Extra Space Storage: 2Q CFFO Well Ahead on Stronger Core Ops

Research evidence excerpt

Extra Space Storage: 2Q CFFO Well Ahead on Stronger Core Ops

J P M O R G A N North America Equity Research

28 July 2026

Extra Space Storage Neutral

EXR, EXR US

2Q CFFO Well Ahead on Stronger Core Ops Price (28 Jul 26):$152.21

REITs

After Tuesday’s close, Extra Space reported 2Q operating results that came in Michael W. Mueller, CFA AC

ahead of expectations, and management boosted guidance. EXR reported CFFO/ (1-212) 622-6689

share of $2.15, which was $0.07/0.08 ahead of the Street and JPM with the michael.w.mueller@jpmorgan.com

outperformance coming from SS NOI growth upside. Given the results and Anthony Paolone, CFA

management’s positive comments about being further into the recovery, EXR (1-212) 622-6682

raised both the SS NOI and CFFO/share outlooks (more below). On the operating anthony.paolone@jpmorgan.com

front, both SS revenues and expenses contributed to the beat and the average SS Nahom Tesfazghi

net-rent per occupied SF comp increased 2.3% YoY, which was a 40 bp (1-212) 622 4884

nahom.tesfazghi@jpmchase.com

improvement from 1Q’s comp. Move-in rates were higher YoY, but less so (on a

Daniella De Armas Rosales

percentage basis) compared to 1Q. There was also some investment activity during (1-212) 622-0050

the quarter along with a $100 million acquisition guidance increase. On daniella.dearmasrosales@jpmchase.com

tomorrow’s call, we expect some areas of focus to be on move-in rent and portfolio J.P. Morgan Securities LLC

net-rent per occupied SF trends, as well as the quarter’s expense controls.

Strong SS ops driving CFFO beat... EXR reported 2Q26 CFFO/share of $2.15,

which was well ahead of JPM at $2.06 and Bloomberg consensus at $2.07. Relative

to our model, same-store NOI was ~$0.07 higher than we forecasted and