Technology
Equinix Reports Strong Fourth-Quarter and Full-Year 2024 Results
Published
1 year agoon
By
REDWOOD CITY, Calif., Feb. 12, 2025 /PRNewswire/ —
Increased annual revenues 7% on an as-reported basis or 8% on a normalized and constant-currency basis, excluding the impact of power pass-throughDrove significant operating leverage, creating continued value for shareholdersIncreased quarterly cash dividend by 10% to $4.69 per share on its common stock, a 10th consecutive year of increase, based on continued strong operating performance
Equinix, Inc. (Nasdaq: EQIX), the world’s digital infrastructure company®, today reported results for the quarter and full-year ended December 31, 2024.
“We had an outstanding close to 2024, with revenues for the full year up 8% year-over-year,” said Adaire Fox-Martin, CEO and President, Equinix. “Our strategic focus on our customers, solutions, and capacity has not only driven remarkable financial results, but also positioned Equinix to make the very most of the growing AI opportunity. With 22 years of consecutive quarterly revenue growth, a record-breaking Q4 and full year in gross bookings, and significant advancements in our xScale portfolio, we have demonstrated our ability to deliver sustained value to our customers and shareholders alike—all whilst setting our business and ecosystem up to scale even more in the years ahead.”
2024 Results Summary
Revenues$8.748 billion, a 7% increase over the previous year on an as-reported basis, or an 8% increase on a normalized and constant-currency basis excluding the year-over-year impact of the power pass-throughOperating Income$1.328 billion, an 8% decrease from the previous year, impacted by $314 million of non-recurring charges related to asset impairments, restructuring and transaction costsNet Income Attributable to Common Stockholders and Net Income per Share Attributable to Common Stockholders$815 million, a 16% decrease from the previous year, impacted by $314 million of non-recurring charges related to asset impairments, restructuring and transaction costs$8.50 per share, a 18% decrease from the previous yearAdjusted EBITDA$4.097 billion, adjusted EBITDA margin of 47%, a 160 basis-point year-over-year improvementAFFO and AFFO per Share$3.356 billion, an 11% increase over the previous year on an as-reported basis or 12% on a normalized and constant-currency basis$35.02 per share, a 9% increase over the previous year on an as-reported basis or 10% on a normalized and constant-currency basis
2025 Annual Guidance Summary
Revenues$9.033 – $9.133 billion, an increase of approximately 3 – 4% over the previous year on an as-reported basis, or an increase of 7 – 8% on a normalized and constant-currency basis excluding the year-over-year impact of the power pass-through and Equinix Metal®Adjusted EBITDA$4.386 – $4.466 billion, adjusted EBITDA margin of 49%, a 190 basis-point year-over-year improvement due to operating leverage and power pass-throughAFFO and AFFO per Share$3.606 – $3.686 billion, an increase of 7 – 10% over the previous year or a normalized and constant-currency increase of 9 – 12%$36.69 – $37.51 per share, an increase of 5 – 7% over the previous year or a normalized and constant-currency increase of 7 – 9%
GAAP and Non-GAAP Disclosure
Equinix uses certain non-GAAP financial measures, which are described further below and reconciled to the most comparable GAAP financial measures after the presentation of our GAAP financial statements.
Equinix converted the presentation of results from thousands to millions in the first quarter of 2024. Certain rounding adjustments have been made to prior period disclosed amounts.
Equinix is not reasonably able to provide forward-looking guidance for certain financial data, such as depreciation, amortization, accretion, stock-based compensation, net income (loss) from operations, cash generated from operating activities and cash used in investing activities, and as a result, is not able to provide a reconciliation of GAAP to non-GAAP financial measures for forward-looking data without unreasonable effort. The impact of such adjustments could be significant.
All per-share results are presented on a fully diluted basis.
Business Highlights
Equinix has positioned itself as a leader in private AI infrastructure and distribution, capturing significant opportunities in inferencing and training workloads. In Q4, over half of the top 25 deals in the company’s retail business were focused on high-performance compute and AI workloads. Importantly, the company is also witnessing a growing diversification of AI and machine learning use cases across key enterprise segments, including healthcare, finance, transportation and gaming.In 2024, Equinix’s global xScale® portfolio saw robust demand and leasing activity driven by service providers looking to bolster their AI and cloud initiatives. Since the Q3 earnings call, the joint ventures leased an incremental 31 megawatts across the Paris 12 and Paris 13 assets, bringing total xScale leasing to over 400 megawatts globally.In December, Equinix announced a private AI solution that enables businesses to train AI models in scalable, cost-efficient public and private clouds, while ensuring enhanced control, security and low-latency deployment on-premises. Utilizing the Dell AI Factory with NVIDIA, Equinix International Business ExchangeTM (IBX®) data centers provide a portfolio of products, solutions and services in a neutral, cloud-adjacent platform, allowing customers to securely connect to public clouds, colocation facilities, and their own private cloud and on-premises infrastructure.Two-thirds of Equinix’s recurring revenues come from customers who deploy in more than 10 IBX data centers. The company continues to expand its global data center footprint to accommodate this demand. Equinix currently has 62 major projects underway in 36 markets across 25 countries, including 16 xScale projects, which will add approximately 34,000 cabinets of retail capacity and over 165 megawatts of capacity by the end of 2026.In October, Equinix announced plans to nearly triple the capital invested in its xScale data center portfolio with the formation of a greater than $15 billion joint venture with Canada Pension Plan Investment Board (CPP Investments) and GIC. Through this joint venture, Equinix expects to build new state-of-the-art xScale facilities on multiple campuses across the U.S., each with multi-hundred megawatts of capacity, to support larger AI and hyperscale workloads.In November, Equinix announced its Singapore 6 build, part of the country’s pilot data center call for application, which will provide 20 megawatts of capacity for next-generation workloads such as AI in one of Asia-Pacific’s fastest-growing digital economies.Earlier this month, Equinix opened its first IBX data center in Jakarta, Indonesia, to meet the increasing digital infrastructure and connectivity needs in Southeast Asia.Equinix’s role in interconnecting the digital world is increasingly vital for customers. The company’s global interconnection franchise now has more than 482,000 total interconnections, adding 6,000 underlying interconnections in the fourth quarter of 2024. Interconnection revenues stepped up 9% year-over-year on an as-reported and normalized and constant-currency basis, accounting for 19% of Equinix’s recurring revenue.Equinix Fabric® has continued to perform well as customers adopt 25 and 50 gigabit per second circuits, enabling quick set up and flexible management of connections across hybrid multi-cloud architectures.Equinix is committed to sustainability through its global Future First strategy, which includes investing in energy efficiency, renewable energy and heat export projects that benefit customers and stakeholders.In 2024, Equinix’s best-in-class operations team improved the company’s power usage effectiveness (PUE) by more than 6%, aiding customers in greening their digital supply chain. The company also achieved the highest-ranking score of the CDP’s prestigious “Climate Change A List” for the third consecutive year, and received its first MSCI “AAA-rating.”In Q4, Equinix issued an additional €1.15 billion in green bonds bringing its total to approximately $6.9 billion, making it a top five U.S. issuer in the investment-grade green bond market.
Business Outlook
For the first quarter of 2025, the company expects revenues to range between $2.191 and $2.231 billion, an as-reported decrease of 1 – 3% from the previous quarter, or flat on a normalized and constant-currency basis excluding the quarter-over-quarter impact of the power pass-through. This guidance includes a $28 million step-up from recurring revenues, offset by lower sequential non-recurring revenues related to significant xScale activity in Q4 2024, and a $38 million negative foreign currency impact when compared to the average FX rates in Q4 2024. Adjusted EBITDA is expected to range between $1.011 and $1.051 billion. This guidance includes $25 million of higher seasonal costs and a $20 million negative foreign currency impact when compared to the average FX rates in Q4 2024. Recurring capital expenditures are expected to range between $24 and $47 million.
For the full year of 2025, total revenues are expected to range between $9.033 and $9.133 billion, an as-reported increase of approximately 3 – 4% over the previous year, or a normalized and constant-currency increase of approximately 7 – 8% excluding the year-over-year impact of the power pass-through and Equinix Metal. This guidance includes a $252 million negative foreign currency impact when compared to the prior guidance rates. Adjusted EBITDA is expected to range between $4.386 and $4.466 billion, an adjusted EBITDA margin of 49%. This guidance represents a 190 basis-point year-over-year improvement to adjusted EBITDA margins due to operating leverage and power pass-through and includes a $139 million negative foreign currency impact when compared to prior guidance rates. AFFO is expected to range between $3.606 and $3.686 billion, an as-reported increase of 7 – 10% over the previous year, or a normalized and constant-currency increase of 9 – 12%. AFFO per share is expected to range between $36.69 and $37.51, an as-reported increase of 5 – 7% over the previous year, or a normalized and constant-currency increase of 7 – 9%. Total capital expenditures are expected to range between $3.222 and $3.472 billion. Non-recurring capital expenditures, including xScale-related capital expenditures, are expected to range between $2.985 and $3.215 billion, and recurring capital expenditures are expected to range between $237 and $257 million.
The U.S. dollar exchange rates used for 2025 guidance, taking into consideration the impact of our current foreign currency hedges, have been updated to $1.07 to the Euro, $1.27 to the British Pound, S$1.37 to the U.S. Dollar, ¥157 to the U.S. Dollar, A$1.62 to the U.S. Dollar, HK$7.77 to the U.S. Dollar, R$6.17 to the U.S. Dollar and C$1.44 to the U.S. Dollar. The Q4 2024 global revenue breakdown by currency for the Euro, British Pound, Singapore Dollar, Japanese Yen, Australian Dollar, Hong Kong Dollar, Brazilian Real and Canadian Dollar is 20%, 10%, 9%, 5%, 4%, 3%, 2% and 2%, respectively.
The adjusted EBITDA guidance is based on the revenue guidance less our expectations of cash cost of revenues and cash operating expenses. The AFFO guidance is based on the adjusted EBITDA guidance less our expectations of net interest expense, an installation revenue adjustment, a straight-line rent expense adjustment, a contract cost adjustment, amortization of deferred financing costs and debt discounts and premiums, income tax expense, an income tax expense adjustment, recurring capital expenditures, other income (expense), (gains) losses on disposition of real estate property, and adjustments for unconsolidated joint ventures’ and non-controlling interests’ share of these items.
FY 2024 Results Conference Call and Replay Information
Equinix will discuss its quarterly results for the period ended December 31, 2024, along with its future outlook, in its quarterly conference call on Wednesday, February 12, 2025, at 5:30 PM ET (2:30 PM PT). A simultaneous live webcast of the call will be available on the company’s Investor Relations website at www.equinix.com/investors. To hear the conference call live, please dial 1-517-308-9482 (domestic and international) and reference the passcode EQIX.
A replay of the call will be available one hour after the call through Monday, March 31, 2025, by dialing 1-203-369-3354 and referencing the passcode 2025. In addition, the webcast will be available at www.equinix.com/investors (no password required).
