Item 1. Condensed Consolidated Financial Statements

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Item 1. Condensed Consolidated Financial Statements

EQUINIX, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(in millions, except share and per share data)


	March 31, 2026		December 31, 2025
	(Unaudited)
Assets
Current assets:
Cash and cash equivalents	$	1,362	$	1,727
Short-term investments	1,692		1,500
Accounts receivable, net of allowance of $13 and $16	1,108		1,001
Other current assets	1,184		897

Total current assets	5,346		5,125

Property, plant and equipment, net	24,169		23,584
Operating lease right-of-use assets	1,345		1,392
Goodwill	5,931		5,984
Intangible assets, net	1,258		1,316
Other assets	2,849		2,740
Total assets	$	40,898	$	40,141
Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity
Current liabilities:
Accounts payable and accrued expenses	$	1,321	$	1,350
Accrued property, plant and equipment	703		564
Current portion of operating lease liabilities	161		155
Current portion of finance lease liabilities	173		168
Current portion of mortgage and loans payable	16		17
Current portion of senior notes	1,876		1,299
Other current liabilities	288		340

Total current liabilities	4,538		3,893
Operating lease liabilities, less current portion	1,256		1,304
Finance lease liabilities, less current portion	2,126		2,187
Mortgage and loans payable, less current portion	13		686
Senior notes, less current portion	17,715		16,910
Other liabilities	930		983
Total liabilities	26,578		25,963
Commitments and contingencies (Note 9)
Redeemable non-controlling interest	25		25
Common stockholders’ equity (shares in thousands):
Common stock, $0.001 par value per share: 300,000 shares authorized; 98,685 issued and 98,623 outstanding in 2026 and 98,288 issued and 98,226 outstanding in 2025	—		—
Additional paid-in capital	21,858		21,642
Treasury stock, at cost; 62 shares in 2026 and 62 shares in 2025	(24)		(24)
Accumulated dividends	(12,707)		(12,202)
Accumulated other comprehensive loss	(1,343)		(1,359)
Retained earnings	6,514		6,099
Total common stockholders' equity	14,298		14,156
Non-controlling interests	(3)		(3)
Total stockholders’ equity	14,295		14,153
Total liabilities, redeemable non-controlling interest and stockholders’ equity	$	40,898	$	40,141

See accompanying notes to condensed consolidated financial statements.

Table of Contents

EQUINIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in millions, except share and per share data)


	Three Months Ended March 31,
		2026		2025
		(Unaudited)
Revenues		$	2,444	$	2,225
Costs and operating expenses:
Cost of revenues		1,186		1,084
Sales and marketing		241		229
General and administrative		444		438
Restructuring and other exit charges		6		10
Transaction costs		8		6
Impairment charges		2		—
(Gain) loss on asset sales		(20)		—
Total costs and operating expenses		1,867		1,767
Income from operations		577		458
Interest income		41		47
Interest expense		(148)		(122)
Other income (expense)		1		9

Income before income taxes		471		392
Income tax expense		(56)		(49)
Net income		415		343
Net (income) loss attributable to non-controlling interests		—		—
Net income attributable to common stockholders		$	415	$	343
Earnings per share (“EPS”) attributable to common stockholders:
Basic EPS		$	4.22	$	3.52
Weighted-average shares for basic EPS (in thousands)		98,392		97,514
Diluted EPS		$	4.20	$	3.50
Weighted-average shares for diluted EPS (in thousands)		98,727		97,887

See accompanying notes to condensed consolidated financial statements.

Table of Contents

EQUINIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(in millions)


	Three Months Ended March 31,
		2026		2025
		(Unaudited)
Net income		$	415	$	343
Other comprehensive income (loss), net of tax:
Change in foreign currency translation adjustment ("CTA"):
CTA gain (loss)		(45)		319
Income tax effects		—		—
CTA gain (loss), net of tax		(45)		319
Change in net investment hedge CTA gain (loss):
Net investment hedge CTA gain (loss)		21		(128)
Income tax effects		(3)		(1)
Net investment hedge CTA gain (loss), net of tax		18		(129)
Change in unrealized gain (loss) on cash flow hedges:
Unrealized gain (loss) on cash flow hedges		55		(29)
Income tax effects		(12)		15
Unrealized gain (loss) on cash flow hedges, net of tax		43		(14)








Total other comprehensive income, net of tax		16		176
Comprehensive income, net of tax		431		519
Net (income) loss attributable to non-controlling interests		—		—

Comprehensive income attributable to common stockholders		$	431	$	519

See accompanying notes to condensed consolidated financial statements.

Table of Contents

EQUINIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in millions)


	Three Months Ended March 31,
	2026		2025
	(Unaudited)
Cash flows from operating activities:
Net income	$	415	$	343
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion	544		480
Stock-based compensation	128		113
Impairment charges	2		—
(Gain) loss on asset sales	(20)		—

Other operating activities	(3)		(1)
Changes in operating assets and liabilities:
Accounts receivable	(106)		(133)
Income taxes, net	(7)		(2)
Operating lease right-of-use assets	41		42
Operating lease liabilities	(35)		(39)
Accounts payable and accrued expenses	(62)		(149)
Other assets and liabilities	(180)		155
Net cash provided by operating activities	717		809
Cash flows from investing activities:
Purchases of equity investments	(146)		(43)
Distributions from equity investments	—		4
Purchases of short-term investments	(784)		(190)
Maturity of short-term investments	595		—


Real estate acquisitions	(123)		(17)
Purchases of other property, plant and equipment	(1,256)		(750)
Proceeds from sale of assets, net of cash transferred	258		—
Settlement of foreign currency hedges	(3)		32


Net cash used in investing activities	(1,459)		(964)
Cash flows from financing activities:
Proceeds from employee equity programs	49		50
Payment of dividends	(519)		(468)
Proceeds from public offering of common stock, net of issuance costs	—		99
Proceeds from senior notes, net of debt discounts	1,492		370
Repayment of finance lease liabilities	(41)		(32)
Repayment of other debt	(674)		—



Other financing activities	42		(4)
Net cash provided by financing activities	349		15
Effect of foreign currency exchange rates on cash, cash equivalents and restricted cash	(6)		20

Net decrease in cash, cash equivalents and restricted cash	(399)		(120)
Cash, cash equivalents and restricted cash at beginning of period	1,824		3,082
Cash, cash equivalents and restricted cash at end of period	$	1,425	$	2,962

Cash and cash equivalents	$	1,362	$	2,950
Current portion of restricted cash included in other current assets	59		12
Non-current portion of restricted cash included in other assets	4		—
Total cash, cash equivalents and restricted cash at end of period	$	1,425	$	2,962

See accompanying notes to condensed consolidated financial statements.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

1. Basis of Presentation and Significant Accounting Policies

Basis of Presentation and Consolidation

Equinix, Inc. ("Equinix," the "Company," "we," "our," or "us") was incorporated in Delaware on June 22, 1998. We have been operating as a real estate investment trust ("REIT") for U.S. federal income tax purposes since 2015.

The accompanying unaudited condensed consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, which in the opinion of management are necessary to fairly state the financial position and the results of operations for the interim periods presented.

Our condensed consolidated balance sheet data as of December 31, 2025 has been derived from audited consolidated financial statements as of that date. Our condensed consolidated financial statements have been prepared in accordance with the regulations of the Securities and Exchange Commission ("SEC"), but omit certain information and footnote disclosure necessary to present the statements in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP" or "GAAP"). For further information, refer to the Consolidated Financial Statements and Notes thereto included in our Form 10-K as filed with the SEC on February 11, 2026. Results for the interim periods are not necessarily indicative of results for the entire fiscal year.

Certain prior period amounts have been reclassified in the condensed consolidated financial statements to conform with current year presentation.

Intercompany accounts and transactions have been eliminated in consolidation.

Income Taxes

We accrue for income taxes during interim periods based on the estimated annual effective tax rate. The effective tax rate is subject to change in the future due to various factors such as our operating performance, tax law changes and future business acquisitions.

Our effective tax rates were 11.9% and 12.5% for the three months ended March 31, 2026 and 2025, respectively.

