Core Insights - Extra Space Storage (EXR) reported revenue of $841.62 million for the quarter ended June 2025, reflecting a year-over-year increase of 3.8% [1] - Earnings per share (EPS) for the quarter was $2.05, significantly higher than the $0.88 reported in the same quarter last year [1] - The revenue exceeded the Zacks Consensus Estimate of $835.79 million by 0.7%, while the EPS fell short of the consensus estimate of $2.06 by 0.49% [1] Financial Performance Metrics - Same-store square foot occupancy was reported at 94.6%, slightly above the average estimate of 94.4% [4] - Property rental revenues reached $721 million, surpassing the estimated $716.45 million, marking a 3.4% increase year-over-year [4] - Management fees and other income totaled $32.04 million, exceeding the average estimate of $31.52 million, representing a 7.3% year-over-year increase [4] - Tenant reinsurance revenues were reported at $88.57 million, above the estimated $86.35 million, reflecting a 5.8% increase compared to the previous year [4] - Same-store rental revenues significantly increased to $665.56 million, compared to the average estimate of $531.07 million, indicating a remarkable 58.8% year-over-year growth [4] - Net income per common share (diluted) was $1.18, slightly below the average estimate of $1.21 [4] Stock Performance - Over the past month, shares of Extra Space Storage have returned +0.9%, while the Zacks S&P 500 composite has increased by +3.4% [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

Company Performance - Extra Space Storage (EXR) reported quarterly funds from operations (FFO) of $2.05 per share, slightly missing the Zacks Consensus Estimate of $2.06 per share, and down from $2.06 per share a year ago [1][2] - The company posted revenues of $841.62 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 0.70%, compared to $810.66 million in the same quarter last year [3] Market Comparison - Extra Space Storage shares have increased by approximately 1.5% since the beginning of the year, while the S&P 500 has gained 8.3% [4] Future Outlook - The current consensus FFO estimate for the upcoming quarter is $2.08 on revenues of $848.1 million, and for the current fiscal year, it is $8.18 on revenues of $3.32 billion [8] - The Zacks Industry Rank indicates that the REIT and Equity Trust - Other sector is currently in the top 34% of over 250 Zacks industries, suggesting a favorable outlook for the industry [9] Estimate Revisions - The estimate revisions trend for Extra Space Storage was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [7]

[Q2 2025 Financial Highlights](index=1&type=section&id=Highlights%20for%20the%20three%20months%20ended%20June%2030%2C%202025) In the second quarter of 2025, Extra Space Storage reported a 34.1% increase in net income per diluted share to $1.18, but a 0.5% decrease in Core FFO per diluted share to $2.05. Same-store revenue was flat while NOI decreased by 3.1%. The company was active in acquisitions, buying out JV partners for $326.4 million, originating $157.8 million in loans, and expanding its third-party management platform Q2 2025 Key Performance Indicators (vs. Q2 2024) | Metric | Value | Change vs. Prior Year | | :--- | :--- | :--- | | Net Income per Diluted Share | $1.18 | 34.1% | | Core FFO per Diluted Share | $2.05 | (0.5%) | | Same-Store Revenue | Flat | 0.0% | | Same-Store NOI | Decrease | (3.1%) | | Ending Same-Store Occupancy | 94.6% | +60 bps | - Acquired the interest of joint venture partners in two partnerships for **$326.4 million**, gaining full ownership of 27 properties[5](index=5&type=chunk) - Originated **$157.8 million** in mortgage and mezzanine bridge loans[5](index=5&type=chunk) - Expanded the third-party management platform by a net of 74 stores, reaching a total of **2,163 managed stores**[5](index=5&type=chunk) - Paid a quarterly dividend of **$1.62 per share**[5](index=5&type=chunk) [H1 2025 Financial Highlights](index=1&type=section&id=Highlights%20for%20the%20six%20months%20ended%20June%2030%2C%202025) For the first six months of 2025, net income per diluted share rose 30.3% to $2.45, and Core FFO per diluted share increased slightly by 0.7% to $4.05. Same-store revenue grew 0.1%, while NOI declined by 2.2%. The company acquired 13 operating stores for $165.9 million and originated $211.0 million in loans during this period H1 2025 Key Performance Indicators (vs. H1 2024) | Metric | Value | Change vs. Prior Year | | :--- | :--- | :--- | | Net