Investor Presentation and Supplemental Financial Information
Equinix has made available on its website a presentation designed to accompany the discussion of Equinix’s results and future outlook, along with certain supplemental financial information and other data. Interested parties may access this information through the Equinix Investor Relations website at www.equinix.com/investors.
Additional Resources
Equinix Investor Relations Resources
About Equinix
Equinix (Nasdaq: EQIX) is the world’s digital infrastructure company®. Digital leaders harness Equinix’s trusted platform to bring together and interconnect foundational infrastructure at software speed. Equinix enables organizations to access all the right places, partners and possibilities to scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value, while supporting their sustainability goals.
Non-GAAP Financial Measures
Equinix provides all information required in accordance with generally accepted accounting principles (“GAAP”), but it believes that evaluating its ongoing operating results may be difficult if limited to reviewing only GAAP financial measures. Accordingly, Equinix uses non-GAAP financial measures to evaluate its operations.
Equinix provides normalized and constant-currency growth rates, which are calculated to adjust for acquisitions, dispositions, integration costs, changes in accounting principles and foreign currency.
Equinix presents adjusted EBITDA, which is a non-GAAP financial measure. Adjusted EBITDA represents net income excluding income tax expense, interest income, interest expense, other income or expense, gain or loss on debt extinguishment, depreciation, amortization, accretion, stock-based compensation expense, restructuring charges, impairment charges, transaction costs and gain or loss on asset sales.
In presenting non-GAAP financial measures, such as adjusted EBITDA, cash cost of revenues, cash gross margins, cash operating expenses (also known as cash selling, general and administrative expenses or cash SG&A), adjusted EBITDA margins, free cash flow and adjusted free cash flow, Equinix excludes certain items that it believes are not good indicators of Equinix’s current or future operating performance. These items are depreciation, amortization, accretion of asset retirement obligations and accrued restructuring charges, stock-based compensation, restructuring charges, impairment charges, transaction costs and gain or loss on asset sales. Equinix excludes these items in order for its lenders, investors and the industry analysts who review and report on Equinix to better evaluate Equinix’s operating performance and cash spending levels relative to its industry sector and competitors.
Equinix excludes depreciation expense as these charges primarily relate to the initial construction costs of a data center, and do not reflect its current or future cash spending levels to support its business. Its data centers are long-lived assets, and have an economic life greater than 10 years. The construction costs of a data center do not recur with respect to such data center, although Equinix may incur initial construction costs in future periods with respect to additional data centers, and future capital expenditures remain minor relative to the initial investment. This is a trend it expects to continue. In addition, depreciation is also based on the estimated useful lives of the data centers. These estimates could vary from actual performance of the asset, are based on historic costs incurred to build out our data centers and are not indicative of current or expected future capital expenditures. Therefore, Equinix excludes depreciation from its operating results when evaluating its operations.
In addition, in presenting the non-GAAP financial measures, Equinix also excludes amortization expense related to acquired intangible assets. Amortization expense is significantly affected by the timing and magnitude of acquisitions, and these charges may vary in amount from period to period. We exclude amortization expense to facilitate a more meaningful evaluation of our current operating performance and comparisons to our prior periods. Equinix excludes accretion expense, both as it relates to its asset retirement obligations as well as its accrued restructuring charges, as these expenses represent costs which Equinix also believes are not meaningful in evaluating Equinix’s current operations. Equinix excludes stock-based compensation expense, as it can vary significantly from period to period based on share price and the timing, size and nature of equity awards. As such, Equinix and many investors and analysts exclude stock-based compensation expense to compare its operating results with those of other companies. Equinix also excludes restructuring charges. Such charges include employee severance, facility closure costs, lease or other contract termination costs and advisory fees related to the realignment of our management structure, operations or products. Equinix also excludes impairment charges related to goodwill or long-lived assets. Equinix also excludes gain or loss on asset sales as it represents profit or loss that is not meaningful in evaluating the current or future operating performance. Finally, Equinix excludes transaction costs from its non-GAAP financial measures to allow more comparable comparisons of the financial results to the historical operations. The transaction costs relate to costs Equinix incurs in connection with business combinations and formation of joint ventures, including advisory, legal, accounting, valuation and other professional or consulting fees. Such charges generally are not relevant to assessing the long-term performance of Equinix. In addition, the frequency and amount of such charges vary significantly based on the size and timing of the transactions. Management believes items such as restructuring charges, impairment charges, transaction costs and gain or loss on asset sales are non-core transactions; however, these types of costs may occur in future periods.
Equinix also presents funds from operations (“FFO”) and adjusted funds from operations (“AFFO”), both commonly used in the REIT industry, as supplemental performance measures. Additionally, Equinix presents AFFO per share, which is also commonly used in the REIT industry. AFFO per share offers investors and industry analysts a perspective of Equinix’s underlying operating performance when compared to other REIT companies. FFO is calculated in accordance with the definition established by the National Association of Real Estate Investment Trusts (“NAREIT”). FFO represents net income or loss, excluding gain or loss from the disposition of real estate assets, depreciation and amortization on real estate assets and adjustments for unconsolidated joint ventures’ and non-controlling interests’ share of these items. AFFO represents FFO, excluding depreciation and amortization expense on non-real estate assets, accretion, stock-based compensation, stock-based charitable contributions, restructuring charges, impairment charges, transaction costs, an installation revenue adjustment, a straight-line rent expense adjustment, a contract cost adjustment, amortization of deferred financing costs and debt discounts and premiums, gain or loss on debt extinguishment, an income tax expense adjustment, recurring capital expenditures, net income or loss from discontinued operations, net of tax and adjustments from FFO to AFFO for unconsolidated joint ventures’ and non-controlling interests’ share of these items. Equinix excludes depreciation expense, amortization expense, accretion, stock-based compensation, restructuring charges, impairment charges and transaction costs for the same reasons that they are excluded from the other non-GAAP financial measures mentioned above.
Equinix includes an adjustment for revenues from installation fees, since installation fees are deferred and recognized ratably over the period of contract term, although the fees are generally paid in a lump sum upon installation. Equinix includes an adjustment for straight-line rent expense on its operating leases, since the total minimum lease payments are recognized ratably over the lease term, although the lease payments generally increase over the lease term. Equinix also includes an adjustment to contract costs incurred to obtain contracts, since contract costs are capitalized and amortized over the estimated period of benefit on a straight-line basis, although costs of obtaining contracts are generally incurred and paid during the period of obtaining the contracts. The adjustments for installation revenues, straight-line rent expense and contract costs are intended to isolate the cash activity included within the straight-lined or amortized results in the consolidated statement of operations. Equinix excludes the amortization of deferred financing costs and debt discounts and premiums as these expenses relate to the initial costs incurred in connection with its debt financings that have no current or future cash obligations. Equinix excludes gain or loss on debt extinguishment since it represents a cost that is not a good indicator of Equinix’s current or future operating performance. Equinix includes an income tax expense adjustment, which represents the non-cash tax impact due to changes in valuation allowances and uncertain tax positions that do not relate to the current period’s operations. Equinix excludes recurring capital expenditures, which represent expenditures to extend the useful life of its IBX and xScale data centers or other assets that are required to support current revenues. Equinix also excludes net income or loss from discontinued operations, net of tax, which represents results that are not a good indicator of our current or future operating performance.
Equinix presents constant-currency results of operations, which is a non-GAAP financial measure and is not meant to be considered in isolation or as an alternative to GAAP results of operations. However, Equinix has presented this non-GAAP financial measure to provide investors with an additional tool to evaluate its operating results without the impact of fluctuations in foreign currency exchange rates, thereby facilitating period-to-period comparisons of Equinix’s business performance. To present this information, Equinix’s current and comparative period revenues and certain operating expenses denominated in currencies other than the U.S. dollar are converted into U.S. dollars at a consistent exchange rate for purposes of each result being compared.
Non-GAAP financial measures are not a substitute for financial information prepared in accordance with GAAP. Non-GAAP financial measures should not be considered in isolation, but should be considered together with the most directly comparable GAAP financial measures and the reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures. Equinix presents such non-GAAP financial measures to provide investors with an additional tool to evaluate its operating results in a manner that focuses on what management believes to be its core, ongoing business operations. Management believes that the inclusion of these non-GAAP financial measures provides consistency and comparability with past reports and provides a better understanding of the overall performance of the business and its ability to perform in subsequent periods. Equinix believes that if it did not provide such non-GAAP financial information, investors would not have all the necessary data to analyze Equinix effectively.
Investors should note that the non-GAAP financial measures used by Equinix may not be the same non-GAAP financial measures, and may not be calculated in the same manner, as those of other companies. Investors should, therefore, exercise caution when comparing non-GAAP financial measures used by us to similarly titled non-GAAP financial measures of other companies. Equinix does not provide forward-looking guidance for certain financial data, such as depreciation, amortization, accretion, stock-based compensation, net income or loss from operations, cash generated from operating activities and cash used in investing activities, and as a result, is not able to provide a reconciliation of GAAP to non-GAAP financial measures for forward-looking data without unreasonable effort. The impact of such adjustments could be significant. Equinix intends to calculate the various non-GAAP financial measures in future periods consistent with how they were calculated for the periods presented within this press release.
Forward-Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, risks to our business and operating results related to the current inflationary environment; foreign currency exchange rate fluctuations; stock price fluctuations; availability of power, increased costs to procure power and the general volatility in the global energy market; the challenges of acquiring, operating and constructing IBX and xScale data centers and developing, deploying and delivering Equinix products and solutions; delays related to the closing of any planned acquisitions subject to closing conditions; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenues from customers in recently built out or acquired data centers; failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; risks related to our taxation as a REIT; risks related to regulatory inquiries or litigation; and other risks described from time to time in Equinix filings with the Securities and Exchange Commission. In particular, see recent and upcoming Equinix quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.
EQUINIX, INC.
