Global Self Storage Declares First Quarter 2024 Dividend
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The declaration of a cash dividend by Global Self Storage, Inc. is a significant indicator of the company's current financial health and its commitment to returning value to shareholders. Dividends are typically distributed by companies that are in a stable or mature phase of their business cycle, suggesting a steady stream of income that can support regular payouts. The dividend yield, calculated by annualizing the quarterly dividend and dividing by the stock price, is a critical metric for income-focused investors.
From a financial analysis perspective, the announced dividend also reflects on the company’s cash flow management and capital allocation strategy. The ability to pay dividends consistently can often be viewed as a sign of financial stability and prudent management. However, investors should also consider the company's payout ratio—the proportion of earnings paid out as dividends—to assess the sustainability of the dividend in the long term.
The self-storage industry is often considered recession-resistant due to the constant demand for storage regardless of economic conditions. This resilience contributes to the attractiveness of real estate investment trusts (REITs) like Global Self Storage in the investment community. The company's focus on acquisitions and expansion indicates a growth-oriented approach, which could enhance its portfolio and revenue streams in the future. It is crucial to analyze market trends, such as occupancy rates and rental price growth within the self-storage sector, to forecast potential performance.
Moreover, the company's strategy to balance capital formation and maintain optimal debt levels is essential in managing risk, especially in a rising interest rate environment. Investors should monitor these metrics, as they can significantly impact the company's ability to finance its growth and maintain dividend payouts.
For stakeholders in the REIT sector, the metrics outlined by Global Self Storage's board, such as FFO (Funds From Operations) and AFFO (Adjusted Funds From Operations), are pivotal. FFO adds depreciation and amortization to earnings, while AFFO further adjusts for rent increases and capital expenditures, providing a clearer picture of the company's operational performance. These indicators are more accurate than traditional earnings metrics for evaluating a REIT's profitability and ability to sustain dividends.
Investors should also consider the company's capitalization rate, which is the rate of return on a real estate investment property based on the income that the property is expected to generate. This can provide insights into the property value and the potential return on investment. Given the strategic focus on acquisitions and expansions, the effective management of these projects is critical to driving shareholder value and justifying the dividend policy.
MILLBROOK, NY / ACCESSWIRE / March 1, 2024 / Global Self Storage, Inc. (NASDAQ:SELF), a real estate investment trust that owns, operates, manages, acquires, and redevelops self-storage properties, has declared a cash dividend of
The dividend is payable on March 28, 2024, to stockholders of record as of March 15, 2024.
Company Objective
The objective of the company is to increase value over time for the benefit of its stockholders. Toward this end, the company will continue to execute its strategic business plan, which includes funding acquisitions, either directly or through joint ventures, and expansion projects at its existing properties. The company's board of directors regularly reviews the strategic business plan, with topics and metrices that include capital formation, debt versus equity ratios, dividend policy, use of capital and debt, FFO and AFFO performance, and optimal cash levels.
The management of Global Self Storage believes that the company's continued operational performance and capital resources position it well to continue to pursue its strategic business plan.
About Global Self Storage
Global Self Storage is a self-administered and self-managed REIT that owns, operates, manages, acquires, and redevelops self-storage properties. The company's self-storage properties are designed to offer affordable, easily accessible and secure storage space for residential and commercial customers. Through its wholly owned subsidiaries, the company owns and/or manages 13 self-storage properties in Connecticut, Illinois, Indiana, New York, Ohio, Pennsylvania, South Carolina, and Oklahoma.
For more information, go to ir.globalselfstorage.us or visit the company's customer site at www.globalselfstorage.us. You can also follow Global Self Storage on Twitter, LinkedIn and Facebook.
Cautionary Note Regarding Forward Looking Statements
Certain information presented in this press release may contain "forward-looking statements" within the meaning of the federal securities laws including, but not limited to, the Private Securities Litigation Reform Act of 1995. Forward looking statements include statements concerning the company's plans, objectives, goals, strategies, future events, future revenues or performance, capital expenditures, financing needs, plans or intentions, and other information that is not historical information. In some cases, forward looking statements can be identified by terminology such as "believes," "plans," "intends," "expects," "estimates," "may," "will," "should," "anticipates," or the negative of such terms or other comparable terminology, or by discussions of strategy. All forward-looking statements by the company involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of the company, which may cause the company's actual results to be materially different from those expressed or implied by such statements. The company may also make additional forward looking statements from time to time. All such subsequent forward-looking statements, whether written or oral, by the company or on its behalf, are also expressly qualified by these cautionary statements. Investors should carefully consider the risks, uncertainties, and other factors, together with all of the other information included in the company's filings with the Securities and Exchange Commission, and similar information. All forward-looking statements, including without limitation, the company's examination of historical operating trends and estimates of future earnings, are based upon the company's current expectations and various assumptions. The company's expectations, beliefs and projections are expressed in good faith, but there can be no assurance that the company's expectations, beliefs and projections will result or be achieved. All forward looking statements apply only as of the date made. The company undertakes no obligation to publicly update or revise forward looking statements which may be made to reflect events or circumstances after the date made or to reflect the occurrence of unanticipated events. The amount, nature, and/or frequency of dividends paid by the company may be changed at any time without notice.
Company Contact:
Thomas O'Malley
Chief Financial Officer
Global Self Storage
1 (212) 785-0900, ext. 267
Email Contact
Investor Relations Contact:
Ron Both
CMA Investor Relations
Tel (949) 432-7566
Email Contact
Media Contact:
Tim Randall
CMA Media Relations
Tel (949) 432-7572
Email Contact
SOURCE: Global Self Storage
View the original press release on accesswire.com
FAQ
What is the cash dividend declared by Global Self Storage, Inc. for the first quarter of 2024?
When is the dividend payable to stockholders?
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What does the management of Global Self Storage believe positions the company well to pursue its strategic business plan?
