CubeSmart (CUBE) Q2 2026 earnings summary

Executive summary

• 2026 marks a return to positive growth, with same-store revenues inflecting positively and expectations for accelerating revenue and earnings growth in the second half, setting up for a strong 2027.

• Second quarter 2026 results showed continued momentum in operating fundamentals, with steady acceleration in same-store revenue growth and improving occupancy trends, supported by strengthening new customer pricing.

• Operates 662 self-storage properties with 48.5 million rentable square feet as of June 30, 2026, and manages 872 third-party stores, totaling 1,534 stores under management.

• Key performance indicators are strong, with resilient demand, lower vacate activity, longer customer stays, and solid credit metrics, especially in primary markets.

• Formation of a new joint venture with Heitman unlocks portfolio value and provides accretive capital for share repurchases and future investments.

Financial highlights

• Total revenues for Q2 2026 were $286.5 million, up 1.5% year-over-year; six-month revenues were $568.4 million, up 2.4%.

• Net income for Q2 2026 was $89.6 million, up from $83.0 million in Q2 2025; diluted EPS was $0.39, up from $0.36.

• FFO, as adjusted, was $143.1 million, with FFO per diluted share down 3.1% to $0.63 from $0.65 year-over-year.

• Same-store revenue growth accelerated from 0.6% in Q1 to 0.8% in Q2 year-over-year; same-store NOI decreased 0.7% year-over-year, with a 4.4% increase in operating expenses.

• Move-in rates for new customers increased 1.7% year-over-year in Q2, with sequential improvement of 80 basis points.

Outlook and guidance

• Full-year 2026 diluted EPS guidance is $1.58 to $1.64; FFO per share, as adjusted, is $2.54 to $2.60.

• Full-year same-store revenue guidance improved to 0.5%-1.25%, with expectations for continued acceleration in the back half of 2026.

• Same-store expense guidance range improved to 3.25%-4.5%, reflecting moderating expense growth.

• Recurring capital expenditures for the remainder of 2026 are expected to be $12.5–$17.5 million.

• Guidance implies a return to positive same-store NOI and earnings growth in the second half of 2026.