Condensed Consolidated Statements of Operations
(in millions, except per share data)
(unaudited)
Three Months Ended
Twelve Months Ended
December
31, 2024
September
30, 2024
December
31, 2023
December
31, 2024
December
31, 2023
Recurring revenues
$ 2,091
$ 2,059
$ 1,976
$ 8,184
$ 7,745
Non-recurring revenues
170
142
134
564
443
Revenues
2,261
2,201
2,110
8,748
8,188
Cost of revenues
1,196
1,098
1,092
4,467
4,228
Gross profit
1,065
1,103
1,018
4,281
3,960
Operating expenses:
Sales and marketing
209
237
217
891
855
General and administrative
451
434
449
1,766
1,654
Restructuring charges
31
—
—
31
—
Transaction costs
38
7
6
50
13
Impairment charges
233
—
—
233
—
Gain on asset sales
—
—
—
(18)
(5)
Total operating expenses
962
678
672
2,953
2,517
Income from operations
103
425
346
1,328
1,443
Interest and other income (expense):
Interest income
49
35
28
137
94
Interest expense
(126)
(117)
(103)
(457)
(402)
Other income (expense)
(11)
7
(1)
(17)
(11)
Loss on debt extinguishment
(15)
—
—
(16)
—
Total interest and other, net
(103)
(75)
(76)
(353)
(319)
Income before income taxes
—
350
270
975
1,124
Income tax expense
(14)
(54)
(43)
(161)
(155)
Net income (loss)
(14)
296
227
814
969
Net loss attributable to non-controlling interests
—
1
—
1
—
Net income (loss) attributable to common stockholders
$ (14)
$ 297
$ 227
$ 815
$ 969
Earnings (loss) per share (“EPS”) attributable to common stockholders:
Basic EPS
$ (0.14)
$ 3.11
$ 2.41
$ 8.54
$ 10.35
Diluted EPS
$ (0.14)
$ 3.10
$ 2.40
$ 8.50
$ 10.31
Weighted-average shares for basic EPS (in thousands)
96,849
95,394
94,268
95,457
93,615
Weighted-average shares for diluted EPS (in thousands)
96,849
95,731
94,667
95,827
94,009
EQUINIX, INC.
Condensed Consolidated Statements of Comprehensive Income
(in millions)
(unaudited)
Three Months Ended
Twelve Months Ended
December
31, 2024
September
30, 2024
December
31, 2023
December
31, 2024
December
31, 2023
Net income (loss)
$ (14)
$ 296
$ 227
$ 814
$ 969
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustment (“CTA”) gain (loss)
(757)
421
480
(772)
250
Net investment hedge CTA gain (loss)
279
(138)
(217)
295
(132)
Unrealized gain (loss) on cash flow hedges
26
(25)
(27)
32
(19)
Total other comprehensive income (loss), net of tax
(452)
258
236
(445)
99
Comprehensive income (loss), net of tax
(466)
554
463
369
1,068
Net loss attributable to non-controlling interests
—
1
—
1
—
Comprehensive income (loss) attributable to common stockholders
$ (466)
$ 555
$ 463
$ 370
$ 1,068
EQUINIX, INC.
Condensed Consolidated Balance Sheets
(in millions, except headcount)
(unaudited)
December 31, 2024
December 31, 2023
Assets
Cash and cash equivalents
$ 3,081
$ 2,096
Short-term investments
527
—
Accounts receivable, net
949
1,004
Other current assets
890
468
Total current assets
5,447
3,568
Property, plant and equipment, net
19,249
18,601
Operating lease right-of-use assets
1,419
1,449
Goodwill
5,504
5,737
Intangible assets, net
1,417
1,705
Other assets
2,049
1,591
Total assets
$ 35,085
$ 32,651
Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity
Accounts payable and accrued expenses
$ 1,193
$ 1,187
Accrued property, plant and equipment
387
398
Current portion of operating lease liabilities
144
131
Current portion of finance lease liabilities
189
138
Current portion of mortgage and loans payable
5
8
Current portion of senior notes
1,199
998
Other current liabilities
232
302
Total current liabilities
3,349
3,162
Operating lease liabilities, less current portion
1,331
1,331
Finance lease liabilities, less current portion
2,086
2,123
Mortgage and loans payable, less current portion
644
663
Senior notes, less current portion
13,363
12,062
Other liabilities
760
796
Total liabilities
21,533
20,137
Redeemable non-controlling interest
25
25
Common stockholders’ equity:
Common stock
—
—
Additional paid-in capital
20,895
18,596
Treasury stock
(39)
(56)
Accumulated dividends
(10,342)
(8,695)
Accumulated other comprehensive loss
(1,735)
(1,290)
Retained earnings
4,749
3,934
Total common stockholders’ equity
13,528
12,489
Non-controlling interests
(1)
—
Total stockholders’ equity
13,527
12,489
Total liabilities, redeemable non-controlling interest and stockholders’ equity
$ 35,085
$ 32,651
Ending headcount by geographic region is as follows:
Americas headcount
5,952
5,953
EMEA headcount
4,653
4,267
Asia-Pacific headcount
3,001
2,931
Total headcount
13,606
13,151
EQUINIX, INC.
Summary of Debt Principal Outstanding
(in millions)
(unaudited)
December 31, 2024
December 31, 2023
Finance lease liabilities
$ 2,275
$ 2,261
Term loans
628
642
Mortgage payable and other loans payable
21
29
Plus: debt issuance costs and debt discounts
—
1
Total mortgage and loans payable principal
649
672
Senior notes
14,562
13,060
Plus: debt issuance costs and debt discounts
123
108
Total senior notes principal
14,685
13,168
Total debt principal outstanding
$ 17,609
$ 16,101
EQUINIX, INC.
Condensed Consolidated Statements of Cash Flows
(in millions)
(unaudited)
Three Months Ended
Twelve Months Ended
December
31, 2024
September
30, 2024
December
31, 2023
December
31, 2024
December
31, 2023
Cash flows from operating activities:
Net income (loss)
$ (14)
$ 296
$ 227
$ 814
$ 969
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation, amortization and accretion
502
494
462
2,011
1,844
Stock-based compensation
114
122
106
462
407
Amortization of debt issuance costs and debt discounts
5
5
4
20
19
Loss on debt extinguishment
15
—
—
16
—
Gain on asset sales
—
—
—
(18)
(5)
Impairment charges
233
—
—
233
—
Other items
(3)
23
17
51
60
Changes in operating assets and liabilities:
Accounts receivable
180
(12)
50
27
(150)
Income taxes, net
5
(17)
11
(9)
4
Accounts payable and accrued expenses
193
(102)
76
95
161
Operating lease right-of-use assets
33
41
22
150
139
Operating lease liabilities
(51)
(37)
(28)
(153)
(128)
Other assets and liabilities
(231)
(55)
52
(450)
(103)
Net cash provided by operating activities
981
758
999
3,249
3,217
Cash flows from investing activities:
Purchases, sales, and distributions of equity investments, net
(22)
(29)
(54)
(87)
(136)
Purchases of short-term investments
(70)
(450)
—
(520)
—
Real estate acquisitions
(50)
(162)
(231)
(337)
(384)
Purchases of other property, plant and equipment
(987)
(724)
(996)
(3,066)
(2,781)
Proceeds from asset sales
—
—
—
247
77
Settlement of foreign currency hedges
83
—
—
83
—
Investment in loan receivable
(65)
—
—
(261)
—
Loan receivable upfront fee
—
—
—
4
—
Net cash used in investing activities
(1,111)
(1,365)
(1,281)
(3,937)
(3,224)
Cash flows from financing activities:
Proceeds from employee equity awards
(1)
44
—
91
87
Contribution from non-controlling interest
—
4
—
4
25
Payment of dividend distributions
(413)
(413)
(403)
(1,643)
(1,375)
Proceeds from public offering of common stock, net of offering costs
697
976
433
1,673
734
Proceeds from senior notes, net of debt discounts
1,244
780
—
2,768
902
Repayment of finance lease liabilities
(39)
(35)
(51)
(140)
(149)
Repayment of mortgage and loans payable
(1)
(2)
(1)
(7)
(6)
Repayment of senior notes
(1,000)
—
—
(1,000)
—
Debt issuance costs
(9)
(6)
—
(23)
(7)
Net cash provided by (used in) financing activities
478
1,348
(22)
1,723
211
Effect of foreign currency exchange rates on cash, cash equivalents and restricted cash
(42)
39
42
(49)
(16)
Net increase (decrease) in cash, cash equivalents, and restricted cash
306
780
(262)
986
188
Cash, cash equivalents and restricted cash at beginning of period
2,776
1,996
2,358
2,096
1,908
Cash, cash equivalents and restricted cash at end of period
$ 3,082
$ 2,776
$ 2,096
$ 3,082
$ 2,096
Supplemental cash flow information:
Cash paid for taxes
$ 21
$ 63
$ 27
$ 185
$ 153
Cash paid for interest, net of amounts capitalized
$ 173
$ 104
$ 129
$ 486
$ 445
Free cash flow (negative free cash flow) (1)
$ (108)
$ (578)
$ (228)
$ (601)
$ 129
Adjusted free cash flow (adjusted negative free cash flow) (2)
$ (58)
$ (416)
$ 3
$ (264)
$ 513
(1)
We define free cash flow (negative free cash flow) as net cash provided by operating activities plus net cash used in investing activities (excluding the net purchases, sales and maturities of investments) as presented below:
Net cash provided by operating activities as presented above
$ 981
$ 758
$ 999
$ 3,249
$ 3,217
Net cash used in investing activities as presented above
(1,111)
(1,365)
(1,281)
(3,937)
(3,224)
Purchases, sales and maturities of investments, net
22
29
54
87
136
Free cash flow (negative free cash flow)
$ (108)
$ (578)
$ (228)
$ (601)
$ 129
(2)
We define adjusted free cash flow (adjusted negative free cash flow) as free cash flow (negative free cash flow) as defined above, excluding any real estate and business acquisitions, net of cash and restricted cash acquired as presented below:
Free cash flow (negative free cash flow) as defined above
$ (108)
$ (578)
$ (228)
$ (601)
$ 129
Less real estate acquisitions
50
162
231
337
384
Adjusted free cash flow (adjusted negative free cash flow)
$ (58)
$ (416)
$ 3
$ (264)
$ 513
EQUINIX, INC.
