Third Quarter 2026
Filed Nov 5, 2026Iron Mountain Reports Third Quarter 2026 Results
Third-quarter revenue, operating income, net income, Adjusted EBITDA, AFFO and AFFO per share increased year over year, while the company raised full-year 2026 guidance and increased its quarterly dividend by 15%.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 Storage Rental RevenueGAAP | $1.15B | 1.3 % | 11.3 % |
| Q3 2026 Service RevenueGAAP | $841.1M | (6.0) % | 16.6 % |
| Q3 2026 Total RevenuesGAAP | $1.99B | (1.9) % | 13.5 % |
| Q3 2026 Cost of Sales (excluding Depreciation and Amortization)GAAP | $926.6M | (3.3) % | 17.0 % |
| Q3 2026 Selling, General and AdministrativeGAAP | $348.8M | (13.3) % | 4.0 % |
| Q3 2026 Depreciation and AmortizationGAAP | $291.8M | 3.7 % | 11.3 % |
| Q3 2026 Acquisition and Integration CostsGAAP | $4.55M | 170.0 % | (15.8) % |
| Q3 2026 Restructuring and Other TransformationGAAP | — | — | (100.0) % |
| Q3 2026 Loss (Gain) on Disposal/Write-Down of PP&E, NetGAAP | $8.29M | (28.0) % | 146.2 % |
| Q3 2026 Total Operating ExpensesGAAP | $1.58B | (4.6) % | 9.3 % |
| Q3 2026 Operating Income (Loss)GAAP | $410.6M | 9.9 % | 33.0 % |
| Q3 2026 Interest Expense, NetGAAP | $216.5M | (3.1) % | 3.2 % |
| Q3 2026 Other Expense (Income), NetGAAP | $8.44M | (71.1) % | n/a |
| Q3 2026 Net Income (Loss) Before Provision (Benefit) for Income TaxesGAAP | $185.6M | 53.5 % | 80.5 % |
| Q3 2026 Provision (Benefit) for Income TaxesGAAP | $56.73M | n/a | n/a |
| Q3 2026 Net Income (Loss)GAAP | $128.9M | 21.5 % | 49.4 % |
| Q3 2026 Net Income (Loss) Attributable to Iron Mountain IncorporatedGAAP | $124.1M | 22.4 % | 47.3 % |
| Q3 2026 Diluted EPSGAAP | $0.41 | 20.6 % | 46.4 % |
| Q3 2026 Basic EPSGAAP | $0.42 | 23.5 % | 50.0 % |
| Q3 2026 Adjusted EBITDAnon-GAAP | $748.0M | 2.9 % | 13.3 % |
| Q3 2026 Adjusted EBITDA Marginnon-GAAP | 37.6% | – | 0 bps |
| Q3 2026 Adjusted EPS - Fully Dilutednon-GAAP | $0.64 | 6.67 % | 18.5 % |
| Q3 2026 FFO (Nareit)non-GAAP | $250.3M | 10.4 % | 26.2 % |
| Q3 2026 FFO (Normalized)non-GAAP | $316.1M | 4.1 % | 14.2 % |
| Q3 2026 FFO (Normalized) per sharenon-GAAP | $1.05 | 4.0 % | 12.9 % |
| Q3 2026 AFFOnon-GAAP | $458.4M | 5.9 % | 16.6 % |
| Q3 2026 AFFO Per Sharenon-GAAP | $1.53 | 6.3 % | 15.9 % |
| Year to Date 2026 Total RevenuesGAAP | $5.96B | – | 17.7 % |
| Year to Date 2026 Operating Income (Loss)GAAP | $1.18B | – | 43.3 % |
| Year to Date 2026 Net Income (Loss)GAAP | $384.0M | – | n/a |
| Year to Date 2026 Diluted EPSGAAP | $1.23 | – | n/a |
| Year to Date 2026 Adjusted EBITDAnon-GAAP | $2.18B | – | 16.8 % |
| Year to Date 2026 Adjusted EBITDA Marginnon-GAAP | 36.7% | – | -20 bps |
| Year to Date 2026 Adjusted EPS - Fully Dilutednon-GAAP | $1.82 | – | 23.0 % |
| Year to Date 2026 FFO (Nareit)non-GAAP | $741.6M | – | 97.9 % |
| Year to Date 2026 FFO (Normalized)non-GAAP | $907.1M | – | 17.8 % |
| Year to Date 2026 FFO (Normalized) per sharenon-GAAP | $3.03 | – | 17.0 % |
| Year to Date 2026 AFFOnon-GAAP | $1.32B | – | 18.5 % |
| Year to Date 2026 AFFO Per Sharenon-GAAP | $4.40 | – | 18.0 % |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Storage RentalThe release cited an 11.2% increase in storage rental revenue excluding the impact of foreign currency exchange. | $1.15B | 1.3 % | 11.3 % |
