Equinix said its net income dropped 8.1 percent in the first quarter, as its data center business grew 24.6 percent, worldwide.
Net income fell to $14.2 million in the quarter ended March 31, down from $15.5 million a year ago. Revenue reached $237.2 million, up from $190.3 million. On a per-share basis, earnings were 36 cents, down from 41 cents.
“Demand for our services remained strong across all three operating regions during the quarter and we continue to benefit from our global reach and scale,'' said Steve Smith, CEO and President of Equinix, in the company's earnings announcement.
Capital expenditures in the first quarter were $143.4 million. Of that, $128.9 million was attributed to expanding its data center operations around the world.
The company is expanding capacity, in terms of cabinets of computing power in place, in all three operating regions, the United States, Asia-Pacific and Europe. All told, the company has announced plans to expand the number of "net sellable cabinets" from 60,800 in 2009 to 71,540 in 2011.
Wednesday, the company announced it was adding 40,000 square feet of space to a data center in Dallas.
For the second quarter, Equinix said it expects revenues to be in the range of $258.0 million to $260.0 million. For the full year, revenues are expected to be in the range of $1,065.0 to $1,080.0 million.
Direct Edge uses an Equinix facility in Secaucus, N.J. for operating the trading system underlying its two newly approved U.S. stock exchanges.
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