Income per Diluted Share | $2.45 | 30.3% | | Core FFO per Diluted Share | $4.05 | 0.7% | | Same-Store Revenue | Increase | 0.1% | | Same-Store NOI | Decrease | (2.2%) | - Acquired **13 operating stores** for a total cost of **$165.9 million**[7](index=7&type=chunk) - Originated **$211.0 million** in mortgage and mezzanine bridge loans and sold **$34.7 million**[7](index=7&type=chunk) - Added a net of **174 stores** to the third-party management platform[7](index=7&type=chunk) [CEO Commentary](index=3&type=section&id=CEO%20Commentary) CEO Joe Margolis highlighted solid second-quarter results, attributing them to historically high occupancy, stable existing customer behavior, and improving new customer rates. He noted significant activity in third-party management, bridge loans, and JV partner buyouts. The company maintained its full-year FFO and same-store guidance, citing gradually improving storage fundamentals - Performance was driven by historically high occupancy, steady existing customer behavior, and gradually improving new customer rates[6](index=6&type=chunk) - The company has maintained its annual FFO and same-store guidance at the midpoints[6](index=6&type=chunk) [Operating and Financial Review](index=4&type=section&id=Operating%20and%20Financial%20Review) This section provides a detailed review of the company's financial performance, including FFO, same-store results, investment activities, and capital structure [Funds From Operations (FFO)](index=4&type=section&id=FFO%20Per%20Share) For Q2 2025, FFO per share was $1.98, flat compared to Q2 2024. Core FFO per share was $2.05, a slight decrease from $2.06 in the prior-year period. For the six-month period, FFO per share increased to $3.91 from $3.85, and Core FFO per share rose to $4.05 from $4.02 year-over-year FFO and Core FFO Reconciliation (per diluted share) | Period | Net Income | FFO | Core FFO | | :--- | :--- | :--- | :--- | | **Q2 2025** | $1.18 | $1.98 | $2.05 | | **Q2 2024** | $0.88 | $1.98 | $2.06 | | **H1 2025** | $2.45 | $3.91 | $4.05 | | **H1 2024** | $1.88 | $3.85 | $4.02 | [Same-Store Performance](index=5&type=section&id=Operating%20Results%20and%20Same-Store%20Performance) In Q2 2025, same-store NOI decreased by 3.1% year-over-year, driven by an 8.6% increase in operating expenses, primarily a 19.2% rise in property taxes. Same-store revenue remained flat. Quarter-end occupancy for the 1,829-store pool increased to 94.6% from 94.0% in the prior year Q2 2025 Same-Store Performance vs. Q2 2024 | Metric | Q2 2025 (million USD) | Q2 2024 (million USD) | % Change | | :--- | :--- | :--- | :--- | | Total Revenues | $665.6 | $665.8 | 0.0% | | Operating Expenses | $191.4 | $176.3 | 8.6% | | Net Operating Income | $474.2 | $489.5 | (3.1%) | - Property taxes for the same-store pool increased **19.2% in Q2** and **17.5% in H1 2025**, mainly due to reassessments in California, Georgia, Illinois, and Texas following the Life Storage merger[11](index=11&type=chunk)[13](index=13&type=chunk) - The same-store pool was updated on January 1, 2025, to include **1,829 stores**, up from 1,071[12](index=12&type=chunk) [Investment and Management Activity](index=6&type=section&id=Investment%20and%20Property%20Management%20Activity) Through June 30, 2025, the company's total investment reached $533.7 million, including acquiring 40 wholly-owned stores for $492.3 million (which includes a $326.4 million JV buyout) and investing $41.4 million in 5 JV properties. The company originated $157.8 million in bridge loans in Q2, with an outstanding balance of $1.5 billion. As the largest US self-storage manager, it oversees 2,163 properties Investment Activity through June 30, 2025 | Investment Type | Stores | EXR Investment (million USD) | | :--- | :--- | :--- | | Wholly-Owned (Acquisitions & JV Buyouts) | 40 | $492.3 | | Joint Venture | 5 | $41.4 | | **Total EXR Investment** | **45** | **$533.7** | - In April 2025, the company was repaid its **$200.0 million** convertible preferred stock investment in SmartStop Self Storage REIT, Inc[18](index=18&type=chunk) - Outstanding bridge loan balance was approximately **$1.5 billion** at quarter-end[20](index=20&type=chunk) - As of June 30, 2025, the company managed **1,749 third-party stores** and **414 JV stores**, totaling **2,163 managed properties**[21](index=21&type=chunk) [Balance Sheet and Capital Structure](index=6&type=section&id=Balance%20Sheet) As of June 30, 2025, the company had $800.0 million