Public Storage 3Q results better than expected

Public Storage 3Q results better than expected due to favorable currency exchange rates

• On 8:51 pm EST, Thursday November 5, 2009

GLENDALE, Calif. (AP) -- Public Storage on Thursday reported third-quarter results that were better than analysts had expected as it benefited from more favorable foreign exchange rates.

The storage company, based in Glendale, Calif., posted funds from operations of $1.44 per share, up from $1.08 per share a year earlier. Excluding a gain from currency comparisons, the company posted adjusted FFO of $1.30 per share, beating a consensus estimate of $1.25 per share from analysts polled by Thomson Reuters.

FFO is an important real estate measure that adds depreciation and amortization expenses, as well as other non-operating items, back to net income.

Public Storage reported quarterly net income of $273.3 million, or $1.03 per share, compared with $137.3 million, or 42 cents per share, for the same period last year. Revenue climbed 4 percent to $412.9 million from $431.2 million. Analysts had expected $405 million.

The company said revenue was hurt by lower rent per square foot and lower average occupancies.

Public Storage shares rose 34 cents to $77.03 in after-hours trading after closing Thursday at $76.69, up $2 from a day earlier.