Telecom Ramblings

Musings on fiber, IP, data, content, and new things telecom.

DuPont Fabros Raises $180M, Reports Strong Earnings

February 12th, 2009 by Rob Powell · Leave a Comment

Colocation facility specialist DuPont Fabros (DFT: chart, news) managed to find a crack in the credit markets this week, raising a total of $180M. That was enough to pay off a $135.1M construction loan, clearing up near term balance sheet issues. This will allow them to restart the development of their ACC5 facility in Ashburn VA, completion is now anticipated in the third quarter.  Construction remains halted at its Piscataway NJ and Santa Clara CA sites I suppose, but it’s the first step back to normalcy since the freeze in the credit markets interrupted their plans.

The company also reported strong Q4 results, apparently the datacenter sector remains unbowed by the recession – at least when the capital is available. Revenues of $47.5M were up 10% sequentially, and the company remained profitable, earning $0.10 per share despite the market’s expectations of disaster during the quarter. It seems the insiders buying at Dupont Fabros did in fact know what they were doing. The company’s stock has rebounded since then, but even now its marketcap remains below 1x 2008 revenues and just 7x EBITDA.

More on this topic (What's this?)
CREDIT MARKETS CONTINUE TO WAVE THE WARNING FLAG
CityCenter contractor to file $492 million suit
Housing starts rise - don't get too excited
Read more on DUPONT FABROS TECH, Construction, 2007 Credit Crunch at Wikinvest

Discuss this Post


Leave a Comment

You may Log In to post a comment, or fill in the form to post anonymously.





Recent Forum Activity

  • New Website Layout - report bugs here!

    by Rob Powell on March 15, 2010 at 4:44 am

  • A professional DVD authoring and DVD burning software.

    by caribbean pirate on March 15, 2010 at 1:42 am

  • How to convert video converter for mac ?

    by fires on March 9, 2010 at 4:35 am

  • Drishti powers India's first mobile-based Infoline for farmers

    by vijaysharma1 on March 8, 2010 at 5:54 am

  • PULSE TELECOM - any reviews?

    by Zoran on March 1, 2010 at 12:38 pm