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IRM · Iron Mountain

29 filings

10-K

IRM 10-K Annual Reports

Iron Mountain - 29 annual reports

Filing record · 2016–202610-K1110-Q328-K133

2025
Iron Mountain Annual Report, Year Ended Dec 31, 2025
Iron Mountain Incorporated (IRM) reported total revenues of $6.90 billion for 2025, up from $6.15 billion in 2024, with net income of $152.3 million (versus $183.7 million in 2024) and Adjusted EBITDA of $2.57 billion, a 15.1% increase, at an Adjusted EBITDA Margin of 37.3%. Storage rental revenue rose to $4.05 billion and service revenue to $2.85 billion. The Global Data Center Business was the fastest-growing segment, with segment revenue of $803.4 million, up 29.6%, and a segment Adjusted EBITDA margin of 51.8%. The company reported that 488 MW of leasable data center capacity was about 97% leased, with an additional 852 MW under construction or held for development. The company completed its Project Matterhorn transformation program in 2025, incurring $574.4 million in restructuring and other transformation costs since inception, including $195.9 million in 2025. Capital spending on a cash basis was $2.27 billion in 2025, and management expects approximately $2.2 billion of capital expenditures in 2026. Long-term debt was $16.54 billion at year-end and stockholders' deficit was $981.0 million. Interest expense, net rose to $829.3 million. Cash paid for dividends was $919.4 million, and the board declared a quarterly dividend of $0.8640 per share on February 12, 2026. The filing reports effective internal control over financial reporting and no material legal proceedings in the opinion of management. Key risks highlighted include declining activity rates in physical records, the need to manage a high level of leverage and floating-rate debt (about 22.0% of total long-term debt), foreign currency exposure, and reliance on a concentrated set of ALM clients and Chinese purchasers of IT asset components. The company also cited a net foreign currency transaction loss of $105.6 million in 2025.
Feb 12, 2026
2024
Iron Mountain Annual Report, Year Ended Dec 31, 2024
Iron Mountain Incorporated's 2024 Form 10-K reports total revenues of $6.15 billion for 2024, up 12.2% from $5.48 billion in 2023, with organic revenue growth of 9.0%. Adjusted EBITDA rose 14.0% to $2.24 billion, and Adjusted EBITDA Margin reached 36.4%, compared with 35.8% in 2023. Net income was $183.7 million, down 1.9% from $187.3 million, and Net Income Attributable to Iron Mountain Incorporated was $180.2 million, with diluted EPS of $0.61 versus $0.63 a year earlier. Growth was driven by revenue management and volume growth in the Global RIM Business, a 25.3% rise in Global Data Center Business revenue to $620.0 million with 45.6% segment Adjusted EBITDA margin, and the Regency Technologies acquisition in ALM. The company leased approximately 96% of its 416 MW of existing data center capacity at year-end, and it expects 2025 total capital expenditures of approximately $1,950.0 million. Total long-term debt was $13.84 billion, stockholders' deficit was $503.1 million, and cash was $155.7 million, with a weighted average interest rate of 5.7%. Interest expense, net rose to $721.6 million. Project Matterhorn restructuring and transformation costs were $161.4 million in 2024, with about $150.0 million expected in 2025 before completion. The company declared a quarterly dividend of $0.7850 per share on February 13, 2025, and paid $789.5 million in dividends during 2024.
