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Equinix's Income from Operations in Q4 2024 was significantly low at **$103 million** primarily due to substantial non-recurring charges. The company recorded **$233 million in impairment charges**, **$31 million in restructuring charges**, and **$38 million in transaction costs**, which collectively totaled **$314 million** in one-off expenses that heavily impacted the quarter’s operating income.  **[0001628280-25-005122_eqix-123124xpr.htm:11]** **[0001628280-25-005126_eqix-20241231.htm:134]** 

Why was Income from Operations so low in Q4 2024?

The **Basic EPS turned negative in Q4 2024** primarily due to the **combined impact** of significant factors that eroded profitability. Specifically, Equinix incurred **$314 million in non‐recurring charges** related to asset impairments, restructuring costs, and transaction costs, which dramatically affected earnings. In addition, there were declines in operating income (**8% drop**) and net income (**16% drop**) compared to the previous year, all of which contributed to reducing the earnings available to common stockholders, ultimately leading to the negative EPS outcome [(1)][(2)][(3)].

Why did Basic EPS turn negative in Q4 2024?

The **Net Income** for **Q4 2024** turned negative primarily due to **significant non‐recurring charges**. Specifically, Equinix incurred **impairment charges of 233 million USD**, **restructuring charges of 31 million USD**, and a **loss on debt extinguishment of 15 million USD**, along with **increased operating expenses rising to 962 million USD** from 678 million USD in the previous quarter. These factors directly contributed to the net loss in Q4 2024.  **[0001628280-25-005122_eqix-123124xpr.htm:11]** 

Why was Net Income negative in Q4 2024?

The spike in **Transaction Costs in Q4 2024** was driven by **non‐recurring charges** related to **asset impairments, restructuring, and transaction fees**, which collectively amounted to **$314 million** for the year and significantly impacted the company's operating and net incomes.  **[0001628280-25-005122_eqix-123124xpr.htm:11]** **[20250212SF17594:0]** **[0001628280-25-005122_eqix-123124xpr.htm:0]** 

What drove the spike in Transaction Costs in Q4 2024?

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Equinix’s lower **cash and cash equivalents** in Q1 2024 were due to several factors. First, there was significant **net cash used in investing activities**—approximately **$727 million**—driven by a **$177 million increase in capital expenditures** and a **$72 million decrease in proceeds from asset sales to joint ventures**. Additionally, the firm experienced **net cash used in financing activities** of about **$397 million** stemming from **$412 million in dividend distributions** and **$31 million in repayment of finance lease liabilities**. Moreover, while operating activities still generated cash, the amount was lower compared to Q1 2023, and the impact of **foreign currency exchange rates** resulted in an extra reduction of **$40 million**. These combined factors contributed to the lower cash balance of **$1,527 million** in Q1 2024 compared to previous levels.  **[20240508SF08662:14]** **[0001628280-24-021647_eqix-20240331.htm:50]** 

Why was Cash and cash equivalents so low in Q1 2024?

The **Current portion of senior notes** was so high in **Q3 2024** because the **2.625% Senior Notes due 2024**, with a principal amount of **$1,000 million**, reached the upcoming maturity date and were reclassified as a current liability since they are due within the next 12 months.  **[0001628280-24-044355_eqix-20240930.htm:4]** **[0001628280-24-044355_eqix-20240930.htm:22]** 

Why was the Current portion of senior notes so high in Q3 2024?

The spike was primarily due to a significant reclassification of long‑term debt into current liabilities. In Q3 2024, the **current portion of Senior Notes** increased from **$998 million** to **$2,198 million** (a jump of about **$1,200 million**) as these notes were reclassified because they matured within the next 12 months. Additionally, there were increases in the **current portion of Finance Lease Liabilities** (up from **$138 million** to **$202 million**) and the **current portion of Operating Lease Liabilities** (rising from **$131 million** to **$149 million**), with only minor offsets from reductions in other liabilities.  **[0001628280-24-044355_eqix-20240930.htm:4]** 

Why did Total current liabilities spike in Q3 2024?

The **Accounts receivable** decreased in Q4 2024 due to several factors. **Revenue growth and timing differences** between performance obligations and customer payments led to a decline in the receivable balance.  **[0001628280-25-005126_eqix-20241231.htm:157]**  Additionally, although the **provision for credit losses** increased by **$21 million**, net write-offs of **$20 million** largely offset this impact.  **[0001628280-25-005126_eqix-20241231.htm:162]**  **Foreign currency fluctuations** also played a role, as a stronger U.S. dollar reduced the value of certain foreign-denominated receivables.  **[0001628280-25-005126_eqix-20241231.htm:179]**  Finally, the company experienced a **$180 million positive change in collections**, which contributed to the overall reduction in accounts receivable.  **[0001628280-25-005122_eqix-123124xpr.htm:13]** 

Why did Accounts receivable decrease in Q4 2024?

98634c8072c5fa95ae47e52bd4f1a2ba341ce3ceb0ce67b4f5d8c4b0effaca1c

Cash and cash equivalents (USD, millions)

Short-term investments (USD, millions)

Accounts receivable, net of allowance (USD, millions)

Other current assets (USD, millions)

Total current assets (USD, millions)

Property, plant and equipment, net (USD, millions)

Operating lease right-of-use assets (USD, millions)

Goodwill (USD, millions)

Intangible assets, net (USD, millions)

Other assets (USD, millions)

Total assets (USD, millions)

Accounts payable and accrued expenses (USD, millions)

Accrued property, plant and equipment (USD, millions)

Current portion of operating lease liabilities (USD, millions)

Current portion of finance lease liabilities (USD, millions)

Current portion of mortgage and loans payable (USD, millions)

Current portion of senior notes (USD, millions)

Other current liabilities (USD, millions)

Total current liabilities (USD, millions)

Operating lease liabilities, less current portion (USD, millions)

Finance lease liabilities, less current portion (USD, millions)

Mortgage and loans payable, less current portion (USD, millions)

Senior notes, less current portion (USD, millions)

Other liabilities (USD, millions)

Total liabilities (USD, millions)

Redeemable non-controlling interest (USD, millions)

Additional paid-in capital (USD, millions)

Treasury stock, at cost (USD, millions)

Accumulated dividends (USD, millions)

Accumulated other comprehensive loss (USD, millions)

Retained earnings (USD, millions)

Non-controlling interests (USD, millions)

Total liabilities, redeemable non-controlling interest and stockholders' equity (USD, millions)

52dc962316f7d5f2cd4518d0ad70b1de6b6021cc973e27dc81b98c855c76ed10

Revenues (USD, millions)

Cost of Revenues (USD, millions)

Sales and Marketing Expenses (USD, millions)

General and Administrative Expenses (USD, millions)

Restructuring Charges (USD, millions)

Transaction Costs (USD, millions)

Impairment Charges (USD, millions)

Income from Operations (USD, millions)

Interest Income (USD, millions)

Interest Expense (USD, millions)

Other Expense (USD, millions)

Loss on Debt Extinguishment (USD, millions)

Income Before Income Taxes (USD, millions)

Income Tax Expense (USD, millions)

Net Income (USD, millions)

Net Loss Attributable to Non-Controlling Interests (USD, millions)

Net Income Attributable to Common Stockholders (USD, millions)

Basic EPS Attributable to Common Stockholders (USD)

Weighted-Average Shares for Basic EPS (in thousands)

Diluted EPS Attributable to Common Stockholders (USD)

Weighted-Average Shares for Diluted EPS (in thousands)

f5eaad241e7bb3ccccdff51c04f282611ba1817d6f9201c9b9129d54efc17e78

Total Revenue [USD, Millions]

Cost of Goods Sold (COGS) [USD, Millions]

SG&A [USD, Millions]

R&D [USD, Millions]

D&A [USD, Millions]

Interest Expense [USD, Millions]

Operating Income (EBIT) [USD, Millions]

Net Income [USD, Millions]

EPS - Basic [USD, Per Share]

EPS - Diluted [USD, Per Share]

843d4200b3ceb7f4bbdcdc542b4a1d76e0901bf7e00225d4cbd4f30d96eb29ca

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

c28cf74d5bebb1665e9eaba4a98b0d94835998f5fae33cc660392cd442112b7e

6249e6b788e03b650d57c3d22ffb433fbd302b5f98d685368c9840fa936735df

Number of IBX data centers (count)

Number of xScale data centers (count)

Cabinet utilization rate (percentage)

Remaining performance obligations (USD billions)

11891b7b76ed1579b26420b58fcdb6c692b356ea59dfeed5af54f871f61c4580

Americas

- Recurring Revenues

- Non-recurring Revenues

EMEA

Asia-Pacific

United States

United Kingdom

Total Revenue

62e222844d57aa2ed8b8e042be51b31e04e01db56cb7d9bf140468ecb123b85a

Colocation

Interconnection

Managed Infrastructure

Rental

Other

Recurring Revenues

Non-recurring Revenues

e9a2f3773d4905e357cecf1997b0802f234ea5ee17a19f56fd88b621f93e9031

EQUINIX (EQIX)

Financials