Iron Mountain Q3 AFFO Beat, Storage Rental & Service Revenues Rise

Iron Mountain Incorporated’s IRM third-quarter 2024 adjusted funds from operations (AFFO) per share of $1.13 outpaced the Zacks Consensus Estimate of $1.11. Total revenues of $1.56 billion surpassed the Zacks Consensus Estimate by just 0.06%.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.AFFO per share and total revenues increased 10.8% and 12.2%, respectively, on a year-over-year basis. Iron Mountain Incorporated Price, Consensus and EPS Surprise Iron Mountain Incorporated price-consensus-eps-surprise-chart | Iron Mountain Incorporated Quote IRM’s Revenues BoostIRM’s storage rental revenues increased 9% year over year to $935.7 million in the third quarter of 2024. The figure was higher than our estimate of $929 million. Service revenues grew 17.4% year over year to $621.7 million. It was lower than our estimate of $626.8 million.Total revenues in the Global RIM business came in at $1.26 billion, which increased 6.6% from the prior-year quarter. It was lower than our estimate of $1.27 billion.Total revenues in the Global Data Center business increased 20.1% year over year to $153.2 million. It was slightly lower than our estimate of $155.3 million.The Corporate and Other business experienced a year-over-year total revenue increase of 84.4%, totaling $143.8 million. The figure was higher than our estimate of $127.5 million.Increase in IRM’s Adjusted EBITDAThe adjusted EBITDA for Global RIM business rose 10.2% year over year to $569 million. The figure was higher than our estimate of $559.7 million.The Global Data Center business reported an adjusted EBITDA growth of 25.5% year over year, totaling $66.8 million. It was higher than our estimate of $65.8 million.However, the adjusted EBITDA for Corporate and Other posted a year-over-year decline of $67.7 million. The figure was higher than our estimate of a $61.7 million decline.Balance-Sheet PositionIRM exited the third quarter with $168.5 million of cash and cash equivalents, up from $144.3 million as of June 30, 2024.2024 GuidanceIron Mountain reaffirmed its guidance for 2024 and now expects to be on track to achieve the upper end of the 2024 guidance range.It expects AFFO per share of $4.39-$4.51. The Zacks Consensus Estimate for the same is pegged at $4.49, which stands within the company’s guided range.Revenues are estimated to be $6.00-$6.15 billion, while adjusted EBITDA is anticipated to be $2.175-$2.225 billion.Iron Mountain currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Performance of Other REITsEquinix Inc.’s EQIX third-quarter 2024 AFFO per share of $9.05 surpassed the Zacks Consensus Estimate of $8.70. The figure improved 10.5% from the prior-year quarter.Results displayed steady growth in colocation and inter-connection revenues on the back of strong demand for digital infrastructure. During the quarter, EQIX’s total interconnections reached 478,000, rising 4% year over year. The company also revised its outlook for 2024.American Tower Corporation AMT reported its third-quarter 2024 AFFO per share, attributable to AMT common stockholders, of $2.64 beat the Zacks Consensus Estimate of $2.54 and climbed 2.3% year over year.Results reflected a year-over-year rise in revenues, aided by revenue growth across its service operations segment. AMT recorded healthy year-over-year organic tenant billings growth of 5.2% and total tenant billings growth of 5.9%.Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.Free Today: Profiting from The Future’s Brightest Energy SourceThe demand for electricity is growing exponentially. At the same time, we’re working to reduce our dependence on fossil fuels like oil and natural gas. Nuclear energy is an ideal replacement.Leaders from the US and 21 other countries recently committed to TRIPLING the world’s nuclear energy capacities. This aggressive transition could mean tremendous profits for nuclear-related stocks – and investors who get in on the action early enough.Our urgent report, Atomic Opportunity: Nuclear Energy's Comeback, explores the key players and technologies driving this opportunity, including 3 standout stocks poised to benefit the most.Download Atomic Opportunity: Nuclear Energy's Comeback free today.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT): Free Stock Analysis Report Equinix, Inc. (EQIX): Free Stock Analysis Report Iron Mountain Incorporated (IRM): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks