Safestore sees full year earnings at top end of expectations

Storage company Safestore said it expected full year earnings to be at the top end of expectations after reporting an 18.4% rise in fourth quarter revenue to £32.8m.

Full year revenues were up 10% to £115m. UK revenue rose 9.2% on an annual like-for-like basis, aided by the acquisition of Space Maker in July but offset by the closures of Whitechapel and New Malden in the previous year.

“Our first quarter's ownership of the Space Maker portfolio has gone to plan with the business fully integrated into the Group from an operational perspective and the rebranding of the stores well advanced,” the company said.

“Our Paris business had a solid quarter growing like-for-like revenue by 4.5% and delivered 5% growth for the full year. The impact of the significant weakening of sterling in the period resulted in the sterling equivalent like-for-like revenue growing by 24.6% in the quarter and 12.4% for the full year,” the company said.

"The group has had a strong financial year, consolidating the improvements made to its operating performance over the last three years. We have also strengthened our market leading positions in the UK and Paris with the acquisition of Space Maker and the opening of five new stores around the end of the financial year."

Frederic Vecchioli, Chief Executive Officer said Safestore remained focused on the “significant opportunity represented by our 1.6m square feet of currently unlet space”.

“In addition, our balance sheet capacity and flexibility allows us to continue to seek selected development and acquisition opportunities," he added.