Aug 5, 2026 earnings call — Record quarter and raised full-year guidance
Raised full-year revenue guidance to $7.94 billion to $8.01 billion, representing year-on-year growth of 16% at the midpoint.
Revenue $2.0B (est $2.0B) · EPS $0.60 (est $0.54)
Key quotes
"Our Data Center business continues to deliver strong growth, up 39% in the quarter with an equally promising outlook."
"We delivered another outstanding performance in our Asset Lifecycle Management business with second quarter growth of 88%."
"Our Digital Solutions business maintained its strong momentum, achieving record quarterly revenue in line with our expectations of continued double-digit organic growth."
Analyst Q&A 7
data center demand and leases
Q (Eric Luebchow · Wells Fargo): He asked how the leasing pipeline looks after July and which campuses, like Richmond or Virginia sites, are seeing demand.
A: Management said leasing momentum is strong and they have a clear energization schedule. They have 325 megawatts that will be energized in the next 24 months and see demand in Richmond, Europe and India. They noted large hyperscale leases are lumpy but the pipeline is strong.
"As we sit here today, after the strong leasing that we've had in the first half of the year, including July, we have 325 megawatts that remain, that will be energized in the next 24 months." — William Meaney (CEO)
2026 leasing outlook and hyperscalers
Q (Keen Fai Tong · Goldman Sachs): He asked how discussions with hyperscalers are progressing and what the latest leasing target is for full year 2026.
A: They said they still expect to meaningfully exceed the original 100 megawatt target and are already beyond that. Their view is based on the pipeline against the 325 megawatts that will be energized over the next 24 months, including builds for inference capacity and expansion in India.
"So I would say that we still feel very good that we'll meaningfully exceed that number." — William Meaney (CEO)
Groupe ATF deal details
Q (Brendan Lynch · Barclays): He asked about the size of the Groupe ATF acquisition, expected operating synergies, and cross-selling opportunities in Europe.
A: Management said the deal broadens their ALM platform in Belgium and France and enables more cross-selling with existing customers. They just closed the deal and said it is modest in size, with high teens millions of annual revenue and an expected contribution of about $7 million in the back half. They expect low-20s EBITDA margins and believe the acquisition will synergize well on both cost and revenue sides.
"I mean, think like high teens millions of revenue annually." — Barry Hytinen (CFO)
global ALM scale for multinationals
Q (Tobey Sommer · Truist): He asked whether their global scale is now enough to win MSAs with the largest multinationals and service them truly globally, or if they are still building toward that.
A: They said they are approaching that capability and already have the strongest platform in Europe and North America, while still building in India, Asia and the Middle East. They noted a recent multi-region win showed they can deliver an MSA and execute securely, and they highlighted the enterprise ALM business is growing fast—up north of 50% and about a little over $600 million of revenue for the full year.
"I would just add that to put it in perspective on that opportunity, look, this year, our enterprise ALM business is going to be up north of 50% versus last year, call it, a little over $600 million of revenue for the full year." — Barry Hytinen (CFO)
cross-selling in data center ecosystem
Q (Alexander EM Hess · JPMorgan): He asked how they plan to cross-sell and capture more services as the data center ecosystem grows and more large companies expand.
A: They said their Matterhorn commercial strategy sells the full range of services and is producing meaningful cross-sell between data center leasing and hyperscale decommissioning, including cradle-to-grave IT asset disposal. They called themselves the only provider able to offer a complete end-to-end life cycle solution for hyperscale customers and noted new elements like neo-cloud will add more refresh and secondary-market opportunities.
"I would say, I think it's pretty clear, we're the only provider of a complete end-to-end life cycle solution for the hyperscale marketplace." — Barry Hytinen (CFO)
core storage volumes and IRS contract
Q (Nathan Daniel Crossett · BNP): He asked for an update on Global RIM (physical) volume and pricing outlook, and an update on the ramp of the IRS contract.
A: They said physical volume is growing and was up 2.5 million cubic feet sequentially, and they have never stored more physical volume than now. Revenue management is focused on charging for value through offerings like Smart Sort and Smart Reveal, and the IRS digital work was a few million dollars ahead in Q2 at about $15-plus million versus $9 million in Q1; they expect that business to be in excess of $100 million in 2027.
"I think we did about $15-plus million, that's up from the $9 million that we did in the first quarter." — Barry Hytinen (CFO)
indirect channels, efficiencies, bare metal
Q (Jonathan Atkin · RBC): He asked about the role of indirect channels in driving sales, operational efficiency programs that can expand margin, and whether bare metal hosting is a growth area.
A: They said they use channels more, especially on the digital side, partnering with systems integrators and cloud marketplaces (Azure, GCP, AWS). Transformation is ongoing and aimed at operational efficiency across real estate, procurement, customer care and AI, which should drive margin. On bare metal, they said no—they focus on digital infrastructure and Infrastructure-as-a-Service and prefer to avoid conflicts while helping customers with IT asset decommissioning.
"In terms of bare metals, no, I mean, we are very focused on digital infrastructure and Infrastructure-as-a-Service for our customers." — William Meaney (CEO)