**Equinix Investor Relations Contacts:** **Equinix Media Contacts:**

invest@equinix.com press@equinix.com

**_FOR IMMEDIATE RELEASE_**

**EQUINIX REPORTS SECOND QUARTER 2024 RESULTS**

**_Record Gross Bookings and Continued xScale[®] Momentum Drives Company’s 86th Consecutive_**

**_Quarter of Top-Line Revenue Growth_**

-  Quarterly revenues increased 7% over the same quarter last year to $2.2 billion, or 8% on a

normalized and constant currency basis

-  Net income increased 45% year-over-year to $301 million and adjusted EBITDA surpassed the

$1 billion quarterly threshold for the first time

-  Closed first multi-hundred-megawatt xScale campus in Atlanta; continue to augment and extend

xScale portfolio to support cloud and AI training workload demands

**REDWOOD CITY, Calif. - August 7, 2024** **-** **[Equinix, Inc. (Nasdaq: EQIX), the world’s digital](https://www.equinix.com/?ls=Public%20Relations&lsd=24q2__--_/_pr-equinix_pr-newswire_press-release__us-en_English_FY24_Q1 earnings_awareness&utm_campaign=us-en__press-release_FY24_Q1 earnings_pr-equinix&utm_source=&utm_medium=press-release&utm_content=--_)**

infrastructure company[®], today reported results for the quarter ended June 30, 2024. Equinix uses certain

non-GAAP financial measures, which are described further below and reconciled to the most comparable

GAAP financial measures after the presentation of our GAAP financial statements. All per-share results

are presented on a fully diluted basis.


-----

**Second Quarter 2024 Results Summary**

-  **Revenues**

◦ $2.16 billion, a 2% increase over the previous quarter

◦ Includes a $6 million negative foreign currency impact when compared to prior guidance
rates

**•** **Operating Income**

**◦** $436 million, a 20% increase over the previous quarter, due to strong operating performance
and a gain on the sale of our Silicon Valley 12 xScale asset contributed into our newly
created Americas xScale joint venture

**•** **Net Income and Net Income per Share attributable to Common Stockholders**

◦ $301 million, a 30% increase over the previous quarter, primarily due to higher income from
operations

◦ $3.16 per share, a 30% increase over the previous quarter

-  **Adjusted EBITDA**

◦ $1,036 million, a 4% increase over the previous quarter, and an adjusted EBITDA margin of
48%

◦ Includes a $3 million negative foreign currency impact when compared to prior guidance
rates and $4 million of integration costs

-  **AFFO and AFFO per Share**

◦ $877 million, a 4% increase over the previous quarter, due to strong operating performance;
offset by seasonally higher recurring capital expenditures

◦ $9.22 per share, a 4% increase over the previous quarter

**2024 Annual Guidance Summary**

**•** **Revenues**

◦ $8.692 - $8.772 billion, an increase of 6 - 7% over the previous year, or a normalized and
constant currency increase of 7 - 8%, excluding the year-over-year impact of the power passthrough

◦ Includes a $10 million negative foreign currency impact compared to prior guidance rates

-  **Adjusted EBITDA**

◦ $4.066 - $4.126 billion, a 47% adjusted EBITDA margin

◦ An increase of $15 million compared to prior guidance offset by a $3 million negative foreign
currency impact compared to prior guidance rates

◦ Includes $15 million of integration costs

-  **AFFO and AFFO per Share**

◦ $3.310 - $3.370 billion, an increase of 10 - 12% over the previous year, or a normalized and
constant currency increase of 11 - 13%

◦ An increase of $15 million compared to prior guidance offset by a $5 million negative foreign
currency impact compared to prior guidance rates

◦ $34.67 - $35.30 per share, an increase of 8 - 10% over the previous year, or a normalized and
constant currency increase of 9 - 11%

Equinix converted the presentation of results from thousands to millions in the first quarter of 2024.

Certain rounding adjustments have been made to prior period disclosed amounts.

Equinix is not reasonably able to provide forward-looking guidance for certain financial data, such as

depreciation, amortization, accretion, stock-based compensation, net income (loss) from operations, cash

generated from operating activities and cash used in investing activities, and as a result, is not able to


-----

provide a reconciliation of GAAP to non-GAAP financial measures for forward-looking data without

unreasonable effort. The impact of such adjustments could be significant.

**Equinix Quote**

**Adaire Fox-Martin, CEO and President, Equinix:**

_“I am honored to lead Equinix’s exceptional team whose dedication enables us to consistently deliver_

_against our strategy. Our strong performance in the second quarter, marked by record gross bookings,_

_reinforces our belief that we are uniquely positioned to support our customers and partners in their_

_business transformation agendas. As a key enabler of AI and cloud innovations on a global scale, we are_

_excited about the opportunities that lie ahead. Our continuous investment in our platform allows us to_

_meet the increasing demand for our services, whilst our focus on customer value has created_

_interconnected digital ecosystems that are unrivaled in the industry.”_

**Business Highlights**

-  Equinix continues to invest broadly to further enhance the scale and reach of its industry-leading

data center services portfolio. The company currently has 54 major projects underway in 36

markets, across 24 countries, including 15 xScale projects, representing more than 11,000

cabinets of retail capacity and more than 30 megawatts of xScale capacity to be delivered through

the end of 2024.

◦ Since the Q1 2024 earnings call, Equinix opened 10 projects in eight metros including

Hamburg, Johor, Munich, New York, Osaka, Silicon Valley, Sydney and Warsaw.

◦ [Last month, Equinix announced its planned entry into the Philippines with the acquisition](https://www.equinix.com/newsroom/press-releases/2024/07/equinix-to-extend-its-digital-infrastructure-platform-to-the-philippines-with-acquisition-of-three-data-centers)

[of three data centers from Total Information Management (“TIM”), a leading technology](https://www.equinix.com/newsroom/press-releases/2024/07/equinix-to-extend-its-digital-infrastructure-platform-to-the-philippines-with-acquisition-of-three-data-centers)

[solutions provider. Following the recently announced expansions in Malaysia and](https://www.equinix.com/newsroom/press-releases/2024/07/equinix-to-extend-its-digital-infrastructure-platform-to-the-philippines-with-acquisition-of-three-data-centers)

Indonesia, this strategic move aims to help businesses capitalize on the expanding digital

opportunity of the fast-growing Southeast Asia region. The approximately $180 million

transaction is expected to close in the fourth quarter of 2024, adding more than 1,000

cabinets of capacity and land for future development.


