NASDAQ$EQIX

Equinix Inc · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Equinix reported first quarter results, delivering consecutive revenue and interconnection growth.

Equinix reported Q1 2020 results with a 6% increase in revenues compared to the same quarter last year, reaching $1.445 billion. The company experienced strong bookings, driven by diverse customer demand and robust interconnection growth.

  • Revenues reached $1.445 billion, a 2% increase over the previous quarter.
  • Operating Income was $253 million, a 19% decrease from the previous quarter.
  • Net Income attributable to Equinix was $119 million, a 5% decrease from the previous quarter.
  • AFFO reached $535 million, a 13% increase over the previous quarter.

Headline financials

Total Revenue

$1.44B

Previous: $1.36B+6.0%
EPS (adj)

$6.21

Previous: $5.95+4.4%
Adjusted Funds From Operations

$535M

No prior period
Worldwide Interconnections

370.0K

No prior period
Capital Expenditures

-$437M

Previous: -$370M-18.3%
Free Cash Flow

-$319M

Previous: -$252M-26.6%
Net Income

$119M

Previous: $118M+0.6%
Operating Income

$253M

Previous: $280M-9.3%
Gross Profit

$708M

Previous: $681M+4.0%
Cash & Equivalents

$1.17B

Previous: $1.63B-28.3%
Total Assets

$23.6B

Previous: $22.5B+4.9%
Stock-Based Comp

$64.5M

Previous: $49M+31.6%

Revenue & EPS history

Equinix · Revenue · Quarterly

$1.44B

Q1 2020+6%vs Q1 2019
Beat estimate in 4 of 16 quarters(25%)
ActualEstimate

Revenue by segment

Equinix · $1.36B total across 4 segments · Q1 2020

  • Colocation
    $1.03B
  • Interconnection
    $242M
  • Managed Infrastructure
    $77.5M
  • Other
    $7.69M

Forward guidance

Equinix widened quarterly total revenues and adjusted EBITDA guidance ranges to account for the possible net financial impact associated with COVID-19. For the second quarter of 2020, the Company expects revenues to range between $1.446 and $1.466 billion, an increase of 0 - 2% quarter-over-quarter, or a normalized and constant currency increase of approximately 1 - 2%.

Tailwinds

  • Revenues are expected to range between $1.446 and $1.466 billion for Q2 2020.
  • Adjusted EBITDA is expected to range between $679 and $699 million for Q2 2020.
  • Full-year total revenues are expected to range between $5.877 and $5.985 billion.
  • Adjusted EBITDA is expected to range between $2.765 and $2.845 billion for the full year 2020.
  • AFFO is expected to range between $2.043 and $2.133 billion for the full year 2020.

Headwinds

  • Q2 2020 guidance includes a negative foreign currency impact of $17 million.
  • Q2 2020 adjusted EBITDA includes a negative foreign currency impact of $7 million.
  • Q2 2020 adjusted EBITDA includes $8 million of integration costs from acquisitions.
  • Full-year guidance includes a negative foreign currency impact of $105 million.
  • Full-year adjusted EBITDA includes a negative foreign currency impact of $48 million.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

+1.2%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+1.6%

Avg return

30 days after

57%

39 / 69 earnings

Positive

+14.6%

Q1 2012

Best reaction

-6.6%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.1%-1.0%-2.0%
Q4 2025+10.4%+9.7%+11.8%
Q3 2025+4.6%+4.0%-5.6%
Q2 2025-1.5%-2.3%-1.4%
Q1 2025+0.1%+1.7%+3.3%
Q4 2024-1.3%-0.4%-10.4%
Q3 2024+0.2%-1.1%+8.3%
Q2 2024+3.2%+4.4%+4.3%
Q1 2024+8.5%+9.1%+5.8%
Q4 2023+5.1%+2.8%+2.1%
Q3 2023+2.2%+1.6%+12.9%
Q2 2023-5.7%-3.8%-3.4%
Q1 2023+3.7%+5.3%+7.7%
Q4 2022-0.9%-1.6%-5.2%
Q3 2022+5.6%+9.4%+24.7%
Q2 2022+10.8%+8.2%+4.5%
Q1 2022+2.3%-5.0%-6.2%
Q4 2021+2.7%+2.9%+8.7%
Q3 2021-4.0%-6.0%-5.1%
Q2 2021-6.6%-2.7%-2.0%
Q1 2021-1.1%-0.4%+3.2%
Q4 2020-4.4%-5.4%-11.0%
Q3 2020-4.2%-4.5%-9.4%
Q2 2020+3.4%+3.5%+4.6%
Q1 2020-1.6%-1.2%-1.9%
Q4 2019+3.6%+5.7%+1.2%
Q3 2019-0.1%-4.3%-0.1%
Q2 2019+4.8%+2.8%+11.5%
Q1 2019+2.3%+5.2%+6.8%
Q4 2018+5.8%+6.0%+11.1%
Q3 2018+3.6%+4.6%+1.7%
Q2 2018-0.6%-1.6%-3.8%
Q1 2018-5.9%-6.8%-5.6%
Q4 2017-6.6%-7.6%-3.8%
Q3 2017+5.4%+6.1%+1.2%
Q2 2017-0.8%-2.0%+2.8%
Q1 2017+1.1%+3.4%+8.5%
Q4 2016-2.5%-2.2%-1.8%
Q3 2016-2.6%+0.7%-4.9%
Q2 2016-0.6%-2.5%-0.5%
Q1 2016-0.6%
Q4 2015+3.0%
Q3 2015-1.1%
Q2 2015+1.2%
Q1 2015+3.9%
Q4 2014+2.8%
Q3 2014+7.4%
Q2 2014-0.3%
Q1 2014+2.0%
Q4 2013-3.1%
Q3 2013+4.2%
Q2 2013-4.9%
Q1 2013-2.7%
Q4 2012+5.3%
Q3 2012+5.2%
Q2 2012+12.5%
Q1 2012+14.6%
Q4 2011+2.0%
Q3 2011-5.4%
Q2 2011-1.5%
Q1 2010-0.4%
Q1 2011+1.5%
Q4 2010+0.2%
Q4 2008+0.2%
Q3 2010+0.0%
Q3 2009+0.0%
Q2 2010-0.0%
Q4 2009-0.0%
Q2 2009-0.0%

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