Equinix, Inc. (NASDAQ: EQIX) has recently filed an 8-K and announced an independent investigation by the audit committee of the company’s board of directors to review the matters referenced in a recent short seller report. The company received a subpoena from the U.S. Attorney’s Office for the Northern District of California in response to these events.
In response to these developments, Equinix stated that it takes transparency and accuracy in financial reporting seriously and believes it has earned the trust of its investors and stakeholders by reliably delivering on its commitments with integrity over its 25-year history.
Despite these challenges, Equinix expressed confidence in its distinctive advantages and sees significant long-term opportunities for the company. It emphasized the relevance of its differentiated value proposition to its more than 10,000 customers as they pursue their digital transformation agendas and deploy distributed, hybrid, and multicloud infrastructure.
In terms of financial performance, Equinix's fourth-quarter and full-year 2023 financial results have shown positive growth. The company reported a fourth-quarter revenue of $2.2 billion, representing a year-over-year increase of 13%. For the full year 2023, Equinix reported total revenues of $8.1 billion, up 12% compared to the previous year.
Moreover, adjusted funds from operations (AFFO) for the fourth quarter of 2023 reached $1.1 billion, reflecting an increase of 15% year-over-year. Full-year 2023 AFFO stood at $4.1 billion, showing a 14% increase compared to the previous year.
Equinix’s strong financial performance is further evidenced by its adjusted EBITDA, which amounted to $1.1 billion for the fourth quarter of 2023, up 14% year-over-year. For the full year 2023, the company reported adjusted EBITDA of $4.3 billion, marking a 13% increase compared to the previous year.
In addition, Equinix’s global footprint expanded during the period, with the company reporting a total of 240 data centers across 26 countries as of the end of 2023, demonstrating a strategic focus on geographic diversification and infrastructure expansion.
As a result of these announcements, the company's shares have moved -1.1% on the market, and are now trading at a price of $792.03. For more information, read the company's full 8-K submission here.