-----

◦ Equinix’s global xScale portfolio is experiencing a substantial increase in demand and

leasing activity due to the growing need for hyperscale infrastructure to support AI and

cloud initiatives. Since our last earnings call, the company leased an incremental 17

megawatts of capacity into its Silicon Valley 12 and Paris 13 assets, bringing total xScale

leasing to 365 megawatts globally. Additionally, Equinix recently acquired a greater than

200-acre land parcel with access to power as it develops its first multi-hundred-megawatt

xScale campus in the Atlanta metro area, which will better position it to pursue larger AI

and hyperscale workloads in the U.S.

As digital infrastructure continues to be fundamental to delivering the services the world relies on

every day, connectivity remains a keystone in everything from drug discovery to powering the

world’s financial markets to supporting the data needs of AI training and inferencing. As a

measure of this connectivity, Equinix’s global interconnection franchise continues to thrive, with

more than 472,000 total interconnections deployed on its platform. In Q2, interconnection

revenues stepped up 8% over the previous year, or a normalized and constant currency increase of

9%, with the addition of a net 3,900 total interconnections.

As businesses increasingly turn to multiple partners to uniquely solve challenges and to open new

opportunities, Equinix continues to expand its relationships with top technology companies.

Reflecting this, the Equinix Channel program delivered another solid quarter, accounting for over

30% of new bookings and 55% of new logos. Growth in the quarter came from collaborations

with AT&T, Avant, Dell, HPE, Orange Business and others.

◦ In May, [Equinix announced the availability of Dell PowerStore on Equinix Metal[®], a](https://www.equinix.com/newsroom/press-releases/2024/05/equinix-expands-cloud-adjacent-storage-portfolio-with-dell-technologies)

[new, enterprise-grade Storage as a Service (STaaS) solution. The service helps](https://www.equinix.com/newsroom/press-releases/2024/05/equinix-expands-cloud-adjacent-storage-portfolio-with-dell-technologies)

enterprises manage a wide range of high-performance multicloud workloads through low
latency connectivity with proximity to major public clouds.

Furthering its commitment to finding innovative solutions that reduce emissions and positively

impact customers and the communities in which it operates, [Equinix recently announced an](https://www.equinix.com/newsroom/press-releases/2024/06/-help-us-heat-our-neighbors-equinix-makes-data-center-heat-available-to-warm-nearby-buildings-and-swimming-pools)

[initiative to export heat from its newest International Business Exchange[TM] (IBX[®]) in Paris,](https://www.equinix.com/newsroom/press-releases/2024/06/-help-us-heat-our-neighbors-equinix-makes-data-center-heat-available-to-warm-nearby-buildings-and-swimming-pools)

[PA10, and transfer it to the Plaine Saulnier urban development zone and the Olympic Aquatic](https://www.equinix.com/newsroom/press-releases/2024/06/-help-us-heat-our-neighbors-equinix-makes-data-center-heat-available-to-warm-nearby-buildings-and-swimming-pools)

Centre, the host of events during the 2024 Summer Olympics. This latest initiative is part of the

company’s broader Heat Export program, which works with municipal planning agencies, energy

utilities and heat network operators around the world to unlock the value of the residual heat

generated in its data centers.


-----

**Business Outlook**

For the third quarter of 2024, the company expects revenues to range between $2.190 and $2.210 billion,

an increase of approximately 1 - 2% over the previous quarter on both an as-reported and a normalized

and constant currency basis, excluding the quarter-over-quarter impact of the power pass-through. This

guidance includes a $5 million foreign currency benefit when compared to the average FX rates in Q2

2024. Adjusted EBITDA is expected to range between $1.029 and $1.049 billion, impacted by seasonally

higher utilities costs and planned repairs and maintenance. This guidance includes a $5 million foreign

currency benefit when compared to the average FX rates in Q2 2024 and $5 million of integration costs

related to acquisitions. Recurring capital expenditures are expected to range between $62 and $82 million.

For the full year of 2024, total revenues are expected to range between $8.692 and $8.772 billion, a 6 
7% increase over the previous year, or a normalized and constant currency increase of 7 - 8% excluding

the year-over-year impact of the power pass-through. This updated guidance maintains prior full-year

revenue guidance, offset by a $10 million negative foreign currency impact when compared to the prior

guidance rates. Adjusted EBITDA is expected to range between $4.066 and $4.126 billion, an adjusted

EBITDA margin of 47%. This updated guidance includes an underlying raise of $15 million from better
than-expected operating performance and lower integration costs, offset by a $3 million negative foreign

currency impact when compared to prior guidance rates. AFFO is expected to range between $3.310 and

$3.370 billion, an increase of 10 - 12% over the previous year, or a normalized and constant currency

increase of 11 - 13%. This updated guidance includes an underlying raise of $15 million from better-than
expected business performance and lower integration costs, offset by a $5 million negative foreign

currency impact when compared to prior guidance rates. AFFO per share is expected to range between

$34.67 and $35.30, an increase of 8 - 10% over the previous year, or a normalized and constant currency

increase of 9 - 11%. Total capital expenditures are expected to range between $2.850 and $3.100 billion.

Non-recurring capital expenditures, including xScale-related capital expenditures, are expected to range

between $2.623 and $2.853 billion, and recurring capital expenditures are expected to range between

$227 and $247 million.

The U.S. dollar exchange rates used for 2024 guidance, taking into consideration the impact of our

current foreign currency hedges, have been updated to $1.10 to the Euro, $1.27 to the Pound, S$1.33 to

the U.S. Dollar, ¥147 to the U.S. Dollar, A$1.54 to the U.S. Dollar, HK$7.81 to the U.S. Dollar, R$5.73

to the U.S. Dollar and C$1.39 to the U.S. Dollar. The Q2 2024 global revenue breakdown by currency for

the Euro, British Pound, Singapore Dollar, Japanese Yen, Australian Dollar, Hong Kong Dollar, Brazilian

Real and Canadian Dollar is 20%, 9%, 8%, 6%, 4%, 3%, 3% and 2%, respectively.


-----

The adjusted EBITDA guidance is based on the revenue guidance less our expectations of cash cost of

revenues and cash operating expenses. The AFFO guidance is based on the adjusted EBITDA guidance

less our expectations of net interest expense, an installation revenue adjustment, a straight-line rent

expense adjustment, a contract cost adjustment, amortization of deferred financing costs and debt

discounts and premiums, income tax expense, an income tax expense adjustment, recurring capital

expenditures, other income (expense), (gains) losses on disposition of real estate property, and

adjustments for unconsolidated joint ventures’ and non-controlling interests’ share of these items.

