Company: PSA-PH
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001393311-25-000069
Chunk: 35

Company: Public Storage
Filing Date: 2025-04-30
Form: 10-Q
Item: Item 2
Chunk 35
---
 not expect these costs to have a material impact on our operating results.

40

Interest and other income: The following table sets forth our interest and other income: 

Three Months Ended March 31,20252024Change(Amounts in thousands)Interest earned on cash balances$7,907 $8,640 $(733)Commercial operations3,015 2,239 776 Unrealized (loss) gain on private equity investments(873)1,103 (1,976)Other3,185 1,984 1,201 Total $13,234 $13,966 $(732)

Interest expense: For the three months ended March 31, 2025 and 2024, we incurred $73.6 million and $70.1 million, respectively, of interest on our outstanding notes payable. In determining interest expense, these amounts were offset by capitalized interest of $1.6 million and $2.4 million during the three months ended March 31, 2025 and 2024, respectively, associated with our development activities. The increase of interest expense in the three months ended March 31, 2025 as compared to the same period in 2024 is due to the issuance of U.S. Dollar and Euro denominated unsecured notes in April 2024. At March 31, 2025, we had $9.4 billion of notes payable outstanding, with a weighted average interest rate of approximately 3.1%.

Foreign currency exchange (loss) gain: For the three months ended March 31, 2025 and 2024, we recorded foreign currency losses of $68.7 million and gains of $37.5 million, respectively, representing primarily the changes in the U.S. Dollar equivalent of our Euro-denominated unsecured notes due to fluctuations in exchange rates. The Euro was translated at exchange rates of approximately 1.082 U.S. Dollars per Euro at March 31, 2025, 1.039 at December 31, 2024, 1.079 at March 31, 2024, and 1.104 at December 31, 2023. Future gains and losses on foreign currency will be dependent upon changes in the relative value of the Euro to the U.S. Dollar and the level of Euro-denominated notes payable outstanding.

Income tax expense: We operate as a REIT for U.S. federal income tax purposes. As