Iron Mountain Inc beats Q3 Adjusted EPS estimates, raises dividend
Overview
Information management firm's Q3 revenue rose 13.5% yr/yr, meeting analyst expectations
Adjusted EPS for Q3 rose 19%, beating analyst expectations
Company raised full-year guidance and increased quarterly dividend by 15%
Outlook
Iron Mountain raises full-year 2026 revenue guidance to $7.95 bln-$8.02 bln
Company expects Q4 2026 revenue of about $2.03 bln
Iron Mountain sees full-year 2026 AFFO per share at $5.94-$6.00
Result Drivers
GROWTH BUSINESSES - Data center, digital, and asset lifecycle management businesses collectively grew more than 30% yr/yr in Q3, supporting overall revenue growth
DATA CENTER LEASING - Company signed 102 megawatts of data center leases in Q3, totaling 137 megawatts year to date
PHYSICAL STORAGE - Physical records storage business continued to contribute alongside growth businesses, according to CEO William L. Meaney
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Meet | $1.99 bln | $1.99 bln (9 Analysts) |
Q3 Adjusted EPS | Beat | $0.64 | $0.61 (6 Analysts) |
Q3 EPS | $0.41 | ||
Q3 Net Income | $129 mln | ||
Q3 Adjusted EBITDA | Slight Beat* | $748 mln | $742.30 mln (9 Analysts) |
Q3 Adjusted EBITDA Margin | 37.60% |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the specialized reits peer group is "buy"
Wall Street's median 12-month price target for Iron Mountain Inc is $144.00, about 21.4% above its November 4 closing price of $118.66
The stock recently traded at 44 times the next 12-month earnings vs. a P/E of 47 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)