Iron Mountain (IRM1) Q3 2026 Earnings Report
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MX:IRM1 Q3 2026 EPS Results
- Actual EPS
- MXN 11.99
- Consensus EPS
- MXN 11.46
- Beat/Miss
- Beat by +MXN 0.52
- One Year Ago EPS
- MXN 10.11
MX:IRM1 Q3 2026 Revenue Results
- Actual Revenue
- MXN 21.53B
- Expected Revenue
- MXN 37.31B
- Beat/Miss
- Missed by -MXN 15.78B
- YoY Revenue Growth
- -34.47%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 11/05/2026
- Time
- Before Open
- Conference Call
- Thursday, November 5, 2026
MX:IRM1 Upcoming Earnings
Iron Mountain's next earnings date is estimated for February 25, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:IRM1 Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive, characterized by record revenue, EBITDA and AFFO, double-digit growth across the major businesses, robust data center leasing, strong ALM momentum, improved cash flow, a dividend increase and raised full-year guidance. The company also cited foreign-exchange pressure, a prior-period timing shift in decommissioning revenue, below-average India leasing rates and permitting restrictions in certain states, but management stated that these factors were either absorbed in guidance, offset by favorable economics or outside its active development markets.
Company Guidance
For full year 2026, Iron Mountain expects total revenue to be within the range of $7.95 billion to $8.02 billion, representing year-on-year growth of 16% at the midpoint; adjusted EBITDA to be within the range of $2.948 billion to $2.978 billion, representing year-on-year growth of 15% at the midpoint; and AFFO to be within the range of $1.78 billion to $1.80 billion or $5.94 to $6 on a per share basis, up 16% and 15%, respectively, at the midpoint. The company now projects ALM revenue to be modestly ahead of $1 billion for the full year, expects approximately 325 megawatts of leasable capacity to energize within the next 24 months, and expects fourth-quarter revenue of approximately $2.03 billion, adjusted EBITDA of approximately $780 million and AFFO of approximately $473 million or $1.57 per share. Management also said it is planning for 25-plus percent growth next year in the ALM segment on consistent pricing, expects data center to be another 20%-plus year, and updated its 2027 estimate for data center revenue to be $1.3-plus billion.
- Record Third-Quarter Consolidated PerformanceRevenue reached $1.99 billion, up 13% year-over-year on both a reported and organic basis and $237 million above the prior year. Adjusted EBITDA was $748 million, up 13% or $88 million, while AFFO was $458 million, up 17% or $65 million. AFFO per share was $1.53, up 16%, and both AFFO measures were new record highs.
- Strong Adjusted EBITDA Margin and Operational ExecutionAdjusted EBITDA margin was 37.6%. The margin expanded nearly 200 basis points sequentially and was consistent with the prior year despite a mix headwind from strong growth in services revenue. Management attributed the performance to operational efficiency, expense discipline and productivity improvements.
- Data Center Revenue and Leasing GrowthGlobal Data Center revenue was $274 million, up $69 million or 34% year-over-year, driven by lease commencements and strong pricing. The business achieved record quarterly leasing of 102 megawatts, bringing year-to-date leasing to 137 megawatts, and increased its revenue backlog to $575 million.
- Data Center Profitability and Pricing StrengthThird-quarter Data Center adjusted EBITDA was $154 million, up $47 million year-over-year, with a 56.3% margin, up 370 basis points. Margin expansion was driven by more commencements and expense efficiency. Renewal pricing spreads remained strong at 10% on a cash basis and 15% on a GAAP basis, while pricing was trending upward across the portfolio.
- India Data Center Expansion and High Development YieldsIron Mountain signed 74 megawatts in India, including 51 megawatts in Mumbai and 23 megawatts in Chennai. Although leasing rates in India are below the portfolio average, development and delivery costs are meaningfully lower, resulting in development yields that are approximately 200 to 300 basis points higher at the low end and meaningfully beyond that at the high end compared with broader market opportunities.
- Data Center Pipeline and Capacity VisibilityApproximately 325 megawatts of leasable capacity is expected to energize within the next 24 months, with the capacity fully permitted and energy committed. Management said the pipeline of activity across key sites remains very high and includes Richmond, Northern Virginia, India and Europe.
