21st Jul 2022 12:06
(Alliance News) - Big Yellow Group PLC on Thursday reported a first quarter revenue rise, and said it has added a new credit facility.
For the first quarter ended June 30, the Bagshot, Surrey-based self-storage facilities operator reported a 24% rise in revenue to GBP45.5 million from GBP36.6 million a year earlier. Like-for-like store revenue climbed 9.0% to GBP39.4 million from GBP36.0 million.
Big Yellow said student demand in June this year was "at more normal levels, and ahead of the pandemic-affected June 2021."
Closing occupancy across its 106 stores was 86.5%, down from 90.1% a year earlier, impacted by new store openings. Closing net achieved rent per square foot for all stores was GBP30.33, representing an increase of 5% from the same time last year, with the average rate up 3% on the same quarter last year.
"The regional Armadillo portfolio, acquired in July last year has lower average rents, which has impacted the year-on-year rate growth," Big Yellow explained.
Chief Executive Officer Jim Gibson said: "Against a very strong comparator quarter for last year, impacted by the distortion of the stamp duty holiday, we are pleased to have delivered solid growth in revenue and average rental rates."
On a separate note, the group has signed a USD225 million credit approved shelf facility with Pricoa Private Capital, to be drawn in fixed sterling notes. Big Yellow said it can draw the debt in minimum tranches of GBP10 million over the next three years with terms of between 7 and 15 years at short notice, typically 10 days.
"We intend to use this facility to partially replace and reduce the bank revolving credit facility which expires in October 2024. This facility increases our potential debt capacity to approximately GBP600 to GBP625 million and extend the average maturities," Big Yellow explained.
Gibson added: "The new Pricoa shelf facility gives us the flexibility to put in place additional medium to long term debt at moments of our choosing, whilst substantially reducing refinancing risk."
Shares were up 0.4% at 1,377.00 pence each on Thursday morning in London.
By Xindi Wei; [email protected]
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