**Q2 2024 Results Conference Call and Replay Information**

Equinix will discuss its quarterly results for the period ended June 30, 2024, along with its future outlook,

in its quarterly conference call on Wednesday, August 7, 2024, at 5:30 PM ET (2:30 PM PT). A

simultaneous live webcast of the call will be available on the company’s Investor Relations website at

[www.equinix.com/investors. To hear the conference call live, please dial 1-517-308-9482 (domestic and](https://www.equinix.com/investors?ls=Public%20Relations&lsd=24q2__--_/investors_pr-equinix_pr-newswire_press-release__us-en_English_FY24_Q1 earnings_awareness&utm_campaign=us-en__press-release_FY24_Q1 earnings_pr-equinix&utm_source=&utm_medium=press-release&utm_content=--_)

international) and reference the passcode EQIX.

A replay of the call will be available one hour after the call through Monday, September 30, 2024, by

dialing 1-866-407-9261 and referencing the passcode 2024. In addition, the webcast will be available at

[www.equinix.com/investors (no password required).](https://www.equinix.com/investors?ls=Public%20Relations&lsd=24q2__--_/investors_pr-equinix_pr-newswire_press-release__us-en_English_FY24_Q1 earnings_awareness&utm_campaign=us-en__press-release_FY24_Q1 earnings_pr-equinix&utm_source=&utm_medium=press-release&utm_content=--_)

**Investor Presentation and Supplemental Financial Information**

Equinix has made available on its website a presentation designed to accompany the discussion of

Equinix’s results and future outlook, along with certain supplemental financial information and other

data. Interested parties may access this information through the Equinix Investor Relations website at

[www.equinix.com/investors.](https://www.equinix.com/investors?ls=Public%20Relations&lsd=24q2__--_/investors_pr-equinix_pr-newswire_press-release__us-en_English_FY24_Q1 earnings_awareness&utm_campaign=us-en__press-release_FY24_Q1 earnings_pr-equinix&utm_source=&utm_medium=press-release&utm_content=--_)

**Additional Resources**

-  [Equinix Investor Relations Resources](https://www.equinix.com/investors?ls=Public%20Relations&lsd=24q2__--_/investors_pr-equinix_pr-newswire_press-release__us-en_English_FY24_Q1 earnings_awareness&utm_campaign=us-en__press-release_FY24_Q1 earnings_pr-equinix&utm_source=&utm_medium=press-release&utm_content=--_)

**About Equinix**

[Equinix (Nasdaq: EQIX) is the world’s digital infrastructure company[®]. Digital leaders harness Equinix's](https://www.equinix.com/?ls=Public%20Relations&lsd=24q2__--_/_pr-equinix_pr-newswire_press-release__us-en_English_FY24_Q1 earnings_awareness&utm_campaign=us-en__press-release_FY24_Q1 earnings_pr-equinix&utm_source=&utm_medium=press-release&utm_content=--_)

trusted platform to bring together and interconnect foundational infrastructure at software speed. Equinix

enables organizations to access all the right places, partners and possibilities to scale with agility, speed

the launch of digital services, deliver world-class experiences and multiply their value, while supporting

their sustainability goals.

**Non-GAAP Financial Measures**


-----

Equinix provides all information required in accordance with generally accepted accounting principles

(“GAAP”), but it believes that evaluating its ongoing operating results may be difficult if limited to

reviewing only GAAP financial measures. Accordingly, Equinix uses non-GAAP financial measures to

evaluate its operations.

Equinix provides normalized and constant currency growth rates, which are calculated to adjust for

acquisitions, dispositions, integration costs, changes in accounting principles and foreign currency.

Equinix presents adjusted EBITDA, which is a non-GAAP financial measure. Adjusted EBITDA

represents net income excluding income tax expense, interest income, interest expense, other income or

expense, gain or loss on debt extinguishment, depreciation, amortization, accretion, stock-based

compensation expense, restructuring charges, impairment charges, transaction costs and gain or loss on

asset sales.

In presenting non-GAAP financial measures, such as adjusted EBITDA, cash cost of revenues, cash gross

margins, cash operating expenses (also known as cash selling, general and administrative expenses or

cash SG&A), adjusted EBITDA margins, free cash flow and adjusted free cash flow, Equinix excludes

certain items that it believes are not good indicators of Equinix’s current or future operating performance.

These items are depreciation, amortization, accretion of asset retirement obligations and accrued

restructuring charges, stock-based compensation, restructuring charges, impairment charges, transaction

costs and gain or loss on asset sales. Equinix excludes these items in order for its lenders, investors and

the industry analysts who review and report on Equinix to better evaluate Equinix’s operating

performance and cash spending levels relative to its industry sector and competitors.

Equinix excludes depreciation expense as these charges primarily relate to the initial construction costs of

a data center, and do not reflect its current or future cash spending levels to support its business. Its data

centers are long-lived assets, and have an economic life greater than 10 years. The construction costs of a

data center do not recur with respect to such data center, although Equinix may incur initial construction

costs in future periods with respect to additional data centers, and future capital expenditures remain

minor relative to the initial investment. This is a trend it expects to continue. In addition, depreciation is

also based on the estimated useful lives of the data centers. These estimates could vary from actual

performance of the asset, are based on historic costs incurred to build out our data centers and are not

indicative of current or expected future capital expenditures. Therefore, Equinix excludes depreciation

from its operating results when evaluating its operations.

In addition, in presenting the non-GAAP financial measures, Equinix also excludes amortization expense

related to acquired intangible assets. Amortization expense is significantly affected by the timing and


-----

magnitude of acquisitions, and these charges may vary in amount from period to period. We exclude

amortization expense to facilitate a more meaningful evaluation of our current operating performance and

comparisons to our prior periods. Equinix excludes accretion expense, both as it relates to its asset

retirement obligations as well as its accrued restructuring charges, as these expenses represent costs which

Equinix also believes are not meaningful in evaluating Equinix’s current operations. Equinix excludes

stock-based compensation expense, as it can vary significantly from period to period based on share price

and the timing, size and nature of equity awards. As such, Equinix and many investors and analysts

exclude stock-based compensation expense to compare its operating results with those of other

companies. Equinix excludes restructuring charges from its non-GAAP financial measures. The

restructuring charges relate to Equinix’s decision to exit leases for excess space adjacent to several of its

IBX data centers, which it did not intend to build out, or its decision to reverse such restructuring charges.