Non-GAAP Measures and Other Supplemental Data
(in millions)
(unaudited)
Three Months Ended
Twelve Months Ended
December
31, 2024
September
30, 2024
December
31, 2023
December
31, 2024
December
31, 2023
Recurring revenues
$ 2,091
$ 2,059
$ 1,976
$ 8,184
$ 7,745
Non-recurring revenues
170
142
134
564
443
Revenues (1)
2,261
2,201
2,110
8,748
8,188
Cash cost of revenues (2)
821
732
757
2,983
2,870
Cash gross profit (3)
1,440
1,469
1,353
5,765
5,318
Cash operating expenses (4)(7):
Cash sales and marketing expenses (5)
136
162
146
596
565
Cash general and administrative expenses (6)
283
259
287
1,072
1,051
Total cash operating expenses (4)(7)
419
421
433
1,668
1,616
Adjusted EBITDA (8)
$ 1,021
$ 1,048
$ 920
$ 4,097
$ 3,702
Cash gross margins (9)
64 %
67 %
64 %
66 %
65 %
Adjusted EBITDA margins(10)
45 %
48 %
44 %
47 %
45 %
Adjusted EBITDA flow-through rate (11)
(45) %
29 %
(31) %
71 %
36 %
FFO (12)
$ 302
$ 609
$ 525
$ 2,061
$ 2,130
AFFO (13)(14)
$ 770
$ 866
$ 691
$ 3,356
$ 3,019
Basic FFO per share (15)
$ 3.12
$ 6.38
$ 5.56
$ 21.59
$ 22.75
Diluted FFO per share (15)
$ 3.11
$ 6.36
$ 5.54
$ 21.51
$ 22.66
Basic AFFO per share (15)
$ 7.95
$ 9.08
$ 7.33
$ 35.16
$ 32.24
Diluted AFFO per share (15)
$ 7.92
$ 9.05
$ 7.30
$ 35.02
$ 32.11
(1)
The geographic split of our revenues on a services basis is presented below:
Americas Revenues:
Colocation
$ 626
$ 617
$ 610
$ 2,474
$ 2,364
Interconnection
227
224
211
885
821
Managed infrastructure
63
66
65
261
250
Other
7
7
7
27
22
Recurring revenues
923
914
893
3,647
3,457
Non-recurring revenues
76
44
39
215
160
Revenues
$ 999
$ 958
$ 932
$ 3,862
$ 3,617
EMEA Revenues:
Colocation
$ 577
$ 566
$ 541
$ 2,235
$ 2,112
Interconnection
87
86
79
340
308
Managed infrastructure
34
35
33
138
130
Other
25
26
24
99
98
Recurring revenues
723
713
677
2,812
2,648
Non-recurring revenues
53
30
74
155
190
Revenues
$ 776
$ 743
$ 751
$ 2,967
$ 2,838
Asia-Pacific Revenues:
Colocation
$ 345
$ 337
$ 318
$ 1,349
$ 1,289
Interconnection
79
74
68
294
266
Managed infrastructure
18
17
17
68
72
Other
3
4
3
14
13
Recurring revenues
445
432
406
1,725
1,640
Non-recurring revenues
41
68
21
194
93
Revenues
$ 486
$ 500
$ 427
$ 1,919
$ 1,733
Worldwide Revenues:
Colocation
$ 1,548
$ 1,520
$ 1,469
$ 6,058
$ 5,765
Interconnection
393
384
358
1,519
1,395
Managed infrastructure
115
118
115
467
452
Other
35
37
34
140
133
Recurring revenues
2,091
2,059
1,976
8,184
7,745
Non-recurring revenues
170
142
134
564
443
Revenues
$ 2,261
$ 2,201
$ 2,110
$ 8,748
$ 8,188
(2)
We define cash cost of revenues as cost of revenues less depreciation, amortization, accretion and stock-based compensation as presented below:
Cost of revenues
$ 1,196
$ 1,098
$ 1,092
$ 4,467
$ 4,228
Depreciation, amortization and accretion expense
(360)
(351)
(322)
(1,426)
(1,310)
Stock-based compensation expense
(15)
(15)
(13)
(58)
(48)
Cash cost of revenues
$ 821
$ 732
$ 757
$ 2,983
$ 2,870
The geographic split of our cash cost of revenues is presented below:
Americas cash cost of revenues
$ 326
$ 289
$ 263
$ 1,158
$ 1,047
EMEA cash cost of revenues
316
270
326
1,190
1,199
Asia-Pacific cash cost of revenues
179
173
168
635
624
Cash cost of revenues
$ 821
$ 732
$ 757
$ 2,983
$ 2,870
(3)
We define cash gross profit as revenues less cash cost of revenues (as defined above).
(4)
We define cash operating expense as selling, general, and administrative expense less depreciation, amortization, and stock-based compensation. We also refer to cash operating expense as cash selling, general and administrative expense or “cash SG&A”.
Selling, general, and administrative expense
$ 660
$ 671
$ 666
$ 2,657
$ 2,509
Depreciation and amortization expense
(142)
(143)
(140)
(585)
(534)
Stock-based compensation expense
(99)
(107)
(93)
(404)
(359)
Cash operating expense
$ 419
$ 421
$ 433
$ 1,668
$ 1,616
(5)
We define cash sales and marketing expense as sales and marketing expense less depreciation, amortization and stock-based compensation as presented below:
Sales and marketing expense
$ 209
$ 237
$ 217
$ 891
$ 855
Depreciation and amortization expense
(50)
(50)
(51)
(201)
(204)
Stock-based compensation expense
(23)
(25)
(20)
(94)
(86)
Cash sales and marketing expense
$ 136
$ 162
$ 146
$ 596
$ 565
(6)
We define cash general and administrative expense as general and administrative expense less depreciation, amortization and stock-based compensation as presented below:
General and administrative expense
$ 451
$ 434
$ 449
$ 1,766
$ 1,654
Depreciation and amortization expense
(92)
(93)
(89)
(384)
(330)
Stock-based compensation expense
(76)
(82)
(73)
(310)
(273)
Cash general and administrative expenses
$ 283
$ 259
$ 287
$ 1,072
$ 1,051
(7)
The geographic split of our cash operating expense, or cash SG&A, as defined above, is presented below:
Americas cash SG&A
$ 251
$ 242
$ 257
$ 994
$ 954
EMEA cash SG&A
106
101
105
400
388
Asia-Pacific cash SG&A
62
78
71
274
274
Cash SG&A
$ 419
$ 421
$ 433
$ 1,668
$ 1,616
(8)
We define adjusted EBITDA as net income excluding income tax expense, interest income, interest expense, other income or expense, loss on debt extinguishment , depreciation, amortization, accretion, stock-based compensation expense, restructuring charges, impairment charges, transaction costs, and gain on asset sales as presented below:
Net income (loss)
$ (14)
$ 296
$ 227
$ 814
$ 969
Income tax expense
14
54
43
161
155
Interest income
(49)
(35)
(28)
(137)
(94)
Interest expense
126
117
103
457
402
Other expense (income)
11
(7)
1
17
11
Loss on debt extinguishment
15
—
—
16
—
Depreciation, amortization and accretion expense
502
494
462
2,011
1,844
Stock-based compensation expense
114
122
106
462
407
Restructuring charges
31
—
—
31
—
Impairment charges
233
—
—
233
—
Transaction costs
38
7
6
50
13
Gain on asset sales
—
—
—
(18)
(5)
Adjusted EBITDA
$ 1,021
$ 1,048
$ 920
$ 4,097
$ 3,702
The geographic split of our adjusted EBITDA is presented below:
Americas net income (loss)
$ 32
$ (126)
$ 57
$ (140)
$ 13
Americas income tax expense (benefit)
(105)
55
(89)
42
23
Americas interest income
(39)
(28)
(20)
(101)
(72)
Americas interest expense
86
89
87
355
342
Americas other expense (income)
(101)
77
51
(66)
24
Americas loss on debt extinguishment
15
—
—
15
—
Americas depreciation, amortization and accretion expense
274
273
251
1,121
1,000
Americas stock-based compensation expense
75
82
71
307
272
Americas restructuring charges
21
—
—
21
—
Americas impairment charges
127
—
—
127
—
Americas transaction costs
37
5
3
46
8
Americas (gain) loss on asset sales
—
—
—
(18)
4
Americas adjusted EBITDA
$ 422
$ 427
$ 411
$ 1,709
$ 1,614
EMEA net income
$ 26
$ 288
$ 174
$ 605
$ 651
EMEA income tax expense (benefit)
21
(1)
49
21
49
EMEA interest income
(6)
(4)
(4)
(21)
(13)
EMEA interest expense
26
17
5
56
18
EMEA other expense (income)
104
(81)
(54)
69
(31)
EMEA depreciation, amortization and accretion expense
133
128
125
527
499
EMEA stock-based compensation expense
24
23
21
92
83
EMEA restructuring charges
6
—
—
6
—
EMEA impairment charges
19
—
—
19
—
EMEA transaction costs
1
2
3
4
4
EMEA gain on asset sales
—
—
—
—
(9)
EMEA adjusted EBITDA
$ 354
$ 372
$ 319
$ 1,378
$ 1,251
Asia-Pacific net income (loss)
$ (72)
$ 134
$ (4)
$ 349
$ 305
Asia-Pacific income tax expense
98
—
83
98
83
Asia-Pacific interest income
(4)
(3)
(4)
(15)
(9)
Asia-Pacific interest expense
14
11
11
46
42
Asia-Pacific other expense (income)
8
(3)
4
14
18
Asia-Pacific loss on debt extinguishment
—
—
—
1
—
Asia-Pacific depreciation, amortization and accretion expense
95
93
86
363
345
Asia-Pacific stock-based compensation expense
15
17
14
63
52
Asia-Pacific restructuring charges
4
—
—
4
—
Asia-Pacific impairment charges
87
—
—
87
—
Asia-Pacific transaction costs
—
—
—
—
1
Asia-Pacific adjusted EBITDA
$ 245
$ 249
$ 190
$ 1,010
$ 837
(9)
We define cash gross margins as cash gross profit divided by revenues.
Our cash gross margins by geographic region are presented below:
Americas cash gross margins
67 %
70 %
72 %
70 %
71 %
EMEA cash gross margins
59 %
64 %
57 %
60 %
58 %
Asia-Pacific cash gross margins
63 %
65 %
61 %
67 %
64 %
(10)
We define adjusted EBITDA margins as adjusted EBITDA divided by revenues.
Americas adjusted EBITDA margins
42 %
45 %
44 %
44 %
45 %
EMEA adjusted EBITDA margins
46 %
50 %
43 %
46 %
44 %
Asia-Pacific adjusted EBITDA margins
50 %
50 %
44 %
53 %
48 %
(11)
We define adjusted EBITDA flow-through rate as incremental adjusted EBITDA growth divided by incremental revenue growth as follow:
Adjusted EBITDA – current period
$ 1,021
$ 1,048
$ 920
$ 4,097
$ 3,702
Less adjusted EBITDA – prior period
(1,048)
(1,036)
(936)
(3,702)
(3,370)
Adjusted EBITDA growth
$ (27)
$ 12
$ (16)
$ 395
$ 332
Revenues – current period
$ 2,261
$ 2,201
$ 2,110
$ 8,748
$ 8,188
Less revenues – prior period
(2,201)
(2,159)
(2,061)
(8,188)
(7,263)
Revenue growth
$ 60
$ 42
$ 49
$ 560
$ 925
Adjusted EBITDA flow-through rate
(45) %
29 %
(31) %
71 %
36 %
(12)
FFO is defined as net income or loss, excluding gain or loss from the disposition of real estate assets, depreciation and amortization on real estate assets and adjustments for unconsolidated joint ventures’ and non-controlling interests’ share of these items.
Net income (loss)
$ (14)
$ 296
$ 227
$ 814
$ 969
Net loss attributable to non-controlling interests
—
1
—
1
—
Net (income) loss attributable to non-controlling interests
(14)
297
227
815
969
Adjustments:
Real estate depreciation
309
308
290
1,239
1,143
(Gain) loss on disposition of real estate property
(1)
(3)
2
(20)
1
Adjustments for FFO from unconsolidated joint ventures
8
7
6
27
17
FFO attributable to common stockholders
$ 302
$ 609
$ 525
$ 2,061
$ 2,130
(13)
AFFO is defined as FFO, excluding depreciation and amortization expense on non-real estate assets, accretion, stock-based compensation, stock-based charitable contributions, restructuring charges, impairment charges, transaction costs, an installation revenue adjustment, a straight-line rent expense adjustment, a contract cost adjustment, amortization of deferred financing costs and debt discounts and premiums, gain or loss on debt extinguishment, an income tax expense adjustment, net income or loss from discontinued operations, net of tax, recurring capital expenditures and adjustments from FFO to AFFO for unconsolidated joint ventures’ and non-controlling interests’ share of these items.
