Equinix, Inc. (NASDAQ:EQIX) has reported the funds from operations of $4.97 per share in the third quarter of FY 17 beating the analysts’ estimates for the funds from operations of $4.69 according to Zacks Investment Research. The company had reported the adjusted revenue growth of 25 percent to $1.15 billion in the third quarter of FY 17, beating the analysts’ estimates for revenue of $1.14 billion. The total revenue includes $137 million of revenues from the acquisition of 29 Verizon data centers. Hence the stock rallied over 3.7% on November 2nd, 2017 (as of 10:10AM EDT; Source: Google finance).
Moreover, in the third quarter, EQIX has continued, through both organic builds and acquisitions, to expand the industry-leading global reach of Platform Equinix. The company has announced 13 new expansion projects in the Americas (Denver, Miami and São Paulo), EMEA (Amsterdam, London, Stockholm and three new projects in Frankfurt) and APAC (Hong Kong, Melbourne, Shanghai and Singapore) regions totaling $615 million in capital expenditures. These new projects bring the total number of announced expansion projects underway to 22.
For the fourth quarter ending in December, EQIX expects revenue to be in the range of $1.19 billion to $1.2 billion. This is an increase of 3% quarter over quarter at the midpoint, on both an as-reported and a normalized and constant currency basis. The adjusted EBITDA is expected to range between $562 and $570 million, that includes a $2 million negative foreign currency impact when compared to the average FX rates in Q3 2017, and $13 million of integration costs related to acquisitions. The capital expenditures are expected to be in the range between $355 and $375 million, which includes approximately $65 million of recurring capital expenditures.
The company expects full-year revenue to be in the range of $4,355 and $4,363 million, an increase of 21% year over year, or a normalized and constant currency increase of 11%. For the full year, the adjusted EBITDA is expected to range between $2,049 and $2,057 million, which is an increase of 24% year over year, or a normalized and constant currency increase of approximately 11%. AFFO is expected to range between $1,411 and $1,419 million, that is an increase of 31% year over year, or a normalized and constant currency increase of approximately 14%. The capital expenditures are expected to range between $1,300 and $1,320 million, including approximately $170 million of recurring capital expenditure.