Equinix also excludes impairment charges generally related to certain long-lived assets. The impairment

charges are related to expense recognized whenever events or changes in circumstances indicate that the

carrying amount of assets are not recoverable. Equinix also excludes gain or loss on asset sales as it

represents profit or loss that is not meaningful in evaluating the current or future operating performance.

Finally, Equinix excludes transaction costs from its non-GAAP financial measures to allow more

comparable comparisons of the financial results to the historical operations. The transaction costs relate to

costs Equinix incurs in connection with business combinations and formation of joint ventures, including

advisory, legal, accounting, valuation and other professional or consulting fees. Such charges generally

are not relevant to assessing the long-term performance of Equinix. In addition, the frequency and amount

of such charges vary significantly based on the size and timing of the transactions. Management believes

items such as restructuring charges, impairment charges, transaction costs and gain or loss on asset sales

are non-core transactions; however, these types of costs may occur in future periods.

Equinix also presents funds from operations (“FFO”) and adjusted funds from operations (“AFFO”), both

commonly used in the REIT industry, as supplemental performance measures. Additionally, Equinix

presents AFFO per share, which is also commonly used in the REIT industry. AFFO per share offers

investors and industry analysts a perspective of Equinix’s underlying operating performance when

compared to other REIT companies. FFO is calculated in accordance with the definition established by

the National Association of Real Estate Investment Trusts (“NAREIT”). FFO represents net income or

loss, excluding gain or loss from the disposition of real estate assets, depreciation and amortization on real

estate assets and adjustments for unconsolidated joint ventures’ and non-controlling interests’ share of

these items. AFFO represents FFO, excluding depreciation and amortization expense on non-real estate

assets, accretion, stock-based compensation, stock-based charitable contributions, restructuring charges,

impairment charges, transaction costs, an installation revenue adjustment, a straight-line rent expense

adjustment, a contract cost adjustment, amortization of deferred financing costs and debt discounts and


-----

premiums, gain or loss on debt extinguishment, an income tax expense adjustment, recurring capital

expenditures, net income or loss from discontinued operations, net of tax and adjustments from FFO to

AFFO for unconsolidated joint ventures’ and non-controlling interests’ share of these items. Equinix

excludes depreciation expense, amortization expense, accretion, stock-based compensation, restructuring

charges, impairment charges and transaction costs for the same reasons that they are excluded from the

other non-GAAP financial measures mentioned above.

Equinix includes an adjustment for revenues from installation fees, since installation fees are deferred and

recognized ratably over the period of contract term, although the fees are generally paid in a lump sum

upon installation. Equinix includes an adjustment for straight-line rent expense on its operating leases,

since the total minimum lease payments are recognized ratably over the lease term, although the lease

payments generally increase over the lease term. Equinix also includes an adjustment to contract costs

incurred to obtain contracts, since contract costs are capitalized and amortized over the estimated period

of benefit on a straight-line basis, although costs of obtaining contracts are generally incurred and paid

during the period of obtaining the contracts. The adjustments for installation revenues, straight-line rent

expense and contract costs are intended to isolate the cash activity included within the straight-lined or

amortized results in the consolidated statement of operations. Equinix excludes the amortization of

deferred financing costs and debt discounts and premiums as these expenses relate to the initial costs

incurred in connection with its debt financings that have no current or future cash obligations. Equinix

excludes gain or loss on debt extinguishment since it represents a cost that is not a good indicator of

Equinix’s current or future operating performance. Equinix includes an income tax expense adjustment,

which represents the non-cash tax impact due to changes in valuation allowances and uncertain tax

positions that do not relate to the current period’s operations. Equinix excludes recurring capital

expenditures, which represent expenditures to extend the useful life of its IBX and xScale data centers or

other assets that are required to support current revenues. Equinix also excludes net income or loss from

discontinued operations, net of tax, which represents results that are not a good indicator of our current or

future operating performance.

Equinix presents constant currency results of operations, which is a non-GAAP financial measure and is

not meant to be considered in isolation or as an alternative to GAAP results of operations. However,

Equinix has presented this non-GAAP financial measure to provide investors with an additional tool to

evaluate its operating results without the impact of fluctuations in foreign currency exchange rates,

thereby facilitating period-to-period comparisons of Equinix’s business performance. To present this

information, Equinix’s current and comparative prior period revenues and certain operating expenses

from entities with functional currencies other than the U.S. dollar are converted into U.S. dollars at a

consistent exchange rate for purposes of each result being compared.


-----

Non-GAAP financial measures are not a substitute for financial information prepared in accordance with

GAAP. Non-GAAP financial measures should not be considered in isolation, but should be considered

together with the most directly comparable GAAP financial measures and the reconciliation of the non
GAAP financial measures to the most directly comparable GAAP financial measures. Equinix presents

such non-GAAP financial measures to provide investors with an additional tool to evaluate its operating

results in a manner that focuses on what management believes to be its core, ongoing business operations.

Management believes that the inclusion of these non-GAAP financial measures provides consistency and

comparability with past reports and provides a better understanding of the overall performance of the

business and its ability to perform in subsequent periods. Equinix believes that if it did not provide such

non-GAAP financial information, investors would not have all the necessary data to analyze Equinix

effectively.

Investors should note that the non-GAAP financial measures used by Equinix may not be the same non
GAAP financial measures, and may not be calculated in the same manner, as those of other companies.

Investors should, therefore, exercise caution when comparing non-GAAP financial measures used by us

to similarly titled non-GAAP financial measures of other companies. Equinix does not provide forward
looking guidance for certain financial data, such as depreciation, amortization, accretion, stock-based

compensation, net income or loss from operations, cash generated from operating activities and cash used

in investing activities, and as a result, is not able to provide a reconciliation of GAAP to non-GAAP

financial measures for forward-looking data without unreasonable effort. The impact of such adjustments

could be significant. Equinix intends to calculate the various non-GAAP financial measures in future

periods consistent with how they were calculated for the periods presented within this press release.


