Iron Mountain Incorporated (delaware) · NYSE:IRM
Iron Mountain Incorporated (delaware) — Iron Mountain — Q3 2020 Earnings Presentation
9 slides from Iron Mountain Incorporated (delaware)'s earnings presentation, Nov 5, 2020
Slide 1: Q3 2020 Earnings Call
Q3 2020 Earnings Call November 5, 2020
Slide 2: Forward Looking Statements
Forward Looking Statements 2 We have made statements in this presentation lease that constitute "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995 and other securities laws. These forward-looking statements concern our operations, economic pe
Slide 3: Q3 Performance
Q3 Performance 3 Executing amidst continued uncertainty • Top-line resilience in physical storage and growing data center businesses, Adjusted EBITDA margin expansion, and maintaining strong cash generation track record • Continued investments in innovation and product development • Project Summit p
Slide 4: Durable Global Storage Portfolio
Durable Global Storage Portfolio 4 Worldwide Storage Volume Note: Business acquisitions volume acquired during the quarter included in total volume; Q1 2020 includes ~18 million cubic feet from the acquisition of OSG Records Management.
Slide 5: Continued Data Center Strength
Continued Data Center Strength 5 ● Formed strategic JV with AGC Equity New VA-2 Data Center in Manassas, VA Partners for a €300 million+ partnership ○ Design and develop fully pre-leased Frankfurt data center ● 12+ MW of new and expansion leases signed in Q3; 51 MW year to date ○ Strong hyperscale a
Slide 6: Q3 Financial Performance
Q3 Financial Performance 6 Constant Currency Organic In millions, except per-share data Q3-20 Q3-19 Y/Y % Y/Y% Growth(1) Revenue $1,037 $1,062 -2.4% -2.1% -3.4% Storage $696 $673 3.4% 3.8% 2.5% Service $340 $389 -12.5% -12.2% -13.5% Gross Profit $602 $613 -1.7% -1.5% Gross Profit Margin 58.1% 57.7%
Slide 7: Balance Sheet Remains Well Positioned
Balance Sheet Remains Well Positioned 7 Balance Sheet Highlights as of Successful Bond Offerings Net Lease Adjusted Leverage 9/30/20 • Completed two • ~$1.7 billion of liquidity leverage-neutral • ~86% Fixed Rate Debt bond offerings for a total of ~ $3.5 billion in June and • 4.6% weighted average A
Slide 8: Capital Allocation Strategy Has Not Changed
Capital Allocation Strategy Has Not Changed 8 • Sustain the dividend at current level • Long-term target leverage ratio of 4.5x – 5.5x • Reinvest in the business through growth Capital Expenditures • Invest in accretive M&A • Growth capital from capital recycling as well as debt finance in-line with
Slide 9: Key Takeaways
Key Takeaways 9 Top-line resilience in our physical Storage and growing Data Center businesses Expanded Adjusted EBITDA margins while continuing to invest in innovation and new product development Financially healthy with strong and reliable cash flow in an uncertain economic environment Project Sum