FFO attributable to common stockholders
$ 302
$ 609
$ 525
$ 2,061
$ 2,130
Adjustments:
Installation revenue adjustment
(1)
(1)
1
(4)
4
Straight-line rent expense adjustment
(18)
4
(6)
(3)
12
Contract cost adjustment
(11)
(6)
(16)
(27)
(47)
Amortization of deferred financing costs and debt discounts
5
5
4
20
19
Stock-based compensation expense
114
122
106
462
407
Stock-based charitable contributions
—
—
—
3
3
Non-real estate depreciation expense
136
136
121
562
494
Amortization expense
53
52
52
208
208
Accretion expense adjustment
4
(2)
(1)
2
(1)
Recurring capital expenditures
(115)
(69)
(105)
(250)
(219)
Loss on debt extinguishment
15
—
—
16
—
Restructuring charges
31
—
—
31
—
Transaction costs
38
7
6
50
13
Impairment charges
233
—
—
233
2
Income tax expense adjustment
(16)
10
1
(2)
(12)
Adjustments for AFFO from unconsolidated joint ventures
—
(1)
3
(6)
6
AFFO attributable to common stockholders
$ 770
$ 866
$ 691
$ 3,356
$ 3,019
(14)
Following is how we reconcile from adjusted EBITDA to AFFO:
Adjusted EBITDA
$ 1,021
$ 1,048
$ 920
$ 4,097
$ 3,702
Adjustments:
Interest expense, net of interest income
(77)
(82)
(75)
(320)
(308)
Amortization of deferred financing costs and debt discounts
5
5
4
20
19
Income tax expense
(14)
(54)
(43)
(161)
(155)
Income tax expense adjustment
(16)
10
1
(2)
(12)
Straight-line rent expense adjustment
(18)
4
(6)
(3)
12
Stock-based charitable contributions
—
—
—
3
3
Contract cost adjustment
(11)
(6)
(16)
(27)
(47)
Installation revenue adjustment
(1)
(1)
1
(4)
4
Recurring capital expenditures
(115)
(69)
(105)
(250)
(219)
Other income (expense)
(11)
7
(1)
(17)
(11)
(Gain) loss on disposition of real estate property
(1)
(3)
2
(20)
1
Adjustments for unconsolidated JVs’ and non-controlling interests
8
7
9
22
23
Adjustments for impairment charges
—
—
—
—
2
Adjustment for gain on asset sales
—
—
—
18
5
AFFO attributable to common stockholders
$ 770
$ 866
$ 691
$ 3,356
$ 3,019
(15)
The shares used in the computation of basic and diluted FFO and AFFO per share attributable to common stockholders is presented below:
Shares used in computing basic net income per share, FFO per share and AFFO per share (in thousands)
96,849
95,394
94,268
95,457
93,615
Effect of dilutive securities:
Employee equity awards (in thousands)
404
337
399
370
394
Shares used in computing diluted net income per share, FFO per share and AFFO per share (in thousands)
97,253
95,731
94,667
95,827
94,009
Basic FFO per share
$ 3.12
$ 6.38
$ 5.56
$ 21.59
$ 22.75
Diluted FFO per share
$ 3.11
$ 6.36
$ 5.54
$ 21.51
$ 22.66
Basic AFFO per share
$ 7.95
$ 9.08
$ 7.33
$ 35.16
$ 32.24
Diluted AFFO per share
$ 7.92
$ 9.05
$ 7.30
$ 35.02
$ 32.11
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SOURCE Equinix, Inc.
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PLEASANTON, Calif., May 7, 2026 /PRNewswire/ — 10x Genomics, Inc. (Nasdaq: TXG), a leader in single cell and spatial biology, today reported financial results for the first quarter ended March 31, 2026.
Recent Updates
Revenue was $150.8 million for the first quarter of 2026, representing a 3% decrease over the corresponding period of 2025. Excluding $16.8 million related to one-time license and royalty revenue in the first quarter of 2025, revenue increased 9% over the corresponding period of 2025.Launched Atera, a new platform to redefine how biology is measured and understood. Atera was engineered to deliver spatial whole-transcriptome analysis with single-cell sensitivity at unprecedented scale. The Company expects to start shipping Atera in the second half of 2026.Announced a partnership with Bioptimus, a global AI biotech company, to launch STELA, a multinational spatial data generation initiative to create foundational datasets connecting underlying biology with disease outcomes. The initiative is starting this effort on our Xenium platform and plans to expand to Atera over time.Ended the first quarter of 2026 with cash and cash equivalents and marketable securities of $539.8 million, representing a $112.9 million increase from March 31, 2025.
“We had a solid start to the year, with double-digit growth in Single Cell consumables reaction volumes and double-digit growth in Spatial consumables revenue,” said Serge Saxonov, Co-founder and CEO of 10x Genomics. “The biggest highlight is our recent launch of Atera, which represents the most significant product introduction in our history. We are extremely encouraged by the extraordinary early customer response.”
First Quarter 2026 Financial Results
Revenue was $150.8 million for the first quarter of 2026, a 3% decrease from the corresponding period of 2025. Excluding $16.8 million related to a patent litigation settlement recognized in the first quarter of 2025, revenue increased 9% over the corresponding period of 2025.
Gross margin was 70% for the first quarter of 2026, as compared to 68% for the corresponding prior year period. The increase in gross margin was primarily due to lower warranty costs and lower inventory write-downs, partially offset by a decrease in license and royalty revenue reflecting a non-recurring royalty benefit recognized in the first quarter of 2025.
Operating expenses were $123.2 million for the first quarter of 2026, a 15% decrease from $144.8 million for the corresponding prior year period. The decrease was primarily driven by lower outside legal expenses and personnel expenses, partially offset by a non-recurring gain on settlement of $9.2 million recognized in the first quarter of 2025.
Operating loss was $17.0 million for the first quarter of 2026, as compared to operating loss of $39.3 million for the corresponding prior year period.
Net loss was $13.5 million for the first quarter of 2026, as compared to a net loss of $34.4 million for the corresponding prior year period.
Cash and cash equivalents and marketable securities were $539.8 million as of March 31, 2026.
2026 Financial Guidance
10x Genomics is maintaining its full year 2026 revenue guidance of $600 million to $625 million. Excluding the non-recurring license and royalty revenue related to patent litigation settlements in 2025, this represents 0% to 4% growth over full year 2025.
Webcast and Conference Call Information
10x Genomics will host a conference call to discuss the first quarter 2026 financial results, business developments and outlook after market close on Thursday, May 7, 2026 at 1:30 PM Pacific Time / 4:30 PM Eastern Time. A webcast of the conference call can be accessed at http://investors.10xgenomics.com. The webcast will be archived and available for replay at least 45 days after the event.
About 10x Genomics
10x Genomics is a life science technology company building products to accelerate the mastery of biology and advance human health. Our integrated research solutions include instruments, consumables and software for single cell and spatial biology, which help academic and translational researchers and biopharmaceutical companies understand biological systems at a resolution and scale that matches the complexity of biology. Our products are behind breakthroughs in oncology, immunology, neuroscience and more, fueling powerful discoveries that are transforming the world’s understanding of health and disease. To learn more, visit 10xgenomics.com or connect with us on LinkedIn, X, Facebook, Bluesky or YouTube.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 as contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are subject to the “safe harbor” created by those sections. All statements included in this press release, other than statements of historical facts, may be forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “might,” “will,” “should,” “expect,” “plan,” “outlook,” “anticipate,” “could,” “intend,” “target,” “project,” “contemplate,” “believe,” “see,” “estimate,” “predict,” “potential,” “would,” “likely,” “seek” or “continue” or the negatives of these terms or variations of them or similar terminology, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include statements regarding 10x Genomics, Inc.’s products, services, business strategy, collaborations and opportunities and 10x Genomics, Inc.’s financial performance and results of operations, including expectations regarding revenue and guidance. These statements are based on management’s current expectations, forecasts, beliefs, estimates, assumptions and information currently available to management. Actual outcomes and results could differ materially from these statements due to a number of factors and such statements should not be relied upon as representing 10x Genomics, Inc.’s views as of any date subsequent to the date of this press release. 10x Genomics, Inc. disclaims any obligation to update any forward-looking statements provided to reflect any change in 10x Genomics’ expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law. The material risks and uncertainties that could affect 10x Genomics, Inc.’s financial and operating results and cause actual results to differ materially from those indicated by the forward-looking statements made in this press release include those discussed under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the company’s most recently-filed 10-K for the fiscal year ended December 31, 2025 filed on February 12, 2026 and the company’s quarterly report on Form 10-Q for the quarter ended March 31, 2026 to be filed with the U.S. Securities and Exchange Commission (“SEC”), and elsewhere in the documents 10x Genomics, Inc. files with the SEC from time to time.
Disclosure Information
10x Genomics uses filings with the Securities and Exchange Commission, its website (www.10xgenomics.com), press releases, public conference calls, public webcasts and its social media accounts as means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD.
Contacts
Investors: investors@10xgenomics.com
Media: media@10xgenomics.com
10x Genomics, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except share and per share data)
Three Months Ended
March 31,
2026
2025
Products and services revenue
$ 149,896
$ 137,823
License and royalty revenue
947
17,060
Revenue (1)
150,843
154,883
Cost of products and services revenue (2)
44,665
49,438
Gross profit
106,178
105,445
Operating expenses:
Research and development (2)
56,847
64,245
Selling, general and administrative (2)
66,377
89,728
Gain on settlement
—
(9,200)
Total operating expenses
123,224
144,773
Loss from operations
(17,046)
(39,328)
Other income (expense):
Interest income
5,014
3,686
Other income (expense), net
(815)
2,136
Total other income
4,199
5,822
Loss before provision for income taxes
(12,847)
(33,506)
Provision for income taxes
623
852
Net loss
$ (13,470)
$ (34,358)
Net loss per share, basic and diluted
$ (0.10)
$ (0.28)
Weighted-average shares used to compute net loss per share, basic and diluted
128,291,153
122,606,091
__________________________
(1)
The following table represents total revenue by source for the periods indicated (in thousands). Spatial includes the Company’s Visium and Xenium products:
Three Months Ended
March 31,
2026
2025
Instruments
Single Cell
$ 5,223
$ 5,913
Spatial
6,039
8,902
Total instruments revenue
11,262
14,815
Consumables
Single Cell
88,894
84,109
Spatial
40,907
31,247
Total consumables revenue
129,801
115,356
Services
8,833
7,652
Products and services revenue
149,896
137,823
License and royalty revenue
947
17,060
Total revenue
$ 150,843
$ 154,883
(1)
The following table presents revenue by geography based on the location of the customer for the periods indicated (in thousands):
Three Months Ended
March 31,
2026
2025
Americas
United States*
$ 76,693
$ 86,818
Americas (excluding United States)
3,406
3,752
Total Americas
80,099
90,570
Europe, Middle East and Africa
36,852
31,895
Asia-Pacific
China
15,837
16,883
Asia-Pacific (excluding China)
18,055
15,535
Total Asia-Pacific
33,892
32,418
Total revenue
$ 150,843
$ 154,883
*
Includes license and royalty revenue.