-----

**Forward-Looking Statements**

_This press release contains forward-looking statements that involve risks and uncertainties. Actual results_

_may differ materially from expectations discussed in such forward-looking statements. Factors that might_

_cause such differences include, but are not limited to, risks to our business and operating results related_

_to the current inflationary environment; foreign currency exchange rate fluctuations; stock price_

_fluctuations; availability of power, increased costs to procure power and the general volatility in the_

_global energy market; the challenges of acquiring, operating and constructing IBX and xScale data_

_centers and developing, deploying and delivering Equinix products and solutions; delays related to the_

_closing of any planned acquisitions subject to closing conditions; unanticipated costs or difficulties_

_relating to the integration of companies we have acquired or will acquire into Equinix; a failure to_

_receive significant revenues from customers in recently built out or acquired data centers; failure to_

_complete any financing arrangements contemplated from time to time; competition from existing and new_

_competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or_

_outstanding indebtedness; the loss or decline in business from our key customers; risks related to our_

_taxation as a REIT; risks related to regulatory inquiries or litigation; and other risks described from time_

_to time in Equinix filings with the Securities and Exchange Commission. In particular, see recent and_

_upcoming Equinix quarterly and annual reports filed with the Securities and Exchange Commission,_

_copies of which are available upon request from Equinix. Equinix does not assume any obligation to_

_update the forward-looking information contained in this press release._


-----

**EQUINIX, INC.**

**Condensed Consolidated Statements of Operations**

**(in millions, except per share data)**

**(unaudited)**

**Three Months Ended** **Six Months Ended**


**June 30,**

**2024**


**March**

**31, 2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**



Recurring revenues $ 2,024 $ 2,010 $ 1,918 $ 4,034 $ 3,808

Non-recurring revenues 135 117 101 252 209

**Revenues** **2,159** **2,127** **2,019** **4,286** **4,017**

Cost of revenues 1,082 1,091 1,061 2,173 2,067

**Gross profit** **1,077** **1,036** **958** **2,113** **1,950**

Operating expenses:

Sales and marketing 219 226 216 445 426

General and administrative 437 444 406 881 801

Transaction costs 3 2 6 5 8

Gain on asset sales (18) — (2) (18) (1)

**Total operating expenses** **641** **672** **626** **1,313** **1,234**

**Income from operations** **436** **364** **332** **800** **716**

Interest and other expense:

Interest income 29 24 24 53 43

Interest expense (110) (104) (100) (214) (197)

Other expense (7) (6) (12) (13) (4)

Loss on debt extinguishment — (1) — (1) —

**Total interest and other, net** **(88)** **(87)** **(88)** **(175)** **(158)**

**Income before income taxes** **348** **277** **244** **625** **558**

Income tax expense (47) (46) (37) (93) (92)

**Net income** **$** **301 $** **231 $** **207 $** **532 $** **466**

**Earnings per share (“EPS”) attributable to common stockholders:**

Basic EPS $ 3.17 $ 2.44 $ 2.21 $ 5.61 $ 5.00

Diluted EPS $ 3.16 $ 2.43 $ 2.21 $ 5.59 $ 4.98

Weighted-average shares for basic EPS (in

thousands) 94,919 94,665 93,535 94,792 93,253

Weighted-average shares for diluted EPS (in

thousands) 95,166 95,156 93,857 95,161 93,599


-----

**EQUINIX, INC.**

**Condensed Consolidated Statements of Comprehensive Income**

**(in millions)**

**(unaudited)**

**Three Months Ended** **Six Months Ended**


**June 30,**

**2024**


**March 31,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**



Net income $ 301 $ 231 $ 207 $ 532 $ 466

Other comprehensive income (loss), net of tax:

Foreign currency translation adjustment

(“CTA”) gain (loss) (78) (358) 26 (436) 183

Net investment hedge CTA gain (loss) 24 130 (24) 154 (64)

Unrealized gain (loss) on cash flow

hedges 11 20 (5) 31 (18)

Total other comprehensive income

(loss), net of tax (43) (208) (3) (251) 101

**Comprehensive income, net of tax** **$** **258 $** **23 $** **204 $** **281 $** **567**


-----

**EQUINIX, INC.**

**Condensed Consolidated Balance Sheets**

**(in millions, except headcount)**

**(unaudited)**

**June 30, 2024** **December 31, 2023**


**Assets**
Cash and cash equivalents $ 1,993 $ 2,096

Accounts receivable, net 1,124 1,004

Other current assets 612 468

**Total current assets** **3,729** **3,568**

Property, plant and equipment, net 18,614 18,601

Operating lease right-of-use assets 1,379 1,449

Goodwill 5,622 5,737

Intangible assets, net 1,573 1,705

Other assets 1,937 1,591

**Total assets** **$** **32,854** **$** **32,651**

**Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity**

Accounts payable and accrued expenses $ 1,139 $ 1,187

Accrued property, plant and equipment 420 398

Current portion of operating lease liabilities 141 131

Current portion of finance lease liabilities 133 138

Current portion of mortgage and loans payable 6 8

Current portion of senior notes 999 998

Other current liabilities 230 302

**Total current liabilities** **3,068** **3,162**

Operating lease liabilities, less current portion 1,265 1,331

Finance lease liabilities, less current portion 2,095 2,123

Mortgage and loans payable, less current portion 654 663

Senior notes, less current portion 12,682 12,062

Other liabilities 787 796

**Total liabilities** **20,551** **20,137**

Redeemable non-controlling interest 25 25

**Common stockholders' equity:**
Common stock — —

Additional paid-in capital 18,915 18,596

Treasury stock (48) (56)

Accumulated dividends (9,514) (8,695)

Accumulated other comprehensive loss (1,541) (1,290)

Retained earnings 4,466 3,934

**Total stockholders' equity** **12,278** **12,489**

**Total liabilities, redeemable non-controlling interest and**
**stockholders’ equity** **$** **32,854** **$** **32,651**

Ending headcount by geographic region is as follows:
Americas headcount 6,146 5,953

EMEA headcount 4,274 4,267

Asia-Pacific headcount 3,076 2,931

Total headcount 13,496 13,151


-----

**EQUINIX, INC.**

**Summary of Debt Principal Outstanding**

**(in millions)**

**(unaudited)**

**June 30, 2024** **December 31, 2023**


Finance lease liabilities $ 2,228 $ 2,261

Term loans 634 642

Mortgage payable and other loans payable 26 29

Plus: debt issuance costs and debt discounts 1 1

Total mortgage and loans payable principal 661 672

Senior notes 13,681 13,060

Plus: debt issuance costs and debt discounts 112 108

Total senior notes principal 13,793 13,168

Total debt principal outstanding $ 16,682 $ 16,101


-----

**EQUINIX, INC.**

**Condensed Consolidated Statements of Cash Flows**

**(in millions)**

**(unaudited)**

**Three Months Ended** **Six Months Ended**


**June 30,**

**2024**


**March 31,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


Cash flows from operating activities:






Net income $ 301 $ 231 $ 207 $ 532 $ 466

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation, amortization and

accretion 490 525 461 1,015 920

Stock-based compensation 125 101 104 226 203

Amortization of debt issuance

costs and debt discounts 5 5 5 10 10

Loss on debt extinguishment — 1 — 1 —

Gain on asset sales (18) — (2) (18) (1)

Other items 25 6 20 31 25

Changes in operating assets and liabilities:

Accounts receivable (56) (85) (99) (141) (153)

Income taxes, net 12 (9) 3 3 8

Accounts payable and accrued
expenses 60 (56) 88 4 15

Operating lease right-of-use

assets 38 38 42 76 77

Operating lease liabilities (33) (32) (32) (65) (66)

Other assets and liabilities (37) (127) (56) (164) (71)

**Net cash provided by operating**
**activities** **912** **598** **741** **1,510** **1,433**

Cash flows from investing activities:

Purchases, sales and maturities of

investments, net (33) (3) (31) (36) (55)

Real estate acquisitions (108) (17) — (125) (40)

Purchases of other property, plant and

equipment (648) (707) (638) (1,355) (1,168)

Proceeds from asset sales 247 — — 247 72

Investment in loan receivable (196) — — (196) —

Loan receivable upfront fee 4 — — 4 —

**Net cash used in investing activities** **(734)** **(727)** **(669)** **(1,461)** **(1,191)**

Cash flows from financing activities:

Proceeds from employee equity

awards — 48 — 48 45

Proceeds from redeemable non-

controlling interest — — 25 — 25

Payment of dividend distributions (405) (412) (321) (817) (647)

Proceeds from public offering of

common stock, net of offering costs — — — — 301

Proceeds from senior notes, net of

debt discounts 744 — (1) 744 564

Repayment of finance lease liabilities (35) (31) (30) (66) (66)


-----

**Three Months Ended** **Six Months Ended**


**June 30,**

**2024**


**March 31,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**




Repayment of mortgage and loans

payable (2) (2) — (4) (3)

Debt issuance costs (8) — — (8) (4)

**Net cash provided by (used in)**

**financing activities** **294** **(397)** **(327)** **(103)** **215**

Effect of foreign currency exchange rates

on cash, cash equivalents and restricted
cash (6) (40) (47) (46) (23)

Net increase (decrease) in cash, cash

equivalents, and restricted cash 466 (566) (302) (100) 434

Cash, cash equivalents and restricted cash

at beginning of period 1,530 2,096 2,644 2,096 1,908

**Cash, cash equivalents and restricted**

**cash at end of period** **$** **1,996 $** **1,530 $** **2,342 $** **1,996 $** **2,342**

Supplemental cash flow information:

Cash paid for taxes $ 37 $ 64 $ 35 $ 101 $ 84

Cash paid for interest $ 126 $ 101 $ 134 $ 227 $ 238

**Free cash flow (negative free cash flow)**

**(1)** **$** **211 $** **(126) $** **103 $** **85 $** **297**

**Adjusted free cash flow (adjusted**

**negative free cash flow) (2)** **$** **319 $** **(109) $** **103 $** **210 $** **337**

(1) We define free cash flow (negative free cash flow) as net cash provided by operating activities plus net cash

used in investing activities (excluding the net purchases, sales and maturities of investments) as presented
below:

Net cash provided by operating

activities as presented above $ 912 $ 598 $ 741 $ 1,510 $ 1,433

Net cash used in investing activities

as presented above (734) (727) (669) (1,461) (1,191)

Purchases, sales and maturities of

investments, net 33 3 31 36 55

Free cash flow (negative free

cash flow) $ 211 $ (126) $ 103 $ 85 $ 297

(2) We define adjusted free cash flow (adjusted negative free cash flow) as free cash flow (negative free cash

flow) as defined above, excluding any real estate and business acquisitions, net of cash and restricted cash
acquired as presented below:

Free cash flow (negative free cash

flow) as defined above $ 211 $ (126) $ 103 $ 85 $ 297

Less real estate acquisitions 108 17 — 125 40

Adjusted free cash flow (adjusted

negative free cash flow) $ 319 $ (109) $ 103 $ 210 $ 337


-----

**EQUINIX, INC.**

**Non-GAAP Measures and Other Supplemental Data**

**(in millions)**

**(unaudited)**

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


Recurring revenues $ 2,024 $ 2,010 $ 1,918 $ 4,034 $ 3,808

Non-recurring revenues 135 117 101 252 209

Revenues [(1)] 2,159 2,127 2,019 4,286 4,017

Cash cost of revenues [(2)] 716 714 721 1,430 1,387

**Cash gross profit [(3)]** **1,443** **1,413** **1,298** **2,856** **2,630**

Cash operating expenses [(4)(7)]:

Cash sales and marketing

expenses [(5)] 144 154 142 298 281

Cash general and administrative

expenses [(6)] 263 267 255 530 503

**Total cash operating expenses**

**(4)(7)** **407** **421** **397** **828** **784**

**Adjusted EBITDA [(8)]** **$** **1,036** **$** **992** **$** **901** **$** **2,028** **$** **1,846**

**Cash gross margins [(9)]** **67 %** **66 %** **64 %** **67 %** **65 %**

**Adjusted EBITDA margins[(10)]** **48 %** **47 %** **45 %** **47 %** **46 %**

**Adjusted EBITDA flow-through**

**rate [(11)]** **138 %** **424 %** **(213) %** **150 %** **45 %**

**FFO [(12)]** **$** **597** **$** **553** **$** **495** **$** **1,150** **$** **1,043**

**AFFO [(13)(14)]** **$** **877** **$** **843** **$** **754** **$** **1,720** **$** **1,556**

**Basic FFO per share [(15)]** **$** **6.29** **$** **5.84** **$** **5.29** **$** **12.13** **$** **11.19**

**Diluted FFO per share [(15)]** **$** **6.27** **$** **5.81** **$** **5.28** **$** **12.08** **$** **11.15**

**Basic AFFO per share [(15)]** **$** **9.24** **$** **8.91** **$** **8.06** **$** **18.14** **$** **16.69**

**Diluted AFFO per share [(15)]** **$** **9.22** **$** **8.86** **$** **8.04** **$** **18.07** **$** **16.62**


-----

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


(1) The geographic split of our revenues on a services basis is presented below:

