Digital Realty Trust Inc (0I9F.L) Q3 2024 Earnings Report

Digital Realty Trust recorded Q3 2024 revenue of USD 1,431.21 million, up 2.05% year over year and 5.49% quarter over quarter, underscoring modest top-line growth amid a backdrop of sustained demand for data center capacity. Gross profit of USD 774.85 million produced a robust gross margin of approximately 54%, while EBITDA stood at USD 636.36 million with an EBITDA margin around 44%. Operating income reached USD 168.29 million (operating margin ~11.8%), and net income was USD 51.19 million, translating to a diluted EPS of USD 0.0925 (basic USD 0.13). Free cash flow and cash from operations were both strong at USD 566.52 million, supporting a positive cash flow runway even as the company deployed capital across its portfolio (net investing cash flow approx. USD -1.119 billion) and managed financing activity to maintain liquidity. QoQ revenue increase suggests continued tenancy demand and potential for rate optimization, though near-term earnings remain pressured by ongoing capex and portfolio investments typical of a scale-up data center platform. From a balance-sheet perspective, total assets were USD 45.30 billion with total debt USD 18.33 billion and net debt around USD 16.15 billion. Cash and cash equivalents stood at USD 2.18 billion, yielding a current ratio near 0.79 based on reported current assets and liabilities, signaling liquidity adequate for near-term obligations but a leverage profile that warrants monitoring as refinancing and capex needs persist. The company’s portfolio quality and scale position Digital Realty to benefit from hyperscale and cloud demand, yet the earnings quality remains constrained by high asset intensity and elevated debt levels. In sum, the QQ3 2024 results reflect a resilient cash-generative core and a growth-oriented capital agenda, balanced against leverage and margin dynamics that investors should monitor going into the next quarters.