| ServiceThe release cited a 16.3% increase in service revenue excluding the impact of foreign currency exchange. | $841.1M | (6.0) % | 16.6 % |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Q4 2026 and Full Year 2026 outlook
- RevenueQ4 2026: ~$2,030; Full Year 2026: $7,950 - $8,020
- NoteAdjusted EBITDA: Q4 2026: ~$780; Full Year 2026: $2,948 - $2,978
- NoteAFFO: Q4 2026: ~$473; Full Year 2026: $1,780 - $1,800
- NoteAFFO Per Share: Q4 2026: ~$1.57; Full Year 2026: $5.94 - $6.00
- NoteFull Year 2026 approximate Y/Y % Change at Midpoint: Total Revenue ~16%; Adjusted EBITDA ~15%; AFFO ~16%; AFFO Per Share ~15%
Capital returns
- On November 5, 2026, the Board of Directors declared a quarterly cash dividend of $0.993 per share of common stock for the fourth quarter, representing an increase of 15%.
- The fourth quarter 2026 dividend is payable on January 6, 2027, to shareholders of record at the close of business on December 15, 2026.
What drove it
- Growth businesses of data center, digital, and asset lifecycle management collectively grew more than 30% year over year in the third quarter.
- Data center leasing was 102 megawatts in the third quarter, for a total of 137 megawatts year to date.
- The company attributed third-quarter revenue growth to an 11.2% increase in storage rental revenue and a 16.3% increase in service revenue excluding foreign currency exchange.
- The company attributed Adjusted EBITDA growth to increased revenue and Adjusted EBITDA across each segment and improved operating leverage from continued transformation activities.
- The company stated that AFFO growth was driven by improved Adjusted EBITDA.
Concerns
- Service revenue was $841,109 in Q3 2026, compared with $894,451 in Q2 2026, a sequential change of (6.0) %.
- Total Revenues were $1,990,617 in Q3 2026, compared with $2,029,062 in Q2 2026, a sequential change of (1.9) %.
- Interest Expense, Net was $216,521 in Q3 2026, compared with $209,740 in Q3 2025, an increase of 3.2 %.
- Current Portion of Long-term Debt was $1,232,903 at 9/30/2026, compared with $216,074 at 12/31/2025.
- Total (Deficit) Equity was $(1,062,942) at 9/30/2026, compared with $(709,331) at 12/31/2025.
- Loss (Gain) on Disposal/Write-Down of PP&E, Net was $8,288 in Q3 2026, compared with $3,366 in Q3 2025, an increase of 146.2 %.
What to watch
- Execution against Q4 2026 guidance of ~$2,030 of Total Revenue, ~$780 of Adjusted EBITDA, ~$473 of AFFO and ~$1.57 of AFFO Per Share.
- Data center lease conversion following 102 megawatts of leasing in the third quarter and 137 megawatts year to date.
- The pace of growth in data center, digital and asset lifecycle management, which collectively grew more than 30% year over year in the third quarter.
- Storage rental revenue growth and whether service revenue recovers from its Q3 2026 sequential decline.
- Debt levels, including $1,232,903 of Current Portion of Long-term Debt at 9/30/2026.
Balance sheet and cash flow
- Cash and Cash Equivalents: $188,160 at 9/30/2026, compared with $158,535 at 12/31/2025.
- Accounts Receivable, Net: $1,507,674 at 9/30/2026, compared with $1,443,669 at 12/31/2025.
- Property, Plant and Equipment, Net: $10,674,085 at 9/30/2026, compared with $9,546,325 at 12/31/2025.
- Total Assets: $22,323,374 at 9/30/2026, compared with $21,125,019 at 12/31/2025.
- Current Portion of Long-term Debt: $1,232,903 at 9/30/2026, compared with $216,074 at 12/31/2025.
