Equinix Inc (NASDAQ: EQIX) stock fell over 0.2% in the pre-market session on Feb 14th, 2019 (Source: Google finance). In Q4, the company had added an incremental 8,800 interconnections, including 1,800 virtual connections, and is adding more per quarter than any providers do annually. EQIX has the most comprehensive global interconnection platform now comprising over 333,000 physical and virtual interconnections, which is over 4x more than any competitor. For the fourth quarter, the company had extremely strong bookings across each of the regions, including a record in EMEA, while both America and APAC regions had their second-best bookings performance to-date. Equinix continues to expand the reach of its global platform through organic expansion with 36 projects across 25 markets underway, including expansions in three new markets, Hamburg, Muscat, and Seoul.
EQIX in the fourth quarter of FY 18 has reported the adjusted funds from operations of $5.13. The company had reported the adjusted revenue of $1.31 billion in the fourth quarter of FY 18, which is as per the analysts’ estimates for revenue of $1.31 billion.
For the first quarter of 2019, EQIX expects revenues to range between $1.342 and $1.352 billion, an increase of 3% quarter-over-quarter at the midpoint, on an as-reported basis, and 2% on a normalized and constant currency basis, the largest ever quarterly step-up in recurring revenues. This guidance includes a positive foreign currency benefit of $8 million when compared to the average FX rates in Q4 2018. Adjusted EBITDA is expected to be in the range between $624 and $634 million, which includes a $4 million positive foreign currency benefit when compared to the average FX rates in Q4 2018. Recurring capital expenditures are expected to range between $20 and $30 million.
For the full year of 2019, total revenues are expected to range between $5.520 and $5.570 billion, a 9 – 10% increase over the previous year or a normalized and constant currency increase of 8 – 9%. Adjusted EBITDA is expected to range between $2.605 and $2.655 billion, an adjusted EBITDA margin of 47%. AFFO is expected to range between $1.825 and $1.875 billion, an increase of 10 – 13% year-over-year on both an as-reported and a normalized and constant currency basis. Non-recurring capital expenditures are expected to range between $1.725 and $1.915 billion and recurring capital expenditures are expected to range between $175 and $185 million.