Equinix (EQIX) Q1 2026 earnings summary

Executive summary

• Q1 2026 delivered strong results with total revenues up 10% year-over-year to $2.44 billion, driven by robust AI infrastructure investments, expansion projects, and record gross bookings, resulting in a record backlog.

• Recurring revenue grew 10% year-over-year on a normalized and constant currency basis, with double-digit MRR growth and over 95% of total revenues recurring.

• Major partnerships expanded with leading AI model providers, Neo-clouds, and hyperscalers; 60% of largest deals were AI-related, and new product launches like Distributed AI Hub and Fabric Intelligence enhanced network optimization.

• Notable customer wins included Qubit Pharmaceuticals, Gammon Construction, Options Technology, and Maersk, with use cases in AI-driven drug discovery, construction, financial services, and logistics.

• Strategic focus on digitizing processes, customer self-service, and innovation in AI interconnection and network management is driving efficiency and growth.

Financial highlights

• Q1 2026 revenues reached $2.444 billion, up 10% year-over-year as reported; recurring revenues were $2.3 billion, up 10% year-over-year.

• Adjusted EBITDA was $1.245 billion, up 17% year-over-year as reported, with a 51% margin, up 300 basis points year-over-year.

• AFFO was $1.065 billion, up 12% year-over-year; AFFO per share was $10.79, up 12% year-over-year.

• Net income attributable to common stockholders was $415 million, up 21% year-over-year; diluted EPS was $4.20, up 20%.

• MRR per cabinet increased to $2,524, up 7% year-over-year, reflecting higher density and firm pricing.

Outlook and guidance

• Full-year 2026 revenue guidance raised to $10.144–$10.244 billion, representing 10–11% growth.

• Adjusted EBITDA guidance increased to $5.165–$5.245 billion (~51% margin), with a 2% margin expansion.

• AFFO guidance raised to $4.198–$4.278 billion, with AFFO per share (diluted) of $42.31–$43.11, up 9–12%.

• CapEx (excluding xScale and land) expected at the top end of prior range, approximately $4.1 billion.

• Q2 2026 revenue guidance set at $2.571–$2.611 billion and adjusted EBITDA at $1.349–$1.389 billion (52–53% margin).