_Americas Revenues:_

Colocation $ 624 $ 607 $ 584 $ 1,231 $ 1,157

Interconnection 219 215 204 434 403

Managed infrastructure 66 66 61 132 122

Other 7 6 5 13 10

Recurring revenues 916 894 854 1,810 1,692

Non-recurring revenues 50 45 36 95 80

Revenues $ 966 $ 939 $ 890 $ 1,905 $ 1,772


_EMEA Revenues:_

Colocation $ 543 $ 549 $ 517 $ 1,092 $ 1,033

Interconnection 84 83 77 167 150

Managed infrastructure 34 35 33 69 64

Other 24 24 26 48 51

Recurring revenues 685 691 653 1,376 1,298

Non-recurring revenues 36 36 34 72 80

Revenues $ 721 $ 727 $ 687 $ 1,448 $ 1,378


_Asia-Pacific Revenues:_

Colocation $ 333 $ 334 $ 323 $ 667 $ 642

Interconnection 71 70 66 141 131

Managed infrastructure 16 17 18 33 37

Other 3 4 4 7 8

Recurring revenues 423 425 411 848 818

Non-recurring revenues 49 36 31 85 49

Revenues $ 472 $ 461 $ 442 $ 933 $ 867


_Worldwide Revenues:_


Colocation $ 1,500 $ 1,490 $ 1,424 $ 2,990 $ 2,832

Interconnection 374 368 347 742 684

Managed infrastructure 116 118 112 234 223

Other 34 34 35 68 69

Recurring revenues 2,024 2,010 1,918 4,034 3,808

Non-recurring revenues 135 117 101 252 209


-----

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


Revenues $ 2,159 $ 2,127 $ 2,019 $ 4,286 $ 4,017


(2) We define cash cost of revenues as cost of revenues less depreciation, amortization, accretion and stock
based compensation as presented below:

Cost of revenues $ 1,082 $ 1,091 $ 1,061 $ 2,173 $ 2,067

Depreciation, amortization and
accretion expense (351) (364) (328) (715) (657)

Stock-based compensation expense (15) (13) (12) (28) (23)

Cash cost of revenues $ 716 $ 714 $ 721 $ 1,430 $ 1,387


The geographic split of our cash cost of revenues is presented below:

Americas cash cost of revenues $ 273 $ 270 $ 268 $ 543 $ 514

EMEA cash cost of revenues 299 305 297 604 568

Asia-Pacific cash cost of revenues 144 139 156 283 305

Cash cost of revenues $ 716 $ 714 $ 721 $ 1,430 $ 1,387


(3) We define cash gross profit as revenues less cash cost of revenues (as defined above).


(4) We define cash operating expense as selling, general, and administrative expense less depreciation,

amortization, and stock-based compensation. We also refer to cash operating expense as cash selling,
general and administrative expense or "cash SG&A".

Selling, general, and administrative
expense $ 656 $ 670 $ 622 $ 1,326 $ 1,227

Depreciation and amortization
expense (139) (161) (133) (300) (263)

Stock-based compensation expense (110) (88) (92) (198) (180)

Cash operating expense $ 407 $ 421 $ 397 $ 828 $ 784


(5) We define cash sales and marketing expense as sales and marketing expense less depreciation, amortization

and stock-based compensation as presented below:


Sales and marketing expense $ 219 $ 226 $ 216 $ 445 $ 426

Depreciation and amortization
expense (50) (51) (51) (101) (102)

Stock-based compensation expense (25) (21) (23) (46) (43)

Cash sales and marketing
expense $ 144 $ 154 $ 142 $ 298 $ 281


(6) We define cash general and administrative expense as general and administrative expense less depreciation,

amortization and stock-based compensation as presented below:


-----

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


General and administrative expense $ 437 $ 444 $ 406 $ 881 $ 801

Depreciation and amortization
expense (89) (110) (82) (199) (161)

Stock-based compensation expense (85) (67) (69) (152) (137)

Cash general and administrative
expenses $ 263 $ 267 $ 255 $ 530 $ 503


(7) The geographic split of our cash operating expense, or cash SG&A, as defined above, is presented below:

Americas cash SG&A $ 242 $ 259 $ 229 $ 501 $ 459

EMEA cash SG&A 98 95 95 193 189

Asia-Pacific cash SG&A 67 67 73 134 136

Cash SG&A $ 407 $ 421 $ 397 $ 828 $ 784


(8) We define adjusted EBITDA as net income excluding income tax expense, interest income, interest expense,

other expense, loss on debt extinguishment, depreciation, amortization, accretion, stock-based
compensation expense, restructuring charges, impairment charges, transaction costs, and gain on asset sales
as presented below:

Net income $ 301 $ 231 $ 207 $ 532 $ 466

Income tax expense 47 46 37 93 92

Interest income (29) (24) (24) (53) (43)

Interest expense 110 104 100 214 197

Other expense 7 6 12 13 4

Loss on debt extinguishment — 1 — 1 —

Depreciation, amortization and
accretion expense 490 525 461 1,015 920

Stock-based compensation expense 125 101 104 226 203

Transaction costs 3 2 6 5 8

Gain on asset sales (18) — (2) (18) (1)

Adjusted EBITDA $ 1,036 $ 992 $ 901 $ 2,028 $ 1,846


The geographic split of our adjusted EBITDA is presented below:

Americas net loss $ — $ (46) $ (42) $ (46) $ (82)

Americas income tax expense 46 46 37 92 92

Americas interest income (19) (15) (19) (34) (34)

Americas interest expense 91 89 84 180 168

Americas other expense (income) (5) (37) 8 (42) 12


Americas depreciation, amortization

and accretion expense 269 305 252 574 497

Americas stock-based compensation

expense 84 66 69 150 137

Americas transaction costs 3 1 3 4 4


-----

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


Americas (gain) loss on asset sales (18) — 1 (18) 4

Americas adjusted EBITDA $ 451 $ 409 $ 393 $ 860 $ 798


EMEA net income $ 156 $ 135 $ 152 $ 291 $ 351

EMEA income tax expense 1 — — 1 —

EMEA interest income (6) (5) (3) (11) (6)

EMEA interest expense 9 4 5 13 9

EMEA other expense (income) 7 39 (3) 46 (19)

EMEA depreciation, amortization

and accretion expense 133 133 123 266 248

EMEA stock-based compensation

expense 24 21 22 45 41

EMEA transaction costs — 1 2 1 3

EMEA gain on asset sales — — (3) — (5)

EMEA adjusted EBITDA $ 324 $ 328 $ 295 $ 652 $ 622


Asia-Pacific net income $ 145 $ 142 $ 97 $ 287 $ 197

Asia-Pacific interest income (4) (4) (2) (8) (3)

Asia-Pacific interest expense 10 11 11 21 20

Asia-Pacific other expense 5 4 7 9 11

Asia-Pacific loss on debt

extinguishment — 1 — 1 —

Asia-Pacific depreciation,

amortization and accretion expense 88 87 86 175 175

Asia-Pacific stock-based

compensation expense 17 14 13 31 25

Asia-Pacific transaction costs — — 1 — 1

Asia-Pacific adjusted EBITDA $ 261 $ 255 $ 213 $ 516 $ 426


(9) We define cash gross margins as cash gross profit divided by revenues.

