Digital infrastructure company Equinix, Inc. (NASDAQ:EQIX) has reported results for the quarter ended March 31, 2023.

In the first quarter of 2023, revenues amounted to approximately $2.0 billion, marking a record quarter-over-quarter step up of $127 million or a 7% increase over the previous quarter.

Operating income totalled $384 million, a 36% increase over the previous quarter, due to strong operating performance and flat quarter-over-quarter SG&A spend and an operating margin of 19%.

Net income reached $259 million, a 101% increase over the previous quarter, primarily due to higher income from operations and lower net interest expense.

During the first quarter of 2023, Equinix further invested in the expansion of its global platform which encompasses 248 data centers across 71 metros in 32 countries, including 50 major builds underway in 37 markets.

In February, Equinix announced plans to build its second International Business Exchange™ (IBX®) data center in Barcelona. The new site will serve as a strategic connection point for data communications between Africa, Europe and the Middle East, as Barcelona grows as a vital hub for regional subsea cables.

In April, Equinix invested $50 million toward a new state-of-the-art IBX data center expected to open in Montreal in the second half of 2023.

Equinix continues to expand its Data Center Services portfolio with four openings in Frankfurt, Paris, Singapore and Sydney, and four newly approved projects in Frankfurt, Lagos, Melbourne and Rio de Janeiro. The company has 10 xScale® projects underway that are expected to deliver more than 90 megawatts of capacity once opened.

Charles Meyers, President and CEO, Equinix:

“We had a strong start to the year, delivering nearly $2 billion of revenue for the quarter, as our outlook remains positive with the overall demand for digital transformation fueling our conviction around the long-term secular drivers of our business. We look forward to our upcoming analyst day next month, where we plan to continue the discussion of the significant opportunity ahead and our strongly differentiated position in capturing this opportunity as we enable our customers to access all the right places, partners and possibilities.”

For the second quarter of 2023, the company expects revenues to range between $1.995 and $2.025 billion, an increase of approximately 0 – 1% over the previous quarter, or a normalized and constant currency increase of 0 – 2%. This guidance includes a negative $10 million foreign currency impact when compared to the average FX rates in Q1 2023 and lower non-recurring revenues. Adjusted EBITDA is expected to range between $881 and $911 million.