Public Storage 2Q results flat

GLENDALE, Calif. -- Public Storage, which develops and operates self-storage facilities in the U.S. and Europe, said its second-quarter funds from operations were nearly flat, weighed down by the stronger dollar, which decreases the value of overseas revenue.

The company, which is organized as a real estate investment trust, or REIT, said late Thursday funds from operations, or FFO, in the April-to-June quarter totaled $237.4 million, or $1.38 per share, from $237.6 million, or $1.39 per share a year ago.

Foreign currency exchange losses hurt funds from operations by 14 cents per share. The company took an additional 10 cents per share charge related to redeeming preferred securities.

FFO adds charges including amortization and depreciation back to net income and is considered a measure of core operations for a real estate investment trust.

Net income fell to $198.1 million, or 77 cents per share, from $206.4 million, or 77 cents per share last year. Shares outstanding rose nearly 1 percent to 171.6 million.

Revenue rose 5 percent to $457.7 million from $434.4 million last year. Analysts expected $434.4 million.

Revenue from facilities open at least a year rose 5.1 percent, helped by higher annual rent per square foot.

Public Storage has interests in 2,078 self-storage facilities in the U.S. in 38 states and 189 in Western Europe.