EQIX · Q2 2026 Earnings

Bullish

Equinix

Reported July 29, 2026

30-second summary

Q2 revenue of $2.625B (+16.3% YoY, +7.4% QoQ) beat consensus of $2.58B by 1.7% and printed $14M above the top end of last quarter's guide, with the Hampton-shifted revenue landing as promised. Management raised FY2026 revenue growth from 10–11% to 11–12%, took the FY revenue midpoint up $51M, lifted AFFO/share to $42.69–$43.29, and disclosed a record 9,700 net interconnections added plus $424M of annualized gross bookings (+23% YoY). The double-digit growth thesis first floated in Q2 FY2025 as an aspiration is now guided at 11–12% one quarter into the fiscal year, with a second consecutive FY raise on top of a first-quarter raise.

Headline numbers

EPS

Q2 FY2026

$4.83

+0.6% vs est.

Revenue

Q2 FY2026

$2.63B

+16.3% YoY

+1.7% vs est.

Gross margin

Q2 FY2026

53.1%

Operating margin

Q2 FY2026

25.3%

Key financials

Q2 FY2026

Metric	Q2 FY2026	Q2 FY2025	YoY	Q1 FY2026	QoQ
Revenue	$2.63B	$2.26B	+16.4%	$2.44B	+7.4%
EPS	$4.83	$9.91	-51.3%	$10.79	-55.2%
Gross margin	53.1%	51.9%	+120bps	51.4%	+170bps
Operating margin	25.3%	22.0%	+330bps	23.6%	+170bps

Guidance

Guidance is issued for the full year only, refreshed each quarter. Prior and new below are the same FY updated this quarter.

Actuals vs prior guidance

Metric	Period	Prior guide	Actual	Δ	Result
Revenue	Q2 FY2026	$2.571 - $2.611 billion	$2.625 billion	+$0.014 billion above high end of guide	Beat
Adjusted EBITDA	Q2 FY2026	$1.349 - $1.389 billion	$1.295 billion	-$0.054 billion below low end of guide	Beat
MRR Growth	Q2 FY2026	10% - 11% YoY	11% YoY	at or above high end of guidance	Beat

Changes to prior guidance

Metric	Period	Prior guide	New guide	Δ	Result
Revenue	FY 2026	$10.144 - $10.244 billion	$10.205 - $10.285 billion	+$0.061B at low end, +$0.041B at high end; midpoint +$0.051B	Raised
Revenue growth YoY	FY 2026	~10-11% as-reported	~11-12% as-reported and normalized constant currency	+1 percentage point (low to high end)	Raised
Adjusted EBITDA	FY 2026	$5.165 - $5.245 billion	$5.210 - $5.270 billion	+$0.045B at low end, +$0.025B at high end; midpoint +$0.035B	Raised
AFFO	FY 2026	$4.198 - $4.278 billion	$4.240 - $4.300 billion	+$0.042B at low end, +$0.022B at high end; midpoint +$0.032B	Raised
AFFO per share	FY 2026	$42.31 - $43.11	$42.69 - $43.29	+$0.38 at low end, +$0.18 at high end; midpoint +$0.28	Raised
AFFO growth YoY	FY 2026	12-14% as-reported; 10-12% normalized constant currency	13-14% as-reported; 12-13% normalized constant currency	+1 percentage point as-reported (low end), +1 percentage point normalized (low end)	Raised

Reaffirmed unchanged this quarter: Adjusted EBITDA Margin (~51%)

Segment KPIs

Q2 FY2026

Segment	Q2 FY2026	Q2 FY2025	YoY
Colocation	$1.772B	$1.585B	+11.8%
Interconnection	$0.453B	$0.407B	+11.3%
Managed Infrastructure	$0.112B	$0.117B	-4.3%

Other KPIs

Q2 FY2026

Segment	Q2 FY2026	Q2 FY2025	YoY
Americas	$1.251B	$1.004B	+24.6%
EMEA	$0.845B	$0.767B	+10.2%
Asia-Pacific	$0.529B	$0.485B	+9.1%
Monthly Recurring Revenue (MRR) Growth	11% YoY	—	—
Net Interconnections Added	9,700 (record)	—	—
Annualized Gross Bookings	$424M (23% YoY growth)	$345 million	—
Adjusted EBITDA Margin	53%	50%	—
Recurring Revenues	$2,377M	—	—
AFFO per Share (Diluted)	$11.78	—	—
Cash Gross Margin	70%	69%	—
Operating Income Growth	35% YoY	—	—

Management tone

Transcript not available for this quarter; tone analysis limited to press-release commentary. The qualitative statements accompanying the guide — "raising full-year 2026 guidance and long-term outlook on stronger demand, bookings, presales and continued execution," "customer demand is broad-based and growing," "stronger-than-expected demand, accelerating bookings and presales activity," and "increased visibility from committed capacity, firm pricing" — extend the same posture management struck at Q1: pricing is firm, demand is broad-based, and the FY raise is being justified by disclosed bookings rather than aspirational commentary. The single new phrase worth flagging is "long-term outlook" being raised alongside the FY guide, which implies management is telegraphing a multi-year re-rating of the growth trajectory beyond just FY2026. Transcript commentary pending.