Recent Accounting Pronouncements

Accounting Standards Not Yet Adopted

In November 2024, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2024-03: Disaggregation of Income Statement Expenses ("DISE"). The ASU requires additional disclosure of the nature of expenses included in the income statement. The ASU is effective for annual reporting periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027. The requirements will be applied prospectively with the option for retrospective application. Early adoption is permitted. We are currently evaluating the extent of the impact of this ASU on disclosures in our condensed consolidated financial statements.

In September 2025, the FASB issued ASU 2025-06: Targeted Improvements to the Accounting for Internal-Use Software. The ASU is intended to increase the operability of the recognition guidance for internal-use software considering different methods of software development. The ASU is effective for annual and interim reporting periods beginning after December 15, 2027, with early adoption permitted. The ASU permits prospective, retrospective or modified retrospective application. We are currently evaluating the extent of the impact of this ASU on our condensed consolidated financial statements.

In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements. The ASU is intended to improve the guidance in Topic 270, Interim Reporting, by improving the navigability of the required interim disclosures and clarifying when that guidance is applicable. The ASU is effective for interim reporting periods beginning after December 15, 2027, with early adoption permitted. The ASU permits

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

prospective or retrospective application. We are currently evaluating the extent of the impact of this ASU on disclosures in our consolidated financial statements.

2. Revenue

Contract Balances

The following table summarizes the opening and closing balances of our accounts receivable, net; contract assets, current; contract assets, non-current; deferred revenue, current; and deferred revenue, non-current (in millions):


	Accounts receivable, net (1)		Contract assets, current		Contract assets, non-current		Deferred revenue, current		Deferred revenue, non-current
Beginning balances as of January 1, 2026	$	1,001	$	56	$	126	$	133	$	170
Closing balances as of March 31, 2026	1,108		45		123		146		226
Increase (Decrease)	$	107	$	(11)	$	(3)	$	13	$	56

(1)The net change in our allowance for credit losses was insignificant during the three months ended March 31, 2026.

The difference between the opening and closing balances of our accounts receivable, net, contract assets and deferred revenues primarily results from revenue growth and the timing difference between the satisfaction of our performance obligation and the customer's payment. The amount of revenue recognized during the three months ended March 31, 2026 from the opening deferred revenue balance as of January 1, 2026 was $46 million. The amount of revenue recognized during the three months ended March 31, 2025 from the opening deferred revenue balance as of January 1, 2025 was $34 million.

Remaining Performance Obligations

Approximately $14.2 billion of revenues, including deferred installation revenues, are expected to be recognized in future periods related to unsatisfied performance obligations as of March 31, 2026. Most of our revenue contracts have an initial term varying from one to five years, and thereafter automatically renew in one-year increments. Included in the remaining performance obligations are contracts that are either under the initial term or under one-year renewal periods. We expect to recognize approximately 65% of our remaining performance obligations as revenues over the next two years, with more revenues expected to be recognized in the first year due to the impact of contract renewals. The remainder of the balance is generally expected to be recognized over the next three to five years. We estimate our remaining performance obligations at a point in time. Actual amounts and timing of revenue recognition may differ from these estimates due to changes in actual deployment dates, contract modifications, scheduled price increases, renewals and/or terminations.

The remaining performance obligations do not include variable consideration related to unsatisfied performance obligations such as the usage of metered power, service fees from xScale® data centers that are based on future events or actual costs incurred in the future, or any contracts that could be terminated without any significant penalties including the majority of interconnection revenues. The remaining performance obligations above include revenues to be recognized in the future related to arrangements where we are considered the lessor.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

3. Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share ("EPS") for the periods presented ($ in millions except per share data; share data in thousands):


	Three Months Ended March 31,
		2026		2025
Net income		$	415	$	343
Net (income) loss attributable to non-controlling interests		—		—
Net income attributable to common stockholders		$	415	$	343

Weighted-average shares used to calculate basic EPS		98,392		97,514
Effect of dilutive securities:
Employee equity awards		335		373
Weighted-average shares used to calculate diluted EPS		98,727		97,887

EPS attributable to common stockholders:
Basic EPS		$	4.22	$	3.52
Diluted EPS		$	4.20	$	3.50

The following table sets forth potential shares of common stock that are not included in the diluted EPS calculation above because to do so would be anti-dilutive for the periods presented (in thousands):


	Three Months Ended March 31,
		2026	2025
Common stock related to employee equity awards		214	71

4. Equity Method Investments and Variable Interest Entities

We hold various equity method investments, primarily interests in joint venture partnership arrangements, in order to invest in certain entities that are in line with our business development objectives, including the development and operation of xScale data centers. Some of these joint ventures are classified as Variable Interest Entities ("VIEs").

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

The following table summarizes our equity method investments, which are included in other assets on the condensed consolidated balance sheets (in millions):


Investee	VIE	Ownership Percentage	March 31, 2026		December 31, 2025
xScale Joint Ventures
EMEA 1 Joint Venture		20%	$	138	$	141
EMEA 2 Joint Venture	X	20%	250		253
Asia-Pacific 1 Joint Venture	X	20%	47		47
Asia-Pacific 2 Joint Venture	X	20%	38		37
Asia-Pacific 3 Joint Venture	X	20%	22		23
AMER 1 Joint Venture	X	20%	9		8
AMER 2 Joint Venture	X	20%	28		27
AMER 3 Joint Venture (1)	X	Various (1)	146		—
Total xScale Joint Ventures			678		536
Other Joint Ventures	Various	Various	15		15
Total Equity Method Investments			$	693	$	551

(1)We have investments at various levels of the AMER 3 Joint Venture structure, including a 2% interest in the parent company and 23% interests in various asset companies consolidated by the parent. Our effective interest in the AMER 3 Joint Venture assets is 25%.

The following table summarizes our share of income (losses) related to equity method investments, which were included in other income (expense) in our condensed consolidated statements of operations (in millions):


	Three Months Ended March 31,
		2026		2025
Share of income (losses)		$	4	$	—

AMER 3 Joint Venture

On October 1, 2024, we entered into an agreement to form a joint venture to develop and operate xScale data centers in the Americas region (the "AMER 3 Joint Venture"), subject to regulatory approval and other closing conditions which were satisfied on October 30, 2024. We hold a 2% interest in the parent company for the AMER 3 Joint Venture and 23% interests in various asset companies consolidated by the parent.

On January 13, 2026, we sold the assets and liabilities relating to the Hampton data center campus ("Hampton Campus"), which were included within our Americas region, to the AMER 3 Joint Venture for total consideration of $459 million. The consideration received was comprised of $129 million of net cash proceeds, $184 million of receivables, and retained equity interests in the AMER 3 Joint Venture with a fair value of $146 million. We recognized a gain of $19 million on the sale of the Hampton Campus in the first quarter of 2026.

VIEs

Unconsolidated VIEs

The unconsolidated VIE equity method investments are considered VIEs because they do not have sufficient funds from operations to be self-sustaining. While we provide certain management services to these joint ventures and earn fees for the performance of such services, we do not have unilateral power to direct the activities of these joint ventures that most significantly impact economic performance. These activities primarily include data center construction and operations, sales and marketing, financing, real estate purchases or sales and monetization. Decisions about these activities generally require the consent of both Equinix and our partners. We concluded that Equinix does not have predominant control over the unconsolidated VIEs and that Equinix is not considered to be the primary beneficiary.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

The following table summarizes our maximum exposure to loss related to the unconsolidated VIEs as of March 31, 2026 (in millions):


Equity Investment	$	540
Outstanding Accounts Receivable	17
Other Receivables	322
Contract Assets	32
Loan Commitment (1)	392
Future Equity Contribution Commitments (2)	208
Maximum Future Payments under Debt Guarantees (3)	44
Total	$	1,555

(1)Concurrent with the closing of the AMER 2 Joint Venture, we entered into a loan agreement with the AMER 2 Joint Venture, as a lender. Refer to Note 11.

(2)The joint ventures' partners are required to make additional equity contributions proportionately to fund capital necessary to complete the construction of approved developments. In addition, the partners may be required to make additional equity contributions upon certain occurrences such as shortfalls in capital to fund cost overruns or to make interest payments on outstanding debt.

