equinix inc (EQIX) Key Developments
Equinix, Inc. to Offer Direct Access to Microsoft Office 365 Via Equinix Cloud Exchange
May 4 15
Equinix, Inc. announced that it will be among the first to offer private, managed connections to Microsoft Office 365 via Azure ExpressRoute through the Equinix Cloud Exchange. Available in third quarter of this year, direct access to Office 365 from inside Equinix will be available in 15 markets worldwide. As many business applications migrate to a cloud-delivery model, enterprise customers are looking for cloud connectivity solutions that offer more consistent and reliable performance than the public Internet. Bandwidth and latency-sensitive productivity applications such as Office 365 specifically benefit from a direct access solution. By providing private, secure access to Office 365, Equinix ensures that enterprise customers will achieve predictable network performance, the ability to better manage network availability and the reliability that comes with dedicated connectivity. In addition, when connecting to Office 365 via Azure ExpressRoute at Equinix, businesses gain additional assurance of privacy with the ability to bypass the public Internet.
Equinix, Inc. Enters into an Amendment of the Credit Agreement
Apr 30 15
Equinix, Inc. as borrower, and its subsidiaries Equinix LLC and Switch & Data LLC, as guarantors, entered into an amendment of the credit agreement entered into December 17, 2014, among Equinix, as borrower, the guarantors, a syndicate of financial institutions, as lenders, Bank of America, N.A., as administrative agent, a lender and L/C issuer, JPMorgan Chase Bank, N.A. and TD Securities (USA) LLC, as co-syndication agents, Barclays Bank PLC, Citibank, N.A., Royal Bank of Canada and ING Bank N.V., Singapore Branch, as co-documentation agents, and Merrill Lynch, Pierce, Fenner & Smith Incorporated, J. P. Morgan Securities LLC and TD Securities (USA) LLC, as joint lead arrangers and book runners the original credit agreement and, as amended, the amended credit agreement. The original credit agreement provided for a senior credit facility of $1,500,000,000, comprised of (i) a $1,000,000,000 senior secured multi-currency revolving credit facility and (ii) a $500,000,000 senior secured term loan facility. The amendment facilitated the conversion of the outstanding U.S. Dollar-denominated principal amount of the term loan facility to an approximately equivalent amount denominated in four foreign currencies: Euro, Pounds Sterling, Swiss Francs and Japanese Yen. In connection with the execution of the amendment, on April 30, 2015, Equinix prepaid the US dollar-denominated $490,000,000 balance of the term loan facility and immediately re-borrowed under the term loan facility approximately the same aggregate amount denominated in the Foreign Currencies.
Equinix, Inc. Plans to Build Large-Scale Data Center in Sydney
Apr 30 15
Equinix, Inc. announced it plans to invest over $97 million to build a large-scale data center in Sydney. This new International Business Exchange (IBX) data center, to be called SY4, will address the growing demand for premium data center services in Australia. SY4 will be Equinix's fourth data center in Sydney, and its fifth in Australia; taking the company's total investment in Australia close to $360 million.
Equinix, Inc. Reports Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2015; Provides Earnings Guidance for the Second Quarter of 2015 and Full Year of 2015
Apr 29 15
Equinix, Inc. reported unaudited consolidated earnings results for the first quarter ended March 31, 2015. For the quarter the company reported net income attributable to the company for the quarter was $76.5 million or $1.34 per diluted share compared to $41.4 million or $0.81 per diluted share for the same period last year. Income from operations was $151.4 million against $121.6 million a year ago. Income before income taxes were $82.7 million compared to $54.9 million for the same period last year. Revenues were $643.2 million compared to $580.1 million for the same period last year. Adjusted EBITDA was $305.7 million against $260.4 million a year ago. FFO was $179.2 million or $3.09 per diluted share against $138.8 million or $2.52 per diluted share a year ago. AFFO was $221.8 million or $3.77 per diluted share against $172.7 million or $3.03 per diluted share a year ago. Net cash provided by operating activities was $238.8 million as compared to $171.7 million a year ago. Purchases of other property, plant and equipment was $150.1 million against $105.9 million a year ago. Purchases of real estate were $38.3 million.
For the second quarter of 2015, the company expected revenues to be in the range of $654.0 million to $658.0 million, which includes a $6.0 million negative foreign currency impact when compared to the average FX rates in first quarter 2015, or a normalized and constant currency growth rate of 3% quarter over quarter. Cash gross margins are expected to approximate 68% to 69%. Cash selling, general and administrative expenses are expected to approximate $144.0 to $148.0 million. Adjusted EBITDA is expected to be between $304.0 and $308.0 million, which includes a $5.0 million negative foreign currency impact when compared to the average FX rates in the first quarter 2015. Capital expenditures are expected to range between $210.0 and $220.0 million, which includes approximately $30.0 million of recurring capital expenditures and $180.0 to $190.0 million of non-recurring capital expenditures.
For the full year of 2015, total revenues are expected to be greater than $2,635.0 million, which absorbs $25.0 million of negative foreign currency impact when compared to prior guidance rates, reflecting a normalized and constant currency growth rate of 13%. Total year cash gross margins are expected to approximate 69%. Adjusted EBITDA for the year is expected to be greater than $1,230.0 million, which absorbs $7.0 million of negative foreign currency impact when compared to prior guidance rates or a normalized and constant currency growth rate of 15%. AFFO is expected to be greater than $830.0 million or a normalized and constant currency growth rate of 15%. Capital expenditures for 2015 are expected to range between $740.0 and $800.0 million, comprised of approximately $115.0 million of recurring capital expenditures and $625.0 to $685.0 million for non-recurring capital expenditures.
Equinix, Inc. to Offer Access to VMware vCloud Air Service on Platform Equinix in Europe
Apr 23 15
Equinix, Inc. announced that VMware® vCloud Air is available on Platform Equinix in Europe. The service is available via direct connect within Equinix's London and Frankfurt metros, and remotely across Europe via carriers. These dedicated, private connections reduce network costs and provide higher, more consistent network performance than Internet-based connections for enterprise customers looking to build VMware-based hybrid clouds, alongside other cloud services including Amazon Web Services (AWS), Google Cloud and Microsoft Azure. VMware vCloud Air allows customers to extend their existing on-premises IT infrastructure seamlessly into vSphere-hosted private cloud and public clouds. Customers have the ability to build the network/architecture spanning all three environments, giving them full control to meet their data security and sovereignty requirements. The solution is now available via direct connect inside Equinix's LD5 International Business Exchange (IBX) data center in London and FR2 data center in Frankfurt, with the potential to scale across Equinix'sglobal data center footprint. The availability of the vCloud Air service enables customers to address European Union compliance and data protection regulation as locally hosted data is inherent in the service, alongside the global reach offered through Equinix.