U-Haul Holding Company reported net earnings available to common shareholders of $186.8 million for its second quarter ended September 30, 2024. This figure represents a notable decrease from $273.5 million reported for the same period in the prior fiscal year. Earnings per share for Non-Voting Shares (UHAL.B) also declined to $0.96 for the quarter, down from $1.40 in the second quarter of fiscal 2024.
Consolidated revenue for the second quarter of fiscal 2025 increased by 0.5% to $1,658.1 million, up from $1,649.9 million in the previous year. Self-moving equipment rental revenues saw a 1.7% increase to $1,087.3 million, while self-storage revenues grew by 7.5% to $224.5 million. Despite these revenue gains, the Moving and Storage segment's earnings from operations decreased to $280.7 million from $401.7 million.
The decline in profitability was primarily driven by increased depreciation expense on the rental fleet, which rose to $176.3 million in Q2 FY25 from $140.3 million in Q2 FY24. Additionally, net gains from the disposal of rental equipment decreased significantly to $17.9 million from $46.9 million in the prior year. The average monthly occupancy rate for owned self-storage units also fell to 80.9% from 84.2%.
Total debt increased to $6,794.5 million as of September 30, 2024, up from $6,436.8 million a year prior, and the net debt to EBITDA ratio rose to 3.5x from 2.6x. Chairman Joe Shoen commented that customers remain uncertain and conservative, and while U-Box and U-Store are growing, the pace is slower than the rate at which new units are being added.
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