San Antonio, Texas – (The Hosting News) – May 11, 2007 – Web hosting services provider, Rackspace Managed Hosting, has released its fourth quarter and year-end 2006 financial results, indicating positive net income, for the last twelve consecutive quarters.
According to the company, its revenue reached a record $67 million in the fourth quarter of 2006 and $224 million for the year, representing a 63 percent increase over the fourth quarter of 2005 and a 61 percent increase over 2005 annual revenues. Additionally, Rackspace has experienced 32 consecutive quarters of revenue growth since the company’s inception and has been net income positive for 12 consecutive quarters.
Rackspace added more than 900 new customers in the fourth quarter of 2006 and more than 3,000 new customers for the year. The success of Rackspace’s Channel Partner efforts brought significant new revenue into the company, with such revenue doubling in 2006 compared to the previous year. Additionally, Rackspace launched Managed Microsoft Exchange from Rackspace in October 2006 and applies the company’s award-winning Fanatical Support to the delivery of one of the world’s most widely-deployed email and collaboration solutions.
Major Horton, Chief Financial Officer at Rackspace Managed Hosting remarked, ”In 2006, Rackspace delivered a strong performance globally and continues to outpace our competitors and increase market share in the managed hosting industry. Rackspace’s results are attributable to both strong customer retention and our ability to attract new enterprise customers with our reputation for delivering Fanatical Support.”
A recognized leader in the global managed hosting market, Rackspace Managed Hosting is a world-class service organization delivering enterprise-level web infrastructure and managed services to businesses of all sizes. Serving more than 10,000 customers across seven data centers worldwide, Rackspace integrates the industry’s best technologies for each customer need and delivers it as a service via the company’s award-winning Fanatical Support. Through trusted partnerships with its customers, Rackspace serves as an extension of their IT department, enabling customers to focus on their core business. Founded in 1998, Rackspace has grown more than 50 percent a year since the company’s inception.
For more information about Rackspace Managed Hosting, please visit: www.rackspace.com.