" within the meaning of the federal securities laws. Forward-looking statements include statements concerning the benefits of store acquisitions, developments, market conditions, our outlook and estimates for the year and other statements concerning our plans, objectives, goals, strategies, future events, future revenues or performance, capital expenditures, financing needs, the competitive landscape, the impact of broader economic trends on the storage industry, our plans or intentions relating to acquisitions and developments, and other information that is not historical information. In some cases, forward-looking statements can be identified by terminology such as "believes," "estimates," "expects," "may," "will," "should," "anticipates," or "intends," or the negative of such terms or other comparable terminology, or by discussions of strategy. We may also make additional forward-looking statements from time to time. All such subsequent forward-looking statements, whether written or oral, by us or on our behalf, are also expressly qualified by these cautionary statements. There are a number of risks and uncertainties that could cause our actual results to differ materially from the forward-looking statements contained in or contemplated by this release. Any forward-looking statements should be considered in light of the risks referenced in the "Risk Factors" section included in our most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Such factors include, but are not limited to:

All forward-looking statements are based upon our current expectations and various assumptions. Our expectations, beliefs and projections are expressed in good faith and we believe there is a reasonable basis for them, but there can be no assurance that management's expectations, beliefs and projections will result or be achieved. All forward-looking statements apply only as of the date made. We undertake no obligation to publicly update or revise forward-looking statements which may be made to reflect events or circumstances after the date made or to reflect the occurrence of unanticipated events.

Definition of FFO:

FFO provides relevant and meaningful information about the Company's operating performance that is necessary, along with net income and cash flows, for an understanding of the Company's operating results. The Company believes FFO is a meaningful disclosure as a supplement to net income. Net income assumes that the values of real estate assets diminish predictably over time as reflected through depreciation and amortization expenses. The values of real estate assets fluctuate due to market conditions and the Company believes FFO more accurately reflects the value of the Company's real estate assets. FFO is defined by the National Association of Real Estate Investment Trusts, Inc. ("NAREIT") as net income computed in accordance with U.S. generally accepted accounting principles ("GAAP"), excluding gains or losses on sales of operating stores and impairment write downs of depreciable real estate assets, plus depreciation and amortization related to real estate and after adjustments to record unconsolidated partnerships and joint ventures on the same basis. The Company believes that to further understand the Company's performance, FFO should be considered along with the reported net income and cash flows in accordance with GAAP, as presented in the Company's consolidated financial statements. FFO should not be considered a replacement of net income computed in accordance with GAAP.

For informational purposes, the Company also presents Core FFO. Core FFO excludes revenues and expenses not core to our operations and transaction costs. It also includes certain costs associated with the Life Storage Merger including non-cash interest related to the amortization of discount on unsecured senior notes and amortization of other intangibles, net of tax benefit. Although the Company's calculation of Core FFO differs from NAREIT's definition of FFO and may not be comparable to that of other REITs and real estate companies, the Company believes it provides a meaningful supplemental measure of operating performance. The Company believes that by excluding revenues and expenses not core to our operations and non-cash interest charges, stockholders and potential investors are presented with an indicator of our operating performance that more closely achieves the objectives of the real estate industry in presenting FFO. Core FFO by the Company should not be considered a replacement of the NAREIT definition of FFO. The computation of FFO may not be comparable to FFO reported by other REITs or real estate companies that do not define the term in accordance with the current NAREIT definition or that interpret the current NAREIT definition differently. FFO does not represent cash generated from operating activities determined in accordance with GAAP, and should not be considered as an alternative to net income as an indication of the Company's performance, as an alternative to net cash flow from operating activities as a measure of liquidity, or as an indicator of the Company's ability to make cash distributions.

Definition of Same-Store:

The Company's same-store pool for the periods presented consists of 1,804 stores that are wholly-owned and operated and that were stabilized by the first day of the earliest calendar year presented. The Company considers a store to be stabilized once it has been open for three years or has sustained average square foot occupancy of 80.0% or more for one calendar year. The Company believes that by providing same-store results from a stabilized pool of stores, with accompanying operating metrics including, but not limited to occupancy, rental revenue (growth), operating expenses (growth), net operating income (growth), etc., stockholders and potential investors are able to evaluate operating performance without the effects of non-stabilized occupancy levels, rent levels, expense levels, acquisitions or completed developments. Same-store results should not be used as a basis for future same-store performance or for the performance of the Company's stores as a whole.

