The last earnings numbers for internet infrastructure for the quarter ended June 30 rolled in today, as Zayo reported its fiscal Q4 and full year numbers. Revenues came in right at the expected level, as did EBITDA, so no real surprises for the markets this morning. Here’s a quick summary of the company’s numbers in some context:
| $ in millions | Fiscal Q4/14 |
Fiscal Q1/15 |
Fiscal Q2/15 |
Fiscal Q3/15 |
Fiscal Q4/15 |
|---|---|---|---|---|---|
| – Physical Infrastructure | 135.9 | 149.6 | 152.7 | 164.3 | 183.8 |
| – Cloud & Connectivity | 153.8 | 156.1 | 157.4 | 163.0 | 172.1 |
| – Other Services | 8.4 | 6.1 | 5.4 | 5.7 | 5.0 |
| Total Revenue | 296.7 | 320.6 | 323.9 | 340.7 | 361.9 |
| Adjusted EBITDA | 171.7 | 183.3 | 189.7 | 199.0 | 210.9 |
| Adj. EBITDA Margin | 55.9% | 57.1% | 58.6% | 58.4% | 58.3% |
| Capex | 94.9 | 115.3 | 129.5 | 130.1 | 155.5 |
| Buildings on-net | 15,027 | 16,151 | 16,712 | 17,479 | 17,973 |
A fair amount of the raw growth came simply from having a full quarter of the Latisys acquisition, which brought both colo and cloud revenues to the table. Meanwhile, capex jumped up once again, reflecting the big buildout announcements for both metro (Seattle, Nashville) and intercity (Atlanta-DC, Phoenix-Dallas).
They brought 494 buildings on-net and added 1,483 route miles to their network, which would be big numbers if they didn’t post something just like them almost every single quarter. Zayo also saw continued momentum in its sales and installs during the quarter.
Zayo has now been public for 11 months, and the question of whether being public would significantly affect their approach to the market seems to have been firmly answered in the negative.
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Categories: Datacenter · Fiber Networks · Financials
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Very solid results.
Rob any thoughts on the liquid telecom. It has been reported that approaches have been made to the company and they have now hired banks to pursue a listing. Think any of the companies you follow would be interested in the broadband group pre-listing?