Digital Realty reports $787m in Q4 revenues and signs new renewal leases



NYSE

As well as its financial results, the company has also signed renewal leases representing $117m of annualized GAAP rental revenue during the quarter. 

Digital Realty (NYSE: DLR) has announced its financial results for the fourth quarter of 2019 of $787m, a 2% decrease from the previous quarter and a 1% increase from the same quarter last year.

The company delivered a fourth-quarter of 2019 net income of $349m, and net income available to common stockholders of $316m, or $1.50 per share, compared to $0.24 per share in the previous quarter and $0.15 per share in the same quarter last year.

Digital Realty generated fourth quarter of 2019 adjusted EBITDA of $462m, a 2% decrease from the previous quarter and a 1% decrease from the same quarter last year.

The company reported fourth-quarter of 2019 funds from operations of $354m, or $1.62 per share, compared to $1.59 per share in the previous quarter and $1.54 per share in the same quarter last year.

Digital Realty delivered a fourth quarter of 2019 core FFO per share of $1.62, a 3% decrease from $1.67 per share in the previous quarter, and a 4% decrease from $1.68 per share in the same quarter last year, excluding certain items that do not represent core expenses or revenue streams.

“In the fourth quarter, we signed total bookings expected to generate $69m of annualized GAAP rental revenue, including a $7m contribution from interconnection,” said Chief Executive Officer A. William Stein. 

“We made significant progress towards a number of key strategic priorities.  We continued to enhance our customer offerings with the launch of PlatformDIGITALTM, a first-of-its-kind global data centre platform, and we continued to extend our global footprint with an agreement to combine with Interxion. 


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“We also executed on our private capital initiative with the closing of our joint venture with Mapletree, and we further strengthened the balance sheet with the issuance of low-cost debt and preferred equity capital. 

“Looking ahead to 2020 and beyond, we are confident that Digital Realty’s global, full-product platform will continue to deliver sustainable growth for all stakeholders.”

In November 2019, Digital Realty closed on a joint venture with Mapletree Investments and Mapletree Industrial Trust on three existing Turn-Key Flex data centres located in Ashburn, Virginia, in a transaction valued at $1bn. 

The company also closed on the sale of a portfolio of ten Powered Base Building properties to Mapletree Investments and Mapletree Industrial Trust for $557m.

Digital Realty had approximately $10.1bn of total debt outstanding as of December 31, 2019, comprised of $10.0bn of unsecured debt and approximately $0.1bn of secured debt.

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