(2)
Includes stock-based compensation expense as follows:
Three Months Ended
March 31,
(in thousands)
2026
2025
Cost of revenue
$ 1,918
$ 2,481
Research and development
10,695
14,106
Selling, general and administrative
10,029
14,489
Total stock-based compensation expense
$ 22,642
$ 31,076
10x Genomics, Inc.
Condensed Consolidated Balance Sheets
(Unaudited)
(In thousands)
March 31,
2026
December 31,
2025
Assets
Current assets:
Cash and cash equivalents
$ 490,285
$ 473,966
Marketable securities
49,563
49,443
Accounts receivable, net
39,031
47,013
Other receivables
17,106
35,480
Inventory
53,487
56,341
Prepaid expenses and other current assets
20,261
22,208
Total current assets
669,733
684,451
Property and equipment, net
220,591
226,711
Operating lease right-of-use assets
58,390
60,450
Goodwill
4,511
4,511
Intangible assets, net
59,910
62,329
Other noncurrent assets
2,624
2,913
Total assets
$ 1,015,759
$ 1,041,365
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable
$ 17,425
$ 12,733
Accrued compensation and related benefits
21,506
42,500
Accrued expenses and other current liabilities
33,680
39,971
Deferred revenue
24,342
23,902
Operating lease liabilities
11,330
10,985
Contingent consideration, current
5,315
23,363
Total current liabilities
113,598
153,454
Contingent consideration, noncurrent
1,222
1,237
Operating lease liabilities, noncurrent
70,059
73,376
Deferred revenue, noncurrent
10,138
10,501
Other noncurrent liabilities
6,418
6,471
Total liabilities
201,435
245,039
Commitments and contingencies
Stockholders’ equity:
Preferred stock
—
—
Common stock
2
2
Additional paid-in capital
2,338,269
2,306,690
Accumulated deficit
(1,524,061)
(1,510,591)
Accumulated other comprehensive income
114
225
Total stockholders’ equity
814,324
796,326
Total liabilities and stockholders’ equity
$ 1,015,759
$ 1,041,365
View original content to download multimedia:https://www.prnewswire.com/news-releases/10x-genomics-reports-first-quarter-2026-financial-results-302766095.html
SOURCE 10x Genomics, Inc.
NEW YORK, May 7, 2026 /PRNewswire/ — OUTFRONT Media Inc. (NYSE: OUT) announced today that its board of directors has declared a quarterly cash dividend on the Company’s common stock of $0.30 per share payable on June 30, 2026, to shareholders of record at the close of business on June 5, 2026.
About OUTFRONT Media Inc.
OUTFRONT is one of the largest and most trusted out-of-home media companies in the U.S., helping brands connect with audiences in the moments and environments that matter most. As OUTFRONT evolves, it’s defining a new era of in-real-life (IRL) marketing, turning public spaces into platforms for creativity, connection, and cultural relevance. With a nationwide footprint across billboards, digital displays, transit systems, and other out-of-home formats, OUTFRONT turns creative into powerful real-world experiences. Its in-house agency, OUTFRONT STUDIOS, and award-winning innovation team, XLabs, deliver standout storytelling, supported by advanced technology and data tools that can drive measurable impact.
Contacts:
Investors
Media
Stephan Bisson
Courtney Richards
Investor Relations
Events & Communications
(212) 297-6573
(646) 876-9404
View original content to download multimedia:https://www.prnewswire.com/news-releases/outfront-media-announces-quarterly-dividend-302766109.html
SOURCE OUTFRONT Media Inc.
Technology
OUTFRONT Media Reports First Quarter 2026 Results
Published
15 minutes agoon
May 7, 2026By
Revenues of $429.6 million
Operating income of $55.9 million
Net income attributable to OUTFRONT Media Inc. of $19.1 million
Adjusted OIBDA of $100.4 million
AFFO attributable to OUTFRONT Media Inc. of $61.0 million
Quarterly dividend of $0.30 per share, payable June 30, 2026
NEW YORK, May 7, 2026 /PRNewswire/ — OUTFRONT Media Inc. (NYSE: OUT) today reported results for the quarter ended March 31, 2026.
“Our first quarter results demonstrate our continued strong performance, with revenue, OIBDA, and AFFO all exceeding our guidance,” said Nick Brien, Chief Executive Officer of OUTFRONT Media. “Importantly, this exceptional performance was driven by strong results across our entire business, with billboard and transit both contributing to this success.”
Three Months Ended
March 31,
$ in Millions, except per share amounts
2026
2025
Revenues
$429.6
$390.7
Operating income
55.9
13.9
Adjusted OIBDA
100.4
64.2
Net income (loss) before allocation to redeemable and non-redeemable
noncontrolling interests
19.3
(20.7)
Net income (loss)1
19.1
(20.6)
Net income (loss) per share1,2,3
$0.11
($0.14)
Funds From Operations (FFO)1
63.5
26.5
Adjusted FFO (AFFO)1
61.0
27.1
Shares outstanding3
177.1
166.4
Notes: See exhibits for reconciliations of non-GAAP financial measures; 1) References to “Net income (loss)”, “FFO” and “AFFO” mean “Net income (loss) attributable to OUTFRONT Media Inc.”, “FFO attributable to OUTFRONT Media Inc.” and “AFFO attributable to OUTFRONT Media Inc.,” respectively; 2) References to “per share” mean per common share for diluted earnings per weighted average share; 3) Diluted weighted average shares outstanding.
First Quarter 2026 Results
Consolidated Results
Reported revenues of $429.6 million increased $38.9 million, or 10.0%, for the first quarter of 2026 as compared to the same prior-year period.
Total operating expenses of $227.5 million increased $6.2 million, or 2.8%, compared to the same prior-year period, due primarily to higher variable billboard property lease expenses, higher transit franchise costs, including higher guaranteed minimum annual payments to the New York Metropolitan Transportation Authority (the “MTA”) due to inflation, higher production expenses, and higher maintenance and utilities costs, partially offset by the impact of lost billboards in the period.
Selling, General and Administrative expenses (“SG&A”) of $107.3 million decreased $7.4 million, or 6.5%, compared to the same prior-year period, due primarily to lower compensation-related expenses, including severance and salaries, and lower credit card usage by customers, partially offset by higher professional fees, including software and technology expenses, a higher allowance for bad debt and higher client entertainment expenses.
Adjusted OIBDA of $100.4 million increased $36.2 million, or 56.4%, compared to the same prior-year period.
Segment Results
Billboard
Reported billboard segment revenues of $332.9 million increased $22.2 million, or 7.1%, compared to the same prior-year period, due primarily to higher proceeds from condemnations and an increase in average revenue per display (yield), including the impact of programmatic platforms on digital billboard revenues, partially offset by lost billboards in the period.
Operating expenses increased $3.5 million, or 2.4%, due primarily to higher variable billboard property lease costs, higher maintenance and utilities, higher site-related costs, and higher compensation-related expenses, partially offset by the impact of lost billboards in the period.
SG&A expenses increased $1.3 million, or 1.9%, due primarily to higher professional fees, including software and technology expenses, and a higher allowance for bad debt, partially offset by lower credit card usage by customers and lower compensation-related expenses.
Adjusted OIBDA of $116.4 million increased $17.4 million, or 17.6%, compared to the same prior-year period.
Transit
Reported transit segment revenues of $95.0 million increased $17.3 million, or 22.3%, compared to the same prior-year period, due primarily to an increase in average revenue per display (yield), partially offset by the impact of new and lost transit franchise contracts.
Operating expenses increased $3.0 million, or 4.0%, due primarily to higher guaranteed minimum annual payments to the MTA due to inflation, higher display production costs, and higher posting and rotation costs.
SG&A expenses increased $1.5 million, or 8.7%, due primarily to higher compensation-related expenses, including severance and commissions, higher professional fees, including higher software and technology expenses, partially offset by lower credit card usage by customers.
Adjusted OIBDA loss decreased $12.8 million, or 90.1%, compared to the same prior-year period.
Other
Reported revenues decreased $0.6 million, or 26.1%, operating expenses decreased $0.3 million, or 16.7%, and Adjusted OIBDA decreased $0.3 million, or 60.0%, compared to the same prior-year period, due primarily to a decrease in third-party digital equipment sales.
Corporate
Corporate expenses, excluding stock-based compensation, decreased $6.3 million, or 29.9%, compared to the same prior-year period to $14.8 million, due primarily to lower compensation-related expenses, including severance, and lower professional fees, including fees related to a management consulting project.
Interest Expense
Net interest expense in the first quarter of 2026 was $36.0 million, including amortization of deferred financing costs of $1.4 million, as compared to $36.0 million, including amortization of deferred financing costs of $1.5 million, in the same prior-year period. The weighted average cost of debt was 5.3% as of March 31, 2026 and 5.4% as of March 31, 2025.
Income Taxes
The provision for income taxes decreased $0.1 million, or 20.0%, in the first quarter of 2026 compared to the same prior-year period. Cash paid for income taxes in the three months ended March 31, 2026 was $0.4 million.
Net Income Attributable to OUTFRONT Media Inc.
Net income attributable to OUTFRONT Media Inc. was $19.1 million in the first quarter of 2026 compared to a Net loss attributable to OUTFRONT Media Inc. of $20.6 million in the same prior-year period. Diluted weighted average shares outstanding were 177.1 million for the first quarter of 2026 compared to 166.4 million for the same prior-year period. Net income per common share for diluted earnings per weighted average share was $0.11 in the first quarter of 2026 compared to a Net loss per common share for diluted earnings per weighted average share of $0.14 in the same prior-year period.
FFO
FFO attributable to OUTFRONT Media Inc. was $63.5 million in the first quarter of 2026, an increase of $37.0 million, or 139.6%, from the same prior-year period, driven primarily by higher Adjusted OIBDA.
AFFO
Starting at the end of 2025, we modified our calculation of AFFO to include amortization of direct lease acquisition costs instead of cash paid for direct lease acquisition costs, as management believes that this calculation of AFFO is a more appropriate measure of performance period-over-period and consistent with how we calculate FFO. Accordingly, relevant prior periods have been recast to conform to this presentation.
AFFO attributable to OUTFRONT Media Inc. was $61.0 million in the first quarter of 2026, an increase of $33.9 million, or 125.1%, from the same prior-year period, due primarily to higher Adjusted OIBDA and a higher non-cash effect of straight-line rent, partially offset by lower equity earnings.
