Iron Mountain Raises 2026 Guidance to $5.93 per Share After Second-Quarter Earnings Growth of 16.1%
Key Facts
Iron Mountain raised its 2026 adjusted funds from operations (AFFO) per-share guidance to a range of $5.87 to $5.93, after reporting $1.44 in the second quarter, up 16.1% from $1.24 in the same period of 2025. The company said in its results statement that quarterly performance exceeded its expectations, and CEO William Meaney attributed it to the execution of growth plans and customer confidence. The higher range compares with previous guidance of $5.79 to $5.86 per share. At the midpoint of the new range, the company expects annual growth of about 14% in adjusted funds from operations per share. The company published its results on August 5, 2026, highlighting data centers and global records and information management as growth drivers.
Data center growth outpaced the company’s other businesses: global revenue rose 39% to $263 million in the second quarter, compared with $189 million a year earlier, according to the earnings presentation filed with the U.S. Securities and Exchange Commission. The company recorded 13 megawatts of new and expansion leasing during the quarter. By July, year-to-date leasing totaled 110 megawatts, after 75 megawatts were added in July following the quarter’s end. The figures show leasing activity continued after the financial period closed, with July contributing more than the total contracts recorded during the quarter alone. The operating data center portfolio stood at 529 megawatts on June 30, while total developable capacity was nearly 1.4 gigawatts.
Alongside data centers, the global records and information management segment reported revenue of $1.43 billion, up 8.3% year over year. Storage rental revenue in the segment rose 6.6%, while service revenue increased 10.9%. At the company level, the results statement said storage rental revenue rose 11.5% and service revenue 26.3% on a constant-currency basis compared with the second quarter of the previous year. The difference between the growth rates for the two revenue categories indicates that services grew faster within the traditional segment, while storage continued to post an annual increase. The company’s presentation said data center revenue had recorded a compound annual growth rate of more than 25% from 2021 through 2026 estimates.
Net income improved to $106.1 million in the second quarter of 2026, compared with a net loss of $43.3 million in the same period of 2025. By contrast, adjusted earnings before interest, taxes, depreciation and amortization margin fell to 35.8% from 36.7% a year earlier, a decline of 90 basis points. The comparison places growth in adjusted earnings and the return to net profitability alongside pressure on operating margin. Service revenue growth and data center expansion coincided with higher revenue, but the company’s reported figures show they did not prevent the annual margin decline. The raised adjusted funds from operations per-share guidance remains the annual indicator the company set after the quarterly results.
The company’s shares closed at $106.52 on November 6, 2026, according to EL7 data. That price came about three months after the results and new guidance were announced, and the closing figure alone does not measure the share-price movement tied to the day the results were published. The company said when it announced the results that the quarter exceeded expectations because of strong execution of growth plans and continued customer confidence, and linked the higher full-year outlook to strong performance and a positive outlook. Leasing figures recorded through July remain the latest dated operational development in the information reported for the quarter. The $5.87 to $5.93 per-share range represents the company’s upwardly revised guidance for fiscal 2026.