Answers to last quarter's watch list

Q2 FY2026 revenue clearing $2.591B midpoint, ideally above $2.611B — Revenue printed $2.625B, $14M above the high end of the guide and $34M above the midpoint. The Hampton shift landed as promised and the FY revenue guide raise on top confirms this was run-rate acceleration, not a pull-forward.

Resolved positively

MRR growth holding 10%+ normalized constant currency — MRR grew 11% YoY (as-reported basis disclosed; NCC not separately quoted in press release), at or above the high end of the 10–11% guide. The double-digit MRR run is now four consecutive quarters.

Resolved positively

Fabric bookings growth sustaining above 50% YoY — The press release does not separately disclose Fabric bookings growth; only aggregate annualized gross bookings ($424M, +23% YoY). Transcript pending for the Fabric-specific figure.

Not resolved

Pre-sales activity above $140M — The press release does not separately disclose pre-sales activity, only annualized gross bookings of $424M (+23% YoY). The bookings figure is a record for Q2 but the pre-sales sub-component is not broken out. Transcript pending.

Not resolved

Q2 FY2026 EBITDA margin landing within the new 52–53% guide — Adjusted EBITDA margin printed 53%, at the top of the guide and a new record. However, Q3 is guided back to ~51%, suggesting Q2 was helped by Hampton lease timing rather than a structural step-up. Status: Resolved positively (with caveat)

Churn holding below 2.0% — The press release does not disclose Q2 churn; typically disclosed on the call.

Not resolved

Pricing magnitude disclosure at the next investor event — The press release again references "firm pricing" without quantification. Fourth consecutive quarter without a specific magnitude disclosed.

Not resolved

atNorth acquisition closing and accretion disclosure — The press release does not mention atNorth closing or quantified accretion. Transcript pending.

Not resolved

What to watch into next quarter

Q3 FY2026 revenue at or above $2.550B midpoint: Q3 guide of $2.525–$2.575B implies a QoQ decline from Q2's $2.625B, consistent with the Hampton lease being a Q2 event. A print below midpoint would raise the question of whether Hampton contributed even more Q2 revenue than management implied.

Q3 FY2026 EBITDA margin holding at or above the ~51% guide: with Q2 running at a 53% record, watch whether the guided step-down to ~51% is a floor or whether the run-rate actually settles below.

FY2026 revenue growth guide holding 11–12% or being raised further: two consecutive raises in H1 sets up a third at Q3. A hold would be the first sign that momentum is stabilizing; a further raise would validate the "long-term outlook" claim.

Capex trajectory following the ~$1.4B FY2026 total capex raise (to $5.0–6.0B): with non-recurring capex alone lifted by ~$1.44B in the guidance-adjustment column, watch whether Q3 clarifies which markets and build-outs the incremental spend is targeting — this is the largest single line-item raise in the release and the return-on-capital story now hinges on lease-up timing.

Fabric bookings and pre-sales disclosure in the transcript: Q1 disclosed Fabric bookings +70% YoY and $140M pre-sales as a record. Watch whether these run at or above Q1 levels — the aggregate $424M bookings figure suggests they should, but the sub-components need to be verified.

Churn print vs Q1's 1.7% record: a move back to the 2.0–2.5% target band would signal Q1 was timing-helped; a hold below 2.0% would confirm structural retention improvement.

atNorth closing and accretion disclosure: called out as "immediately accretive" at Q1 announcement — needs to close and be quantified on this call or next.

Managed Infrastructure trajectory: the -4.3% Q2 print is the second consecutive quarter of deceleration (0% → -4.3%). Small in absolute terms but worth tracking whether it stabilizes or continues to slide.

Sources

Equinix Q2 FY2026 press release / 8-K, July 29, 2026 — SEC filing: https://www.sec.gov/Archives/edgar/data/1101239/000110123926000145/a991eqix-q226xpr.htm

Get the next brief, free.

We publish analyst-grade earnings briefs the same day or morning after every call — headline numbers, segment KPIs, Q&A highlights, and tone analysis. Free during beta.

This is not investment advice.