Iron Mountain 2025-26: DC +30%, Record $6.9B, FY26 +12%
FY25 revenue $6.90B (+12%); Op income $1.41B (+39%); NI $145M (-20%); EPS $0.49. Adj EBITDA $2.57B (+15%). AFFO $1.54B (+15%). Q4 organic revenue +14%. Data center revenue +30% in FY25. Q4 RIM revenue $1.37B (+9% reported / +7% organic); Q4 DC revenue $237M (+39%). FY26 guide: revenue $7.625-$7.775B (+12% midpoint), adj EBITDA $2.875-$2.925B (+13%), AFFO $1.705-$1.735B.
Key takeaways
- Record year on revenue + EBITDA + AFFO. Revenue $6.9B (+12%), adj EBITDA $2.57B (+15%), AFFO $1.54B (+15%+). Q4 organic +14% — strong end to year.
- Data center revenue +30% FY25. Q4 DC revenue $237M (+39%, +$67M YoY). The structural growth narrative — colocation + hyperscaler + interconnection.
- Global RIM (records info management) holding strong. Q4 RIM revenue $1.37B (+$115M); reported +9% / organic +7%. Storage revenue +7% reported / +5% organic. Service revenue +12% / +10% organic. Adj EBITDA +$43M to $622M (45.3% margin).
- FY26 guide: revenue $7.625-$7.775B (+12% midpoint). Adj EBITDA $2.875-$2.925B (+13%); AFFO $1.705-$1.735B. Continued double-digit revenue + margin expansion.
- Heavy capex on data center build-out. $-2.27B FY25 capex (33% of revenue). Multi-year DC expansion + hyperscaler programs + records management modernization.
Business
Iron Mountain is a global information management + data center REIT operating ~95M square feet across 64 countries. Three reporting segments:
- Global RIM (Records & Information Management) (~80% of revenue): Storage + retrieval + scanning + archive of physical + digital records. ~225K customers globally including ~95% of Fortune 1000. Long-term contracts with high renewal rates.
- Global Data Center (~15% of revenue, fastest-growing): Colocation + hyperscaler + interconnection. ~25 markets globally. Q4 +39% growth. Multi-year build-out.
- Asset Lifecycle Management (ALM) + Other (~5% of revenue): IT asset disposition + secure data destruction + emerging Project Matterhorn programs.
Strategic positioning: hybrid REIT — physical document storage cash cow + data center growth engine. Long-duration customer relationships + high switching costs in RIM + structural DC tailwinds.
FY25 financial performance
| Metric (FY) | 2023 | 2024 | 2025 |
|---|---|---|---|
| Revenue ($B) | 5.48 | 6.15 | 6.90 |
| Gross profit ($B) | 3.12 | 3.45 | 1.77 |
| Op income ($B) | 0.92 | 1.01 | 1.41 |
| Op margin | 16.8% | 16.4% | 20.4% |
| EBITDA ($B) | 1.62 | 1.91 | 2.08 |
| Adj EBITDA ($B) | 2.23 | ~2.45 | 2.57 |
| Net income ($M) | 184 | 180 | 145 |
| Diluted EPS ($) | 0.63 | 0.61 | 0.49 |
| AFFO ($B) | ~1.20 | ~1.34 | 1.54 |
| FCF ($M) | -232 | -657 | -932 |
| Capex ($B) | -1.35 | -1.85 | -2.27 |
| Total debt ($B) | 14.79 | 16.37 | 19.05 |
| Dividends ($M) | -738 | -790 | -919 |
The earnings print: Revenue +12%, op margin +400bp to 20.4%, Adj EBITDA +15%, AFFO +15%. GAAP NI dipped on heavy capex + D&A.
Capex stepped up to $-2.27B (33% of revenue) — DC build-out. Total debt $19.1B (+$2.7B YoY) funding capex.
Capital allocation
- Capex: $-2.27B FY25 — heavy DC + RIM modernization.
- Dividends: $-919M FY25 (+16%).
- Buybacks: zero. REIT model + growth investment.
- M&A: ALM + DC bolt-ons.
- Debt: $19.05B (+$2.68B YoY) capex funding.
FY26 outlook (per Q4 2025 call, 2026-02-12)
| FY26 guide | Range |
|---|---|
| Total revenue | $7.625-$7.775B (+12% midpoint) |
| Adjusted EBITDA | $2.875-$2.925B (+13% midpoint) |
| AFFO | $1.705-$1.735B (+11-13%) |
Continued double-digit revenue + EBITDA + AFFO growth. DC + RIM both contributing.
Key risks
- Data center capex execution: $2B+/year DC investment. Lease-up + utilization + power availability all material.
- Hyperscaler customer concentration: Largest DC customers; pullback would compress.
- Interest rates: REIT valuation + refinancing cost.
- Records cycle decline: Long-term physical document declines; mitigated by service revenue + DC mix shift.
- FX: Multi-currency global operations.
- Competition: Equinix + Digital Realty in DC; smaller specialty competitors in RIM.
Bottom line
IRM FY25 is the record DC + RIM year. Revenue +12%, AFFO +15%, DC +30%, organic +14% Q4. FY26 guide +12% revenue + +13% EBITDA + +12% AFFO. Risks are DC execution + rates + capex. Quality REIT with two-segment compounding.
Citations
- Iron Mountain Inc. FY25 Form 10-K (filed February 2026, SEC EDGAR).
- IRM Q4 2025 earnings call, 2026-02-12 — record year revenue $6.9B (+12%), adj EBITDA $2.57B (+15%), AFFO $1.54B (+15%); Q4 organic +14%; DC revenue +30% FY25 ($237M Q4 +39%); RIM Q4 $1.37B (+9% reported / +7% organic); FY26 guide ($7.625-$7.775B / +12%, $2.875-$2.925B EBITDA / +13%, $1.705-$1.735B AFFO).
- Internal financial_statements view (consolidated annual + cash flow + capital structure).