Feb 14, 2025
2023
Iron Mountain Annual Report, Year Ended Dec 31, 2023
Iron Mountain Incorporated (IRM) reported total revenues of $5.48 billion for 2023, up from $5.10 billion in 2022, with storage rental revenue of $3.37 billion and service revenue of $2.11 billion. Net income attributable to Iron Mountain Incorporated fell to $184.2 million from $557.0 million, while Adjusted EBITDA rose to $1.96 billion from $1.83 billion, with Adjusted EBITDA Margin unchanged at 35.8%. Management attributes the decline in net income largely to $175.2 million of restructuring and other transformation costs tied to Project Matterhorn, a $38.0 million loss on remeasurement of the Clutter JV interest, and higher other expense and interest expense of $585.9 million. The company's Global Data Center Business is a major growth focus: segment revenue rose to $495.0 million from $401.1 million, and capital expenditures were $1.34 billion in 2023, with total capital spend expected to be about $1.5 billion in 2024. Total long-term debt was $12.03 billion at December 31, 2023, against stockholders' equity of $211.6 million, and the company reported cash and cash equivalents of $222.8 million. Cash flows from operating activities increased to $1.11 billion, and dividends paid were $737.7 million, with a dividend of $0.65 per share declared on February 22, 2024. The filing states that the company is in compliance with its leverage and fixed charge coverage covenants, with a net total lease adjusted leverage ratio of 5.1 against a maximum of 7.0. Management also disclosed a post-year-end acquisition of Regency Technologies for an initial purchase price of approximately $200.0 million to expand the ALM business.
Feb 22, 2024
2022
Iron Mountain Annual Report, Year Ended Dec 31, 2022
Iron Mountain Incorporated's 2022 Form 10-K reports total revenues of $5.10 billion for the year ended December 31, 2022, up from $4.49 billion in 2021, with net income of $562.1 million (compared with $452.7 million in 2021) and Adjusted EBITDA of $1.83 billion (compared with $1.63 billion). Growth was driven by organic storage rental revenue growth from revenue management and volume, organic service revenue growth, and the January 2022 acquisition of an approximately 80% interest in ITRenew, which the company consolidates at 100%. Adjusted EBITDA margin was 35.8%, down from 36.4%, which management attributed primarily to a 150 basis point decrease from the ITRenew acquisition. The company launched Project Matterhorn in September 2022, a global program with expected costs of approximately $150.0 million per year from 2023 through 2025, and it recorded $41.9 million of related costs in 2022. The Global Data Center Business had 21 operating data centers across 19 global markets, with approximately 92% of data center capacity leased as of December 31, 2022. Total long-term debt was $10.65 billion at year-end, against stockholders' equity of $636.7 million and cash of $141.8 million. The company declared a quarterly dividend of $0.6185 per share on February 23, 2023, and expects 2023 total capital expenditures of approximately $1.00 billion. The filing states that the company is a REIT and that its ability to pay dividends and remain a REIT depends on several factors, including its high leverage, its covenants, and the relative growth of its TRS-based operations. Management reported that internal control over financial reporting was effective as of December 31, 2022, and Deloitte & Touche LLP issued an unqualified opinion on both the financial statements and internal controls.
Feb 23, 2023
2021
Iron Mountain Annual Report, Year Ended Dec 31, 2021
Iron Mountain Incorporated, a Delaware corporation and REIT, reported total revenues of $4,491,531 thousand ($4.49 billion) for 2021, up from $4,147,270 thousand in 2020, and Adjusted EBITDA of $1,634,699 thousand, up 10.8% from $1,475,721 thousand, with Adjusted EBITDA Margin rising to 36.4% from 35.6%. Income from continuing operations was $452,725 thousand, compared with $343,096 thousand in 2020. The company states that all Project Summit activities were completed in 2021, with approximately $375.0 million in annual Adjusted EBITDA benefits exiting 2021 and roughly $450.0 million of cumulative Restructuring Charges since the program began. The Global RIM Business remains the largest segment, with 2021 segment revenue of $3,976,163 thousand and segment Adjusted EBITDA of $1,734,227 thousand. The Global Data Center Business grew segment revenue to $326,898 thousand, and management reported approximately 89% of data center capacity leased as of December 31, 2021, with 177 MW of leasable capacity and an additional 427 MW under construction or held for development. Cash flow from operating activities declined to $758,902 thousand from $987,657 thousand, mainly due to working capital changes, while capital expenditures were $611,082 thousand. Total long-term debt was approximately $9.3 billion against stockholders' equity of $855,952 thousand attributable to Iron Mountain. Looking ahead, the company expects revenue and Adjusted EBITDA growth to accelerate in 2022 and projects total capital expenditures of approximately $850.0 million for 2022. In January 2022 it acquired an approximately 80% interest in ITRenew for approximately $725.0 million, funded in part by $750.0 million of 5% Notes due 2032 issued in December 2021. The filing also discloses an ongoing OFAC voluntary disclosure matter related to limited dealings with designated entities, and management states that no material legal proceedings are pending.
