On August 1, 2024, Iron Mountain Inc (IRM, Financial) released its 8-K filing for the second quarter of 2024. Iron Mountain Inc is a record management services provider organized as a REIT. Most of its revenue comes from its storage business, with the rest coming from value-added services. The firm primarily caters to enterprise clients in developed markets. Its business segments include Global RIM Business, Global Data Center Business, and Corporate and Other Business.
Performance Overview
Iron Mountain Inc (IRM, Financial) reported a net income of $35 million for Q2 2024, a significant increase from $1 million in Q2 2023. The company achieved record quarterly revenue and adjusted EBITDA, driven by strong performance across its business segments.
Financial Achievements
Iron Mountain Inc (IRM, Financial) reported total revenue of $1.534 billion for Q2 2024, up 13% from $1.358 billion in Q2 2023. This fell short of the analyst estimate of $1.541 billion. The company's adjusted EBITDA for the quarter was $544 million, a 14% increase from $476 million in the same period last year.
| Metric | Q2 2024 | Q2 2023 | Y/Y % Change |
|---|---|---|---|
| Total Revenue | $1.534 billion | $1.358 billion | 13% |
| Net Income | $35 million | $1 million | N/A |
| Adjusted EBITDA | $544 million | $476 million | 14% |
| Adjusted EPS | $0.42 | $0.40 | 5% |
Income Statement Highlights
Iron Mountain Inc (IRM, Financial) reported storage rental revenue of $920 million, up 11% year-over-year, and service revenue of $615 million, up 17% year-over-year. The company's adjusted EPS for Q2 2024 was $0.42, a 5% increase from $0.40 in Q2 2023.
Balance Sheet and Cash Flow
As of June 30, 2024, Iron Mountain Inc (IRM, Financial) had total assets of $17.967 billion, compared to $17.474 billion as of December 31, 2023. The company's cash and cash equivalents stood at $144 million, down from $223 million at the end of 2023. The total liabilities were $18.100 billion, up from $17.262 billion at the end of 2023.
Dividend and Guidance
Iron Mountain Inc (IRM, Financial) increased its quarterly dividend per share by 10%, reflecting its strong financial performance. The company expects to be towards the upper end of its full-year 2024 guidance range, with total revenue projected between $6.000 billion and $6.150 billion, and adjusted EBITDA between $2.175 billion and $2.225 billion.
"We continue to execute well on our growth strategy and are pleased to report a very strong second quarter, again resulting in all-time record Revenue and Adjusted EBITDA," said William L. Meaney, President and CEO of Iron Mountain.
Analysis
Iron Mountain Inc (IRM, Financial)'s strong performance in Q2 2024 highlights its effective growth strategy and robust business model. The significant increase in net income and adjusted EBITDA, along with the record revenue, underscores the company's ability to generate substantial cash flows and deliver value to shareholders. The increase in dividend further reflects the company's confidence in its financial stability and future growth prospects.
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Explore the complete 8-K earnings release (here) from Iron Mountain Inc for further details.