About Extra Space Storage Inc.:

Extra Space Storage Inc., headquartered in Salt Lake City, Utah, is a self-administered and self-managed REIT and a member of the S&P 500. As of December 31, 2025, the Company owned and/or operated 4,281 self-storage stores in 43 states and Washington, D.C. The Company's stores comprise approximately 2.9 million units and approximately 330.4 million square feet of rentable space operating under the Extra Space brand. The Company offers customers a wide selection of conveniently located and secure storage units across the country, including boat storage, RV storage and business storage. It is the largest operator of self-storage properties in the United States.

Extra Space Storage Inc.

Condensed Consolidated Balance Sheets

(In thousands, except share data)

December 31, 2025

December 31, 2024

(Unaudited)

Assets:

Real estate assets, net

$ 25,004,350

$ 24,587,627

Real estate assets - operating lease right-of-use assets

732,176

689,803

Investments in unconsolidated real estate entities

1,066,783

1,332,338

Investments in debt securities and notes receivable

1,806,526

1,550,950

Cash and cash equivalents

138,920

138,222

Other assets, net

515,291

548,986

Total assets

$ 29,264,046

$ 28,847,926

Liabilities, Noncontrolling Interests and Equity:

Secured notes payable, net

$ 1,079,565

$ 1,010,541

Unsecured term loans, net

1,494,659

2,192,507

Unsecured senior notes, net

9,432,427

7,756,968

Revolving lines of credit and commercial paper

1,224,000

1,362,000

Operating lease liabilities

761,106

705,845

Cash distributions in unconsolidated real estate ventures

73,701

75,319

Accounts payable and accrued expenses

357,583

346,519

Other liabilities

516,969

538,865

Total liabilities

14,940,010

13,988,564

Commitments and contingencies

Noncontrolling Interests and Equity:

Extra Space Storage Inc. stockholders' equity:

Preferred stock, $0.01 par value, 50,000,000 shares authorized, no shares issued

or outstanding

—

Common stock, $0.01 par value, 500,000,000 shares authorized, 211,155,322

and 211,995,510 shares issued and outstanding at December 31, 2025 and

December 31, 2024, respectively

2,112

2,120

Additional paid-in capital

14,880,646

14,831,946

Accumulated other comprehensive income

(420)

12,806

Accumulated deficit

(1,449,172)

(899,337)

Total Extra Space Storage Inc. stockholders' equity

13,433,166

13,947,535

Noncontrolling interest represented by Preferred Operating Partnership units

53,827

76,092

Noncontrolling interests in Operating Partnership, net and other noncontrolling

interests

837,043

835,735

Total noncontrolling interests and equity

14,324,036

14,859,362

Total liabilities, noncontrolling interests and equity

$ 29,264,046

$ 28,847,926

Consolidated Statement of Operations for the Three Months and Year Ended December 31, 2025 and 2024

(In thousands, except share and per share data) - Unaudited

For the Three Months Ended

December 31,

For the Year Ended

December 31,

2025

2024

2025

2024

Revenues:

Property rental

$ 734,225

$ 707,234

$ 2,895,190

$ 2,803,252

Tenant reinsurance

89,251

83,695

352,876

332,795

Management fees and other income

33,991

30,967

129,476

120,855

Total revenues

857,467

821,896

3,377,542

3,256,902

Expenses:

Property operations

231,459

221,111

918,148

831,566

Tenant reinsurance

17,031

18,240

68,873

73,886

General and administrative

51,938

44,025

186,343

167,398

Depreciation and amortization

180,089

196,202

715,177

783,023

Total expenses

480,517

479,578

1,888,541

1,855,873

(Loss) gain on real estate assets held for sale and sold, net

(6,079)

37,714

(76,310)

(25,906)

Impairment of Life Storage trade name

—

(51,763)

Income from operations

370,871

380,032

1,412,691

1,323,360

Interest expense

(149,436)

(138,479)

(587,613)

(551,354)

Non-cash interest expense related to amortization of discount on unsecured senior

notes, net

(12,350)

(11,157)

(47,519)

(43,720)

Interest income

38,649

34,676

163,202

124,422

Income before equity in earnings and dividend income from unconsolidated real

estate entities and income tax expense

247,734

265,072

940,761

852,708

Equity in earnings and dividend income from unconsolidated real estate entities

16,931

18,764

68,815

67,272

Equity in earnings of unconsolidated real estate ventures - gain on sale of real estate

assets and sale of a joint venture interest

45,167

—

54,521

13,730

Income tax expense

(8,968)

(6,035)

(41,559)

(33,478)

Net income

300,864

277,801

1,022,538

900,232

Net income allocated to Preferred Operating Partnership noncontrolling interests

(723)

(1,189)

(2,894)

(7,262)

Net income allocated to Operating Partnership and other noncontrolling interests

(12,746)

(14,125)

(45,645)

(38,289)

Net income attributable to common stockholders

$ 287,395

$ 262,487

$ 973,999

$ 854,681

Earnings per common share

Basic

$ 1.36

$ 1.24

$ 4.59

$ 4.03

Diluted

$ 1.36

$ 1.24

$ 4.59

$ 4.03

Weighted average number of shares

Basic

211,648,451

211,737,843

211,850,521

211,575,240

Diluted

221,052,557

211,737,843

211,850,521

211,577,680

Reconciliation of GAAP Net Income to Total Same-Store Net Operating Income — for the Three Months and Year Ended

December 31, 2025 and 2024 (In thousands) - Unaudited

For the Three Months Ended

December 31,

For the Year Ended December

31,

2025

2024

2025

2024

Net Income

$ 300,864

$ 277,801

$ 1,022,538

$ 900,232

Adjusted to exclude:

Loss (gain) on real estate assets held for sale and sold, net

6,079

(37,714)

76,310

25,906

Equity in earnings and dividend income from unconsolidated real

estate entities

(16,931)

(18,764)

(68,815)

(67,272)

Equity in earnings of unconsolidated real estate ventures - gain on sale

of real estate assets and sale of a joint venture interest

(45,167)

—

(54,521)

(13,730)

Interest expense

149,436

138,479

587,613

551,354

Non-cash interest expense related to amortization of discount on

unsecured senior notes, net

12,350

11,157

47,519

43,720

Depreciation and amortization

180,089

196,202

715,177

783,023

Impairment of Life Storage trade name

—

51,763

Income tax expense

8,968

6,035

41,559

33,478

General and administrative

51,938

44,025

186,343

167,398

Management fees, other income and interest income

(72,640)

(65,643)

(292,678)

(245,277)

Net tenant insurance

(72,220)

(65,455)

(284,003)

(258,909)

Non same-store rental revenue

(69,992)

(45,426)

(246,376)

(157,718)

Non same-store operating expense

43,130

34,812

154,131

103,238

Total same-store net operating income

$ 475,904

$ 475,509

$ 1,884,797

$ 1,917,206

Same-store rental revenues

664,233

661,808

2,648,814

2,645,534

Same-store operating expenses

188,329

186,299

764,017

728,328

Same-store net operating income

$ 475,904

$ 475,509

$ 1,884,797

$ 1,917,206

Reconciliation of the Range of Estimated GAAP Fully Diluted Earnings Per Share to Estimated Fully Diluted FFO Per Share —

for the Year Ending December 31, 2026 - Unaudited

For the Year Ending

December 31, 2026

Low End

High End

Net income attributable to common stockholders per diluted share

$ 4.40

$ 4.70

Income allocated to noncontrolling interest - Preferred Operating

Partnership and Operating Partnership

0.22

Net income attributable to common stockholders for diluted computations

4.62

4.92

Adjustments:

Real estate depreciation

3.02

Amortization of intangibles

0.05

Unconsolidated joint venture real estate depreciation and amortization

0.13

Funds from operations attributable to common stockholders

7.82

8.12

Adjustments:

Non-cash interest expense related to amortization of discount on unsecured

senior notes, net

0.19

Amortization of other intangibles related to the Life Storage Merger, net of

tax benefit

0.04

Core funds from operations attributable to common stockholders

$ 8.05

$ 8.35

Reconciliation of Estimated GAAP Net Income to Estimated Same-Store Net Operating Income —

for the Year Ending December 31, 2026 (In thousands) - Unaudited

For the Year Ending December 31, 2026

Low

High

Net Income

$ 1,000,500

$ 1,084,000

Adjusted to exclude:

Equity in earnings of unconsolidated joint ventures

(63,500)

(64,500)

Interest expense

595,000

590,000

Non-cash interest expense related to amortization of discount on

unsecured senior notes, net

43,000

42,000

Depreciation and amortization

713,500

Income tax expense

48,000

47,000

General and administrative

192,500

190,500

Management fees and other income

(138,000)

(139,500)

Interest income

(149,500)

(151,000)

Net tenant reinsurance income

(289,000)

(292,000)

Non same-store rental revenues

(219,000)

(220,000)

Non same-store operating expenses

144,500

144,000

Total same-store net operating income 1

$ 1,878,000

$ 1,944,000

Same-store rental revenues 1

2,693,000

2,747,000

Same-store operating expenses 1

815,000

803,000

Total same-store net operating income 1

$ 1,878,000

$ 1,944,000

(1)

Estimated same-store rental revenues, operating expenses and net operating income are for the Company's 2026 same-store pool of 1,871 stores.

SOURCE Extra Space Storage Inc.