Feb 24, 2022
2020
Iron Mountain Annual Report, Year Ended Dec 31, 2020
Iron Mountain Incorporated reported total revenues of $4,147,270 thousand ($4.15 billion) for 2020, down from $4,262,584 thousand in 2019, with operating income rising to $934,785 thousand from $781,338 thousand. Income from continuing operations was $343,096 thousand, compared with $268,211 thousand in 2019. Adjusted EBITDA was $1,475,721 thousand, up from $1,469,009 thousand, and Adjusted EBITDA Margin improved to 35.6% from 34.5%. Storage rental revenue grew to $2,754,091 thousand, while service revenue declined to $1,393,179 thousand amid COVID-19 related reductions in service activity. The company is advancing Project Summit, a global cost and structure program with about $165 million of Adjusted EBITDA benefits delivered in 2020 and an expected annual run-rate of roughly $375 million exiting 2021, against estimated total Restructuring Charges of about $450.0 million. Restructuring Charges were $194.4 million in 2020. The company also recorded $363.5 million of gains on disposals, primarily from sale-leaseback transactions, and $68.3 million of debt extinguishment expense tied to refinancing activity that included $1.1 billion of 4.5% Senior Notes due 2031 and $1.3 billion of 5.25% Senior Notes due 2030. At December 31, 2020, total long-term debt was $8.70 billion carrying amount and stockholders' equity was $1.14 billion. The Global Data Center Business had 130.4 MW of leasable capacity and goodwill whose fair value exceeded carrying value by less than 20%. The company expects 2021 total capital expenditures of approximately $550.0 million and projects 2021 organic storage rental revenue growth of approximately 2% to 4%.
Feb 24, 2021
2019
Iron Mountain Annual Report, Year Ended Dec 31, 2019
Iron Mountain Incorporated, a Delaware corporation that has operated as a REIT since 2014, reported total revenues of $4,262.6 million for 2019, up $36.8 million, or 0.9%, from $4,225.8 million in 2018. Operating income declined to $781.3 million from $808.3 million, and net income attributable to Iron Mountain Incorporated was $267.4 million, or $0.93 per diluted share, compared with $353.9 million in 2018. Adjusted EBITDA rose 0.9% to $1,437.6 million, with the Adjusted EBITDA margin unchanged at 33.7%. Consolidated organic revenue growth was 1.1%, and the company's Global Data Center Business was the main driver of acquisition-related growth. The company launched Project Summit in October 2019 to simplify its global structure, reduce vice president-and-above positions by approximately 45%, and cut about 700 managerial and administrative positions by the end of 2021. Management estimates the program will improve annual Adjusted EBITDA by approximately $200 million once fully realized by the end of 2022, with total costs of approximately $240 million. Restructuring charges of $48.6 million were recognized in the fourth quarter of 2019. The company also reorganized its reporting into three segments: Global RIM Business, Global Data Center Business, and Corporate and Other Business. Leverage remains high, with total long-term debt of approximately $8.8 billion (carrying amount $8,664.6 million) against stockholders' equity of $1.46 billion at December 31, 2019. The company stated that it is currently operating above its long-term targeted leverage ratio and expects leverage to decline over time. Dividends declared totaled $703.8 million in 2019, approximately $2.45 per share, and the company stated it expects organic storage rental revenue growth of 1.0% to 3.0% and organic total revenue growth of flat to approximately 2.0% for 2020.
