Yesterday the cash machine we call Public Storage (NYSE:PSA) reported earnings for the last quarter and for last year, ending 12/31/2018, and as we have come to expect PSA continues to churn out massive net income.
Public Storage had 2018 revenue of $2.74 billion, with a full $1.711 billion being reported as net income. If we add back non cash depreciation of $483 million we would have about $2.2 billion of free cash.
PSA paid out $1.4 billion to common shareholders with another $216 million paid out to preferred shareholders.. This is a true cash machine unlike any other REIT.
The company carries debt of just $1.4 billion against equity of $9.1 billion–wow!!
Of course PSA has 12 preferred stock issues outstanding right now (it was 13, but the company called for redemption of the PSA-Y 6.375% issue) as they have chosen to finance the business with equity instead of with debt.