- Long-term Debt, Net of Current Portion: $16,739,299 at 9/30/2026, compared with $16,215,885 at 12/31/2025.
- Total Current Liabilities: $3,787,752 at 9/30/2026, compared with $2,619,496 at 12/31/2025.
- Total Long-term Liabilities: $19,536,378 at 9/30/2026, compared with $19,150,431 at 12/31/2025.
- Total (Deficit) Equity: $(1,062,942) at 9/30/2026, compared with $(709,331) at 12/31/2025.
- Recurring Capital Expenditures: $45,026 in Q3 2026, compared with $41,604 in Q3 2025, an increase of 8.2 %.
- Recurring Capital Expenditures: $118,294 year to date 2026, compared with $104,481 year to date 2025, an increase of 13.2 %.
- The filing did not report GAAP cash flows from operating activities or free cash flow.
Analysis
Iron Mountain delivered record third-quarter revenue of $1,990,617, up 13.5 % from $1,754,093 in Q3 2025. Storage Rental revenue increased 11.3 % to $1,149,508 and Service revenue increased 16.6 % to $841,109. The company said growth businesses comprising data center, digital and asset lifecycle management collectively grew more than 30% year over year, and it signed 102 megawatts of data center leases in the quarter.
Profitability improved faster than revenue on a reported GAAP basis. Operating Income rose 33.0 % to $410,573 and Net Income rose 49.4 % to $128,878. Diluted EPS was $0.41, versus $0.28 in Q3 2025. The prior-year quarter included $47,346 of Restructuring and Other Transformation expense, whereas Q3 2026 reported — on that line. Interest Expense, Net increased 3.2 % year over year to $216,521.
Non-GAAP operating and REIT measures also advanced. Adjusted EBITDA increased 13.3 % to $747,958, while Adjusted EBITDA Margin was 37.6%, unchanged from 37.6% in Q3 2025. Adjusted EPS increased 18.5 % to $0.64. FFO (Normalized) per share increased 12.9 % to $1.05, AFFO increased 16.6 % to $458,420, and AFFO Per Share increased 15.9 % to $1.53. The company cited improved Adjusted EBITDA as the driver of AFFO growth.
Sequentially, the revenue picture was mixed. Total Revenues declined (1.9) % from $2,029,062 in Q2 2026, reflecting a (6.0) % decline in Service revenue, partly offset by a 1.3 % increase in Storage Rental revenue. However, Operating Income increased 9.9 %, Adjusted EBITDA increased 2.9 %, and AFFO increased 5.9 % from Q2 2026. The company also stated that Adjusted EBITDA margin was up nearly 200 basis points sequentially.
Capital allocation featured a 15% increase in the quarterly cash dividend to $0.993 per share. The company raised its full-year 2026 outlook to Total Revenue of $7,950 - $8,020, Adjusted EBITDA of $2,948 - $2,978, AFFO of $1,780 - $1,800 and AFFO Per Share of $5.94 - $6.00. Balance-sheet attention remains warranted: Current Portion of Long-term Debt was $1,232,903 and Long-term Debt, Net of Current Portion was $16,739,299 at 9/30/2026, while Cash and Cash Equivalents were $188,160.
Management, verbatim
We are pleased to report another record performance in the third quarter that exceeded our expectations. Our outstanding results continue to reflect the combined strength of our physical records storage and growth businesses, supported by our team's commitment to customer value creation and disciplined operational execution.
William L. Meaney, President and CEO of Iron Mountain
Our business and outlook remains strong with a clear view for sustained long-term growth. We have signed 137 megawatts of new data center leases year to date and our cross-selling efforts in ALM and Digital are accelerating, all of which supports significant future growth. Based on our strong 2026 growth and continued positive outlook, we are pleased to increase the dividend by 15%.
William L. Meaney, President and CEO of Iron Mountain
Not in the filing
stated, not guessed- Gross margin was not reported.
- GAAP cash flows from operating activities were not reported.
- Free cash flow was not reported.
- Share repurchases were not reported.
- Prior-quarter and prior-year gross margin were not reported.
- Revenue, profitability and other operating metrics for data center, digital and asset lifecycle management individually were not reported.
- A previous outlook section was not provided, so comparison of actual results with prior guidance is unavailable.
- A reconciliation of non-GAAP annual guidance measures to GAAP measures was not provided because the company stated that certain significant information was not available without unreasonable efforts or at all.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.