Annual Report and Accounts 2020
Investing and innovating for a brighter future
Chairman's StatementNicholas Vetch
We, together with every other business, have experienced two seismic external shocks in twelve years. As was the case with the global financial crisis, the COVID-19 pandemic will most likely accelerate and accentuate pre-existing structural trends, challenges and opportunities and no doubt catalyse some that are currently unforeseen.
In light of the above we will continue with our long-held strategy of building new stores in our core area of activity in London and its commuter towns, where we may see more opportunity in the next few years. We are actively continuing to pursue this external growth strategy, whilst maintaining a conservative capital structure.
Big Yellow at a Glance
3.1%
revenue increase largely driven by increases in average rate
2.7
Average rate up 2.7% year-on-year. Like-for-like closing store occupancy 81.3% (2019: 82.4%)
+1.9%
Cash flow from operating activities (after net finance costs) increased by 1.9% to £73.6 million
5.2%
Adjusted profit before tax up 5.2% to £71.0 million
1.8%
1.8% increase in total dividend to 33.8 pence per share
26%
Statutory profit before tax of £93.4 million, down 26% from prior year due to lower revaluation gain on investment properties
Protecting our customers and store teams
It has been crucial for us to continue our support of community and charity groups during these unique and challenging times.
The health and safety of our team members and customers is our principal priority. Our storage facilities are large buildings yet not crowded places and generally we have a low intensity of use. We have reviewed the updated Government’s advice and carried out risk assessments to confirm our stores remain Covid-19 compliant with appropriate measures.
Strategic Report
Our strategy from the outset has been to develop Big Yellow into the market-leading self storage brand, delivering excellent customer service, with a great culture and highly motivated employees.
Governance Report
We are committed to the highest standards of corporate governance