NextDC records loss as it transitions out of development phase

Datacentre operator experiences loss amid datacentre revenue rise

Datacentre operator, NextDC, experienced a $7.3m loss in the first half of fiscal 2014, down from a $4.7m profit in the previous corresponding period.

Datacentre revenues jumped $7.6m to $11.4m as the company gained revenue from four operating datacentres in Brisbane (B1), Melbourne (M1), Canberra (C1), and Sydney (S1).

B1 contributed positive facility earnings before interest, tax, depreciation and amortisation (EBITDA) at $2.2m, up from $1.1m in the first half of fiscal 2013. M1 broke even, recording $1.1m in the same period.

On February 24, NextDC launched its Perth P1 colocation. Building construction risk has been removed with no new datacentres under construction, ongoing data hall fit-outs aside.

Total revenue from ordinary activities spiked 495 per cent and was $28.8m.

“NextDC has recently been focused on the rapid development of its national network of carrier- and vendor-neutral datacentres,” chief executive officer (CEO), Craig Scroggie, said. “As the company begins to transition out of the development phase and leverages its… national network of datacentres, the operating leverage of the model will become more pronounced in the financial results.”

NextDC said that since June 30, 2013: annualised contracted recurring revenue increased $4.4m (14 per cent) to $35.1m; high-margin cross connects increased by 493 to 1006, representing four per cent of recurring revenue in December 2013; annualised unweight pipeline increased by $8m (seven per cent) to $127m.

It also signed a contract with Telstra to provide the telecommunication provider’s enterprise, government and business customers with access to its datacentres across the country.

Tags datacentrefinancialsDCaaSdatacentre-as-a-serviceNextDC

More about Telstra Corporation

ARN Directory | Distributors relevant to this article

Comments

Comments are now closed

 

Latest News

Oct 31
Over a quarter of Australians won’t bank on their mobile: Kaspersky
Oct 31
HDS A/NZ Partner Summit 2014 in Noosa (+15 photos)
Oct 31
The Google shakeup continues: Andy Rubin is out
Oct 31
Impact Systems boss wants to buy 10 resellers
More News
05 Nov
LIVE Webcast: Lessons Learned from the Biggest Security Breaches
05 Nov
vForum 2014
10 Nov
Ascom Myco Launch Event
11 Nov
DCIM Certified Solutions Professional
View all events