Safestore Holdings (LSE:SAFE) reported a solid set of interim results for the six months ended 30 April 2026, with growth across its key markets helping to drive a return to earnings expansion. Group revenue increased 5.6% at constant exchange rates to £120.6 million, while like-for-like revenue advanced across all operating regions. Underlying profit before tax rose 2.3%, enabling the board to increase the interim dividend by 1%.
Statutory profit declined compared with the prior year, largely reflecting the absence of the property valuation gains that benefited the previous reporting period. Despite this, the underlying trading performance remained resilient as the company continued to benefit from its store development programme and strong customer demand across its self-storage network.
During the period, Safestore increased its maximum lettable area by 4.4% to 9.5 million square feet through the opening of four new stores. The group also maintained a conservative financial position, with a loan-to-value ratio of 29.1% and net assets of approximately £2.3 billion.
Management reiterated its strategy of increasing revenue per available square foot while continuing to execute its development pipeline. The company expects recently opened stores to contribute between £30 million and £35 million of additional EBITDA over time. While full-year earnings are still expected to grow, management indicated results are likely to come in at the lower end of market expectations due to higher financing costs.
Safestore’s outlook is supported by a strong balance sheet and improving cash flow generation, although fluctuations in reported earnings and less consistent free cash flow performance remain areas of focus. Technical indicators remain favourable but suggest the shares may be approaching overbought territory, while valuation metrics appear reasonable and are supported by a reliable dividend.
More about Safestore Holdings
Safestore Holdings is the largest self-storage operator in the UK, with a network of 215 stores across the UK, France, Spain, the Netherlands and Belgium, as well as joint venture interests in Germany and Italy. Established in 1998 and listed on the London Stock Exchange since 2007, the company serves approximately 107,000 personal and business customers and is a constituent of the FTSE 250 index.
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