(3)In connection with our 20% equity investment in the EMEA 2 Joint Venture, we provided the lenders with our guarantee covering 20% of all payments of principal and interest due under one of the EMEA 2 Joint Venture's credit facility agreements. A portion of the guarantee relates to our AMER 1 Joint Venture. Refer to Note 9.

In addition to the above, we have entered into an agreement with the AMER 3 Joint Venture that requires us to reimburse the AMER 3 Joint Venture for non-recoverable costs incurred relating to ongoing customer negotiations. While a material loss is not probable, due to the uncertainty of costs that may qualify for reimbursement, our maximum exposure to loss under this agreement cannot be estimated.

Consolidated VIEs

Our Indonesian operating entity is a VIE because it does not have sufficient funds from its operations to be self-sustaining. We provide certain management services to the entity and earn fees for the performance of such services. We have the power to direct the activities that most significantly impact the economic performance of the entity and have concluded that we are its primary beneficiary.

The following table presents the assets and liabilities of the Indonesian VIE (in millions):


	March 31, 2026		December 31, 2025
Cash and cash equivalents	$	4	$	12
Property, plant and equipment, net	77		65
Other	11		11
Total assets	$	92	$	88

Finance lease liabilities	$	22	$	24
Other	22		12
Total liabilities	$	44	$	36

The losses from the Indonesian VIE were insignificant for the three months ended March 31, 2026 and 2025.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

5. Derivatives and Hedging Instruments

Derivatives and Other Instruments Designated as Hedging Instruments

Net Investment Hedges

Foreign Currency Debt: We are exposed to the impact of foreign exchange rate fluctuations on the value of investments in our foreign subsidiaries whose functional currencies are other than the U.S. dollar. In order to mitigate the impact of foreign currency exchange rates, we have entered into various foreign currency debt obligations, which are designated as hedges against our net investments in foreign subsidiaries. As of December 31, 2025, the total principal amount of foreign currency debt obligations designated as net investment hedges was $923 million. As of March 31, 2026, no foreign currency debt obligations were designated as net investment hedges.

Foreign Currency Forward Contracts: We use foreign currency forward contracts, designated as net investment hedges, to hedge against the effect of foreign exchange rate fluctuations on our net investment in our foreign subsidiaries. We use the spot method to assess hedge effectiveness and recognize fair value changes from spot rates in other comprehensive income (loss). We exclude forward points from the assessment of hedge effectiveness and amortize the initial value of the excluded component through interest expense. The difference between fair value changes from the excluded component and the amount amortized is recognized in other comprehensive income (loss).

Embedded Derivatives: Certain of our customer agreements that are priced in currencies different from the functional or local currencies of the parties involved are deemed to have foreign currency forward contracts embedded in them. These embedded derivatives are separated from their host contracts and carried on our balance sheet at their fair value. The majority of these embedded derivatives arise as a result of our foreign subsidiaries pricing their customer contracts in U.S. dollars. We use some of these forward contracts embedded within our customer agreements to hedge against the effect of foreign exchange rate fluctuations on our net investment in our foreign subsidiaries. As of March 31, 2026 and December 31, 2025, the total remaining contract value of such customer agreements under this hedging program was $38 million and $230 million, respectively.

Cross-currency Interest Rate Swaps: We also use cross-currency interest rate swaps, designated as net investment hedges, which effectively convert a portion of our U.S. dollar-denominated fixed-rate debt to foreign currency-denominated fixed-rate debt, to hedge the currency exposure associated with our net investment in our foreign subsidiaries. We use the spot method to assess hedge effectiveness and recognize fair value changes from spot rates in other comprehensive income (loss). We exclude time value and cross-currency basis spread from the assessment of hedge effectiveness and recognize the excluded component in interest expense through the swap accrual process. The difference between fair value changes of the excluded component and the amount amortized is recognized in other comprehensive income (loss).

Cash Flow Hedges

Foreign Currency Forward Contracts: We enter into intercompany foreign currency forward contracts ("intercompany derivatives") with our wholly-owned subsidiaries in our EMEA region in order to hedge certain forecasted revenues and expenses denominated in currencies other than the U.S. dollar (primarily the British pound and the euro). Simultaneously, we enter into foreign currency forward contracts with unrelated third parties to externally hedge the net exposure created by such intercompany derivatives. We designate the intercompany derivatives as cash flow hedges. We do not exclude any components from the assessment of hedge effectiveness and the change in fair value of these derivatives is recognized in other comprehensive income (loss) until the hedged transaction occurs.

As of March 31, 2026, our foreign currency forward contracts had maturity dates ranging from April 2026 to December 2028 and we had a net loss of $20 million recorded within accumulated other comprehensive income (loss) to be reclassified to revenues and expenses for cash flow hedges that will mature in the next 12 months. As of December 31, 2025, our foreign currency forward contracts had maturity dates ranging from January 2026 to December 2027 and we had a net loss of $51 million recorded within accumulated other comprehensive income

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

(loss) to be reclassified to revenues and expenses for cash flow hedges that mature in the 12 months following December 31, 2025.

Cross-currency Interest Rate Swaps: We use cross-currency swaps, designated as cash flow hedges, to manage the foreign currency exposure associated with a portion of our foreign currency-denominated debt and our U.S. dollar-denominated debt issued by our foreign subsidiaries. As of March 31, 2026, the cross-currency swaps had maturity dates ranging from March 2027 to June 2034. We had a net gain of $31 million recorded within accumulated other comprehensive income (loss) to be reclassified to interest expense in the next 12 months. As of December 31, 2025, our cross-currency interest rate swaps had maturity dates ranging from March 2026 to June 2034. We had a net gain of $13 million recorded within accumulated other comprehensive income (loss) to be reclassified to interest expense in the 12 months following December 31, 2025. We use the spot method to assess hedge effectiveness. Fair value changes from spot rates are recognized in other comprehensive income (loss) initially and immediately reclassified to earnings to offset the gain or loss from remeasuring the associated debt. We exclude time value and cross currency basis spread from the assessment of hedge effectiveness and recognize the excluded component in interest expense through the swap accrual process. The difference between fair value changes of the excluded component and the amount amortized is recognized in other comprehensive income (loss).

Interest Rate Locks: We hedge the interest rate exposure created by anticipated fixed-rate debt issuances through the use of treasury locks and swap locks (collectively, interest rate locks), which are designated as cash flow hedges. As of both March 31, 2026 and December 31, 2025, we had no interest rate locks outstanding. When interest rate locks are settled, any gain or loss from the transactions is deferred and included as a component of other comprehensive income (loss) and is amortized to interest expense over the term of the forecasted hedged transaction which is equivalent to the term of the interest rate locks. As of March 31, 2026 and December 31, 2025, we had a net gain of $3 million and $4 million, respectively, recorded within accumulated other comprehensive income (loss) to be reclassified to interest expense in the 12 months following March 31, 2026 and December 31, 2025, respectively, for interest rate locks.

Derivatives Not Designated as Hedging Instruments

Foreign Currency Forward Contracts: We use foreign currency forward contracts to manage the foreign exchange risk associated with certain foreign currency-denominated monetary assets and liabilities. Gains and losses on these contracts are included in other income (expense), on a net basis, along with the foreign currency gains and losses of the related foreign currency-denominated monetary assets and liabilities associated with these foreign currency forward contracts.

We also use foreign currency forward contracts to manage the foreign exchange risk associated with undesignated embedded derivatives. Gains and losses on these contracts are included in revenue, on a net basis, along with the foreign currency gains and losses of the embedded derivatives associated with these foreign currency forward contracts.

Embedded Derivatives: We may, from time to time, elect to dedesignate a portion of our foreign currency forward contracts embedded within our customer arrangements and previously designated as hedging instruments. Gains and losses subsequent to the dedesignation are recognized in revenues with the hedged item.

Cross-currency Interest Rate Swaps: We may, from time to time, elect to dedesignate a portion of our cross-currency interest rate swaps previously designated as hedging instruments. Gains and losses subsequent to the dedesignation are recognized in other income (expense).

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Notional Amounts and Fair Value of Derivative Instruments

The following table presents the composition of derivative instruments recognized in our condensed consolidated balance sheets, excluding accrued interest (in millions):


	March 31, 2026								December 31, 2025
	Notional Amount (1)			Fair Value					Notional Amount (1)		Fair Value
			Assets (2)			Liabilities (3)			Assets (2)		Liabilities (3)
Net investment hedges:
Foreign currency forward contracts	$	1,224		$	34		$	9	$	1,224	$	14	$	8
Cross-currency interest rate swaps	350			—			20		373		7		32
Cash flow hedges:
Foreign currency forward contracts	1,692			16			40		1,577		1		72
Cross-currency interest rate swaps	3,603			22			26		2,972		65		58
Non-designated hedges:
Foreign currency forward contracts	2,439			34			19		2,134		2		31
Cross-currency interest rate swaps	2,026			175			25		2,003		166		28
Total	$	11,334		$	281		$	139	$	10,283	$	255	$	229

(1)Excludes embedded derivatives.

(2)As presented in our condensed consolidated balance sheets within other current assets and other assets.

(3)As presented in our condensed consolidated balance sheets within other current liabilities and other liabilities.

Impact on Accumulated Other Comprehensive Income (Loss)

The pre-tax gains (losses) from hedging instruments recognized in accumulated other comprehensive income (loss) were as follows (in millions):


	Three Months Ended March 31,
		2026		2025
Net investment hedges:
Foreign currency debt		$	2	$	(41)
Foreign currency forward contracts (included component)		10		(6)
Foreign currency forward contracts (excluded component)		(3)		—
Cross-currency interest rate swaps (included component)		11		(96)
Cross-currency interest rate swaps (excluded component)		1		15
Total		$	21	$	(128)

Cash flow hedges:
Foreign currency forward contracts		$	48	$	(57)
Cross-currency interest rate swaps (excluded component)		8		28
Interest rate locks		(1)		—
Total		$	55	$	(29)

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Impact on Earnings

The gains (losses) from derivative instruments recognized in earnings, and the location of such gains (losses) in our condensed consolidated statements of operations were as follows (in millions):


		Three Months Ended March 31,
	Location of gain (loss)		2026		2025
Net investment hedges:
Foreign currency forward contracts (excluded component)	Interest expense		$	3	$	2
Cross-currency interest rate swaps (excluded component)	Interest expense		1		5
Total			$	4	$	7

Cash flow hedges:
Foreign currency forward contracts	Revenues		$	(28)	$	18
Foreign currency forward contracts	Costs and operating expenses		14		(9)
Cross-currency interest rate swaps (excluded component)	Interest expense		5		4
Cross-currency interest rate swaps (included component)	Other income (expense)		37		(22)
Interest rate locks	Interest expense		1		—
Total			$	29	$	(9)

Non-designated hedges:
Foreign currency forward contracts	Other income (expense)		$	(4)	$	(44)
Foreign currency forward contracts	Revenues		(1)		—
Cross-currency interest rate swaps	Other income (expense)		2		2
Total			$	(3)	$	(42)

Offsetting Derivative Assets and Liabilities

We enter into master netting agreements with our counterparties for transactions other than embedded derivatives to mitigate credit risk exposure to any single counterparty. Master netting agreements allow for individual derivative contracts with a single counterparty to offset in the event of default. For presentation in our condensed consolidated balance sheets, we do not offset fair value amounts recognized for derivative instruments or the accrued interest related to cross-currency interest rate swaps under master netting arrangements. The following table presents information related to these offsetting arrangements, inclusive of accrued interest (in millions):


	Gross Amounts		Gross Amounts Offset in the Balance Sheet		Net Amounts		Gross Amounts Not Offset in the Balance Sheet		Net
March 31, 2026
Derivative assets	$	325	$	—	$	325	$	(141)	$	184
Derivative liabilities	178		—		178		(141)		37

December 31, 2025
Derivative assets	$	267	$	—	$	267	$	(80)	$	187
Derivative liabilities	241		—		241		(80)		161

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

6. Fair Value Measurements

We perform fair value measurements in accordance with ASC 820, Fair Value Measurement, which establishes three levels of inputs that we use to measure fair value:

Level 1: quoted prices in active markets for identical assets or liabilities.
Level 2: observable inputs (e.g., spot rates and other data from third-party pricing vendors for our derivative instruments, credit rating and current prices of similar debt instruments that are publicly traded for our debt instruments) other than quoted market prices included within Level 1 that are observable, either directly or indirectly, for the assets or liabilities.
Level 3: unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of assets or liabilities, including indicative pricing from third parties for similar instruments and asset-specific yield adjustments for elements such as credit risk.

The fair values of certain financial assets and liabilities were as follows (in millions):


	March 31, 2026									December 31, 2025
	Fair Value		Fair Value Measurement Using							Fair Value			Fair Value Measurement Using
	Level 1		Level 2		Level 3				Level 1			Level 2			Level 3
Assets:
Money market funds (1)	$	769	$	769	$	—	$	—		$	1,333		$	1,333		$	—	$	—
Time deposits (2)	1,710		—		1,710		—			1,271			—			1,271		—
U.S. government securities - held to maturity (3)	171		50		121		—			256			—			256		—
U.S. government securities - available for sale (4)	10		—		10		—			—			—			—		—
Loan receivable (5)	347		—		—		347			351			—			—		351
Derivative instruments (6)	281		—		281		—			255			—			255		—
Total	$	3,288	$	819	$	2,122	$	347		$	3,466		$	1,333		$	1,782	$	351
Liabilities:
Derivative instruments (6)	$	139	$	—	$	139	$	—		$	229		$	—		$	229	$	—
Mortgage and loans payable (7)	29		—		29		—			706			—			706		—
Senior notes (7)	18,433		18,010		423		—			17,297			16,847			450		—
Total	$	18,601	$	18,010	$	591	$	—		$	18,232		$	16,847		$	1,385	$	—

(1)Instruments are included within cash and cash equivalents in our condensed consolidated balance sheets, and are measured at fair value.

(2)Instruments are included within cash and cash equivalents and short-term investments in our condensed consolidated balance sheets, and are measured at amortized cost.

(3)Instruments are included within cash and cash equivalents and short-term investments in our condensed consolidated balance sheets, and are measured at amortized cost. All of our U.S. government securities classified into this category mature within one year. As of March 31, 2026, no allowance for credit losses was recorded for these securities and there were insignificant unrecognized gains and losses.

(4)Instruments are included within cash and cash equivalents and short-term investments in our condensed consolidated balance sheets, and are measured at fair value. All of our U.S. government securities classified into this category mature within one year. As of March 31, 2026, no allowance for credit losses was recorded for these securities and there were insignificant unrealized gains and losses.

(5)Instrument is included within other assets in our condensed consolidated balance sheets, and is measured at amortized cost. Refer to Note 11.

(6)Instruments are included within other current assets, other assets, other current liabilities and other liabilities in our condensed consolidated balance sheets, and are measured at fair value. Refer to Note 5.

(7)Instruments include both current and non-current portions which are measured at their amortized cost. Refer to Note 8.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

7. Leases

Lease Expenses

The components of lease expenses were as follows (in millions):


	Three Months Ended March 31,
		2026		2025
Finance lease cost
Amortization of right-of-use assets (1)		$	51	$	44
Interest on lease liabilities		29		30
Total finance lease cost		80		74

Operating lease cost		59		58
Variable lease cost		20		22
Total lease cost		$	159	$	154

(1)Amortization of right-of-use assets is included within depreciation expense, and is recorded within cost of revenues, sales and marketing and general and administrative expenses in our condensed consolidated statements of operations.

Other Information

Other information related to leases is presented in the following tables (in millions):


	Three Months Ended March 31,
	2026			2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from finance leases	$	28		$	29
Operating cash flows from operating leases	56			55
Financing cash flows from finance leases	41			32

Right-of-use assets obtained in exchange for lease obligations: (1)
Finance leases	$	1		$	84
Operating leases	4			70

	March 31, 2026			December 31, 2025
Weighted-average remaining lease term - finance leases (2)	13 years			13 years
Weighted-average remaining lease term - operating leases (2)	12 years			12 years
Weighted-average discount rate - finance leases	6		%	6		%
Weighted-average discount rate - operating leases	5		%	5		%
Finance lease right-of-use assets (3)	$	2,225		$	2,277

(1)Represents all non-cash changes in right-of-use assets.

