Self-storage company Big Yellow Group PLC (LON:BYG) reported slower revenue growth in the first quarter of its financial year, though the number of prospective customers bounced back.
Revenue in the quarter to 30 June of £31.1mln was up 3.7% on the same period last year, or up 4.4% on a like-for-like basis, compared to 7% growth for both measures for the whole of last year.
Chief executive James Gibson said the LFL growth in the quarter “was affected by the more muted occupancy performance in the final quarter of last year, given the heightened uncertainty in the run-up to 29 March, the UK's original proposed exit date from the EU”.
He was pleased to report a further increase in LFL occupancy to 85.1%, from 82.7% at the end of March as the estate grew by 125,000 square feet, still aiming to lift occupancy to 90% across the portfolio.
“This occupancy performance was helped by a recovery in prospect numbers to more normal levels over the quarter,” he said.
Continuing its expansion strategy, the FTSE 250 company acquired a 6.4 acre development site in Harrow, London for £20mln, which has outlined planning consent and the potential to sell off some of the surplus land.
Including Harrow, the pipeline has 13 potential outlets that would add a combined 900,000 sq ft, representing around 19% of the group's current maximum lettable area.
Cash levels were boosted during the period by the sale of part of the Wyvern Industrial Estate in London for £11.8mln.