rackspace hosting inc (RAX) Key Developments
Rackspace Extends its Contributor Agreement with CERN to Continue Creation of Reference Architecture and Operational Model for Federated Cloud Services
May 21 15
Rackspace has extended its contributor agreement with CERN to continue creation of a reference architecture and operational model for federated cloud services. Having previously developed identity authentication over multiple OpenStack clouds, the agreement extension will see Rackspace and CERN openlab extend the identity authentication concept to develop standardised templates for OpenStack cloud orchestration. It will allow customers to take a single action to spin up an environment across multiple cloud platforms. The agreement involves the creation of full multi-cloud open standard orchestration capability, dependent on shared installation images, to facilitate management of virtual machines in remote clouds. The CERN data centre presently stores more than 30 petabytes of data per year that is generated by the experiments on the Large Hadron Collider (LHC). The data is then made available to physicists through CERN's distributed computing infrastructure. With the agreement, Rackspace will be able to test future technology solutions in CERN's computing environment, which will help the company boost the development of future technology solutions to address real business and IT challenges. Rackspace said that it would continue funding a full time research fellow at CERN to help with the federation project and CERN would conduct service testing using Rackspace Public Cloud.
Rackspace Hosting, Inc. Reports Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2015; Provides Earnings Guidance for the Second Quarter and Tax Rate Guidance for the Full Year of Fiscal 2015
May 11 15
Rackspace Hosting, Inc. reported unaudited consolidated earnings results for the first quarter ended March 31, 2015. For the quarter, the company reported net revenue of $480.2 million against $421.0 million a year ago. Income from operations was $44.4 million against $39.1 million a year ago. Income before income taxes was $42.0 million against $38.9 million a year ago. Net income was $28.4 million or $0.20 per share basic and diluted against $25.4 million or $0.18 per share basic and diluted a year ago. Net cash provided by operating activities was $145.3 million against $141.7 million a year ago. Purchases of property and equipment were $92.5 million against $85.0 million a year ago. Adjusted EBITDA was $161.3 million against $139.6 million a year ago. Return on assets was 6.9% against 6.7% a year ago. Total capital expenditures were 90.2 million against $100.7 million a year ago. Adjusted free cash flow was $67 million and its cash balance increased by $62 million.
The company provided earnings guidance for the second quarter and tax rate guidance for the full year of fiscal 2015. The company estimates its 2015 effective tax rate to increase to 33%, mainly due to the expiration of federal R&D tax credits.
For the second quarter, the company announced that adjusted EBITDA margins are expected to be within the range of 32% to 34%. The company expects that its sales activities will improve during the second quarter and create higher revenue growth in the second half of the year. The company expects that its sales activities will improve during the second quarter and create higher revenue growth in the second half of the year.
Rackspace Hosting Opens New Data Centre and Expands Existing Data Centre in Australia
May 6 15
Rackspace Hosting announced the development of a new data centre and existing data hall expansion to serve growing demand from customers in Australia and New Zealand. The new data centre site will open in Sydney this May. In addition, Rackspace will secure a further data hall in their Sydney data centre, expected to open in late September. Based at a separate Sydney colocation facility, the new Rackspace offering will deliver onshore options for redundancy, backup and reduced latency for Australian and New Zealand based customers. The new environment also allows customers to set their own recovery point objective which delivers flexibility when backup occurs, either immediately or a specified frequency.
Rackspace Hosting, Inc. - Shareholder/Analyst Call
May 1 15
annual meeting of stockholders
Rackspace Hosting Launches Rackspace Content Delivery Network
Apr 28 15
Rackspace Hosting announced the launch of Rackspace Content Delivery Network (CDN). This new service is powered by Akamai Technologies. With the launch of the Rackspace CDN offering, Rackspace and Akamai are expanding their long-standing relationship to offer customers integrated, "one-click" access to Akamai's CDN services via the Rackspace portal. Rackspace CDN will help customers more easily and efficiently deliver entire websites or web applications with global scale and reliability through on-demand access to the Akamai Intelligent Platform.