StorageVault Reports 2020 Second Quarter Results and Increases Dividend

TORONTO, Aug. 13, 2020 (GLOBE NEWSWIRE) -- STORAGEVAULT CANADA INC. (“StorageVault” or the “Corporation”) (SVI-TSX-V) reported the Corporation’s 2020 second quarter results and increases its dividend. Iqbal Khan, Chief Financial Officer, commented:

“Despite the impacts of COVID-19, we achieved 3% year over year increases in same store revenue and NOI.  Our results were muted due to reduced rental activity in a period in which we would normally see a surge in activity due to the seasonal nature of our business. Furthermore, we paused rent increases, late charges and administrative fees; by the end of the quarter we re-introduced these where appropriate.  With our balance sheet, which was further strengthened by the $75 million unsecured hybrid debenture, our cash flow, our amazing team and operating platform, we are in a great position to navigate forward and will continue to be disciplined purchasers of assets, while focusing on innovating and streamlining our operations.”

2020 Second Quarter Results
Revenue for the second quarter 2020 increased to $37.4 million compared to $34.3 million in Q2 2019 and net operating income (“NOI”), a non IFRS measure, grew to $25.3 million from $23.1 million for the comparative period. Our cash flow from operations increased year over year and when combined with our financing and investing activities resulted in a cash balance of $15.9 million at the end of the quarter.  The Q2 2020 net loss of $8.7 million (net loss of $16.3 million for Q2 2019) is after $20.5 million of depreciation and amortization and deferred tax recovery recorded in the quarter of $2.1 million; both amounts are non-cash items.

Despite the impacts of COVID-19, the pausing of rent increases, late charges and administrative fees for a significant portion of the quarter, revenue and NOI from existing self storage stores increased by 3.0% and 3.1%, compared to the same period last year. Funds from operations (“FFO”), a non IFRS measure, were $9.7 million for Q2 2020 compared to $6.2 million in Q2 2019, a 55.6% increase year over year. Adjusted funds from operations (“AFFO”), a non IFRS measure, were $10.5 million for Q2 2020 compared to $9.2 million in Q2 2019, a 14.8% increase.