Our cash gross margins by geographic region are presented below:

Americas cash gross margins 72 % 71 % 70 % 71 % 71 %

EMEA cash gross margins 59 % 58 % 57 % 58 % 59 %

Asia-Pacific cash gross margins 69 % 70 % 65 % 70 % 65 %


(10) We define adjusted EBITDA margins as adjusted EBITDA divided by revenues.


Americas adjusted EBITDA margins 47 % 44 % 44 % 45 % 45 %

EMEA adjusted EBITDA margins 45 % 45 % 43 % 45 % 45 %

Asia-Pacific adjusted EBITDA

margins 55 % 55 % 48 % 55 % 49 %


-----

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


(11) We define adjusted EBITDA flow-through rate as incremental adjusted EBITDA growth divided by

incremental revenue growth as follow:

Adjusted EBITDA - current period $ 1,036 $ 992 $ 901 $ 2,028 $ 1,846

Less adjusted EBITDA - prior period (992) (920) (945) (1,856) (1,710)

Adjusted EBITDA growth $ 44 $ 72 $ (44) $ 172 $ 136

Revenues - current period $ 2,159 $ 2,127 $ 2,019 $ 4,286 $ 4,017

Less revenues - prior period (2,127) (2,110) (1,998) (4,171) (3,712)

Revenue growth $ 32 $ 17 $ 21 $ 115 $ 305

Adjusted EBITDA flow-through rate 138 % 424 % (210) % 150 % 45 %


(12) FFO is defined as net income or loss, excluding gain or loss from the disposition of real estate assets,

depreciation and amortization on real estate assets and adjustments for unconsolidated joint ventures’ and
non-controlling interests’ share of these items.


Net income $ 301 $ 231 $ 207 $ 532 $ 466

Adjustments:

Real estate depreciation 306 316 284 622 568

(Gain) loss on disposition of real

estate property (16) — 1 (16) 3

Adjustments for FFO from

unconsolidated joint ventures 6 6 3 12 6

FFO attributable to common

stockholders $ 597 $ 553 $ 495 $ 1,150 $ 1,043


(13) AFFO is defined as FFO, excluding depreciation and amortization expense on non-real estate assets,

accretion, stock-based compensation, stock-based charitable contributions, restructuring charges,
impairment charges, transaction costs, an installation revenue adjustment, a straight-line rent expense
adjustment, a contract cost adjustment, amortization of deferred financing costs and debt discounts and
premiums, gain or loss on debt extinguishment, an income tax expense adjustment, net income or loss from
discontinued operations, net of tax, recurring capital expenditures and adjustments from FFO to AFFO
for unconsolidated joint ventures’ and non-controlling interests’ share of these items.

FFO attributable to common

stockholders $ 597 $ 553 $ 495 $ 1,150 $ 1,043


Adjustments:

Installation revenue adjustment — (2) 6 (2) 4

Straight-line rent expense

adjustment 5 6 11 11 12

Contract cost adjustment (2) (8) (14) (10) (21)

Amortization of deferred

financing costs and debt
discounts 5 5 5 10 10


-----

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


Stock-based compensation

expense 125 101 104 226 203

Stock-based charitable

contributions 3 — 3 3 3

Non-real estate depreciation

expense 132 158 126 290 247

Amortization expense 51 52 52 103 104

Accretion expense adjustment 1 (1) (1) — 1

Recurring capital expenditures (45) (21) (40) (66) (63)

Loss on debt extinguishment — 1 — 1 —

Transaction costs 3 2 6 5 8

Income tax expense adjustment 4 — 1 4 3

Adjustments for AFFO from

unconsolidated joint ventures (2) (3) — (5) 2

AFFO attributable to common

stockholders $ 877 $ 843 $ 754 $ 1,720 $ 1,556


(14) Following is how we reconcile from adjusted EBITDA to AFFO:


Adjusted EBITDA $ 1,036 $ 992 $ 901 $ 2,028 $ 1,846

Adjustments:

Interest expense, net of interest

income (81) (80) (76) (161) (154)

Amortization of deferred financing

costs and debt discounts 5 5 5 10 10

Income tax expense (47) (46) (37) (93) (92)

Income tax expense adjustment 4 — 1 4 3

Straight-line rent expense

adjustment 5 6 11 11 12

Stock-based charitable

contributions 3 — 3 3 3

Contract cost adjustment (2) (8) (14) (10) (21)

Installation revenue adjustment — (2) 6 (2) 4

Recurring capital expenditures (45) (21) (40) (66) (63)

Other expense (7) (6) (12) (13) (4)

(Gain) loss on disposition of real

estate property (16) — 1 (16) 3

Adjustments for unconsolidated

JVs' and non-controlling
interests 4 3 3 7 8

Adjustment for gain on asset sales 18 — 2 18 1

AFFO attributable to common

stockholders $ 877 $ 843 $ 754 $ 1,720 $ 1,556


-----

**Three Months Ended** **Six Months Ended**


**March 31,**

**2024**


**June 30,**

**2024**


**June 30,**

**2023**


**June 30,**

**2024**


**June 30,**

**2023**


(15) The shares used in the computation of basic and diluted FFO and AFFO per share attributable to common

stockholders is presented below:


Shares used in computing basic net

income per share, FFO per share
and AFFO per share (in thousands) 94,919 94,665 93,535 94,792 93,253

Effect of dilutive securities:

Employee equity awards (in

thousands) 247 491 322 369 346

Shares used in computing diluted net

income per share, FFO per share
and AFFO per share (in thousands) 95,166 95,156 93,857 95,161 93,599

Basic FFO per share $ 6.29 $ 5.84 $ 5.29 $ 12.13 $ 11.19

Diluted FFO per share $ 6.27 $ 5.81 $ 5.28 $ 12.08 $ 11.15

Basic AFFO per share $ 9.24 $ 8.91 $ 8.06 $ 18.14 $ 16.69

Diluted AFFO per share $ 9.22 $ 8.86 $ 8.04 $ 18.07 $ 16.62


-----