available under its ATM program and repurchased $8.6 million of common stock in Q2. Total debt had a combined weighted average interest rate of 4.4% with a maturity of 4.3 years. The company maintained a strong fixed-rate debt profile, with 77.6% of total debt fixed (89.0% net of variable rate receivables) - During Q2 2025, the company repurchased **68,585 shares** for **$8.6 million** at an average price of **$125.60 per share**[23](index=23&type=chunk) - The company had **$700.0 million** in outstanding issuances under its **$1.0 billion** commercial paper program[23](index=23&type=chunk) Debt Profile as of June 30, 2025 | Metric | Value | | :--- | :--- | | Fixed-Rate Debt to Total Debt | 77.6% | | Effective Fixed-Rate Debt to Total Debt | 89.0% | | Weighted Average Interest Rate (Combined) | 4.4% | | Weighted Average Maturity | 4.3 years | [Dividends](index=7&type=section&id=Dividends) The company announced and paid a second quarter common stock dividend of $1.62 per share on June 30, 2025, to stockholders of record as of June 16, 2025 - A Q2 2025 dividend of **$1.62 per common share** was paid on June 30, 2025[25](index=25&type=chunk) [2025 Full-Year Outlook](index=8&type=section&id=Outlook) This section outlines the company's financial projections for the full year 2025, including guidance for Core FFO per share, same-store revenue, and NOI growth [2025 Guidance](index=8&type=section&id=2025%20Guidance) The company maintained its full-year 2025 guidance midpoints. The Core FFO per share range is projected to be $8.05 to $8.25. Same-store revenue growth is expected to be between -0.50% and 1.00%, with same-store NOI growth forecasted between -2.75% and 0.00%. The guidance reflects updated assumptions for interest income and expense, and equity in earnings from real estate ventures Full-Year 2025 Guidance (as of July 30, 2025) | Metric | Low | High | | :--- | :--- | :--- | | **Core FFO per share** | **$8.05** | **$8.25** | | Same-store revenue growth | (0.50)% | 1.00% | | Same-store expense growth | 4.00% | 5.00% | | **Same-store NOI growth** | **(2.75)%** | **0.00%** | | Acquisitions | $600.0M | $600.0M | | Bridge loans outstanding (avg) | $1.475B | $1.475B | - The guidance for Core FFO was slightly narrowed to **$8.05-$8.25** from the previous $8.00-$8.30, keeping the midpoint stable[26](index=26&type=chunk) - Guidance for Equity in earnings of real estate ventures was adjusted downward to **$70.5 million-$71.5 million**, reflecting the impact of JV buyouts[26](index=26&type=chunk) [Appendix](index=9&type=section&id=Appendix) This section provides supplementary information, including detailed financial statements, definitions of key non-GAAP metrics, forward-looking statements, and conference call details [Financial Statements](index=12&type=section&id=Financial%20Statements) This section contains the unaudited condensed consolidated financial statements for the periods ended June 30, 2025, including the Balance Sheets, Statement of Operations, and various reconciliations of GAAP metrics to non-GAAP measures like FFO and Same-Store NOI [Condensed Consolidated Balance Sheets](index=12&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, the company reported total assets of $29.37 billion, an increase from $28.85 billion at year-end 2024. Total liabilities increased to $14.69 billion from $13.99 billion over the same period, primarily due to a rise in unsecured senior notes Balance Sheet Summary (in billions) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Total Assets | $29.37 | $28.85 | | Total Liabilities | $14.69 | $13.99 | | Total Stockholders' Equity | $13.79 | $13.95 | [Consolidated Statement of Operations](index=13&type=section&id=Consolidated%20Statement%20of%20Operations) For the three months ended June 30, 2025, total revenues were $841.6 million, up from $810.7 million in the prior-year period. Net income attributable to common stockholders increased to $249.7 million ($1.18 per share) from $185.9 million ($0.88 per share) in Q2 2024 Statement of Operations Summary - Three Months Ended June 30 | Account (in millions) | 2025 | 2024 | | :--- | :--- | :--- | | Total Revenues | $841.6 | $810.7 | | Income from Operations | $374.0 | $304.8 | | Net Income Attributable to Common Stockholders | $249.7 | $185.9 | [Reconciliations](index=14&type=section&id=Reconciliations) This sub-section provides detailed reconciliations of GAAP Net Income to non-GAAP measures. It includes the reconciliation to