Not only did they announce a blockbuster acquisition, Equinix (NASDAQ:EQIX, news, filings) reported outstanding Q3 earnings after the bell. Revenue guidance was raised last quarter and had already seemed high, but they beat it nonetheless. Earnings per share continued to outperform the expectations of the street. No wonder their stock has been pushing $100 again, although naturally news of the M&A is driving it down a bit initially. Here is a quick table summarizing their third quarter:
| Q1/09 | Q2/09 | Q3/09 |
Q4/09 guidance |
|
| Revenue | $205.3M | $213.2M | $227.6M | $229-234M |
| adj. EBITDA | $91.4M | $99.5M | $106.0M | $98-103M |
| adj. EBITDA margin | 46% | 47% | 47% | |
| EPS (diluted) | $0.40 | $0.44 | $0.47 | |
| Capex | $75.0M | $76.8M | $88.9M | $150-160M |
No recession in those numbers of course. They were naturally cautious back at the start of the year when the whole economy looked so ugly, but that caution has turned out to be unwarranted and their growth rate remains in the mid twenties.
Capex was 39% of revenue as they continue to reinvest their cash flow into building out new facilities and space, capex required for ongoing business was just $14.7M, or about 6.5% of revenue. Capex is still projected to rise in the fourth quarter to fund the further construction that is still in progress.
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