AFFO of $109.9M covered only 83% of dividends in 2026Q2, while capex spiked to $35.5M, potentially straining cash generation.
CubeSmart (CUBE) cash flow statement — 23-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 |
|---|
| Cash from Operations | 598.62M | 611.67M | 631.07M | 611.14M | 591.47M | 449.19M | 351.03M | 331.77M | 304.33M | 291.91M | 263.27M | 217.27M | 166.03M | 142.86M | 118.43M | 84.33M | 71.52M | 62.21M | 67.01M | 62.87M | 64.57M | 46.11M | 34.94M | 34.23M |
| Operating CF Growth % | -7.53% | -3.07% | 3.26% | 3.33% | 31.68% | 27.96% | 5.81% | 9.01% | 4.25% | 10.88% | 21.17% | 30.86% | 16.22% | 20.63% | 40.44% | 17.91% | 14.95% | -7.16% | 6.58% | -2.62% | 40.04% | 31.97% | 2.08% | - |
| Operating CF / Revenue % | 52.69% | 54.46% | 59.19% | 58.18% | 58.58% | 54.61% | 51.67% | 50.65% | 50.9% | 52.23% | 51.62% | 48.88% | 44.04% | 44.87% | 41.84% | 35.49% | 32.98% | 28.63% | 28.35% | 27.44% | 30.3% | 31.13% | 38.14% | 42.35% |
| Net Income | 334.1M | 333.78M | 391.18M | 410.76M | 291.26M | 223.48M | 165.62M | 166.3M | 163.89M | 134.29M | 87.91M | 80.04M | 26.05M | 10.4M | -9.82M | -7.6M | -11.22M | -17.62M | -17.54M | -15.48M | -8.55M | 2.57M | -32.35M | 16.23M |
| Depreciation & Amortization | 254.48M | 258.15M | 209.77M | 205.38M | 314.51M | 240.22M | 159.25M | 166.37M | 145.66M | 148.32M | 164.44M | 154.11M | 129M | 112.31M | 113.87M | 73.7M | 70.85M | 75.91M | 80.13M | 72.22M | 66.73M | 41.9M | 28.3M | 20.72M |
| Stock-Based Compensation | 12.44M | 0 | 11.49M | 10.09M | 9.08M | 8.09M | 7.2M | 6.69M | 5.57M | 5.59M | 3.21M | 2.15M | 1.74M | 5.62M | 4.55M | 3.2M | 3.64M | 3.4M | 2.72M | 1.84M | 1.27M | 2.24M | 0 | 0 |
| Other Non-Cash Items | 3.19M | 22.59M | 2.53M | -4.7M | -48.81M | -32.15M | 12.8M | -8.88M | -8.85M | 566K | 696K | -16.8M | 1.43M | -4.07M | 802K | 3.89M | -707K | 2.69M | 166K | -46K | 747K | -54K | 27.37M | -3.33M |
| Working Capital Changes | -4.35M | -2.85M | 16.11M | -10.39M | 25.43M | 9.55M | 6.16M | 1.28M | -1.94M | 3.1M | 5.97M | -734K | 4.5M | 5.07M | 8.47M | 1.08M | 5.55M | -2.16M | 1.22M | 4.25M | 4.37M | 2.19M | 8.18M | 608K |
| Cash from Investing | -108.19M | -574.18M | -173.96M | -93.82M | -48.77M | -1.85B | -511.44M | -375.66M | -322.26M | -150.3M | -559.29M | -374.61M | -522.7M | -282.92M | -271.94M | -442.1M | -44.78M | 98.85M | 27.18M | -153.58M | -248.05M | -489.06M | -237.28M | -2.51M |
| Acquisitions (Net) | -450.84M | -450.84M | -58.48M | -21K | -21K | -1.71B | -7.02M | -128.22M | -19.22M | -301K | -12.18M | -8.43M | -2.55M | -157.46M | -81.16M | -15.46M | 0 | 30.76M | -30.74M | -169.82M | 0 | 0 | -2.91M | 0 |
| Purchase of Investments | 388.79M | -78.56M | -5M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -4.1M | 0 | 0 | 0 | -15.46M | 0 | 0 | 0 | 0 | -19M | -125M | 0 | 0 |
| Sale of Investments | 9.77M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 48.64M | 0 | 0 | 114.17M | 29.82M | 0 | 0 |