(2)Includes lease renewal options that are reasonably certain to be exercised.

(3)As of March 31, 2026 and December 31, 2025, we recorded accumulated amortization of finance lease right-of-use assets of $1.2 billion and $1.1 billion, respectively. Finance lease assets are recorded within property, plant and equipment, net in our condensed consolidated balance sheets.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Maturities of Lease Liabilities

The maturities of our lease liabilities as of March 31, 2026 are as follows (in millions):


	Operating Leases		Finance Leases		Total
2026 (9 months remaining)	$	167	$	208	$	375
2027	216		290		506
2028	183		279		462
2029	154		271		425
2030	143		256		399
Thereafter	1,070		1,952		3,022
Total lease payments	1,933		3,256		5,189

Less imputed interest	(516)		(957)		(1,473)


Total	$	1,417	$	2,299	$	3,716

We entered into agreements with various landlords, primarily to lease data center spaces and ground leases, which have not yet commenced as of March 31, 2026. These leases are expected to commence between 2026 and 2029, with lease terms of 2 to 99 years and total lease commitments of approximately $716 million.

8. Debt Facilities

Mortgage and Loans Payable

Our mortgage and loans payable balance consisted of the following (in millions):


	March 31, 2026		December 31, 2025
Term loans	$	1	$	673
Mortgage payable and other loans payable	28		30
	29		703


Less current portion	(16)		(17)
	$	13	$	686

Senior Credit Facility

In 2022, we entered into a credit agreement with a group of lenders for a senior unsecured credit facility, comprised of a $4.0 billion senior unsecured multicurrency revolving credit facility (the "2022 Revolving Facility") and a £500 million senior unsecured term loan facility (the "2022 Term Loan Facility"). As of December 31, 2025, the total amount outstanding under the 2022 Term Loan Facility, net of debt issuance costs, was $673 million. We repaid the total amount outstanding under the 2022 Term Loan Facility on March 31, 2026.

As of March 31, 2026, we had 25 irrevocable letters of credit totaling $19 million issued and outstanding, with approximately $4.0 billion remaining available to borrow, under the 2022 Revolving Facility. As of March 31, 2026 and December 31, 2025, unamortized debt issuance costs for the 2022 Revolving Facility of $1 million and $2 million, respectively, were presented in other assets in our condensed consolidated balance sheets.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Senior Notes

Our senior notes balance consisted of the following (in millions):


	March 31, 2026				December 31, 2025
	Amount		Effective Rate		Amount		Effective Rate
1.450% Senior Notes due 2026	700		1.64	%	700		1.64	%
2.900% Senior Notes due 2026	600		3.04	%	600		3.04	%
0.250% Euro Senior Notes due 2027	577		0.45	%	587		0.45	%
1.800% Senior Notes due 2027	500		1.96	%	500		1.96	%
1.550% Senior Notes due 2028	650		1.67	%	650		1.67	%
2.000% Senior Notes due 2028	400		2.21	%	400		2.21	%
2.875% Swiss Franc Senior Notes due 2028	375		3.05	%	378		3.05	%
3.250% Euro Senior Notes due 2029	866		3.45	%	881		3.45	%
1.558% Swiss Franc Senior Notes due 2029	125		1.79	%	126		1.79	%
3.200% Senior Notes due 2029	1,200		3.30	%	1,200		3.30	%
3.500% Singapore Dollar Senior Notes due 2030	389		3.67	%	389		3.67	%
2.150% Senior Notes due 2030	1,100		2.27	%	1,100		2.27	%
4.600% Senior Notes due 2030	1,250		4.81	%	1,250		4.81	%
3.250% Euro Senior Notes due 2031	751		3.46	%	763		3.46	%
4.400% Senior Notes due 2031	700		4.71	%	—		—	%
2.500% Senior Notes due 2031	1,000		2.65	%	1,000		2.65	%
3.900% Senior Notes due 2032	1,200		4.07	%	1,200		4.07	%
2.900% Singapore Dollar Senior Notes due 2032	505		3.01	%	505		3.01	%
4.000% Canadian Dollar Senior Notes due 2032	502		4.29	%	510		4.29	%
1.000% Euro Senior Notes due 2033	693		1.18	%	705		1.18	%
4.700% Senior Notes due 2033	800		4.95	%	—		—	%
3.650% Euro Senior Notes due 2033	693		3.78	%	705		3.78	%
4.000% Euro Senior Notes due 2034	866		4.17	%	881		4.17	%
5.500% Senior Notes due 2034	750		5.74	%	750		5.74	%
3.625% Euro Senior Notes due 2034	577		3.75	%	587		3.75	%
2.000% Japanese Yen Senior Notes Series A due 2035	237		2.07	%	240		2.07	%
2.130% Japanese Yen Senior Notes Series C due 2035	93		2.20	%	94		2.20	%
2.370% Japanese Yen Senior Notes Series B due 2043	65		2.42	%	65		2.42	%
2.570% Japanese Yen Senior Notes Series D due 2043	29		2.62	%	29		2.62	%
2.570% Japanese Yen Senior Notes Series E due 2043	63		2.62	%	64		2.62	%
3.000% Senior Notes due 2050	500		3.09	%	500		3.09	%
2.950% Senior Notes due 2051	500		3.00	%	500		3.00	%
3.400% Senior Notes due 2052	500		3.50	%	500		3.50	%
	19,756				18,359
Less amount representing unamortized debt issuance costs and debt discounts	(165)				(150)
	19,591				18,209
Less current portion	(1,876)				(1,299)
Total	$	17,715			$	16,910

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

4.400% Senior Notes due 2031 and 4.700% Senior Notes due 2033

On March 5, 2026, we issued $700 million aggregate principal amount of 4.400% senior notes due March 15, 2031 (the "2031 Notes") and $800 million aggregate principal amount of 4.700% senior notes due March 15, 2033 (the "2033 Notes"). Interest on both series of notes is payable semi-annually in arrears on March 15 and September 15 of each year, commencing on September 15, 2026. Total debt discounts and debt issuance costs related to the 2031 Notes and the 2033 Notes were $10 million and $12 million, respectively.

The following table sets forth maturities of our debt, including mortgage and loans payable and senior notes, gross of debt issuance costs and debt discounts, as of March 31, 2026 (in millions):


Years ending:
2026 (9 months remaining)	$	1,315
2027	1,082
2028	1,430
2029	2,195
2030	2,739
Thereafter	11,024
Total	$	19,785

Interest Charges

Other information related to interest is presented in the following tables (in millions):


	Three Months Ended March 31,
		2026		2025
Interest expense		$	148	$	122
Interest capitalized		32		11
Interest charges incurred		$	180	$	133

	Three Months Ended March 31,
		2026		2025
Interest paid in cash, net of capitalized interest		$	109	$	93

9. Commitments and Contingencies

Purchase Commitments

As a result of our various IBX data center developments, as of March 31, 2026 we were contractually committed for unaccrued capital expenditures, primarily for real estate purchases, IBX infrastructure equipment not yet delivered and labor not yet provided. We also had numerous other non-capital purchase commitments in place as of March 31, 2026, such as commitments to purchase power in select locations through the remainder of 2026 and thereafter, and other open purchase orders for goods or services to be delivered or provided during the remainder of 2026 and thereafter. Certain of our multi-year commitments to purchase power are subject to variable pricing or do not specify a fixed or minimum volume commitment. Due to the indeterminable nature of the spend under these commitments, they are not included in the amounts below.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Total future purchase commitments as of March 31, 2026 are as follows (in millions):


Years ending:
2026 (9 months remaining)	3,944
2027	2,046
2028	790
2029	223
2030	142
Thereafter	595
	$	7,740

Other Commitments

On February 26, 2026, we entered into an equity commitment letter with a subsidiary of Canadian Pension Plan Investment Board to contribute up to $963 million in exchange for approximately 40% ownership of the subsidiary, in connection with the subsidiary's planned acquisition of atNorth, a Nordic high-density colocation and built-to-suit data center provider. Our contribution is subject to customary closing conditions, including regulatory approvals, for the joint purchase of atNorth.

