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SEC Filings

10-Q
EQUINIX INC filed this Form 10-Q on 11/02/2018
Entire Document
 

Nine Months Ended September 30, 2018 and 2017
Revenues. Our revenues for the nine months ended September 30, 2018 and 2017 were generated from the following revenue classifications and geographic regions (dollars in thousands):
 
Nine Months Ended September 30,
 
% Change
 
2018
 
%
 
2017
 
%
 
Actual
 
Constant
Currency (1)
Americas:
 
 
 
 
 
 
 
 
 
 
 
Recurring revenues
$
1,756,725

 
47
%
 
$
1,492,059

 
47
%
 
18
%
 
19
%
Non-recurring revenues
89,861

 
2
%
 
74,534

 
2
%
 
21
%
 
21
%
 
1,846,586

 
49
%
 
1,566,593

 
49
%
 
18
%
 
19
%
EMEA:
 
 
 
 
 
 
 
 
 
 
 
Recurring revenues
1,085,723

 
29
%
 
922,067

 
29
%
 
18
%
 
11
%
Non-recurring revenues
73,830

 
2
%
 
54,557

 
2
%
 
35
%
 
28
%
 
1,159,553

 
31
%
 
976,624

 
31
%
 
19
%
 
12
%
Asia-Pacific:
 
 
 
 
 
 
 
 
 
 
 
Recurring revenues
703,736

 
19
%
 
583,395

 
19
%
 
21
%
 
19
%
Non-recurring revenues
51,696

 
1
%
 
41,595

 
1
%
 
24
%
 
22
%
 
755,432

 
20
%
 
624,990

 
20
%
 
21
%
 
19
%
Total:
 
 
 
 
 
 
 
 
 
 
 
Recurring revenues
3,546,184

 
95
%
 
2,997,521

 
95
%
 
18
%
 
16
%
Non-recurring revenues
215,387

 
5
%
 
170,686

 
5
%
 
26
%
 
24
%
 
$
3,761,571

 
100
%
 
$
3,168,207

 
100
%
 
19
%
 
17
%
 
(1) 
As defined in the "Non-GAAP Financial Measures" section in Item 2 of this Quarterly Report on Form 10-Q.
Americas Revenues. As compared to the nine months ended September 30, 2017, revenues for our Americas region for the nine months ended September 30, 2018 included approximately $199.8 million of incremental revenues from the Verizon Data Center Acquisition, which closed in May 2017, and the Infomart Dallas Acquisition, which closed in April 2018. Specifically, Americas revenues for the nine months ended September 30, 2018 included nine months revenue contribution from the Verizon Data Center Acquisition and six months revenue contribution from the Infomart Dallas Acquisition, as compared to five months revenue contribution from the Verizon Data Center Acquisition for the same period in 2017. Our revenues from the U.S., the largest revenue contributor in the Americas region for the period, represented approximately 91% of the regional revenues during both the nine months ended September 30, 2018 and 2017. Excluding revenues attributable to the Infomart Dallas and Verizon Data Center Acquisitions, our Americas revenue growth was primarily due to (i) approximately $62.9 million of revenues generated from our recently-opened IBX data centers or IBX data center expansions in the Chicago, Denver, Houston, Washington, D.C., Miami, Sao Paulo, Rio de Janeiro, Culpepper and Silicon Valley metro areas and (ii) an increase in orders from both our existing customers and new customers during the period. During the nine months ended September 30, 2018, foreign currency fluctuations resulted in approximately $15.6 million of unfavorable foreign currency impact to our Americas revenues primarily due to a generally stronger U.S. dollar relative to the Brazilian Real during the nine months ended September 30, 2018 compared to the nine months ended September 30, 2017.
EMEA Revenues. Revenues for our EMEA region for the nine months ended September 30, 2018 included approximately $52.2 million of incremental revenues from the IO Acquisition, which closed in February 2017, and the Itconic and Zenium data center acquisitions, which closed in October 2017. Our revenues from the UK, the largest revenue contributor in the EMEA region for the period, represented approximately 30% of the regional revenues during both the nine months ended September 30, 2018 and 2017. Excluding revenues attributable to the IO, Itconic, and Zenium acquisitions, our EMEA revenue growth was primarily due to (i) approximately $65.7 million of revenues from our recently-opened IBX data centers or IBX data center expansions in the Amsterdam, Dubai, Frankfurt, London and Paris metro areas and (ii) an increase in orders from both our existing customers and new customers during the period. During the nine months ended September 30, 2018, foreign currency fluctuations resulted in approximately $67.1 million of favorable foreign currency impact to our EMEA revenues primarily due to a generally weaker U.S. dollar relative to the Euro and British Pound during the nine months ended September 30, 2018 compared to the nine months ended September 30, 2017. The foreign currency impact to EMEA revenues was partially offset by realized cash flow hedge losses.

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