Feb 13, 2020
2018
Iron Mountain Annual Report, Year Ended Dec 31, 2018
Iron Mountain Incorporated (NYSE: IRM) reported 2018 total revenues of $4.23 billion, up from $3.85 billion in 2017, with operating income of $755.5 million and net income attributable to Iron Mountain Incorporated of $363.4 million, compared with $183.8 million in 2017. Adjusted EBITDA rose to $1.44 billion from $1.26 billion, and Adjusted EBITDA margin was 34.0%. Growth was driven largely by acquisitions, most notably the $1.35 billion IO Data Centers transaction completed January 10, 2018, and the company's data center business, whose segment revenue grew to $229.0 million from $37.7 million. Internal revenue growth was 3.6% for the year. The filing also highlights a shift in the mix of the business. Storage rental revenue rose to $2.62 billion and service revenue to $1.60 billion. Management noted that North American records and data management volumes declined slightly, that archival trends are reducing service activity in data management, and that secure shredding and recycled paper prices helped service growth in 2018. For 2019, the company expects internal storage rental revenue growth of approximately 1.75% to 2.5% and internal total revenue growth of approximately 2.0% to 2.5%. Balance-sheet leverage increased. Total long-term debt was $8.14 billion at year-end 2018, compared with $7.04 billion a year earlier, and cash fell to $165.5 million from $925.7 million after the IODC payment. Management stated the company is currently operating above its long-term targeted leverage ratio and expects leverage to decline over time. Dividends declared were $2.38 per share for 2018, up from $2.27 in 2017, and the company reported a 2018 effective tax rate of 10.1%, reflecting its REIT status.
Feb 14, 2019
2017
Iron Mountain Annual Report, Year Ended Dec 31, 2017
Iron Mountain Incorporated reported total revenues of $3,845.6 million for 2017, up from $3,511.5 million in 2016, with operating income of $649.1 million and net income attributable to Iron Mountain Incorporated of $183.8 million. Adjusted EBITDA rose to $1,260.2 million, an Adjusted EBITDA margin of 32.8%. Storage rental revenue was $2,377.6 million and service revenue was $1,468.0 million. Management described internal revenue growth of 2.3% for the year, with internal storage rental revenue growth of 3.9%. The company's strategy centers on storage rental as the recurring revenue base, with growth from fold-in acquisitions in developed markets, emerging-market acquisitions, and expansion of its data center business and adjacent businesses. Subsequent to year-end, on January 10, 2018, Iron Mountain completed the IODC Transaction for approximately $1,340.0 million of total consideration, which the filing describes as a transformative step in its data center platform. Funding came from the December 2017 equity offering, the over-allotment option and 5¼% senior notes due 2028, and the company had total long-term debt of $7,043.3 million at December 31, 2017. The filing also highlights ongoing risks, including the shift from paper and tape storage to alternative technologies, declining service activity as records become less active, foreign currency exposure, REIT qualification requirements, and increased indebtedness following acquisitions. The company reported that its disclosure controls and internal control over financial reporting were effective as of December 31, 2017.
Feb 16, 2018
2016
Iron Mountain Annual Report, Year Ended Dec 31, 2016
Iron Mountain Incorporated (NYSE: IRM), a Delaware corporation founded in 1951, stores physical records and data backup media and provides related information management services to more than 230,000 customers in 45 countries as of December 31, 2016. The company operated as a REIT beginning January 1, 2014, and its 2016 results were dominated by the May 2, 2016 acquisition of Recall Holdings Limited for a total purchase price of approximately $2,166.9 million. Total revenues rose to $3,511.5 million in 2016 from $3,008.0 million in 2015, and net income attributable to Iron Mountain was $104.8 million, compared with $123.2 million in 2015. Adjusted EBITDA increased to $1,087.3 million, with an Adjusted EBITDA margin of 31.0%, while total long-term debt grew to approximately $6.3 billion and total assets reached $9.49 billion. The filing highlights that the company's growth is driven by recurring storage rental revenue, which rose to $2,142.9 million in 2016 from $1,837.9 million, while internal storage rental revenue growth was 2.3% and internal service revenue growth was negative 0.6%. Management expects 2017 internal storage rental revenue growth of approximately 2.0% to 2.5% and capital expenditures of approximately $320.0 million to $370.0 million. Recall integration and divestiture costs are significant, with cumulative Recall Costs of $178.96 million through 2016 and total expected acquisition and integration expenditures of approximately $380.0 million. The company also declared a dividend of $0.55 per share on February 15, 2017, payable April 3, 2017. The filing flags key risks: REIT qualification requirements, a substantial debt load with a net total lease adjusted leverage ratio of 5.7 against a 6.5 covenant maximum, foreign currency exposure, the risk of declining physical records activity as storage becomes more archival, and pending divestments and integration risk. Management concluded that internal control over financial reporting was effective as of December 31, 2016, excluding Recall, which represented about 13% of consolidated revenues and 7% of consolidated assets.