Same-Store Net Operating Income for historical periods and for the full-year 2025 estimate, as well as the reconciliation of estimated GAAP EPS to estimated Core FFO per share for the full year - Provides a reconciliation of GAAP Net Income to Total Same-Store Net Operating Income for Q2 and H1 2025[40](index=40&type=chunk) - Includes a reconciliation of the estimated range for GAAP EPS to the estimated range for FFO and Core FFO per share for the full year 2025[41](index=41&type=chunk) - Details the reconciliation of estimated GAAP Net Income to estimated Same-Store NOI for the full year 2025[42](index=42&type=chunk) [Definitions](index=10&type=section&id=Definitions) This section defines key non-GAAP metrics used throughout the report. It explains the calculation and significance of Funds from Operations (FFO) and Core FFO, as well as the criteria for the company's Same-Store pool [Definition of FFO](index=10&type=section&id=Definition%20of%20FFO) FFO is defined according to NAREIT standards as net income excluding gains/losses on property sales and real estate depreciation. The company also presents Core FFO, which further adjusts for non-core items and certain costs from the Life Storage Merger, to provide what management believes is a clearer indicator of operating performance - FFO is defined per NAREIT standards, excluding gains/losses on sales of operating stores and real estate-related depreciation and amortization[32](index=32&type=chunk) - Core FFO is a company-specific metric that further excludes non-core revenues/expenses and certain non-cash costs related to the Life Storage Merger[33](index=33&type=chunk) [Definition of Same-Store](index=11&type=section&id=Definition%20of%20Same-Store) The same-store pool consists of 1,829 wholly-owned and operated stores that were stabilized by the beginning of the earliest year presented. A store is considered stabilized after being open for three years or maintaining at least 80% average occupancy for one year. This metric is intended to show performance without the effects of acquisitions or non-stabilized assets - The same-store pool includes **1,829 stores** that have been stabilized for at least three years or have held over **80% occupancy** for a year[35](index=35&type=chunk) - No assets acquired from Life Storage have been included in the same-store pool[35](index=35&type=chunk) [Forward-Looking Statements](index=9&type=section&id=Forward-Looking%20Statements) This section contains a standard safe harbor statement, warning that the report includes forward-looking statements regarding outlook, acquisitions, and future performance. It cautions that actual results may differ materially due to various risks and uncertainties, such as economic conditions, competition, and interest rate changes, as detailed in the company's Form 10-K and 10-Q filings - The report contains forward-looking statements concerning plans, outlook, and future performance, which are not guarantees of future results[30](index=30&type=chunk) - Key risks include adverse economic changes, competition, failure to close pending acquisitions, interest rate fluctuations, and reliance on information technologies[30](index=30&type=chunk)[34](index=34&type=chunk) [Conference Call Information](index=9&type=section&id=Conference%20Call%20Information) The company will host a conference call to discuss these financial results on Thursday, July 31, 2025, at 1:00 p.m. Eastern Time. Details for pre-registering and accessing the live webcast are provided - A conference call is scheduled for **1:00 p.m. ET** on **July 31, 2025**, to discuss the results[28](index=28&type=chunk)

Core Insights - Extra Space Storage Inc. reported solid second quarter results, driven by high occupancy rates and improving customer behavior, while maintaining annual FFO and same-store guidance [4][6][26] Financial Performance - For the three months ended June 30, 2025, net income attributable to common stockholders was $1.18 per diluted share, a 34.1% increase from the previous year [6][7] - Funds from operations (FFO) for the same period was $1.98 per diluted share, with Core FFO at $2.05, reflecting a slight decrease of 0.5% year-over-year [6][7] - Same-store revenue remained flat, while same-store net operating income (NOI) decreased by 3.1% compared to the same period last year [6][10] Operational Highlights - The company reported an ending same-store occupancy of 94.6% as of June 30, 2025, up from 94.0% a year