Equinix Raises Annual Revenue, AFFO Guidance -- Earnings Review

   By Maria Armental 
 

Data-center landlord Equinix Inc. reported second-quarter results on Wednesday, showing the business impact from the coronavirus pandemic. Here's what you need to know:

PROFIT: Net income fell to $133.3 million, or $1.52 a share, from $143.5 million, or $1.69 a share, a year earlier. Analysts surveyed by FactSet expected $1.63 a share.

FFO: Funds from operations, a key metric for real-estate investment trusts, fell to $4.06 a share from $4.16 a share. On an adjusted basis, FFO was $6.35 a share, compared with $5.87 a share a year earlier. Analysts expected FFO of $4.27 a share and $5.98 in AFFO.

REVENUE: Revenue rose to $1.47 billion from $1.38 billion a year earlier. Analysts expected $1.46 billion.

OUTLOOK: The company now expects annual revenue to range from $5.92 billion to $5.99 billion and AFFO of $23.87 to $24.67 a share, up from its earlier view of revenue of $5.88 billion to $5.99 billion and AFFO of $23.62 to $24.66 a share.

PANDEMIC: Company officials had said that the industries that were hardest hit by the pandemic, like retail and travel, represented a small part of overall business. At an industry event in June, officials also said that they had seen a 20% to 40% traffic increase during the pandemic at the Internet exchanges that Equinix operates. On Wednesday, Chief Executive Charles Meyers said in a statement: "The Equinix business continues to perform well and show resiliency through these times of uncertainty, enabling us to remain focused on the clear set of priorities we laid out at the beginning of the year-investing in our people, evolving our platform and service portfolio to meet the changing needs of customers, expanding our go-to-market engine to fuel long-term growth, and simplifying our business to drive operating leverage and enhance our customer experience."

Write to Maria Armental at [e-mail]

(END) Dow Jones Newswires

July 29, 2020 17:34 ET (21:34 GMT)

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