Equinix Stock Earnings Reports

Equinix reported strong Q1 2026 results driven by broad-based demand—particularly AI inferencing and agentic AI use cases—resulting in double-digit normalized recurring revenue growth (10% YoY) and margin expansion. Total revenue was $2.4B (up 8% YoY on a reported basis), adjusted EBITDA was $1.2B (51% margin, +300 bps YoY), and quarterly AFFO surpassed $1B (AFFO per share $10.79, +10% YoY). Q1 was the largest quarter by total sales activity in company history (annualized gross bookings $378M, +9% YoY, plus ~$140M of presales) and backlog reached record levels. Interconnection and Equinix Fabric were key growth drivers (fabric revenue +26% YoY; fabric bookings +70% YoY), with ~60% of the largest deals AI-related and >110 AI network nodes placed by model providers/Neo clouds. Churn was low at 1.7% (company expects full-year 2.0–2.5%). The company is expanding capacity (46 major projects across 32 markets; ~25% of 2026 retail expansion pre-sold) and raised full-year guidance modestly: revenue growth to ~10–11% (normalized/constant currency), adjusted EBITDA margin target ~51%, and AFFO growth to ~10–12%. xScale (Hampton) timing shifted from Q1 into Q2 but economics remain in full-year guidance. Equinix reiterated disciplined capital allocation, expects mid-20% unlevered cash-on-cash returns on new capacity, is ~90% hedged on energy for 2026, ended the quarter with ~$3.1B cash and net leverage ~3.8x, and issued $1.5B low-cost debt. Management emphasized Equinix’s neutral interconnection position, distributed AI hub and Fabric Intelligence as competitive advantages to capture the enterprise AI deployment opportunity.