Miami, Florida – (The Hosting News) – August 15, 2008 – Integrated Tier-1 Internet exchange and managed IT infrastructure solutions provider, Terremark, has released
its financials for the quarter ending June 30, 2008.
Terremark’s results were in-line with the high-end of previously announced guidance with total revenues of $56.1 million and EBITDA, as adjusted, of $11.0 million.
Manuel D. Medina, Chairman and CEO of Terremark noted, ”We have continued to build on the positive momentum we have generated over the past several quarters, and we are very pleased with the results of the first quarter. Our solid performance is a result of the strong demand for our services being driven by positive industry fundamentals, our differentiated product offerings, and our focus on execution.”
Jose Segrera, CFO at Terremark remarked, ”We once again delivered excellent quarterly results and strong bookings, which positions us for another successful fiscal year. Additionally, we continue to meet or exceed our goals against the key metrics by which we measure our business success.”
Q109 Financial Highlights include:
- Total revenues for the quarter ended June 30, 2008 were $56.1 million, which is in-line with the high-end of previously announced guidance and representing a 59% year-over-year increase.
- EBITDA, as adjusted, for the quarter ended June 30, 2008 was $11.0 million, exceeding previously announced guidance. EBITDA, as adjusted, is defined as income from operations less depreciation, amortization, integration expenses, legal fees (including litigation settlements), and other non-cash expenses and share-based payments, including share-settled liabilities. EBITDA, as adjusted, should be considered in addition to, but not in lieu of, income from operations reported under generally accepted accounting principles (GAAP).
- Income from operations for the first quarter was $3.7 million, representing a 55% year-over-year increase.
- Cross connects billed to customers increased to 7,232 as of June 30, 2008 from 6,830 the previous quarter and 5,836 a year earlier, representing increases of 6% and 24%, respectively. This increase continues to highlight the strong demand for Terremark’s network-neutral model.
- Total colocation space utilization increased to 23.7% as of June 30, 2008 from 23.3% as of March 31, 2008. Utilization of built-out colocation space was 71.7% as of June 30, 2008.
Business Highlights include:
Sales and Marketing
- During the quarter ended June 30, 2008, Terremark added 52 new customers, for a total of 1,016 customers at the end of the period.
- Terremark booked $31.0 million of new annual contract value, which represents the thirteenth straight quarter of strong bookings.
- The first 50,000-square-foot data center at Terremark’s NAP of the Capital Region opened on June 25, 2008. Since securing Computer Sciences Corporation (CSC) as the anchor customer for the facility, the Company has added a number of additional customers including Applied Systems.
- In June, Terremark launched the Enterprise Cloud, a revolutionary new managed platform that gives customers the power to provision computing resources for mission-critical applications in minutes, not days. Terremark’s Enterprise Cloud is powered by an enhanced version of Terremark’s industry-leading Infinistructure utility computing platform and leverages the Company’s top-tier data centers and access to massive and diverse network connectivity. The platform has been well received by the marketplace and the Company has secured a number of customers since its launch.
- In Q1, Terremark launched its security operations center, a strategic part of the Company’s overall offering, which serves two roles – first to provide basic security services to its existing base of managed hosting customers and secondly to offer higher end data security services to new customers and as an up sell opportunity to existing customers.
Business Outlook includes:
- For the second quarter of fiscal 2009, the Company expects revenues to range from $58.0 million to $60.0 million and EBITDA, as adjusted, to range from $12.0 million to $12.5 million.
- For the 2009 fiscal year, guidance remains between $255 million to $260 million of revenues and EBITDA, as adjusted, to range between $58 million and $60 million.
The foregoing statements regarding targets for the quarter and full year are forward-looking and actual results may differ materially. These are the Company’s targets, not predictions of actual performance.
Terremark Worldwide, Inc. is an operator of integrated Tier-1 Internet exchanges and a global provider of managed IT infrastructure solutions for government and private sectors. Terremark delivers its portfolio of services from seven locations in the U.S., Europe and Latin America and from four service aggregation and distribution locations, which aggregate network traffic and distribute network-based services in Europe and Asia to meet specific customer needs. Terremark’s flagship facility, the NAP of the Americas, is the model for the carrier-neutral Internet exchanges the company has in Santa Clara, California (NAP of the Americas/West), in Sao Paulo, Brazil (NAP do Brasil) and in Madrid, Spain (NAP de las Americas – Madrid). The carrier-neutral NAP of the Americas is a state-of-the-art facility that provides exchange point, colocation and managed services. Terremark is headquartered at 2601 S. Bayshore Drive, 9th Floor, Miami, Florida USA, (305) 856-3200.
To learn more, please visit: www.terremark.com.