- Global RIM Growth and Record ProfitabilityGlobal RIM revenue was $1.4 billion, up $94 million year-over-year and 7% on both a reported and organic basis. Storage revenue increased 5%, or more than 7% after adjusting for a prior-year Data Management one-time benefit, while service revenue increased 10% on a reported basis and 9% organically. Global RIM adjusted EBITDA rose $32 million to a record $630 million, representing a 44% margin.
- Physical Storage Continuing Long-Term Growth StreakThe physical storage business grew at a mid-single-digit rate and is tracking toward its 38th consecutive year of organic storage rental growth.
- Asset Lifecycle Management Revenue GrowthTotal ALM revenue was $241 million, up $72 million or 43% year-over-year and up $64 million or 38% organically. Growth exceeded expectations and was driven by both the enterprise and data center decommissioning channels. Management now expects full-year ALM revenue to be modestly ahead of $1 billion.
- Enterprise ALM Momentum and Cross-SellingEnterprise ALM grew more than 60% in the quarter according to prepared remarks and more than 50% organically according to the segment discussion. Growth was attributed to increased penetration of existing customers, cross-selling and new customer wins. Management described enterprise ALM as a multibillion-dollar opportunity and expects 25-plus percent organic growth next year on a volumetric basis assuming consistent pricing.
- Data Center Decommissioning GrowthThe data center decommissioning business delivered low double-digit growth in the quarter, ahead of expectations despite a $30 million revenue shift discussed on the August call. Adjusting for that shift, third-quarter decommissioning growth would have been in excess of 50%.
- Digital Solutions Record Quarter and DXP RecognitionDigital solutions achieved another record revenue quarter. The InSight DXP platform continued to receive analyst recognition for its AI-powered intelligent document processing capabilities across physical and digital-born information, with increasing deal volume and average deal size.
- Public Sector Bookings GrowthIron Mountain delivered its second-best public-sector bookings quarter in company history, with bookings up 40% year-to-date compared with last year. Management said the company is building its reputation across federal, local and international governments.
- Federal Government Contract WinA new U.S. federal government customer selected Iron Mountain for a three-year, $25 million service contract supporting a complex multisite relocation and consolidation of federal records. The selection was based on Iron Mountain's history of operational execution and records-management services for the federal government.
- Fortune 100 Archival Services ContractIron Mountain won a multimillion-dollar, 10-year contract with a Fortune 100 customer to provide highly secure, climate-controlled storage and premium archival services.
- Large Government DXP Deployment in the Middle EastIron Mountain signed a multiyear contract with a Middle Eastern government for its largest DXP deployment to date. The platform is planned to roll out across 30 government agencies as part of a flagship government digital transformation initiative, supported by a compliance sovereign-cloud architecture and local ecosystem partners.
- Standard Chartered DXP DeploymentStandard Chartered Bank deployed Iron Mountain's DXP platform in Singapore as the first phase of a broader Asia-Pacific rollout. The implementation will replace a legacy enterprise content-management platform and is intended to improve account-servicing speed and agility, strengthen information governance and reduce regulatory risks.
- Additional ALM Customer WinsIron Mountain became the sole secure IT asset disposition partner for a leading global consulting firm following a successful six-month pilot. It also won a global financial institution's data center decommissioning program involving component harvesting and resale, and secured a technology manufacturer's secure destruction services for high-value server components.
- Record Operating and Free Cash FlowYear-to-date operating cash flow was $1.2 billion, up $364 million year-over-year and the best year-to-date result in company history. Free cash flow improved by nearly $400 million year-over-year, driven primarily by business growth, an improved cash conversion cycle and the conclusion of the Matterhorn restructuring, which was $152 million during the first nine months of 2025 and zero in 2026.
- Dividend Increase and Shareholder ReturnsThe Board authorized a 15% increase in the quarterly dividend to $0.993 per share, effective with the January payout. This was the fifth dividend increase in four years and is consistent with the company's target of growing the dividend in line with AFFO per share while maintaining a payout ratio in the low 60s percent. Over the five years ending 2026, the company has returned more than $4 billion to shareholders through dividends.
