Equinix Celebrates Strong Third-Quarter Results With New AI Strategies

Equinix, a large company in digital infrastructure, announced strong results for its third quarter and shared plans to expand in artificial intelligence (AI). The company said it had $2.2 billion in revenue for the quarter ending on September 30, which is 7 percent more than last year.

According to the update, Equinix’s net income was $297 million, which is $3.10 for each share of stock. Adjusted earnings before interest, taxes, depreciation, and amortization grew by 1 percent, reaching $1.048 billion.

Equinix’s $297 Million Income Represents A 7% Rise

Equinix’s $297 million net income represents a 7 percent increase from the $276 million recorded last year. However, this amount was lower than the $301 million net income from the second quarter of this year.

The company shared its plans to grow its xScale data centers by teaming up with CPP Investments and GIC. The $15 billion project will nearly triple the xScale centers to handle more AI and large data tasks.

Chief Executive Officer Adaire Fox-Martin stated that Equinix’s revenue growth reached a record-breaking level this quarter, with strong performance across all regions. She added that the company is experiencing steady demand for digital infrastructure that supports artificial intelligence from diverse customers in various industries and regions.

Currently, Equinix has 57 major projects happening across 35 markets in 22 countries. The company stated that these include 13 xScale projects, which will add more than 22,000 cabinets of retail capacity and over 100 megawatts of xScale capacity by the end of 2025.

Equinix Has Secured 385 Megawatts For Its xScale Portfolio

Equinix’s xScale portfolio has already secured 385 megawatts in global leasing commitments. The company said nearly 90 percent of its capacity that is either operational or under construction is now leased. It recently acquired 200 acres of land in Atlanta to create its first large xScale campus.

Looking forward, Equinix announced its updated plans for this year. The company expects to receive between $8.75 billion and $8.79 billion this year in earnings, showing a 7 percent growth. It also expects adjusted earnings to be between $4.09 billion and $4.13 billion, with a profit margin of 47 percent.

According to the update, Equinix added $36 million to its yearly goals because it performed better than expected. The company received a $24 million boost from changes in foreign currency. This shows the current growth in digital infrastructure.

Equinix revealed that it issued more than $750 million in green bonds this quarter to support the environment. Now, the total amount of green bonds is about $5.6 billion. This shows that the company wants to support projects that are good for the environment.