Feb 23, 2017
2015
Iron Mountain Annual Report, Year Ended Dec 31, 2015
Iron Mountain Incorporated, a Delaware corporation, stores physical records and data backup media and provides related information management services, with more than 170,000 customers in 37 countries as of December 31, 2015. Total revenues were $3.01 billion in 2015, down from $3.12 billion in 2014, with storage rental revenue of $1,837.9 million and service revenue of $1,170.1 million. Operating income declined to $524.5 million from $549.3 million, while income from continuing operations fell to $125.2 million from $329.0 million, largely due to $98.6 million of other expense that includes $70.9 million of foreign currency transaction losses. Adjusted OIBDA was $920.0 million, a 30.6% margin, and the company generated $541.8 million of operating cash flow from continuing operations. Foreign exchange fluctuations reduced reported consolidated revenue growth by 5.6% in 2015, while internal revenue growth was 1.5%. The pending Recall Holdings acquisition, agreed June 8, 2015 via a Scheme of Arrangement, is the dominant near-term item. The filing estimates total purchase price of approximately $1,791.0 million at the February 19, 2016 share price, roughly $1,100.0 million total cost to close, and about $380.0 million of combined deal and integration costs, of which $47.1 million was incurred through December 31, 2015. Completion depends on Recall shareholder approval, the Sydney Federal Court, antitrust clearances in several countries, and NYSE and ASX listings, and the filing discloses reimbursement fees of A$25.5 million and A$76.5 million in certain termination scenarios. The company operates as a REIT, having elected REIT status effective January 1, 2014, and paid total declared distributions of $402.6 million in 2015 ($1.91 per share). Total long-term debt was $4.85 billion at year-end 2015, with a weighted average interest rate of 5.3%, and the company reported net income attributable to Iron Mountain of $123.2 million, or $0.58 per diluted share.
Feb 26, 2016
2014
Iron Mountain Annual Report, Year Ended Dec 31, 2014
Iron Mountain Incorporated (NYSE: IRM) reported total 2014 revenues of $3.12 billion, up from $3.02 billion in 2013, with storage rental revenue of $1.86 billion and service revenue of $1.26 billion. Operating income rose to $549.3 million from $489.2 million, and Adjusted OIBDA increased 3.5% to $925.8 million, with an Adjusted OIBDA margin of 29.7%. Net income attributable to Iron Mountain was $326.1 million, compared with $96.5 million in 2013, driven primarily by a $212.2 million net tax benefit from the REIT conversion, which took effect January 1, 2014. The company also recorded a $46.4 million tax charge tied to no longer indefinitely reinvesting foreign earnings. The company is highly leveraged, with total long-term debt of $4.66 billion at December 31, 2014, up from $4.17 billion a year earlier, and total equity declined to $869.9 million. Iron Mountain paid $1,048.9 million in distributions during 2014, including a $700.0 million special distribution, and stated it expects 2015 internal revenue growth of approximately 0% to 2%. Capital expenditures were $361.9 million in 2014, and the company guided to $330.0 million to $360.0 million for 2015. The filing also reports a January 20, 2015 merger with its predecessor to impose REIT ownership limits, and describes ongoing risks including REIT qualification, customer shifts to alternative storage technologies, declining service activity levels for less active records, foreign currency exposure, and debt covenants. The company reported no material pending legal proceedings in Item 3 and disclosed a $44.5 million payment to the U.S. Government and a $6.0 million Massachusetts settlement in the notes.
Feb 27, 2015
2013
Iron Mountain Annual Report, Year Ended Dec 31, 2013
Iron Mountain Incorporated (NYSE: IRM) reports that it stores primarily paper documents and data backup media and provides related information management services, with more than 155,000 clients in 36 countries and total revenues of $3,025.9 million for 2013, up 0.7% from $3,005.3 million in 2012. Operating income fell 11.6% to $492.4 million, Adjusted OIBDA declined 1.8% to $895.9 million, and net income attributable to Iron Mountain was $97.3 million, or $0.51 per diluted share, versus $171.7 million in 2012. The decline was driven largely by REIT Costs of $82.9 million, restructuring costs of $23.4 million, and a $59.1 million increase in other expenses tied to debt extinguishment and foreign exchange losses. The company began operating in a manner consistent with REIT status effective January 1, 2014, but the IRS has not yet issued favorable private letter rulings. The IRS was reported as "tentatively adverse" on whether its racking structures qualify as real estate, and the company states it cannot assure a favorable ruling or a conversion effective January 1, 2014. Estimated Conversion Plan costs are $395.0 million to $425.0 million, including $210.0 million to $225.0 million in related tax payments. Balance sheet leverage is significant: total long-term debt was $4.17 billion and total equity was $1.06 billion at year-end 2013. Management expects 2014 internal revenue growth of approximately 0% to 2%, and the company plans to fund future REIT-related distributions with a mix of cash and common stock, with at least 80% of the E&P Distribution in stock.
Feb 28, 2014
2012
Iron Mountain Annual Report, Year Ended Dec 31, 2012
Iron Mountain Incorporated reported total revenues of $3,005.3 million for 2012, down $9.4 million, or 0.3%, from $3,014.7 million in 2011. Operating income was $557.0 million and Adjusted OIBDA was $912.2 million (30.4% of revenues), down from $950.4 million (31.5%) in 2011. Net income attributable to Iron Mountain was $171.7 million, or $0.98 per diluted share, compared with $395.5 million in 2011, which included a $200.6 million gain on sale of discontinued operations. Storage rental revenue grew 3.0% to $1,733.1 million, while service revenue fell 4.5% to $1,272.1 million, driven by lower recycled paper prices and declining activity-based core services. The company is pursuing conversion to a REIT, with a Special Dividend of $700 million paid in November 2012, of which $140.0 million was cash and $560.0 million was common stock (approximately 17.0 million shares). The filing estimates total Conversion Plan costs of $375.0 million to $475.0 million, including $225.0 million to $275.0 million of related tax payments, and states the company may not qualify for REIT status effective January 1, 2014 if the IRS does not issue favorable private letter rulings. Total long-term debt rose to $3,825.0 million at year-end 2012 from $3,353.6 million, and total equity declined to $1,162.4 million, giving a debt-to-equity ratio of 3.29 as stated in the filing. Management expects 2013 internal revenue growth of approximately (1)% to 2% and capital expenditures of about $325.0 million.
Mar 1, 2013
2011
Iron Mountain Annual Report, Year Ended Dec 31, 2011
Iron Mountain Incorporated (NYSE: IRM) reported total revenues of $3,014.7 million for 2011, up from $2,892.3 million in 2010, with storage revenues of $1,683.0 million and service revenues of $1,331.7 million. Operating income rose to $571.2 million and Adjusted OIBDA was $934.9 million (31.0% of revenues, versus 32.0% in 2010). Net income attributable to Iron Mountain was $395.5 million, or $2.02 per diluted share, compared with a net loss of $57.6 million in 2010. The 2011 results were lifted by a $200.6 million gain on sale of discontinued operations, principally the $395.4 million sale of the Digital Business to Autonomy, and were offset by goodwill impairment charges of $46.5 million in the Western Europe reporting unit. The company is pursuing a three-year strategic plan announced in April 2011 that commits to stockholder payouts of approximately $2.2 billion through 2013, including about $1.2 billion returned by May 2012. As of February 10, 2012, the company had returned approximately $1.15 billion under these commitments. Total long-term debt was $3,353.6 million at year-end, against total equity of $1,254.3 million, and the company said it plans to operate around the midpoint of its 3x-4x target leverage range. The filing also states that a strategic review, including a possible conversion to a REIT, is ongoing. The filing discloses a material weakness in internal control over financial reporting, related to identifying and monitoring price reduction clauses in certain U.S. government customer contracts, which led management to conclude that internal control was not effective as of December 31, 2011. Management described an immaterial restatement of prior-period revenues tied to a billing error on a government contract. The company expects 2012 internal revenue growth of approximately (1)% to 2%, and it expects operating cash flow from continuing operations to decline in 2012 as recycled paper revenues fall and interest costs rise.