Please refer to Note 4 for information about our equity method investment commitments and Note 7 for our lease commitments.

Contingent Liabilities

We estimate our exposure on certain liabilities, such as indirect and property taxes, based on the best information available at the time of determination. With respect to real and personal property taxes, we record what we can reasonably estimate based on prior payment history, assessed value by the assessor's office, current landlord estimates or estimates based on current or changing fixed asset values in each specific municipality, as applicable. However, there are circumstances beyond our control whereby the underlying value of the property or basis for which the tax is calculated on the property may change, such as a landlord selling the underlying property of one of our IBX data center leases or a municipality changing the assessment value in a jurisdiction and, as a result, our property tax obligations may vary from period to period. Based upon the most current facts and circumstances, we make the necessary property tax accruals for each of our reporting periods. However, revisions in our estimates of the potential or actual liability could materially impact our financial position, results of operations or cash flows.

Our indirect and property tax filings in various jurisdictions are subject to examination by local tax authorities. Although we believe that we have adequately assessed and accounted for our potential tax liabilities, and that our tax estimates are reasonable, there can be no certainty that additional taxes will not be due upon audit of our tax returns or as a result of further changes to the tax laws and interpretations thereof. For example, we are currently undergoing several indirect tax audits and appealing tentative assessments in Brazil. The final settlement of the audits and the outcomes of the appeals are uncertain and may not be resolved in our favor. We regularly assess the likelihood of adverse outcomes resulting from these examinations and appeals that would affect the adequacy of our tax accruals for each of the reporting periods. If any issues arising from the tax examinations and appeals are resolved in a manner inconsistent with our expectations, the revision of the estimates of the potential or actual liabilities could materially impact our financial position, results of operations, or cash flows.

We are and may continue to be party to certain legal and regulatory proceedings with respect to various matters. We evaluate the likelihood of an unfavorable outcome of all legal and regulatory proceedings to which we are a party. Contingent liabilities are accrued when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. These judgments are subjective based on the status of the legal or regulatory proceedings, the merits of our defenses and consultation with in-house and external legal counsel. Loss contingencies are generally recorded in other current liabilities in the consolidated balance sheets and legal costs are expensed as incurred and are recorded in general and administrative expenses in the consolidated statements of operations.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

On August 6, 2025, certain of the Company's current and former directors and officers were named as defendants in a shareholder derivative lawsuit (in which the Company is a nominal defendant) filed in the United States District Court for the District of Delaware. The lawsuit alleges, among other things, violations of Section 14(a) of the Exchange Act, breaches of fiduciary duty, unjust enrichment and waste of corporate assets related to allegations that the Company or its representatives made false and misleading statements about our business, results, internal controls and accounting practices between May 3, 2019 and March 24, 2024. The lawsuit also makes additional allegations that certain directors' and officers' alleged knowledge of the purported misconduct constituted insider trading. The lawsuit seeks, among other relief, findings of misconduct, an award of damages to Equinix, and attorneys’ fees and costs. We filed a motion to dismiss the lawsuit on October 20, 2025, which remains pending with the Court.

This matter is subject to uncertainties, and we cannot predict the outcome, nor reasonably estimate a range of loss or penalties, if any, relating to this matter prior to resolution.

In the opinion of management, there are no other pending claims for which the outcome is expected to result in a material adverse effect in the financial position, results of operations or cash flows.

Employment Agreements

In February 2026, our Board approved an Executive Severance Plan for our executive officers, excluding our Chief Executive Officer. Additionally in February 2026, we entered into an Amended and Restated Severance Agreement with our Chief Executive Officer which provides similar benefits to those in the Executive Severance Plan (collectively the “Executive Severance Benefits”). Generally, in the event that an executive officer is terminated by the Company without cause or resigns from the Company for good reason, the Executive Severance Benefits provide for severance equal to 100% of the executive officer’s annual base salary and target annual bonus and continued vesting of the executive officer’s outstanding equity awards during the 12 months following the termination date. In addition, if the termination or resignation occurs in the three months prior to or 12 months following a change in control, the Executive Severance Benefits provide for severance equal to 200% of the executive officer’s annual base salary and target annual bonus and accelerated vesting of 100% of the executive officer’s outstanding equity awards as of the termination date, subject to certain exceptions.

Indemnification and Guarantor Arrangements

As permitted under Delaware law, we have agreements whereby we indemnify our officers and directors for certain events or occurrences while the officer or director is, or was serving, at our request in such capacity. The term of the indemnification period is for the officer's or director's lifetime. The maximum potential amount of future payments we could be required to make under these indemnification agreements is unlimited; however, in the event of a legal action, we have purchased insurance that could limit our exposure, depending upon the details of the claim and the coverage provided. As a result, our estimated fair value of these indemnification agreements is minimal. We have no liabilities recorded for these agreements as of March 31, 2026.

We enter into standard indemnification agreements in the ordinary course of business. Pursuant to these agreements, we may agree to indemnify, hold harmless, and reimburse the indemnified party for losses suffered or incurred by the indemnified party, generally a business partner or a customer, in connection with matters such as any U.S. patent, or any copyright or other intellectual property infringement claim by any third party with respect to our offerings; a breach of confidentiality obligations and certain other contractual warranties; our gross negligence, willful misconduct, fraud, misrepresentation, or violation of law; and/or if we cause tangible property damage, personal injury or death. The term of any such indemnification agreement is generally perpetual after execution of the agreement. The maximum potential amount of future payments we could be required to make under these indemnification agreements is unlimited; however, we have never incurred material costs to defend lawsuits or settle claims related to these indemnification agreements. In addition, in the event of a legal action, we have purchased insurance that could limit our exposure, depending upon the details of the claim and the coverage provided. As a result, our estimated fair value of these agreements is minimal. We do not have significant liabilities recorded for these agreements as of March 31, 2026.

We enter into arrangements with certain business partners, whereby the business partner agrees to provide services as a subcontractor for our installations. Accordingly, we enter into standard indemnification agreements

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

with our customers, whereby we indemnify them for certain acts, such as personal property damage, by our subcontractors. The maximum potential amount of future payments we could be required to make under these indemnification agreements is unlimited; however, we have never incurred material costs to defend lawsuits or settle claims related to these indemnification agreements. In addition, in the event of a legal action, we have purchased insurance that could limit our exposure, depending upon the details of the claim and the coverage provided. As a result, our estimated fair value of these agreements is minimal. We do not have significant liabilities recorded for these agreements as of March 31, 2026.

We have service level commitment obligations to certain of our customers. As a result, service interruptions or significant equipment damage in our IBX data centers, whether or not within our control, could result in obligations to these customers. While we have purchased insurance that could limit our exposure, our liability insurance may not be adequate to cover those expenses. In addition, any loss of service, equipment damage or inability to meet our service level commitment obligations could reduce the confidence our customers have in us, and could consequently impair our ability to obtain and retain customers, which would adversely affect both our ability to generate revenues and our operating results. We generally have the ability to determine such service level credits prior to the associated revenue being recognized. We do not have significant liabilities in connection with service level credits as of March 31, 2026.

