Equinix Inc. reported first‑quarter 2026 results on April 29, 2026, with total revenue of $2.444 billion, up 10% year‑over‑year, and recurring revenue of $2.331 billion, a 10% increase. Adjusted EBITDA rose to $1.247 billion, giving the company a record 51% margin. The company posted diluted earnings per share of $4.20, missing the consensus estimate of $4.26–$4.30 by $0.06–$0.10.
Revenue growth was driven by robust demand for AI, cloud, and networking solutions, with the largest deals in the quarter being AI‑related. Compared with Q1 2025, revenue rose from $2.225 billion to $2.444 billion, and recurring revenue increased from $2.225 billion to $2.331 billion. The company’s record‑high bookings of $378 million, with roughly 60% of the largest deals tied to AI, underscore the strength of its high‑margin AI platform contracts.
The EPS miss was largely attributable to higher-than‑expected cost inflation and the impact of the xScale Hampton lease timing shift, which was excluded from the quarter’s results but already factored into the full‑year guidance. Despite the miss, the company’s adjusted EBITDA margin expanded, reflecting continued cost discipline, cost benefits, and operating leverage, as CFO Olivier Leonetti noted: “The quarter was the largest on record for total sales activity, up 35% year‑over‑year, reflecting broad demand across “all of our verticals, products, and channels.”
Management raised its full‑year 2026 outlook, increasing revenue guidance to $10.14 billion–$10.24 billion and adjusted EBITDA guidance to $5.165 billion–$5.245 billion. The guidance lift signals confidence in sustained demand for AI‑driven services and the company’s ability to maintain margin expansion while scaling operations. CFO Leonetti added that the xScale lease timing shift “does not impact our full year outlook because the economics were already incorporated.”
Equinix declared a dividend of $5.16 per share, payable on June 17, 2026 to shareholders of record on May 20, 2026.
Adaire Fox‑Martin, CEO and President, said: “Our results reflect continued strength across the business. We delivered double‑digit recurring revenue growth whilst improving our margins as we capitalise on robust customer demand for our AI, cloud and networking solutions.”
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