18 July 2024
Big Yellow Group PLC ("Big Yellow" or "the Group")
Q1 Trading Statement
Big Yellow, the UK's brand leader in self storage, provides the following update on trading for the first quarter ended 30 June 2024.
Results
|
Financial metrics | Quarter ended | Quarter ended |
Change |
| Total revenue for the quarter | £50.2 million | £48.1 million | 4% |
| Like-for-like store revenue for the quarter (1) | £49.1 million | £47.6 million | 3% |
| Store metrics | | | |
| Store Maximum Lettable Area ("MLA") | 6,419,000 | 6,416,000 | - |
| Closing occupancy (sq ft) | 5,249,000 | 5,255,000 | - |
| Occupancy growth in the quarter (sq ft) | 220,000 | 167,000 | 32% |
| Closing occupancy | 81.8% | 81.9% | (0.1 ppts) |
| Like-for-like closing occupancy (1) | 82.4% | 83.0% | (0.6 ppts) |
| Average achieved net rent per sq ft | £34.13 | £32.74 | 4% |
| Closing net achieved rent per sq ft | £34.06 | £32.88 | 4% |
(1) Excluding Kings Cross (opened June 2023).
Occupancy across all 109 stores increased by 220,000 sq ft (3.4% of the MLA at 30 June 2024) compared to a gain of 167,000 sq ft in the same quarter last year (2.6% of the MLA at 30 June 2023).
Like-for-like closing occupancy for the portfolio has increased by 3.4 ppts to 82.4% from 79.0% at 31 March 2024 and is down 0.6 ppts from 30 June 2023. Closing occupancy was 81.8%, down 0.1 ppts from June 2023.
Closing net achieved rent per sq ft for all stores was £34.06, an increase of 4% from the same time last year, with average rate up 4% on the same quarter last year.
The Group's revenue for the quarter was up 4%, with like-for-like store revenue up 3% compared to the same quarter last year.
Property
Our new freehold store in Slough Farnham Road opens next week, and we will shortly start the process of transferring customers from our nearby leasehold store to the new location, ahead of surrendering the lease back to the landlord. We have commenced the construction programme of six other stores, which are at various stages, and we will provide a more detailed update with our interim results in November.
As previously reported, we were pleased to obtain planning consent at appeal for a 68,400 sq ft store in Kentish Town, in the London Borough of Camden, a densely populated area of inner London. We now have planning on nine of our 14 pipeline stores.
Jim Gibson, Chief Executive Officer, commented:
"As stated in May, we saw an improvement in our demand in the fourth quarter last year, which has continued into the current quarter, delivering a solid occupancy performance, coupled with continued growth in average rent. The principal driver of demand has been from our domestic customers.
We are focussed on driving occupancy to higher, previously achieved levels and maintaining sustainable rental growth reflective of a more modest inflationary environment.
Following the receipt of planning on nine sites we are now embarking on an intense period of construction activity, particularly concentrated in London, which will be the driver of significant value over the next few years."
For further information, please contact:
Big Yellow Group PLC 01276 477 811
Nicholas Vetch, Executive Chairman
Jim Gibson, Chief Executive Officer
John Trotman, Chief Financial Officer
Sodali & Co 020 7250 1446
Ben Foster
Notes to Editors
Big Yellow is the UK's brand leader in self storage. Big Yellow now operates from a platform of 109 stores, including 24 stores branded as Armadillo Self Storage. We have a pipeline of 1.0 million sq ft comprising 14 proposed Big Yellow self storage facilities. The current maximum lettable area of the existing platform (including Armadillo) is 6.4 million sq ft. When fully built out the portfolio will provide approximately 7.4 million sq ft of flexible storage space. 99% of our stores and sites by value are held freehold and long leasehold, with the remaining 1% short leasehold.
The Group has pioneered the development of the latest generation of self storage facilities, which utilise state of the art technology and are located in high profile, accessible, main road locations. Our focus on the location and visibility of our stores, with excellent customer service, a market-leading online platform, and significant and increasing investment in sustainability, has created in Big Yellow the most recognised brand name in the UK self storage industry.
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