Concurrent with the closing of the EMEA 2 Joint Venture, the EMEA 2 Joint Venture entered into a credit facility agreement with a group of lenders under which it could borrow up to approximately $1.1 billion in total at the exchange rate in effect on March 31, 2026, with such facility maturing in 2026. In connection with our 20% equity investment in the EMEA 2 Joint Venture, we provided the lenders with a guarantee covering 20% of all payments of principal and interest due and payable by the EMEA 2 Joint Venture under the credit facility, up to a limit of $231 million in total at the exchange rate in effect on March 31, 2026. As of March 31, 2026, the maximum potential amount of our future payments under this guarantee was approximately $44 million at the exchange rates in effect on that date. We and our co-investor entered into an ancillary agreement to allocate funding under the credit facility agreement for use by our AMER 1 Joint Venture. As of March 31, 2026, $11 million of the guarantee related to the AMER 1 Joint Venture. Our estimated fair value of this guarantee is minimal as the likelihood of making a payout under the guarantee is remote.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

10. Stockholders' Equity

Stockholders' Equity Rollforward

The following tables provide a rollforward of our stockholders' equity for the three months ended March 31, 2026 and 2025 ($ in millions except per share data; share data in thousands):


	Common Stock			Treasury Stock			Additional Paid-in Capital		Accumulated Dividends		AOCI (Loss)		Retained Earnings		Common Stockholders' Equity		Non-controlling Interests		Total Stockholders' Equity
	Shares	Amount		Shares	Amount
Balance as of December 31, 2025	98,288	$	—	(62)	$	(24)	$	21,642	$	(12,202)	$	(1,359)	$	6,099	$	14,156	$	(3)	$	14,153

Net income	—	—		—	—		—		—		—		415		415		—		415
Other comprehensive income	—	—		—	—		—		—		16		—		16		—		16
Issuance of common stock and release of treasury stock for employee equity awards	397	—		—	—		49		—		—		—		49		—		49

Dividend distribution on common stock, $5.16 per share	—	—		—	—		—		(508)		—		—		(508)		—		(508)
Settlement of accrued dividends on vested equity awards	—	—		—	—		—		(1)		—		—		(1)		—		(1)
Accrued dividends on unvested equity awards	—	—		—	—		—		4		—		—		4		—		4
Stock-based compensation, net of estimated forfeitures	—	—		—	—		167		—		—		—		167		—		167
Balance as of March 31, 2026	98,685	$	—	(62)	$	(24)	$	21,858	$	(12,707)	$	(1,343)	$	6,514	$	14,298	$	(3)	$	14,295

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)


	Common Stock			Treasury Stock			Additional Paid-in Capital		Accumulated Dividends		AOCI (Loss)		Retained Earnings		Common Stockholders' Equity		Non-controlling interests		Total Stockholders' Equity
	Shares	Amount		Shares	Amount
Balance as of December 31, 2024	97,390	$	—	(103)	$	(39)	$	20,895	$	(10,342)	$	(1,735)	$	4,749	$	13,528	$	(1)	$	13,527

Net income	—	—		—	—		—		—		—		343		343		—		343
Other comprehensive income	—	—		—	—		—		—		176		—		176		—		176
Issuance of common stock and release of treasury stock for employee equity awards	406	—		19	7		42		—		—		—		49		—		49
Issuance of common stock under ATM program	107	—		—	—		99		—		—		—		99		—		99
Dividend distribution on common stock, $4.69 per share	—	—		—	—		—		(457)		—		—		(457)		—		(457)
Settlement of accrued dividends on vested equity awards	—	—		—	—		—		(1)		—		—		(1)		—		(1)
Accrued dividends on unvested equity awards	—	—		—	—		—		2		—		—		2		—		2
Stock-based compensation, net of estimated forfeitures	—	—		—	—		150		—		—		—		150		—		150

Balance as of March 31, 2025	97,903	$	—	(84)	$	(32)	$	21,186	$	(10,798)	$	(1,559)	$	5,092	$	13,889	$	(1)	$	13,888

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Accumulated Other Comprehensive Loss

The changes in accumulated other comprehensive loss, net of tax, by component were as follows (in millions):


	Balance as of December 31, 2025		Net Change		Balance as of March 31, 2026
Foreign CTA gain (loss)	$	(1,607)	$	(45)	$	(1,652)
Net investment hedge CTA gain (loss) (1)	257		18		275
Unrealized gain (loss) on cash flow hedges (1)	(8)		43		35
Net actuarial gain (loss) on defined benefit plans (2)	(1)		—		(1)
	$	(1,359)	$	16	$	(1,343)

(1)Refer to Note 5 for a discussion of the amounts reclassified from accumulated other comprehensive loss to net income.

(2)We have two defined benefit pension plans covering all employees in two countries where such plans are mandated by law. We do not have any defined benefit plans in any other countries.

Changes in foreign currencies can have a significant impact on our condensed consolidated balance sheets (as evidenced above in our cumulative foreign currency translation loss), as well as our condensed consolidated results of operations, as amounts in foreign currencies are generally translated into more U.S. dollars when the U.S. dollar weakens or less U.S. dollars when the U.S. dollar strengthens. As of March 31, 2026, the U.S. dollar was generally weaker relative to certain of the currencies of the foreign countries in which we operate as compared to December 31, 2025. Because of this, the U.S. dollar had an overall unfavorable impact on our condensed consolidated financial position because the foreign denominations translated into fewer U.S. dollars as evidenced by an increase in foreign currency translation loss for the three months ended March 31, 2026 as reflected in the above table. The volatility of the U.S. dollar as compared to the other currencies in which we operate could have a significant impact on our condensed consolidated financial position and results of operations including the amount of revenue that we report in future periods.

Common Stock

In October 2024, we established a program under which we may, from time to time, offer and sell on a spot or forward basis up to an aggregate of $2.0 billion of our common stock to or through sales agents in "at the market" transactions (the "2024 ATM Program"). The forward sale agreements provide three settlement alternatives to us: physical settlement, cash settlement or net share settlement. In accordance with ASC 815, the forward sale agreements are classified as equity for balance sheet purposes.

There was no forward sale activity during the three months ended March 31, 2026 and 2025 and there were no outstanding forward agreements as of March 31, 2026 and December 31, 2025 under the 2024 ATM Program.

We did not sell any shares on a spot basis under the 2024 ATM Program during the three months ended March 31, 2026. During the three months ended March 31, 2025, we sold 107,493 shares on a spot basis under the 2024 ATM Program for approximately $99 million, net of commissions and other offering expenses.

As of March 31, 2026, we had approximately $1.2 billion of common stock available for sale under the 2024 ATM Program.

Stock-Based Compensation

For the three months ended March 31, 2026, the Talent, Culture and Compensation Committee and/or the Stock Awards Committee of our Board of Directors, as the case may be, granted an aggregate of 767,481 restricted stock units ("RSUs") to certain employees, including executive officers. These equity awards are subject to vesting provisions and have a weighted-average grant date fair value of $952.72 per share and a weighted-average requisite service period of 3.65 years. The valuation of RSUs with only a service condition or a service and performance condition require no significant assumptions as the fair value for these types of equity awards is based solely on the fair value of our stock price on the date of grant. We use revenues and adjusted funds from operations

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

("AFFO") per share as the performance measurements in the RSUs with both service and performance conditions that were granted in the three months ended March 31, 2026.

We use a Monte Carlo simulation option-pricing model to determine the fair value of RSUs with a service and market condition. We used total shareholder return ("TSR") as the performance measurement in the RSUs with a service and market condition that were granted in the three months ended March 31, 2026. There were no significant changes in the assumptions used to determine the fair value of RSUs with a service and market condition that were granted in 2026 compared to the prior year.

The following table presents, by operating expense category, our stock-based compensation expense recognized in our condensed consolidated statements of operations (in millions):


	Three Months Ended March 31,
		2026		2025
Cost of revenues		$	16	$	14
Sales and marketing		27		22
General and administrative		85		77
Total		$	128	$	113

Redeemable Non-controlling Interest

On April 3, 2023, we issued additional shares in our Indonesian operating entity to a third party investor for $25 million, which resulted in the third party investor owning a 25% interest in the entity.

Under the terms of the stockholders’ agreement, the investor may put its 25% ownership stake in the entity to us for a maximum exercise price of $25 million, subject to certain contingent conditions. Accordingly, we present the investor’s contingently redeemable non-controlling interest ("NCI") outside of permanent equity at the higher of its maximum redemption amount of $25 million and its balance after attribution of gains and losses in our condensed consolidated balance sheets. There were no changes in the carrying value of the redeemable NCI for the three months ended March 31, 2026.

11. Related Party Transactions

We have lease arrangements and provide various services to our equity method investees through multiple agreements, including sales and marketing, development management, facilities management, asset management and procurement service agreements. These transactions are generally considered to have been negotiated at arm's length.

