Dividend sustainability is under pressure as the payout ratio relative to AFFO has trended upward to 0.59 in 2026Q1, while cash reserves have dwindled to $27.6 million from $65.0 million in 2023Q4.
| 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 |
|---|
| Cash from Operations | 340.31M | 338.5M | 363.06M | 441.58M | 443.85M | 331.35M | 220.65M | 196.65M | 161.8M | 124.29M | 95.08M | 51.41M | 16.42M | 7.13M | 4.93M |
| Operating CF Growth % | -16.26% | -6.77% | -17.78% | -0.51% | 33.95% | 50.17% | 12.21% | 21.54% | 30.18% | 30.72% | 84.95% | 213.04% | 130.21% | 44.82% | - |
| Operating CF / Revenue % | 45.38% | 44.96% | 47.13% | 51.46% | 55.37% | 56.58% | 51.05% | 51.35% | 48.9% | 46.35% | 47.77% | 38.39% | 21.34% | 17.76% | 16.82% |
| Net Income | 89.43M | 122.48M | 183.27M | 236.99M | 183.76M | 146.94M | 79.48M | 66.01M | 56.33M | 46M | 24.87M | 4.8M | -16.36M | -1.25M | -3.45M |
| Depreciation & Amortization | 187.34M | 189.32M | 189.85M | 221.99M | 233.16M | 158.31M | 117.17M | 105.12M | 89.15M | 75.11M | 55.06M | 40.65M | 23.79M | 9.38M | 3.83M |
| Stock-Based Compensation | 11.54M | 12.19M | 8.31M | 6.68M | 6.26M | 5.46M | 4.28M | 4.53M | 3.84M | 3.76M | 2.6M | 3.03M | 1.47M | 1.1M | 0 |
| Other Non-Cash Items | 11.63M | 10.97M | -18.26M | -40.88M | 15.04M | 17.08M | 16.52M | 1.49M | 1.1M | 605K | -40K | 1.99M | 8.57M | -2.23M | 4.6M |
| Working Capital Changes | -835K | 3.54M | -111K | 16.8M | 5.63M | 3.56M | 3.2M | 3.41M | 2.17M | -2.91M | 10.25M | 467K | 47K | 136K | -52K |
| Cash from Investing | 28.09M | 19.86M | 425.42M | 161.1M | -584.16M | -2B | -509.68M | -393.03M | -514.49M | -409.29M | -642.87M | -176.91M | -232M | -102.33M | 2.82M |
| Acquisitions (Net) | 0 | 0 | -74.22M | -16.92M | -55.04M | -2.87M | -4.38M | -6.6M | -165.64M | -15.29M | -102.89M | 0 | 0 | 0 | 0 |
| Purchase of Investments | 0 | 0 | 0 | 0 | -551.4M | 0 | 0 | -12.67M | -479.35M | -406.91M | -615.48M | -171.99M | 0 | 0 | 0 |
| Sale of Investments | 0 | 0 | 0 | 0 | 10.96M | 0 | 7.56M | 5.36M | 5.26M | 17.53M | 4.84M | 141K | 0 | 0 | 0 |
| Other Investing | 71.46M | 58.54M | 552.95M | 213.58M | 55.04M | -1.97B | -512.5M | -357.66M | -329.43M | -378.76M | -528.03M | -172.42M | -228.01M | -99.93M | 3.7M |
| Cash from Financing | -360.21M | -385.47M | -825.42M | -557.19M | 154.64M | 1.67B | 286.45M | 204.29M | 352.65M | 286.07M | 553.69M | 123.16M | 213.39M | 107.15M | -8.73M |
| Dividends Paid | -190.65M | -195.37M | -192.26M | -209.93M | -209.12M | -144.81M | -103.24M | -86.94M | -72.5M | -49.97M | -26.7M | -12.43M | -12.57M | 0 | -623K |
| Common Dividends | -131.34M | -174.91M | -171.82M | -190.91M | -195.7M | -131.71M | -90.14M | -74.55M | -62.15M | -47.67M | -26.7M | -12.43M | 0 | 0 | 0 |
| Debt Issuance (Net) | -193K | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | -1000K | 1000K | 1000K | -1000K |
| Share Repurchases | -3.26M | 0 | -284.7M | -310.15M | -90.11M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -144.66M | -142.57M | -138.92M | -145.29M | -157.75M | -109.73M | -77.24M | -84.68M | -66.94M | -60.73M | -54.07M | -45.28M | -15.48M | 5.45M | -660K |
| Net Change in Cash | 8.19M | -27.11M | -36.94M | 45.49M | 14.32M | 6.17M | -2.58M | 7.91M | -44K | 1.07M | 5.91M | -2.34M | -2.19M | 11.96M | -986K |
| Exchange Rate Effect | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 23.64M | 50.75M | 87.69M | 42.2M | 27.88M | 21.7M | 24.28M | 16.36M | 16.41M | 15.34M | 6.67M | 9.01M | 11.2M | 2.77M | 3.75M |