Cash Flow & Capital Expenditures
Net cash flow provided by operating activities of $75.3 million for the three months ended March 31, 2026, increased $41.7 million, or 124.1%, compared to $33.6 million in the same prior-year period, due primarily to higher net income, as adjusted for non-cash items, the timing of accounts receivables and a decrease in accounts payable and accrued expenses, partially offset by a decrease in deferred revenues. Total capital expenditures increased $6.9 million, or 40.1%, to $24.1 million for the three months ended March 31, 2026, compared to the same prior-year period, due primarily to increased growth in digital displays, increased maintenance spending for billboard display upgrades and increased spending for safety-related projects.
Dividends
In the three months ended March 31, 2026, we paid cash dividends of $53.4 million on our common stock and vested restricted share units granted to employees. We announced on May 7, 2026, that our board of directors has approved a quarterly cash dividend on our common stock of $0.30 per share payable on June 30, 2026, to stockholders of record at the close of business on June 5, 2026.
Balance Sheet and Liquidity
As of March 31, 2026, our liquidity position included unrestricted cash of $67.2 million and $494.9 million of availability under our $500.0 million revolving credit facility, net of $5.1 million of issued letters of credit against the letter of credit facility sublimit under the revolving credit facility, and $150.0 million of additional availability under our accounts receivable securitization facility. During the three months ended March 31, 2026, no shares of our common stock were sold under our at-the-market equity offering program, of which $232.5 million remains available. Total indebtedness as of March 31, 2026 was $2.6 billion, excluding $14.8 million of deferred financing costs, and includes a $500.0 million term loan, $450.0 million of senior secured notes and $1.7 billion of senior unsecured notes.
Conference Call
We will host a conference call to discuss the results on May 7, 2026, at 4:30 p.m. Eastern Time. The conference call numbers are 833-461-5787 (U.S. callers) and 585-542-9983 (International callers) and the passcode for both is 404991578. Live and replay versions of the conference call will be webcast in the Investor Relations section of our website, www.outfront.com.
Supplemental Materials
In addition to this press release, we have provided a supplemental investor presentation which can be viewed on our website, www.outfront.com.
About OUTFRONT Media Inc.
OUTFRONT is one of the largest and most trusted out-of-home media companies in the U.S., helping brands connect with audiences in the moments and environments that matter most. As OUTFRONT evolves, it’s defining a new era of in-real-life (IRL) marketing, turning public spaces into platforms for creativity, connection, and cultural relevance. With a nationwide footprint across billboards, digital displays, transit systems, and other out-of-home formats, OUTFRONT turns creative into powerful real-world experiences. Its in-house agency, OUTFRONT STUDIOS, and award-winning innovation team, XLabs, deliver standout storytelling, supported by advanced technology and data tools that can drive measurable impact.
Contacts:
Investors
Media
Stephan Bisson
Courtney Richards
Investor Relations
Events & Communications
(212) 297-6573
(646) 876-9404
stephan.bisson@outfront.com
courtney.richards@outfront.com
Non-GAAP Financial Measures
In addition to the results prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) provided throughout this document, this document and the accompanying tables include non-GAAP financial measures as described below. We calculate and define “Adjusted OIBDA” as operating income (loss) before depreciation, amortization, net (gain) loss on dispositions and stock-based compensation. We calculate Adjusted OIBDA margin by dividing Adjusted OIBDA by total revenues. Adjusted OIBDA and Adjusted OIBDA margin are among the primary measures we use for managing our business, evaluating our operating performance and planning and forecasting future periods, as each is an important indicator of our operational strength and business performance. Our management believes users of our financial data are best served if the information that is made available to them allows them to align their analysis and evaluation of our operating results along the same lines that our management uses in managing, planning and executing our business strategy. Our management also believes that the presentations of Adjusted OIBDA and Adjusted OIBDA margin, as supplemental measures, are useful in evaluating our business because eliminating certain non-comparable items highlight operational trends in our business that may not otherwise be apparent when relying solely on GAAP financial measures. It is management’s opinion that these supplemental measures provide users of our financial data with an important perspective on our operating performance and also make it easier for users of our financial data to compare our results with other companies that have different financing and capital structures or tax rates. When used herein, references to “FFO” and “AFFO” mean “FFO attributable to OUTFRONT Media Inc.” and “AFFO attributable to OUTFRONT Media Inc.,” respectively. We calculate FFO in accordance with the definition established by the National Association of Real Estate Investment Trusts (“NAREIT”). FFO reflects net income (loss) attributable to OUTFRONT Media Inc. adjusted to exclude gains and losses from the sale of real estate assets, depreciation and amortization of real estate assets, amortization of direct lease acquisition costs and the same adjustments for our equity-based investments and redeemable and non-redeemable noncontrolling interests, as well as the related income tax effect of adjustments, as applicable. We calculate AFFO as FFO adjusted to include amortization of direct lease acquisition costs as such costs are generally amortized over a period ranging from four weeks to one year and therefore are incurred on a regular basis. AFFO also includes cash paid for maintenance capital expenditures since these are routine uses of cash that are necessary for our operations. In addition, AFFO excludes certain non-cash items, including non-real estate depreciation and amortization, stock-based compensation expense, accretion expense, the non-cash effect of straight-line rent, amortization of deferred financing costs and the same adjustments for our redeemable and non-redeemable noncontrolling interests, along with the non-cash portion of income taxes, and the related income tax effect of adjustments, as applicable. We use FFO and AFFO measures for managing our business and for planning and forecasting future periods, and each is an important indicator of our operational strength and business performance, especially compared to other real estate investment trusts (“REITs”). Our management believes users of our financial data are best served if the information that is made available to them allows them to align their analysis and evaluation of our operating results along the same lines that our management uses in managing, planning and executing our business strategy. Our management also believes that the presentations of FFO and AFFO, as supplemental measures, are useful in evaluating our business because adjusting results to reflect items that have more bearing on the operating performance of REITs highlight trends in our business that may not otherwise be apparent when relying solely on GAAP financial measures. It is management’s opinion that these supplemental measures provide users of our financial data with an important perspective on our operating performance and also make it easier to compare our results to other companies in our industry, as well as to REITs. Since Adjusted OIBDA, Adjusted OIBDA margin, FFO and AFFO are not measures calculated in accordance with GAAP, they should not be considered in isolation of, or as a substitute for, operating income (loss) and net income (loss) attributable to OUTFRONT Media Inc., the most directly comparable GAAP financial measures, as indicators of operating performance. These measures, as we calculate them, may not be comparable to similarly titled measures employed by other companies. In addition, these measures do not necessarily represent funds available for discretionary use and are not necessarily a measure of our ability to fund our cash needs.
Please see Exhibits 4-5 of this release for a reconciliation of the above non-GAAP financial measures to the most directly comparable GAAP financial measures.
Cautionary Statement Regarding Forward-Looking Statements
We have made statements in this document that are forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by the use of forward-looking terminology such as “believes,” “expects,” “could,” “would,” “may,” “might,” “will,” “should,” “seeks,” “likely,” “intends,” “plans,” “projects,” “predicts,” “estimates,” “forecast” or “anticipates” or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events or trends and that do not relate solely to historical matters. You can also identify forward-looking statements by discussions of strategy, plans or intentions related to our capital resources, portfolio performance and results of operations. Forward-looking statements involve numerous risks and uncertainties and you should not rely on them as predictions of future events. Forward-looking statements depend on assumptions, data or methods that may be incorrect or imprecise and may not be able to be realized. We do not guarantee that the transactions and events described will happen as described (or that they will happen at all). The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements: declines in advertising and general economic conditions; competition; government regulation; our ability to operate our digital display platform; losses and costs resulting from recalls and product liability, warranty and intellectual property claims; our ability to obtain and renew key municipal contracts on favorable terms; taxes, fees and registration requirements; decreased government compensation for the removal of lawful billboards; content-based restrictions on outdoor advertising; seasonal variations; acquisitions and other strategic transactions that we may pursue could have a negative effect on our results of operations; dependence on our management team and other key employees; experiencing a cybersecurity incident; changes in regulations and consumer concerns regarding privacy, information security and data, or any failure or perceived failure to comply with these regulations or our internal policies; asset impairment charges for our long-lived assets and goodwill; environmental, health and safety laws and regulations; expectations relating to environmental, social and governance considerations; our substantial indebtedness; restrictions in the agreements governing our indebtedness; incurrence of additional debt; interest rate risk exposure from our variable-rate indebtedness; our ability to generate cash to service our indebtedness; cash available for distributions; hedging transactions; the ability of our board of directors to cause us to issue additional shares of stock without common stockholder approval; certain provisions of Maryland law may limit the ability of a third party to acquire control of us; our rights and the rights of our stockholders to take action against our directors and officers are limited; our failure to remain qualified to be taxed as a REIT; REIT distribution requirements; availability of external sources of capital; we may face other tax liabilities even if we remain qualified to be taxed as a REIT; complying with REIT requirements may cause us to liquidate investments or forgo otherwise attractive investments or business opportunities; our ability to contribute certain contracts to a taxable REIT subsidiary (“TRS”); our planned use of TRSs may cause us to fail to remain qualified to be taxed as a REIT; REIT ownership limits; complying with REIT requirements may limit our ability to hedge effectively; the ability of our board of directors to revoke our REIT election at any time without stockholder approval; the Internal Revenue Service may deem the gains from sales of our outdoor advertising assets to be subject to a 100% prohibited transaction tax; establishing operating partnerships as part of our REIT structure; and other factors described in our filings with the Securities and Exchange Commission (the “SEC”), including but not limited to the section entitled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC on February 26, 2026. All forward-looking statements in this document apply as of the date of this document or as of the date they were made and, except as required by applicable law, we disclaim any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes.
EXHIBITS
Exhibit 1: CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited) See Notes on Page 14
Three Months Ended
March 31,
(in millions, except per share amounts)
2026
2025
Revenues
$ 429.6
$ 390.7
Expenses:
Operating
227.5
221.3
Selling, general and administrative
107.3
114.7
Net loss on dispositions
1.0
0.1
Depreciation
20.7
23.6
Amortization
17.2
17.1
Total expenses
373.7
376.8
Operating income
55.9
13.9
Interest expense, net
(36.0)
(36.0)
Income (loss) before provision for income taxes and equity in earnings of investee
companies
19.9
(22.1)
Provision for income taxes
(0.4)
(0.5)
Equity in earnings of investee companies, net of tax
(0.2)
1.9
Net income (loss) before allocation to redeemable and non-redeemable noncontrolling
interests
19.3
(20.7)
Net income (loss) attributable to redeemable and non-redeemable noncontrolling interests
0.2
(0.1)
Net income (loss) attributable to OUTFRONT Media Inc.