The following table presents the income and expenses from these arrangements with equity method investees in our condensed consolidated statements of operations (in millions):


	Three Months Ended March 31,
Nature of Transaction		2026		2025
Income (1)		$	47	$	68
Expenses (2)		7		6

(1)Primarily consists of revenues related to service arrangements as described above and also includes interest income earned on the AMER 2 Loan during the three months ended March 31, 2026 and 2025 of $9 million and $7 million, respectively.

(2)Primarily consists of rent expenses for lease arrangements with equity method investees.

We have also sold certain data center facilities to our Joint Ventures and recognized gains or losses on asset sales as described in Note 4.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

The following table presents the assets and liabilities from related party transactions with the equity method investees in our condensed consolidated balance sheets (in millions):


Balance Sheet	March 31, 2026		December 31, 2025
Accounts receivable, net	$	29	$	35
Other current assets (1)	345		58
Property, plant and equipment, net (2)	292		306
Operating lease right-of-use assets	31		32
Other assets (3)	350		350
Other current liabilities	21		17
Finance lease liabilities	277		287
Operating lease liabilities	28		29
Other liabilities	77		24

(1)The balance primarily relates to contract assets and other receivables.

(2)The balance relates to finance lease right-of-use assets. As of both March 31, 2026 and December 31, 2025, the weighted-average lease term for the finance leases was approximately ten years.

(3)The balance primarily relates to contract assets and the AMER 2 Loan receivable.

AMER 2 Loan

Concurrent with the closing of the AMER 2 Joint Venture, we entered into a loan agreement (the "AMER 2 Loan") with the AMER 2 Joint Venture, as a lender, with a maximum commitment of $392 million and a maturity date of April 10, 2028. We received an upfront fee of $4 million in connection with the origination of the loan, and earn interest at a contractual rate of 10% per annum on the drawn portion plus an unused commitment fee of 0.75% per annum on the undrawn portion, each payable quarterly. The term of the loan may be extended at the option of the borrower for one additional year, subject to an extension fee. The AMER 2 Loan is secured by the assets of the AMER 2 Joint Venture, including the SV12x data center site. The equity partners of the AMER 2 Joint Venture have provided limited guarantees in connection with the AMER 2 Loan, which require payments to the lender proportionately upon certain occurrences, such as a shortfall in capital necessary to complete construction or to make interest payments. Additionally, the equity partners may be liable for repayment of up to the entire debt balance upon the occurrence of certain adverse acts such as a non-permitted transfer of the SV12x data center site. The AMER 2 Loan was negotiated at arm's length. We have assessed the credit risk associated with the AMER 2 Loan to be low and the allowance for credit loss as of March 31, 2026 is insignificant. The maximum amount of credit loss we are exposed to is the outstanding principal, plus accrued interest and unused commitment fees. As of March 31, 2026, the total amount outstanding under the AMER 2 Loan, net of the unamortized upfront fee, was $328 million. Additional amounts may be drawn down by the borrower periodically as needed for the continuation of development and other working capital needs.

There have been no material changes in the nature or volume of transactions with other related parties since December 31, 2025. For further information on such transactions, refer to our Form 10-K as filed with the SEC on February 11, 2026.

12. Segment Information

While we have one primary line of business, which is the design, build-out and operation of IBX data centers, we have determined that we have three reportable segments comprised of our Americas, EMEA and Asia-Pacific geographic regions. Each of our three reportable segments are managed by regional presidents and require unique strategies due to the varying microeconomic and macroeconomic conditions within each region. Our chief executive officer is our chief operating decision maker and evaluates performance, makes operating decisions and allocates resources primarily based on our revenues and adjusted EBITDA, both on a consolidated basis and for these three reportable segments. Intercompany transactions between segments are excluded for management reporting purposes. Revenues are attributed to countries based on the geographic location of the entity that enters into the contract.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

We define adjusted EBITDA, our measure of segment profit or loss, as net income excluding income tax expense, interest income, interest expense, other income or expense, gain or loss on debt extinguishment, depreciation, amortization, accretion, stock-based compensation expense, restructuring and other exit charges, impairment charges, transaction costs and gain or loss on asset sales. The accounting policies of the three segments are the same as those described in the summary of significant accounting policies, except that segment expenses exclude depreciation, amortization and accretion expense and stock-based compensation expense, consistent with the definition of adjusted EBITDA.

The following tables present segment information, including revenue information disaggregated by product lines and segment adjusted EBITDA, and a reconciliation to total consolidated income before income taxes (in millions):


	Three Months Ended March 31, 2026
		Americas		EMEA		Asia-Pacific		Total
Colocation (1)		$	731	$	613	$	386	$	1,730
Interconnection		251		106		89		446
Managed infrastructure		57		41		17		115
Other (1)		7		29		4		40
Recurring revenues		1,046		789		496		2,331
Non-recurring revenues		45		38		30		113
Total revenues (2)		1,091		827		526		2,444
Less:
Segment cost of revenues		303		307		155		765
Other segment items (3)		272		96		66		434
Segment adjusted EBITDA		$	516	$	424	$	305	$	1,245
Reconciliation to income before income taxes:
Depreciation, amortization and accretion expense								$	(544)
Stock-based compensation expense								(128)
Transaction costs								(8)
Restructuring and other exit charges								(6)
Impairment charges								(2)
Gain (loss) on asset sales								20
Interest income								41
Interest expense								(148)
Other income (expense)								1

Income before income taxes								$	471

(1)Includes some leasing and hedging activities.

(2)Total revenues attributed to the U.S. were $935 million during the three months ended March 31, 2026. There was no other country from which we derived revenues that exceeded 10% of our total revenues and no single customer accounted for 10% or greater of our accounts receivable or revenues as at or for the three months ended March 31, 2026.

(3)Other segment items for each reportable segment are comprised of general and administrative and sales and marketing expenses, excluding stock-based compensation expense and depreciation, amortization and accretion expense.

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)


	Three Months Ended March 31, 2025
		Americas		EMEA		Asia-Pacific		Total
Colocation (1)		$	636	$	567	$	342	$	1,545
Interconnection		229		87		77		393
Managed infrastructure		63		35		17		115
Other (1)		3		27		4		34
Recurring revenues		931		716		440		2,087
Non-recurring revenues		70		27		41		138
Total revenues (2)		1,001		743		481		2,225
Less:
Segment cost of revenues		290		281		156		727
Other segment items (3)		268		97		66		431
Segment adjusted EBITDA		$	443	$	365	$	259	$	1,067
Reconciliation to income before income taxes:
Depreciation, amortization and accretion expense								$	(480)
Stock-based compensation expense								(113)
Transaction costs								(6)
Restructuring and other exit charges								(10)


Interest income								47
Interest expense								(122)
Other income (expense)								9

Income before income taxes								$	392

(1)Includes some leasing and hedging activities.

(2)Total revenues attributed to the U.S. were $873 million during the three months ended March 31, 2025. There was no other country from which we derived revenues that exceeded 10% of our total revenues and no single customer accounted for 10% or greater of our accounts receivable or revenues as at or for the three months ended March 31, 2025.

We provide the following additional segment disclosures for the three months ended March 31, 2026 and 2025 (in millions):


	Three Months Ended March 31,
		2026		2025
Depreciation and amortization:
Americas		$	287	$	269
EMEA		149		123
Asia-Pacific		105		87
Total		$	541	$	479
Capital expenditures:
Americas		$	705	$	501
EMEA		329		171
Asia-Pacific		222		78
Total		$	1,256	$	750

EQUINIX, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)

(Unaudited)

Our long-lived assets, including property, plant and equipment, net and operating lease right-of-use assets, were located in the following geographic regions (in millions):


	Property, plant and equipment, net				Operating lease right-of-use assets
	March 31, 2026		December 31, 2025		March 31, 2026		December 31, 2025
Americas	$	11,185	$	10,840	$	327	$	340
EMEA	8,437		8,314		433		449
Asia-Pacific	4,547		4,430		585		603
Total	$	24,169	$	23,584	$	1,345	$	1,392

13. Subsequent Events

Declaration of dividends

On April 29, 2026, we declared a quarterly cash dividend of $5.16 per share, which is payable on June 17, 2026 to our common stockholders of record as of the close of business on May 20, 2026.

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