Financial

posted on 04 August 2008 10:11

Iron Mountain's Q2 08 revenues pleasingly grew 15 percent from the year-ago quarter's $669 million to $769 million. However net income declined 8 pecent from Q2 07's $39 million ($0.19/share) to Q2 08's $36 million ($0.18/share).

 
Bob Brennan, Iron Mountain's President and CEO, said: "We are pleased with our strong second quarter results and solid first half performance. We're driving solid growth across our business, reflecting our team's focus on disciplined execution in servicing our customers. We continue to advance our growth strategy, reflected in solid growth in service revenues, expansion of our international business and strong performance in our developing digital business."

The net income figure was lower due to increased depreciation and amortization expense, driven primarily by higher levels of capital expenditures in 2007 and acquisitions. Selling, general and administrative costs increased 20 percent in the quarter, ahead of revenue gains, reflecting impacts from integration of recent acquisitions and increased investments in security, new products and infrastructure enhancements initiated in 2007. The impact of these investments is expected to moderate later this year.

Iron Mountain is issuing its financial performance outlook for the third quarter ending September 30, 2008 and making positive revisions to its outlook for the full year ending December 31, 2008. It foresees Q3 08 revenues of $755 million to $775 million and full year 08 revenues of $3.05 billion to $3.09 billion.

^{[Chris Mellor.]}