| Cash at End | 28.37M | 23.64M | 50.75M | 87.69M | 42.2M | 27.88M | 21.7M | 24.28M | 16.36M | 16.41M | 12.57M | 6.67M | 9.01M | 14.72M | 2.77M |
| Free Cash Flow | 296.95M | 299.81M | 342.49M | 406.03M | 400.12M | 303.35M | 203.9M | 175.19M | 142.38M | 109.04M | 83.14M | 46.92M | 12.43M | 4.74M | 4.05M |
| FCF Growth % | -1.4% | -12.46% | -15.65% | 1.48% | 31.9% | 48.78% | 16.38% | 23.05% | 30.57% | 31.16% | 77.19% | 277.35% | 162.27% | 17.18% | - |
| FCF / Revenue % | 39.59% | 39.82% | 44.46% | 47.32% | 49.92% | 51.79% | 47.17% | 45.75% | 43.03% | 40.67% | 41.77% | 35.04% | 16.15% | 11.8% | 13.82% |
PRO structure earnings volatility
According to the provided quarterly data, the ratio of FFO to Net Income has fluctuated wildly, reaching a high of 6.59 in 2025Q1, which suggests that GAAP-based earnings are failing to capture the underlying cash-generating capacity of the company's decentralized property portfolio.
The significant variance between GAAP Net Income and FFO highlights the distortive impact of depreciation and the complex accounting for subordinated performance units. Investors should monitor this gap, as it suggests that headline profitability metrics may be disconnected from the actual cash flow available to common shareholders.
Based on reported financial statements, the dividend payout ratio relative to AFFO has trended upward from 0.37 in 2023Q4 to 0.59 in 2026Q1, indicating a narrowing buffer that warrants further investigation into the sustainability of current distribution levels during periods of revenue contraction.
While the dividend remains covered by AFFO, the trend of rising payout ratios suggests that the margin of safety is eroding. This compression may limit the company's ability to retain sufficient cash for reinvestment or debt reduction, potentially increasing reliance on external capital markets.
As indicated by the quarterly cash flow figures, maintenance capital expenditures, including tenant improvements and leasing commissions, have remained a consistent drag on free cash flow, with a notable spike to $38.0 million in 2024Q3 that significantly impacted the quarterly AFFO result.
The variability in capital spending suggests that the company's decentralized PRO model may face inconsistent property-level reinvestment requirements. Analysts should scrutinize whether these expenditures are truly recurring maintenance or if they represent deferred capital needs that could escalate in a higher-cost environment.
As reported in financial statements, the persistent gap between GAAP Net Income and FFO underscores the heavy reliance on non-cash depreciation charges, which masks the true economic performance of the storage assets and complicates the assessment of the company's actual cash-based profitability.
The reliance on FFO as a primary performance metric is necessary given the high depreciation profile of the real estate portfolio. However, the volatility in this adjustment suggests that the company's earnings quality is sensitive to the timing of property acquisitions and the subsequent accounting treatment of those assets.
Quick answers to the most common questions about buying NSA stock.
National Storage Affiliates Trust (NSA) generated $338.5M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
National Storage Affiliates Trust (NSA) generated $299.8M 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.
National Storage Affiliates Trust (NSA) spent $38.7M 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, National Storage Affiliates Trust (NSA) returned $195.4M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.