earlier [6][10] - Acquired one operating store for $12.1 million and bought out joint venture partners' interests in two partnerships for $326.4 million, gaining full ownership of 27 properties [6][14][17] - Originated $157.8 million in mortgage and mezzanine bridge loans during the quarter, with outstanding bridge loans totaling approximately $1.5 billion [19][20] Property Management and Growth - As of June 30, 2025, the company managed 1,749 stores for third-party owners and 414 stores in unconsolidated joint ventures, totaling 2,163 managed stores [20] - The company added 93 stores to its third-party management platform during the quarter [6][20] Dividend and Shareholder Returns - A quarterly dividend of $1.62 per share was paid on June 30, 2025 [24] - The company repurchased 68,585 shares of common stock for $8.6 million at an average price of $125.60 per share [21] Outlook - The company maintained its Core FFO estimates for the year ending December 31, 2025, with a range of $8.05 to $8.25 per share [26]

Core Viewpoint - Analysts expect Extra Space Storage (EXR) to report quarterly earnings of $2.06 per share, indicating no change from the previous year, with revenues projected at $835.79 million, reflecting a 3.1% increase year-over-year [1]. Earnings Estimates - Changes in earnings estimates are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate revisions and short-term stock performance [2]. Key Metrics Projections - Analysts project 'Property rental' revenue to reach $716.45 million, a 2.8% increase from the prior year [4]. - 'Management and franchise fees' are expected to be $31.52 million, indicating a 5.6% year-over-year increase [4]. - 'Tenant insurance' revenue is estimated at $86.35 million, reflecting a 3.2% increase from the previous year [4]. - 'Same-store rental revenue' is projected at $531.07 million, showing a significant 26.7% increase year-over-year [5]. - 'Same-store square foot occupancy' is expected to reach 94.4%, slightly up from 94.3% in the previous year [5]. - 'Depreciation and amortization' is estimated at $178.73 million [6]. Stock Performance - Extra Space Storage shares have increased by 3.4% over the past month, compared to a 4.9% increase in the Zacks S&P 500 composite, with a Zacks Rank of 3 (Hold), indicating expected performance in line with the overall market [7].

Core Insights - Extra Space Storage (EXR) is expected to report second-quarter 2025 results on July 30, with anticipated year-over-year revenue growth and stable funds from operations (FFO) per share [1][8] Financial Performance - In the last reported quarter, EXR achieved a core FFO per share surprise of 2.04%, driven by increased revenues from higher occupancy, although high interest expenses negatively impacted results [2][5] - The Zacks Consensus Estimate for quarterly property rental revenues is $716.45 million, up from $697.1 million year-over-year, while tenant insurance revenues are projected to rise to $86.35 million from $83.71 million [4][5] - Total revenues for the second quarter are estimated to increase by 3.1% year-over-year, attributed to brand strength and acquisitions [5][8] Market Dynamics - The self-storage industry is characterized by its need-based and recession-resilient nature, with low capital expenditure requirements and high operating margins, contributing to EXR's revenue growth [3] - EXR operates in a highly fragmented market with intense competition, which affects its ability to raise rents and may impact earnings due to increased discounting [5][8] Interest Expenses and Projections - Interest expenses are projected to rise by 4.9% year-over-year in the second quarter, which is expected to weigh on FFO per share, projected to remain unchanged at $2.06 [6][8] - The company's current Earnings ESP is 0.00%, indicating uncertainty in predicting a surprise in core FFO per share for the upcoming quarter [7][9]

Company Overview - Extra Space Storage(EXR) is a member of the S&P 500 since 2015[7] - The company has 2.6 million storage units and 3,793 properties across 42 states[7] - The company has 289 million+ square feet of rentable space with 94% average occupancy in 2023[7] - The company merged with Life Storage in 2023 for $15 billion[7,11] Financial Performance & Balance Sheet - The company's net debt to EBITDA is 4.9x[7] - The company's equity market capitalization is $32.6 billion[7] - The company achieved a 336.7% 10-year total shareholder return[7] - Q1 2024 same-store revenue growth was 1.0%[7] - The company's enterprise value increased from $15.9 billion in 2017 to $46.9 billion in 2023[68] Strategic Advantages - The company has a diversified portfolio with 3,793 properties, including 1,912 wholly-owned/consolidated (51%), 472 joint venture (13%), and 1,409 managed (36%)[38] - The company estimates total 2024 synergies from the Life Storage merger to be $36 million from LSI property revenue, $16 million from tenant insurance, and $46 million from corporate overhead synergies[109]