- Balance Sheet Leverage at Lowest Post-REIT-Conversion LevelNet lease-adjusted leverage ended the quarter at 4.8x, which management said was the lowest level on this metric since before the company's REIT conversion in 2014.
- Raised Full-Year 2026 GuidanceFull-year revenue guidance was increased to $7.95 billion to $8.02 billion, representing 16% year-over-year growth at the midpoint and nearly $300 million above the initial guidance. Adjusted EBITDA guidance was raised to $2.948 billion to $2.978 billion, up 15% at the midpoint. AFFO guidance was raised to $1.78 billion to $1.80 billion, or $5.94 to $6.00 per share, representing growth of 16% and 15%, respectively, at the midpoint.
- Positive Fourth-Quarter OutlookFourth-quarter guidance calls for revenue of approximately $2.03 billion, up 10% year-over-year; adjusted EBITDA of approximately $780 million, up 11%; and AFFO of approximately $473 million, up 10%, or $1.57 per share.
- Growth Businesses Expanding as a Share of RevenueManagement expects growth businesses to represent more than one-third of total revenue in 2026 and contribute 11 of the 16 percentage points of consolidated growth, with the remaining 5 points coming from the traditional records-storage business. The growth portfolio includes data centers, enterprise ALM, data center decommissioning and digital solutions, and the company cited a total addressable market of $170 billion.
- Cost Productivity and Operating Leverage InitiativesManagement cited productivity and cost-efficiency opportunities across global operations, data centers, ALM, Global RIM, transportation, real estate, procurement, customer care and digital solutions. Dozens of projects, including the use of AI and other technologies, are underway to reduce SG&A expense and improve operating leverage.
- Accretive ALM Acquisition StrategyIron Mountain continues to evaluate tuck-in acquisitions to expand global scale, operating leverage and revenue and cost synergies. Management said recent deals generally involved multiples of approximately 5x to 8x trailing EBITDA and synergized rapidly to below 5x, and the corporate development team had contacted more than 300 potential targets over the prior year or two.
- Expanded Hyperscale Customer BaseIron Mountain added two new hyperscale customer logos during the year, including a second new hyperscale relationship in the third quarter. Management said more than 90% of current leasing activity is to hyperscalers and that the company serves more than half of an estimated global group of approximately 10 large hyperscale customers.
- Future Data Center Revenue VisibilityManagement updated its 2027 data center revenue estimate to more than $1.3 billion. The fully leased London-3 asset is expected to contribute positively, with re-leasing pricing approximately 25% to more than 30% above the initial lease pricing. The existing signed backlog could produce approximately $1.7 billion to nearly $1.8 billion of annual revenue once fully energized and developed, before additional leasing or pricing.
- Low Data Center ChurnManagement stated that data center customer churn was very low in the most recent quarter.
MX:IRM1 Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 25, 2027 | 2026 (Q4) | 12.87- | 11.42 | ― | ― |
| Nov 05, 2026 | 2026 (Q3) | 11.4611.99 | 10.11 | 18.52% (+1.87) | |
| Aug 05, 2026 | 2026 (Q2) | 10.1711.24 | 8.99 | 25.00% (+2.25) | |
| Apr 30, 2026 | 2026 (Q1) | 9.3811.24 | 8.05 | 39.53% (+3.18) | |
| Feb 12, 2026 | 2025 (Q4) | 11.0111.42 | 9.36 | 22.00% (+2.06) | |
| Nov 05, 2025 | 2025 (Q3) | 9.8710.11 | 8.24 | 22.73% (+1.87) | |
| Aug 06, 2025 | 2025 (Q2) | 9.408.99 | 7.87 | 14.29% (+1.12) | |
| May 01, 2025 | 2025 (Q1) | 7.538.05 | 8.05 | 0.00% (+0.00) | |
| Feb 13, 2025 | 2024 (Q4) | 9.969.36 | 9.74 | -3.85% (-0.37) | |
| Nov 06, 2024 | 2024 (Q3) | 9.048.24 | 8.43 | -2.22% (-0.19) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed
