CoreSite Realty Corp (COR) has reported 58.42 percent jump in profit for the quarter ended Sep. 30, 2016. The company has earned $14.26 million, or $0.36 a share in the quarter, compared with $9 million, or $0.26 a share for the same period last year. Revenue during the quarter grew 17.24 percent to $101.27 million from $86.38 million in the previous year period.
Cost of revenue rose 16 percent or $4.39 million during the quarter to $31.81 million. Gross margin for the quarter expanded 33 basis points over the previous year period to 68.59 percent.
Total expenses were $78.77 million for the quarter, up 13.12 percent or $9.14 million from year-ago period. Operating margin for the quarter expanded 283 basis points over the previous year period to 22.22 percent.
Operating income for the quarter was $22.50 million, compared with $16.75 million in the previous year period. However, the adjusted EBITDA for the quarter stood at $52.11 million compared with $43.70 million in the prior year period. At the same time, adjusted EBITDA margin improved 87 basis points in the quarter to 51.46 percent from 50.59 percent in the last year period.
Revenue from real estate activities during the quarter increased 17.24 percent or $14.89 million to $101.27 million. Revenue from sale of real estate was $42.22 million for the quarter, up 20.82 percent or $7.28 million.
Income from operating leases during the quarter rose 15.03 percent or $7.08 million to $54.22 million. Revenue from tenant reimbursements was $2.83 million for the quarter, up 19.90 percent or $0.47 million from year-ago period.
Revenue from other real estate activities during the quarter was $2.01 million, up 3.29 percent or $0.06 million from year-ago period.
Paul Szurek, CoreSites chief executive officer, commented, "We delivered another quarter of solid financial and operational performance in the third quarter, highlighted by strong earnings growth and leasing momentum. Our third quarter volume of new and expansion leasing for deployments of 5,000 net rentable square feet or less set a company record, as the demand for performance-sensitive retail colocation solutions remains robust." Mr. Szurek continued, "Subsequent to the end of the third quarter, we opened SV7, our 230,000 net rentable square foot turn-key data center building in Santa Clara, which was 62% leased upon opening of the facility, another record for CoreSite. As an organization, we continue to successfully execute on our business plan in terms of leasing effectiveness, development, and increasing the value of our network dense, cloud-enabled platform of assets by enhancing and diversifying our customer base."
Receivables move upNet receivables were at $16.10 million as on Sep. 30, 2016, up 13.45 percent or $1.91 million from year-ago. Total assets grew 21.91 percent or $244.38 million to $1,359.99 million on Sep. 30, 2016. On the other hand, total liabilities were at $750.83 million as on Sep. 30, 2016, up 55.29 percent or $267.33 million from year-ago.
Return on assets moved up 16 basis points to 1.66 percent in the quarter. At the same time, return on equity moved up 90 basis points to 2 percent in the quarter.
Debt increases substantiallyTotal debt was at $590.99 million as on Sep. 30, 2016, up 64.05 percent or $230.74 million from year-ago. Shareholders equity stood at $609.16 million as on Sep. 30, 2016, down 3.63 percent or $22.94 million from year-ago. As a result, debt to equity ratio went up 40 basis points to 0.97 percent in the quarter. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