Feb 28, 2012
2010
Iron Mountain Annual Report, Year Ended Dec 31, 2010
Iron Mountain Incorporated's 2010 annual report describes a global information management business serving more than 150,000 corporate clients in over 35 countries, with total 2010 revenues of $3.13 billion (up 3.8% from $3.01 billion in 2009) and internal revenue growth of 2.3%. Storage revenues grew 3.8% to $1.73 billion and service revenues rose to $1.40 billion. Operating income fell 41.0% to $323.6 million because of a $283.8 million non-cash goodwill impairment charge tied to the Worldwide Digital Business segment, which produced a net loss attributable to Iron Mountain Incorporated of $53.9 million, or $(0.27) per diluted share. Adjusted OIBDA rose 8.9% to $945.5 million, and the margin improved to 30.2% of revenues from 28.8%. Cash generation and shareholder returns were central to the year. Operating cash flow was $625.1 million, and free cash flow before acquisitions and discretionary investments was $373.4 million. The company initiated a quarterly dividend in 2010 and raised it to $0.1875 per share in December 2010, and it authorized up to $350.0 million in share repurchases, of which $238.5 million remained at year-end. Total long-term debt was $3.01 billion against total equity of $1.96 billion, a debt-to-equity ratio of 1.53. Management expects 2011 internal revenue growth of approximately 0% to 2%. Subsequent events include the January 2011 redemption of the remaining $231.3 million of 7 3/4% Notes and the acquisition of the remaining 80% of its Polish joint venture for an estimated $69.5 million. Known legal matters include a Brazilian labor suit, a patent infringement suit over Connected backup technology seeking about $26 million, and claims arising from a 2006 London warehouse fire. The company states that none of these is expected to have a material impact on its results or financial condition.
Mar 1, 2011
2009
Iron Mountain Annual Report, Year Ended Dec 31, 2009
Iron Mountain Incorporated reported total revenues of $3.01 billion for 2009, down 1.4% from $3.06 billion in 2008, with internal revenue growth of 3% and foreign currency fluctuations reducing reported revenue by 4%. Operating income rose 11.4% to $548.5 million, and net income attributable to Iron Mountain increased to $220.9 million from $82.0 million, helped by foreign currency transaction gains and a lower effective tax rate of 33.2%. Adjusted OIBDA grew 9.8% to $868.0 million, with Adjusted OIBDA margin rising to 28.8% from 25.9%. Storage revenues, which the company describes as stable and recurring, were $1.70 billion and accounted for over 54% of total revenues in each of the last five years. The company describes itself as a leading information management services company serving more than 140,000 corporate clients in 38 countries. Management said it expects to achieve more of its revenue growth internally in 2010 and beyond, and it expects 2010 internal revenue growth between 4% and 6%. Capital expenditures were $312.8 million in 2009, and management expects approximately $320 million in 2010, excluding acquisitions. Total long-term debt was $3.25 billion at year-end, with a debt-to-equity ratio of 1.52, and the company reported compliance with all debt covenants. In February 2010 the company acquired Mimosa Systems for approximately $112 million in cash, approved a $150 million share repurchase program, and adopted a dividend policy calling for a first quarterly dividend of $0.0625 per share payable April 15, 2010. The filing also discloses a pending Pittsburgh lawsuit seeking damages of $6.5 million to $53.5 million, for which no loss reserve has been recorded, and continuing claims related to the July 2006 London fire.
