<p>Equinix (Nasdaq: EQIX), a <a href=”https://www.financemagnates.com/tag/equinix/” target=”_blank” rel=”follow”>digital infrastructure provider</a>, reported a 6 percent revenue increase year-over-year to $1.8 billion in the fourth quarter of 2022, the company revealed in its latest financial results published on Wednesday. The latest figure jumped by a marginal 1.6 percent from the third quarter.</p><p>Equinix Ends Q4 with Impressive Figures</p><p>Between October and December, the company’s operating income came in at $282 million, which was over 13 percent higher than the previous year. However, it decreased by 15.3 percent compared to the <a href=”https://www.financemagnates.com/fintech/equinix-reports-212-million-in-net-income-for-q3-2022/” target=”_blank” rel=”follow”>previous quarter.</a></p><p>The company reported a quarterly pre-tax income of $177 million, which is 7.2 percent higher than Q4 2021 but 28 percent lower than Q3. It ended the quarter with a net income of $128 million, which plummeted by over 39 percent quarter-over-quarter but saw a yearly improvement of 4 percent.</p><p>Equinix’s basic and diluted earnings per share (EPS) came in at $1.39, which is down from $2.3 in the previous quarter. However, the figure improved yearly, as, in Q4 2021, the basic EPS was at $1.37 and the diluted figure at $1.36.</p><p>Full-Year Performance and 2023 Guidance</p><p>Considering the overall yearly performance of the company, its revenue increased by 9 percent to $7.26 billion. Moreover, its net income jumped 41 percent higher to $705 million due to the operating performance strength and loss on debt extinguishment in the previous year.</p><p>On top of that, the company highlighted that it closed over 17,000 deals across more than 6,000 customers last year.</p><p>Now, Equinix expects to generate $8.14 billion to $8.24 billion in revenue in 2023, which is an increase of between 12 and 14 percent. It also expects a 45 percent EBITDA margin, between $3.61 billion and $3.69 billion. These figures were evaluated considering an integration cost of $35 million.</p><p>”With IDC forecasting digital technology spend to grow eight times faster than the broader economy in 2023, today’s businesses are seeking the right infrastructure partner to support their specific digital transformation needs, especially in the current environment where operational efficiency and the need to create lasting business differentiation are strategic drivers,” said the CEO and President of Equinix, Charles Meyers.</p><p>Expansion Drive Continues</p><p>Additionally, California-headquartered Equinix is expanding its global footprint. The company entered Africa last year with a <a href=”https://www.financemagnates.com/fintech/news/equinix-completes-320-million-acquisition-of-mainone/” target=”_blank” rel=”follow”>$320 million acquisition of MainOne</a>, a West African <a href=”https://www.financemagnates.com/terms/d/data-center/” class=”terms__main-term” id=”15e21ee2-47b7-466a-8723-403e3053c1b2″ target=”_blank”>data center</a> with a presence in Nigeria, and then committed another $160 million investment to <a href=”https://www.financemagnates.com/institutional-forex/equinix-commits-160m-investment-for-south-africa-data-center/” target=”_blank” rel=”follow”>establish a data center in South Africa</a>.</p><p>Furthermore, it expanded its Asian presence by entering Malaysia and <a href=”https://www.financemagnates.com/fintech/equinix-enters-malaysia-commits-40m-to-building-data-center-in-johor/” target=”_blank” rel=”follow”>committing $40 million to build a data center </a>in Johar. Apart from Africa and Asia, Equinix is also betting big in Latin America. It committed $45 million to build a <a href=”https://www.financemagnates.com/forex/equinix-commits-45m-to-building-its-second-data-centre-in-colombia/” target=”_blank” rel=”follow”>second data center in Columbia</a> after acquiring <a href=”https://www.financemagnates.com/fintech/news/equinix-acquires-data-centers-in-chile-and-peru/” target=”_blank” rel=”follow”>data centers in Chile and Peru</a>.</p><p>”Our customers are validating the increasing demand for comprehensive solutions that offer ‘the right <a href=”https://www.financemagnates.com/terms/c/cloud/” class=”terms__secondary-term” id=”3ee92dbe-2a1b-415c-ad1b-e5cdabf55b76″ target=”_blank”>cloud</a> for them’ with flexibility to place their workloads across multiple public clouds, private clouds and on-prem—and they are finding Equinix’s global platform and interconnected ecosystems a unique environment to architect this customizable infrastructure,” Meyers added.</p>
This article was written by Arnab Shome at www.financemagnates.com.
