Lok'nStore full-year revenue jumps amid 'strong' trading

In an update for the year to the end of July, the company said revenue grew 6% on the year, with self-storage unit occupancy up 7.7% at 31 July and price per let square foot 0.5% higher than the previous year.

During the year, the group opened three new landmark stores in Hemel Hempstead, Gillingham and Wellingborough, which it said are all trading well. It also bought five locations, bringing its total secured pipeline to nine landmark stores.

The current pipeline adds 39% to freehold trading space and 54% to the managed store portfolio, giving a 35% increase in overall trading space. Lok'nStore said it is now on site at Cardiff, Exeter and Dover and will open all three during FY2019. Meanwhile, development sites in Ipswich, Bedford, Bournemouth, Gloucester, Leicester and Cheshunt will be open by the end of FY2020.

During the year, the company upped its facility by £10m to £50m, of which £37.3m was drawn at year end. It said the facility will provide funding for new store openings, site acquisitions and working capital to support growth plans.

Chief executive officer Andrew Jacobs said: "Trading at our new stores in Broadstairs, Bristol, Hemel Hempstead, Gillingham and Wellingborough has been excellent.

"We are delivering on our objective of growing rapidly by acquiring sites to develop new landmark stores and to increase the number of stores we manage under the Lok'nStore brand for third parties. In executing our strategy we are producing predictable growth in dividends for investors from an increasing number of stores underpinned by a growing cash flow and asset base."

At 1015 BST, the shares were up 0.1% to 403p.