$ 19.1
$ (20.6)
Net income (loss) per common share:
Basic
$ 0.11
$ (0.14)
Diluted
$ 0.11
$ (0.14)
Weighted average shares outstanding:
Basic
175.5
166.4
Diluted
177.1
166.4
Exhibit 2: CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
(Unaudited) See Notes on Page 14
As of
(in millions)
March 31,
2026
December 31,
2025
Assets:
Current assets:
Cash and cash equivalents
$ 67.2
$ 99.9
Receivables, less allowance ($25.0 in 2026 and $23.2 in 2025)
294.3
365.7
Prepaid lease and franchise costs
2.6
5.1
Prepaid MTA equipment deployment costs
0.2
—
Other prepaid expenses
25.6
21.9
Other current assets
11.6
11.1
Total current assets
401.5
503.7
Property and equipment, net
644.3
643.8
Goodwill
2,006.4
2,006.4
Intangible assets
603.6
612.0
Operating lease assets
1,553.8
1,521.5
Other assets
28.5
24.2
Total assets
$ 5,238.1
$ 5,311.6
Liabilities:
Current liabilities:
Accounts payable
$ 33.3
$ 50.2
Accrued compensation
42.4
72.3
Accrued interest
23.4
35.1
Accrued lease and franchise costs
62.7
72.2
Other accrued expenses
63.2
55.5
Deferred revenues
60.1
57.7
Short-term operating lease liabilities
179.5
172.9
Other current liabilities
27.6
29.4
Total current liabilities
492.2
545.3
Long-term debt, net
2,584.5
2,583.4
Asset retirement obligation
34.1
34.0
Operating lease liabilities
1,398.9
1,374.7
Other liabilities
39.2
40.3
Total liabilities
4,548.9
4,577.7
Commitments and contingencies
Redeemable noncontrolling interests
25.8
22.0
Stockholders’ equity:
Common stock (2026 – 450.0 shares authorized, and 176.1 shares issued and
outstanding; 2025 – 450.0 shares authorized, and 175.2 issued and outstanding)
1.8
1.8
Additional paid-in capital
2,604.6
2,619.3
Distribution in excess of earnings
(1,944.6)
(1,910.8)
Accumulated other comprehensive loss
0.1
0.1
Total stockholders’ equity
661.9
710.4
Noncontrolling interests
1.5
1.5
Total liabilities and equity
$ 5,238.1
$ 5,311.6
Exhibit 3: CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited) See Notes on Page 14
Three Months Ended
March 31,
(in millions)
2026
2025
Operating activities:
Net income (loss) attributable to OUTFRONT Media Inc.
$ 19.1
$ (20.6)
Adjustments to reconcile net income (loss) to net cash flow provided by operating activities:
Net income (loss) attributable to redeemable and non-redeemable noncontrolling interests
0.2
(0.1)
Depreciation and amortization
37.9
40.7
Stock-based compensation
5.6
9.5
Provision for doubtful accounts
2.2
1.5
Accretion expense
0.7
0.7
Net loss on dispositions
1.0
0.1
Equity in earnings of investee companies, net of tax
0.2
(1.9)
Distributions from investee companies
0.3
0.3
Amortization of deferred financing costs and debt discount and premium
1.4
1.5
Change in assets and liabilities, net of investing and financing activities:
Decrease in receivables
69.2
45.3
Increase in prepaid MTA equipment deployment costs
(0.2)
—
(Increase) decrease in prepaid expenses and other current assets
(3.5)
0.8
Decrease in accounts payable and accrued expenses
(57.1)
(67.8)
Increase in operating lease assets and liabilities
0.5
2.1
Increase in deferred revenues
2.4
16.7
Increase (decrease) in income taxes
—
0.5
Other, net
(4.6)
4.3
Net cash flow provided by operating activities
75.3
33.6
Investing activities:
Capital expenditures
(24.1)
(17.2)
Acquisitions
(8.1)
(5.7)
MTA franchise rights
(1.8)
(4.0)
Net proceeds from dispositions
—
0.7
Investment in investee companies
(4.0)
—
Return of investments in investee companies
—
1.5
Net cash flow used for investing activities
(38.0)
(24.7)
Financing activities:
Proceeds from borrowings under short-term debt facilities
—
50.0
Repayments of borrowings under short-term debt facilities
—
(10.0)
Taxes withheld for stock-based compensation
(16.6)
(12.3)
Dividends
(53.4)
(53.0)
Net cash flow used for financing activities
(70.0)
(25.3)
Exhibit 3: CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
(Unaudited) See Notes on Page 14
Three Months Ended
March 31,
(in millions)
2026
2025
Net decrease in cash and cash equivalents
(32.7)
(16.4)
Cash and cash equivalents at beginning of period
99.9
46.9
Cash and cash equivalents at end of period
$ 67.2
$ 30.5
Supplemental disclosure of cash flow information:
Cash paid for income taxes
$ 0.4
$ —
Cash paid for interest
47.1
46.2
Non-cash investing and financing activities:
Accrued purchases of property and equipment
3.3
13.4
Accrued MTA franchise rights
1.9
1.6
Taxes withheld for stock-based compensation
2.8
2.6
Exhibit 4: SUPPLEMENTAL DISCLOSURES REGARDING NON-GAAP FINANCIAL INFORMATION
(Unaudited) See Notes on Page 14
Three Months Ended March 31, 2026
(in millions, except percentages)
Billboard
Transit
Other
Corporate
Consolidated
Revenues
$ 332.9
$ 95.0
$ 1.7
$ —
$ 429.6
Operating income (loss)
$ 82.5
$ (6.4)
$ 0.2
$ (20.4)
$ 55.9
Net loss on dispositions
0.9
0.1
—
—
1.0
Depreciation
18.1
2.6
—
—
20.7
Amortization
14.9
2.3
—
—
17.2
Stock-based compensation
—
—
—
5.6
5.6
Adjusted OIBDA
$ 116.4
$ (1.4)
$ 0.2
$ (14.8)
$ 100.4
Adjusted OIBDA margin
35.0 %
(1.5) %
11.8 %
*
23.4 %
Three Months Ended March 31, 2025
(in millions, except percentages)
Billboard
Transit
Other
Corporate
Consolidated
Revenues
$ 310.7
$ 77.7
$ 2.3
$ —
$ 390.7
Operating income (loss)
$ 61.0
$ (17.0)
$ 0.5
$ (30.6)
$ 13.9
Net (gain) loss on dispositions
0.7
(0.6)
—
—
0.1
Depreciation
21.6
2.0
—
—
23.6
Amortization
15.7
1.4
—
—
17.1
Stock-based compensation
—
—
—
9.5
9.5
Adjusted OIBDA
$ 99.0
$ (14.2)
$ 0.5
$ (21.1)
$ 64.2
Adjusted OIBDA margin
31.9 %
(18.3) %
21.7 %
*
16.4 %
Exhibit 5: SUPPLEMENTAL DISCLOSURES REGARDING NON-GAAP FINANCIAL MEASURES
(Unaudited) See Notes on Page 14
Three Months Ended
March 31,
(in millions)
2026
2025
Net income (loss) attributable to OUTFRONT Media Inc.
$ 19.1
$ (20.6)
Depreciation of billboard advertising structures
16.2
18.8
Amortization of real estate-related intangible assets
14.3
15.1
Amortization of direct lease acquisition costs
13.0
13.2
Net loss on disposition of real estate assets
1.0
0.1
Adjustment related to redeemable and non-redeemable noncontrolling interests
(0.1)
(0.1)
FFO attributable to OUTFRONT Media Inc.
$ 63.5
$ 26.5
Non-cash portion of income taxes
—
0.5
Cash paid for direct lease acquisition costs
(13.0)
(13.2)
Maintenance capital expenditures
(7.0)
(6.3)
Other depreciation
4.5
4.8
Other amortization
2.9
2.0
Stock-based compensation
5.6
9.5
Non-cash effect of straight-line rent
2.4
1.1
Accretion expense
0.7
0.7
Amortization of deferred financing costs
1.4
1.5
AFFO attributable to OUTFRONT Media Inc.(a)
$ 61.0
$ 27.1
Exhibit 6: SUPPLEMENTAL DISCLOSURES REGARDING NON-GAAP FINANCIAL MEASURES
(Unaudited) See Notes on Page 14
Three Months Ended
March 31,
(in millions)
2026
2025
Adjusted OIBDA
$ 100.4
$ 64.2
Interest expense, net, less amortization of deferred financing costs
(34.6)
(34.5)
Cash paid for income taxes
(0.4)
—
Maintenance capital expenditures
(7.0)
(6.3)
Equity in earnings of investee companies, net of tax
(0.2)
1.9
Non-cash effect of straight-line rent
2.4
1.1
Accretion expense
0.7
0.7
Adjustment related to redeemable and non-redeemable noncontrolling interests
(0.3)
—
AFFO attributable to OUTFRONT Media Inc.(a)
$ 61.0
$ 27.1
Exhibit 7: OPERATING EXPENSES
(Unaudited) See Notes on Page 14
Three Months Ended
March 31,
%
(in millions, except percentages)
2026
2025
Change
Operating expenses:
Billboard property lease
$ 111.3
$ 109.2
1.9 %
Transit franchise
59.7
58.0
2.9
Posting, maintenance and other
56.5
54.1
4.4
Total operating expenses
$ 227.5
$ 221.3
2.8
Exhibit 8: EXPENSES BY SEGMENT
(Unaudited) See Notes on Page 14
Three Months Ended
March 31,
%
(in millions, except percentages)
2026
2025
Change
Billboard:
Billboard property lease
$ 111.3
$ 109.2
1.9 %
Billboard posting, maintenance and other
37.1
35.7
3.9
Billboard operating expenses
$ 148.4
$ 144.9
2.4
Billboard SG&A expenses
$ 68.1
$ 66.8
1.9
Transit:
Transit franchise
$ 59.7
$ 58.0
2.9
Transit posting, maintenance and other
17.9
16.6
7.8
Transit operating expenses
$ 77.6
$ 74.6
4.0
Transit SG&A expenses
$ 18.8
$ 17.3
8.7
NOTES TO EXHIBITS
PRIOR PERIOD PRESENTATION CONFORMS TO CURRENT REPORTING CLASSIFICATIONS.
(a)
Starting at the end of 2025, we modified our calculation of AFFO to include amortization of direct lease acquisition costs instead of the cash paid for direct lease acquisition costs, as management believes that this calculation of AFFO is a more appropriate measure of performance period-over-period and consistent with how we calculate FFO. Accordingly, relevant prior periods have been recast to conform to this presentation.
* Calculation not meaningful.
View original content to download multimedia:https://www.prnewswire.com/news-releases/outfront-media-reports-first-quarter-2026-results-302766116.html
SOURCE OUTFRONT Media Inc.
10x Genomics Reports First Quarter 2026 Financial Results
OUTFRONT Media Announces Quarterly Dividend
OUTFRONT Media Reports First Quarter 2026 Results
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