EX

Extra Space Storage Inc. stock research

Jun 30, 2025

FY2025 Q2

Extra Space Storage (EXR) Gross Margin — Quarter Ended Jun 30, 2025

Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross profit remained negative and gross margin weakened relative to both periods.

Gross margin takeaway

Quarter ended Jun 30, 2025 · FY2025 Q2

Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross profit remained negative and gross margin weakened relative to both periods.

  • The most observable driver is the increase in cost of revenue, which outpaced the growth in revenue, leading to a larger negative gross profit and a weaker gross margin.
  • Compared to the prior quarter, revenue improved while gross margin improved slightly. Versus the same quarter last year, revenue was higher but gross margin was lower.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

-610.4%

Gross profit

-$195.6M

Revenue

$32.0M

Cost of revenue

$227.6M

Quarter-over-quarter change

+13.1 pts

Year-over-year change

-50.9 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Sep 30, 2024$29.9M-$179.2M$209.0M-599.5%
Dec 31, 2024$31.0M-$190.1M$221.1M-614.0%
Mar 31, 2025$30.9M-$192.7M$223.6M-623.4%
Jun 30, 2025$32.0M-$195.6M$227.6M-610.4%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Mar 31, 2025

+13.1 pts

Year-over-year change

Jun 30, 2024

-50.9 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The most observable driver is the increase in cost of revenue, which outpaced the growth in revenue, leading to a larger negative gross profit and a weaker gross margin.

Compared to the prior quarter, revenue improved while gross margin improved slightly. Versus the same quarter last year, revenue was higher but gross margin was lower.

Monitor the trend in cost of revenue relative to revenue, as its growth continues to pressure gross margin.

EXR Gross Margin — Quarter Ended Jun 30, 2025