Financial Performance - Consolidated revenue for the third quarter of fiscal 2023 was $1,375.3 million, a decrease of $29.0 million compared to $1,404.3 million in the same quarter of fiscal 2022[215] - Earnings from operations decreased by $96.3 million to $320.4 million for the third quarter of fiscal 2023, compared to $416.7 million in the same quarter of fiscal 2022[222] - Basic and diluted earnings per share for common stock were $0.98 for the third quarter of fiscal 2023, down from $1.89 in the same quarter of fiscal 2022[224] - Earnings from operations decreased to $1,333.7 million for the first nine months of fiscal 2023, down from $1,489.6 million in the same period of fiscal 2022, representing a decline of approximately 10.5%[255] - Earnings available to common stockholders were $885.3 million for the first nine months of fiscal 2023, down from $1,036.5 million in the same period of fiscal 2022, a decrease of about 14.6%[257] Revenue Streams - Self-moving equipment rental revenues decreased by $76.7 million to $898.8 million in the third quarter of fiscal 2023, with declines in both In-Town and one-way markets[215] - Self-storage revenues increased by $31.1 million to $190.5 million, with a 12% increase in the average monthly number of occupied units, adding approximately 6.2 million net rentable square feet over the last twelve months[216] - Self-storage revenues for the first nine months of FY2023 increased by $98.9 million to $549.2 million, with a 15% increase in the average monthly number of occupied units[246] - Self-storage revenues increased by $98.9 million during the first nine months of fiscal 2023, with a 15% increase in the average monthly number of occupied units, totaling 67,873 additional units[262] Costs and Expenses - Total costs and expenses increased by $67.3 million during the third quarter of fiscal 2023, with operating expenses for Moving and Storage rising by $75.2 million[221] - Total costs and expenses increased by $74.0 million in Q3 FY2023, with operating expenses rising by $75.2 million, largely driven by increased repair costs and personnel expenses[232] - Total costs and expenses for the first nine months of FY2023 increased by $290.6 million, with significant increases in operating expenses for Moving and Storage[254] - Total costs and expenses increased by $306.6 million during the first nine months of fiscal 2023, with operating expenses rising by $307.3 million, primarily due to increased repair costs and personnel expenses[266] Interest and Investment Income - Interest expense increased to $59.0 million in the third quarter of fiscal 2023, up from $44.0 million in the same quarter of fiscal 2022, due to an increase in outstanding debt[223] - Interest expense increased to $166.0 million in the first nine months of fiscal 2023, compared to $122.8 million in the same period of fiscal 2022, due to an increase in outstanding debt of $805.5 million[256] - Net investment and interest income increased by $21.1 million to $52.3 million, primarily due to increased yields on government securities[219] - Net investment and interest income increased by $23.8 million to $24.5 million in Q3 FY2023, attributed to higher interest rates and increased invested cash[231] Cash Flow and Capital Expenditures - Net cash provided by operating activities decreased by $273.5 million in the first nine months of fiscal 2023, primarily due to reduced net earnings and federal income tax payments[280] - Net cash used in investing activities increased by $424.8 million in the first nine months of fiscal 2023, largely due to increased purchases of property, plant, and equipment[281] - Net cash provided by financing activities decreased by $621.0 million in the first nine months of fiscal 2023, attributed to increased debt payments and decreased cash from borrowings[282] - U-Haul plans to reinvest approximately $625 million in its rental equipment fleet during fiscal 2023, with $489 million already invested in the first nine months[283] - The company invested $1,003.2 million in real estate acquisitions, new construction, and renovations in the first nine months of fiscal 2023[284] - Net capital expenditures for the first nine months of fiscal 2023 were $1,545.9 million, compared to $1,169.2 million for the same period in fiscal 2022[285] Insurance and Premiums - Life insurance premiums decreased by $2.6 million to $24.4 million, attributed to decreased sales of single premium life products[217] - Property and casualty insurance premiums increased by $1.2 million to $26.9 million, correlating with increased moving and storage transactions[218] - Property and casualty insurance premiums increased by $7.6 million during the first nine months of FY2023, reflecting higher moving and storage transactions[249] - Equity in the earnings of U-Haul Holding Company's insurance subsidiaries increased to $12.7 million in Q3 FY2023 from $10.4 million in Q3 FY2022[234] Strategic Plans and Risks - U-Haul's growth plan includes expanding the U-Haul Storage Affiliate program, which does not require significant capital investment[284] - The company anticipates increased spending on acquisitions and new developments in fiscal 2023[302] - The company acknowledges the inherent risks and uncertainties associated with forward-looking statements, including competition and economic conditions[312] - The company is focused on expanding its U-Haul storage affiliate program to enhance market presence[311] - The company anticipates potential impacts from interest rate fluctuations and foreign currency exchange rates on operations[311] - The company emphasizes the importance of compliance with environmental regulations and the associated costs[312] - The company is assessing the sufficiency of its capital resources to support ongoing operations and growth strategies[311] - The company is reliant on a limited number of manufacturers for rental trucks, which poses a risk to operations[312] - The company is evaluating its used vehicle disposition strategy as part of its overall asset management[311] - The company recognizes the potential inflationary pressures that may challenge its operating margin[312] - The company is committed to safeguarding its information technology infrastructure and data integrity[311]
U-Haul pany(UHAL_B) - 2023 Q3 - Quarterly Report