| Other Investing | 273K | 0 | -110.48M | -93.8M | -48.75M | -145.42M | -504.42M | -144.62M | -217.04M | -81.22M | -410.2M | -280.76M | -496.58M | -71.48M | -186.55M | 60.01M | 59.66M | 37.33M | 88.65M | 64.26M | -30.86M | -12.81M | -6.53M | 6.3M |
| Cash from Financing | -488.17M | -104.92M | -387.67M | -518.03M | -547.09M | 1.41B | 108.2M | 95.86M | 15.25M | -143.32M | 219.41M | 217.3M | 356.39M | 138.74M | 148.93M | 360.95M | -123.61M | -62.04M | -94.96M | 75.5M | 104.3M | 516.55M | 220.23M | -25.73M |
| Dividends Paid | -479.82M | -476.31M | -461.77M | -442.22M | -387.11M | -282.14M | -256.25M | -243.86M | -221.33M | -195.01M | -155.82M | -113.1M | -81.86M | -65.17M | -45.48M | -27.85M | -9.41M | -6.74M | -41.62M | -66.82M | 0 | -44.53M | -18.3M | 0 |
| Common Dividends | -479.82M | -476.31M | -461.77M | -442.22M | -387.11M | -282.14M | -256.25M | -243.86M | -221.33M | -195.01M | -149.28M | -107.09M | -75.85M | -59.16M | -39.76M | -27.85M | -9.41M | -6.74M | -41.62M | -66.82M | -66.62M | -44.53M | -18.3M | 0 |
| Debt Issuance (Net) | 2M | 1000K | -1000K | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | -1000K | -1000K | -1000K | 1000K | 1000K | 1000K | -1000K | 1000K |
| Share Repurchases | -111.62M | -36.02M | 0 | -276K | 0 | 0 | -686K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -12.49M | -6.19M | 6.27M | -142K | -13.44M | -21.19M | -23.13M | -41.9M | 737K | -10.88M | 12.14M | 9.91M | 12.99M | -972K | -65.96M | -86.13M | -8.57M | -18.14M | -3.79M | 122.38M | -6.02M | -2.16M | 108K | -27.26M |
| Net Change in Cash | 2.25M | -67.43M | 69.45M | -708K | -4.39M | 7.09M | -52.21M | 51.96M | -2.68M | 2.29M | -59.9M | 59.97M | -275K | -1.32M | -4.57M | 3.18M | -96.88M | 99.02M | -773K | -15.2M | -79.18M | 172.61M | 20.98M | 5.99M |
| Exchange Rate Effect | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 9.47M | 77.66M | 8.22M | 8.93M | 13.32M | 6.23M | 58.44M | 6.48M | 9.16M | 2.97M | 62.87M | 2.9M | 3.18M | 4.5M | 9.07M | 5.89M | 102.77M | 3.74M | 4.52M | 19.72M | 98.9M | 28.48M | 9.57M | 1.51M |
| Cash at End | 16.58M | 10.23M | 77.66M | 8.22M | 8.93M | 13.32M | 6.23M | 58.44M | 6.48M | 5.27M | 2.97M | 62.87M | 2.9M | 3.18M | 4.5M | 9.07M | 5.89M | 102.77M | 3.74M | 4.52M | 19.72M | 201.1M | 30.55M | 7.5M |
| Free Cash Flow | 562.33M | 566.89M | 631.07M | 611.14M | 591.47M | 449.19M | 351.03M | 331.77M | 304.33M | 291.91M | 263.27M | 217.27M | 166.03M | 142.86M | 118.43M | 84.33M | 71.52M | 44.33M | 36.27M | 62.87M | -247.78M | -334.98M | -192.9M | 25.42M |
| FCF Growth % | -8.39% | -10.17% | 3.26% | 3.33% | 31.68% | 27.96% | 5.81% | 9.01% | 4.25% | 10.88% | 21.17% | 30.86% | 16.22% | 20.63% | 40.44% | 17.91% | 61.32% | 22.21% | -42.31% | 125.37% | 26.03% | -73.65% | -858.89% | - |
| FCF / Revenue % | 49.49% | 50.47% | 59.19% | 58.18% | 58.58% | 54.61% | 51.67% | 50.65% | 50.9% | 52.23% | 51.62% | 48.88% | 44.04% | 44.87% | 41.84% | 35.49% | 32.98% | 20.4% | 15.34% | 27.44% | -116.27% | -226.15% | -210.57% | 31.45% |
Quick answers to the most common questions about buying CUBE stock.
