Q3 2025 Earnings Conference Call NASDAQ: EQIX Presented on October 29, 2025 © 2025 Equinix, Inc. Public Disclosure Statement Forward-Looking Statements Except for historical information, this presentation contains forward-looking statements which include words such as "believe," "anticipate," and "expect." These forward-looking statements involve risks and uncertainties that may cause Equinix's actual results to differ materially from the expectations discussed in such forward-looking statements. Factors th ...

Financial Metrics Definitions - The report defines Non-GAAP Gross Profit, Non-GAAP SG&A Expense, and Adjusted EBITDA as key metrics, clarifying their calculation methods involving depreciation, amortization, share-based compensation, and Root warrant revenue adjustments[3, 4, 5, 6] - Adjusted EBITDA is calculated as Non-GAAP Gross Profit minus Non-GAAP SG&A Expense[7] Unit Sales Performance - Retail units sold increased significantly over the quarters, reaching 155,941 in Q3 2025[8] - Wholesale vehicle units sold also grew, totaling 80,369 in Q3 2025[8] - Wholesale marketplace units transacted reached 260,805 in Q3 2025[8] GPU Analysis (Q3 2024 vs Q3 2025) - Total GAAP GPU decreased by $65, from $7,427 to $7,362[9] - Retail Non-GAAP GPU decreased by $77, from $3,617 to $3,540, driven by higher retail depreciation rates[9] - Wholesale marketplace Non-GAAP GPU decreased by $142, from $552 to $410, influenced by an 11% increase in wholesale marketplace units transacted offset by 44% retail units sold growth[9] - Other Non-GAAP GPU increased by $63, from $2,945 to $3,008, due to improvements in cost of funds and higher finance and VSC attach rates, partially offset by higher than normalized loan sales relative to originations in Q3 2024[9] - Total Non-GAAP GPU decreased by $182, from $7,685 to $7,503[9] SG&A Expense per Unit Analysis (Q3 2024 vs Q3 2025) - Total GAAP SG&A Expense per Unit decreased by $501, from $4,317 to $3,816[9] - Carvana Operations SG&A per unit decreased by $96, from $1,731 to $1,635, due to continued operations efficiencies[9] - Wholesale marketplace Operations SG&A per unit decreased by $48, from $138 to $90, driven by cost leverage on retail units sold growth[9] - Overhead SG&A per unit decreased by $314, from $1,353 to $1,039, also due to cost leverage on retail units sold growth[9] - Advertising SG&A per unit increased by $138, from $516 to $654, reflecting increased advertising spend[9] - Total Non-GAAP SG&A Expense per Unit decreased by $319, from $3,737 to $3,418[9]

Financial Performance - Alphabet's Q3 2025 revenues reached $102346 million, a 16% increase year-over-year compared to $88268 million in Q3 2024 [5] - Net income for Q3 2025 was $34979 million, a 33% increase compared to $26301 million in Q3 2024 [5] - Diluted EPS increased by 35% from $212 in Q3 2024 to $287 in Q3 2025 [5] - Income from operations increased by 9% to $31228 million [5] - Other income (expense), net increased significantly by 301% to $12759 million [5] Costs and Expenses - Total costs and expenses increased by 19% to $71118 million [5] - Research and Development expenses increased by 22% to $15151 million [5] - General and Administrative expenses increased significantly by 105% to $7393 million, which includes a $35 billion EC fine [5, 8, 12] Revenue Streams - Google Services revenues increased to $87052 million [14] - Google Cloud revenues increased by 34% to $15157 million [18] Cash Flow and Capital Expenditures - Capital expenditures for Q3 2025 reached $23953 million, an 83% increase year-over-year [20] - Free cash flow for Q3 2025 was $24461 million, a 39% increase year-over-year [21] - Trailing twelve months free cash flow reached $73552 million, a 32% increase year-over-year [21]

Financial Performance - Revenue reached $77.7 billion, an increase of 18% (17% in constant currency) [4] - Operating income grew to $38.0 billion, up 24% (22% in constant currency) [4] - Net income was $27.7 billion, a rise of 12% (11% in constant currency), or $30.8 billion non-GAAP, up 22% (21% in constant currency) [4] - Diluted earnings per share were $3.72, up 13% (11% in constant currency), or $4.13 non-GAAP, up 23% (21% in constant currency) [4] - The company returned $10.7 billion to shareholders through $6.8 billion in dividends and $4.0 billion in share repurchases [6] Segment Performance - Productivity and Business Processes revenue was $33.0 billion, up 17% (14% in constant currency) [4] - Intelligent Cloud revenue reached $30.9 billion, growing 28% (27% in constant currency) [4] - More Personal Computing revenue was $13.8 billion, an increase of 4% (4% in constant currency) [4] Microsoft Cloud - Microsoft Cloud revenue was $49.1 billion, up 26% (25% in constant currency) [12] - Commercial bookings increased 112% (111% in constant currency) [13] - Commercial remaining performance obligation reached $392 billion, up 51% year-over-year [13] Capital Expenditures and Cash Flow - Capital expenditures were $34.9 billion, up 74%, including $11.1 billion in finance leases [9, 11] - Cash paid for property and equipment was $19.4 billion, up 30% [9, 11] - Cash flow from operations was $45.1 billion, up 32% [11] - Free cash flow was $25.7 billion, up 33% [11]

Q3 2025 Financial Performance - Net sales decreased by $131 million, a 16% decrease year-over-year, primarily due to lower sales in North America On-Highway, Global Off-Highway, Service Parts, Support Equipment & Other, and Outside North America On-Highway end markets, partially offset by higher sales in the Defense end market and price increases on certain products[17] - Net income decreased by $63 million, a 32% decrease year-over-year, to $137 million, principally driven by lower gross profit and acquisition-related expenses[14, 17] - Adjusted EBITDA decreased by $49 million, a 16% decrease year-over-year, to $256 million, driven by lower gross profit[14, 17] - Adjusted EBITDA margin was 36.9%, a decrease of 10 bps year-over-year, remaining essentially flat despite a challenging operating environment[14, 17] - Adjusted Free Cash Flow decreased by $26 million, a 12.4% decrease year-over-year, to $184 million, driven by lower net cash provided by operating activities and higher capital expenditures[14, 18] Segment Performance - North America On-Highway net sales decreased by 28% to $327 million, principally driven by lower demand for Class 8 vocational and medium duty trucks, partially offset by price increases and market share gains for hybrid propulsion systems for transit buses[16] - Outside North America On-Highway net sales decreased by 3% to $122 million, principally driven by lower demand in Asia, partially offset by higher demand in Europe[16] - Global Off-Highway net sales decreased by 65% to $7 million, principally driven by lower demand from the energy, mining and construction sectors outside of North America[16] - Defense net sales increased by 47% to $78 million, principally driven by increased demand for Tracked vehicle applications, price increases, and the continued execution of growth initiatives[16] - Service Parts, Support Equipment & Other net sales decreased by 5% to $159 million, principally driven by lower demand for aluminum die cast components and support equipment, partially offset by price increases[16]

Financial Performance - The company reported a GAAP EPS of $(0.08) and a GAAP ROE of (3.9)% for Q3 2025[41] - A dividend of $0.18 per share was delivered, resulting in an indicative dividend yield of 12.4%[41] - Non-GAAP Core Segments EAD EPS was $0.20, with a Non-GAAP Core Segments EAD ROE of 16.8%[41] Segment Results - Mortgage Banking (Combined) showed a Non-GAAP EAD ROE of 29%[41] - Redwood Investments had a Non-GAAP EAD ROE of 10%[41] - Legacy Investments had a Non-GAAP EAD ROE of (12%)[41] Volume and Growth - Sequoia's quarterly lock volumes increased by 127% year-over-year[50] - Aspire's quarterly lock volumes increased approximately 4x quarter-over-quarter, reaching $1.245 billion[60] - CoreVest's quarterly funded volume increased by 14% year-over-year, reaching $521 million[67] Capital Allocation and Legacy Investments - Capital allocated to Legacy Investments decreased by 22%[17] - Dispositions of approximately $1 billion of Legacy Assets unlocked $150 million of capital[23] - The company repurchased 5 million common shares[17]

Financial Performance - Consolidated net revenues increased by 2% in the third quarter of 2025[14] - MGM China achieved a record 3Q Segment Adjusted EBITDAR and a market share of 15.5%[20] - BetMGM's total net revenue from operations increased by 23% year-over-year, reaching $667 million in 3Q 2025[36] - BetMGM's EBITDA increased by $57 million year-over-year in 3Q 2025[36] Segment Performance - Las Vegas Strip Resorts' net revenues were $1.088 billion in 3Q 2025, a 17% increase compared to 3Q 2024[28] - Regional Operations' net revenues were $957 million in 3Q 2025, consistent with 3Q 2024[30] - MGM Digital's net revenues were $174 million in 3Q 2025, a 23% increase compared to 3Q 2024[32] BetMGM Performance - BetMGM's iGaming net revenue was $454 million in 3Q 2025, a 21% increase year-over-year[36] - BetMGM's Online Sports net revenue was $202 million in 3Q 2025, a 36% increase year-over-year[36] - BetMGM expects to distribute at least $200 million to parents before the end of 2025[40] Strategic Initiatives - MGM Resorts withdrew its application for a New York commercial casino license[21] - MGM Resorts announced the sale of MGM Northfield Park operations for $546 million[21] - MGM Resorts repurchased nearly 45% of its shares since the beginning of 2021[71]

Q1 Fiscal 2026 Earnings Quarter Ended September 30, 2025 • Reported October 29, 2025 KLA Non-Confidential | Unrestricted 1 Forward Looking Statements Statements in this letter other than historical facts, such as statements pertaining to: (i) future industry demand for semiconductors, WFE, and advanced packaging; (ii) our market position for the future and future growth in demand for our products; (iii) our forecast of financial measures for the following quarter and 2025; (iv) our future revenues by custom ...

Q3 2025 Financial Performance - Subscription revenues reached $3,299 million, representing a year-over-year increase of 21.5%, or 20.5% on a non-GAAP constant currency basis[19] - Current Remaining Performance Obligations (cRPO) totaled $11.35 billion, a 21% year-over-year increase, or 20.5% on a non-GAAP constant currency basis[19] - Remaining Performance Obligations (RPO) amounted to $24.3 billion, reflecting a 24% year-over-year increase, or 23% on a non-GAAP constant currency basis[19] - Non-GAAP operating margin was 33.5%, an increase of approximately 250 basis points year-over-year[19] - Non-GAAP free cash flow margin was 17.5%, an increase of approximately 50 basis points year-over-year[19] Q4 2025 Guidance - Subscription revenues are projected to be between $3,420 million and $3,430 million, representing a 19.5% year-over-year increase, or 17.5% to 18% on a non-GAAP constant currency basis[23] - Non-GAAP operating margin is expected to be 30%, an increase of approximately 50 basis points year-over-year[23] - Current RPO (cRPO) growth is projected at 23%, or 19% on a non-GAAP constant currency basis[23] FY 2025 Guidance - Subscription revenues are projected to be between $12,835 million and $12,845 million, representing a 20.5% year-over-year increase, or 20% on a non-GAAP constant currency basis[23] - Non-GAAP subscription gross margin is expected to be 83.5%, a decrease of approximately 150 basis points year-over-year[23] - Non-GAAP operating margin is expected to be 31%, an increase of approximately 150 basis points year-over-year[23] - Non-GAAP free cash flow margin is expected to be 34%, an increase of approximately 250 basis points year-over-year[23]

Financial Performance - Annual revenue increased from $138.9 million in 2020 to $366.1 million in 2024, representing a 27% compound annual growth rate (CAGR)[12] - Systems revenue for Q3 2025 was $17.3 million, while endpoint ICs revenue was $78.8 million[89] - Non-GAAP gross margin for Q3 2025 was 53.0%[91] - Non-GAAP research and development expenses for Q3 2025 were $17.8 million[94] - Adjusted EBITDA for Q3 2025 was $19.1 million[97] - Non-GAAP EPS (diluted) for Q3 2025 was $0.58[100] - The company has $265.1 million in cash and investments[105] - Adjusted free cash flow for the twelve-month period ended September 30, 2025, was $40.8 million[105] Market and Technology - The company has sold over 120 billion endpoint ICs[13,49] - RAIN-enabled connectivity was used for over 52 billion items in 2024, representing approximately 0.5% of connectable items[44]