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Dec 31, 2024
Equinix Q4 2024 Earnings Report
Key Takeaways
Equinix reported strong revenue growth in Q4 2024, reaching $2.26 billion, a 7% increase YoY. However, the company posted a net loss of $14 million due to $233 million in asset impairment charges and $69 million in restructuring and transaction costs. Adjusted EPS remained strong at $7.92, reflecting solid operational performance.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
Equinix expects revenue growth of 3-4% in 2025 on an as-reported basis, or 7-8% on a normalized basis. Adjusted EBITDA margin is projected to increase to 49%, driven by operating leverage and power pass-through adjustments.
Positive Outlook
- Projected revenue growth of 7-8% on a normalized basis.
- Adjusted EBITDA margin expected to increase by 190 basis points to 49%.
- Strong demand for AI and cloud infrastructure services.
- Expansion of xScale portfolio and new data centers worldwide.
- Consistent dividend growth, with a 10% increase in quarterly payouts.
Challenges Ahead
- Foreign currency fluctuations expected to have a $252M negative impact.
- Expected revenue decline of 1-3% QoQ in Q1 2025 due to seasonality.
- Higher seasonal operating costs projected for Q1 2025.
- Non-recurring revenues expected to decline after strong Q4 activity.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
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