CubeSmart (CUBE) generated $611.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
CubeSmart (CUBE) generated $566.9M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
CubeSmart (CUBE) spent $44.8M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, CubeSmart (CUBE) returned $476.3M to shareholders via cash dividends and spent $36.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Anomalous debt/equity ratio
Metrics are mathematically derived from official filings.
AFFO Coverage Remains Comfortable
In 2026Q2, AFFO of $109.9M covered dividends of $120.6M at 0.83x, per quarterly filings, indicating a modest shortfall that may pressure retained cash if sustained.
The dividend payout ratio based on AFFO has hovered around 0.80-0.84 over the past year, suggesting that the dividend is not fully covered by AFFO. This implies the company may be relying on external sources or drawing down cash reserves to fund the distribution. Investors should monitor whether this gap widens, as it could signal a need for dividend adjustment or increased leverage.
Depreciation Gap Widens
Net income of $89.6M in 2026Q2 is 38% below FFO of $145.4M, as reported in financial statements, underscoring the substantial non-cash depreciation charges typical of REITs.
The FFO to net income ratio has ranged from 1.44 to 2.04 over the past ten quarters, with the latest at 1.61. This persistent gap highlights that GAAP earnings significantly understate the cash-generating ability of the portfolio. The magnitude of depreciation is consistent with a heavy investment in physical assets, but it also means that reported earnings are not a reliable indicator of cash flow health.
Capex Spikes in 2026Q2
Capital expenditures of $35.5M in 2026Q2, as per cash flow data, represent a significant increase from near-zero levels in prior quarters, suggesting a potential shift toward growth investments or catch-up maintenance.
After several quarters with no reported capex, the $35.5M outflow in 2026Q2 is notable. This could indicate investment in property improvements or acquisitions, but it also reduces FCF and AFFO. The lack of consistent capex in prior quarters may suggest that maintenance needs were deferred, and this spike could be the beginning of a higher recurring capex trend, which would pressure AFFO coverage.
Working Capital Swings
Operating cash flow of $144.3M in 2026Q2 is 61% higher than net income, per cash flow statements, indicating significant non-cash add-backs and working capital changes that may distort underlying collections.
The large positive difference between OCF and net income is typical for REITs due to depreciation, but the variability in OCF (ranging from $136.5M to $168.2M) suggests that working capital items, such as tenant receivables and payables, are causing volatility. This may reflect timing differences in rent collections or expense payments, but investors should monitor whether receivable build-ups indicate collection issues.
Dividend Gap May Require Funding
With AFFO covering only 83% of dividends in 2026Q2, as reported in financial statements, the company may need to rely on external sources or cash reserves to fund the shortfall.
The dividend payout ratio based on AFFO has been consistently above 0.75, and in 2026Q2 it reached 0.83. This indicates that the company is not retaining enough cash to fully fund its distribution. While the company has historically had access to capital markets, the anomalous debt/equity ratio of 1.27% suggests either a very low leverage or a data error. If the low leverage is accurate, the company may have ample capacity to borrow, but if not, the funding gap could become a concern.
What the Cash Flow Hides
The cash flow statement shows zero capex in many quarters, but 2026Q2's $35.5M outflow, as per filings, suggests that maintenance costs may be capitalized or deferred, potentially understating true cash needs.
The sporadic nature of capex—zero in most quarters and then a spike—raises questions about the classification of maintenance expenditures. If routine maintenance is being capitalized and amortized, AFFO may be overstated. Additionally, the company's third-party management platform and joint ventures may involve off-balance-sheet cash obligations that are not fully reflected in the cash flow statement. Investors should scrutinize the footnotes for these items.