25th Feb 2016 08:24
LONDON (Alliance News) - Self-storage group Safestore Holdings PLC Thursday expressed confidence in meeting its earnings expectations for its current financial year, as it saw "robust trading momentum" in its first quarter.
For the quarter to end-January the company reported revenue of GBP27.0 million, up 7.8% from GBP25.6 million a year before. It had a closing occupancy of 67.4%, up 2.1 percentage points from 65.3% the year before.
This included a good performance in the UK, where revenue was up 7.8%, and also in Paris, where revenue was up 5.2%. The company completed its acquisition of the Marnes-la-Vallée site in Paris for EUR4.2 million, which it will convert into a self-storage facility with serviced offices at the cost of around EUR2.4 million.
It expects the new store will open in late Summer 2016, and along with further store openings in the UK, this will take its total stores in the UK and Paris to 122.
"We have continued to see robust trading momentum in the first quarter of the new financial year. Our strategy of balancing rate and occupancy growth continues to gain traction and is driving a good financial performance," said Chief Executive Officer Frederic Vecchioli in a statement.
"I am confident that the momentum in the business, supported by our new website and motivated sales teams, will allow us to deliver earnings in line with the board's expectations for the current financial year," Vecchioli added.
Shares in Safestore were up 1.6% at 331.28 pence Thursday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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