Equinix reported higher third-quarter revenue and profit, citing strong demand for its data-center and interconnection services. It also raised its 2026 outlook for the third consecutive quarter and said it plans to deliver substantially more capacity this year than it had initially expected.
The results point to broad-based growth in recurring revenue and customer bookings, though the increase in net income also benefited from a one-time fee related to Equinix’s investment in the atNorth joint venture.
Key details
- Revenue rose to $2.571 billion, up 11% from a year earlier as reported and 12% on a normalized, constant-currency basis.
- Operating income increased 27% to $600 million, which Equinix attributed primarily to stronger underlying operating performance.
- Net income attributable to common stockholders rose 31% to $489 million. The increase reflected higher operating income and a non-recurring fee earned in connection with Equinix’s atNorth joint-venture investment.
- Earnings per share increased 29% to $4.93.
- Annualized gross bookings reached a record $533 million, up 35% year over year, with the company citing robust demand and stronger pricing.
- Monthly recurring revenue grew at a double-digit rate for the fourth consecutive quarter. Equinix said demand reflects its role in supporting both traditional computing and AI workloads.
- Interconnection revenue grew 10% year over year on both an as-reported and normalized, constant-currency basis. Revenue from Equinix Fabric, its interconnection service, rose 24% on both measures.
- Equinix plans to deliver nearly 40% more cabinets in 2026 than it had initially anticipated, accelerating capacity additions to meet demand.
- The company raised its full-year 2026 guidance for the third consecutive quarter, citing operating and financial performance. The announcement provided here does not include the revised guidance figures.
- Equinix also unveiled Equinix Fabric One and Equinix Inference Exchange, products intended to help enterprise customers run, connect and coordinate workloads.
Plain-English implications
The combination of record bookings, recurring-revenue growth and faster capacity delivery indicates that Equinix is expanding to serve customer demand across its data-center and interconnection businesses. The reported profit growth was strong, but the atNorth-related fee means net income growth included a non-recurring contribution.