Group 1 - The iREIT® Tracker provides comprehensive data on over 250 tickers, including quality scores, buy targets, and trim targets, focusing on various investment vehicles such as REITs, mREITs, Preferreds, BDCs, MLPs, ETFs, Builders, and Asset Managers [1] - There is a prevalent misconception in the REIT sector that issuing stock is dilutive to investors, which is frequently discussed on platforms like Seeking Alpha and social media [1] Group 2 - The investing group iREIT®+HOYA Capital, led by Brad and HOYA Capital, specializes in REITs, BDCs, MLPs, Preferreds, and other income-oriented alternatives, backed by a team of analysts with over 100 years of combined experience [2] - Brad Thomas has over 30 years of experience in real estate investing, having been involved in over $1 billion in commercial real estate transactions, and has been featured in major media outlets [3]

Core Insights - Extra Space Storage Inc. (EXR) has experienced a share price increase of 15.5% over the past three months, outperforming its industry average of 10.3% and its peers like Public Storage (PSA) and National Storage Affiliates Trust (NSA) [1][8] - The company has demonstrated strong fundamentals, with a solid long-term outlook, but current valuations and macroeconomic uncertainties suggest a "Hold" stance may be prudent [2][18] - Extra Space Storage has increased its dividend six times in the past five years, with a five-year annualized dividend growth rate of 12.61% [3] Financial Performance - In Q1 2025, EXR reported core funds from operations (FFO) per share of $2.00, exceeding the Zacks Consensus Estimate of $1.96, and reflecting a 2% increase from the prior year [4][8] - Same-store occupancy was reported at 93.4%, indicating strong operational performance [4][8] Strategic Growth - The company acquired 12 operating stores for $153.8 million in Q1 2025 and added 113 stores to its third-party management platform [5] - EXR's focus on improving its balance sheet includes reducing secured debt and increasing the size of its unencumbered asset pool, with 78.8% of total debt being fixed-rate as of March 31, 2025 [6][9] Market Dynamics - Demand for self-storage is supported by lifestyle changes such as downsizing and remote work, contributing to strong occupancy rates [6] - The self-storage asset class is characterized by low capital expenditure requirements and high operating margins, making it resilient during economic downturns [6] Valuation Concerns - Despite solid fundamentals, EXR's stock is trading at a forward price-to-FFO multiple of approximately 18.38X, which is higher than its industry peers [12][13] - The stock's valuation has become stretched after its recent performance, leading to caution for new investors [12][18] Revenue Growth Challenges - The company anticipates challenges in revenue growth due to new customer price sensitivity, projecting negative growth in same-store revenues for the full year 2025 [16] - Same-store net operating income (NOI) is expected to range from negative 3.00% to 0.25% growth [16] Investment Outlook - Extra Space Storage is viewed as a sector leader with strong cash flows and an attractive dividend, but the recent rally has priced in much of the near-term upside [17][18] - Investors are advised to maintain their positions while monitoring upcoming earnings and macroeconomic developments, with new investors potentially waiting for a pullback before entering [18]

I am initiating coverage on Extra Space Storage Inc. ( EXR ) with a Buy rating. This article caters to value-driven, income-oriented investors and those interested in REITs. As the largest self-storage REIT, this is my favorite option amongst peers likeI am currently a recent graduate from the Villanova School of Business in the class of 2025. I was a double major in Finance and Real Estate. I have been investing in stocks since a young age, and it’s something I am incredibly passionate about as well as res ...