Feb 26, 2010
2008
Iron Mountain Annual Report, Year Ended Dec 31, 2008
Iron Mountain Incorporated (NYSE: IRM) reported total revenues of $3.06 billion for the year ended December 31, 2008, up 11.9% from $2.73 billion in 2007, with internal revenue growth of 8%. Storage revenues reached $1.66 billion and service revenues $1.40 billion. Operating income rose 8.3% to $492.5 million and OIBDA increased 11.3% to $783.3 million, with OIBDA margin at 25.6%. Net income, however, fell 46.4% to $82.0 million from $153.1 million, primarily due to higher other expense of $31.0 million (mainly foreign currency transaction losses of $28.9 million) and a provision for income taxes of $142.9 million, reflecting an effective tax rate of 63.6%. The company carried total long-term debt of $3.24 billion against stockholders' equity of $1.80 billion at year-end, a debt-to-equity ratio of 1.80x. Management stated it was in compliance with all debt covenants, with its IMI revolving credit and term leverage ratio at 3.8x against a maximum allowable 5.5x. Management expects 2009 internal revenue growth of 5% to 7% and planned capital expenditures of approximately $420 million excluding acquisitions. The filing also notes that a 2009 commodity price decline, including recycled paper and fuel, is expected to reduce revenue growth by about 2%. The filing describes Iron Mountain as a global provider of records management, data protection and recovery, and information destruction services, serving more than 120,000 corporate clients in 38 countries. The company has never paid cash dividends on its common stock. Its London fire litigation remains pending, and management does not expect it to have a material impact on results.
Mar 2, 2009
2007
Iron Mountain Annual Report, Year Ended Dec 31, 2007
Iron Mountain Incorporated (NYSE: IRM) reported total revenues of $2.73 billion for 2007, up from $2.35 billion in 2006, with operating income of $454.7 million and net income of $153.1 million. Management describes the company as the global leader in information protection and storage services, serving more than 100,000 corporate clients across 37 countries as of December 31, 2007. Storage revenues were $1.50 billion and service and storage material sales were $1.23 billion. OIBDA rose to $704.0 million, though its margin declined to 25.8% from 26.2% in 2006. Internal revenue growth was 10% in 2007, with acquisitions contributing 3% and foreign currency 3%. The balance sheet carries substantial leverage. Total long-term debt was $3.27 billion against stockholders' equity of $1.80 billion, a debt-to-equity ratio of 1.82x. In 2007 the company acquired ArchivesOne, RMS and Stratify, paid $481.5 million in net cash for acquisitions, and spent $386.4 million on capital expenditures. The filing guides to 2008 capital expenditures of $440 million to $480 million, excluding acquisitions. The company has never paid cash dividends. Its covenant leverage ratios were 4.5 for the credit facility (maximum 5.5) and 5.1 for the bonds (maximum 6.5), and it reported compliance with all debt covenants at year end. Key investor risks disclosed include data-security liability and reputational harm from lost customer media, such as the September 2007 loss of Louisiana Office of Student Financial Assistance backup media now subject to class actions, and the July 2006 London fire, where claims remain outstanding. Other risks include international currency exposure, with 32% of 2007 revenues from outside the U.S., and reliance on paper storage in the face of alternative technologies.
Feb 29, 2008
2006
Iron Mountain Annual Report, Year Ended Dec 31, 2006
Iron Mountain Incorporated (IRM) reported its 2006 results in this Form 10-K filed March 1, 2007. The company describes itself as the global leader in information protection and storage services, with total 2006 revenues of $2.35 billion (up from $2.08 billion in 2005), operating income of $407.2 million, and net income of $128.9 million, compared with $111.1 million in 2005. OIBDA rose to $615.6 million, though its margin declined to 26.2% from 27.6%. Storage revenues were $1.33 billion and service and storage material sales were $1.02 billion. Internal revenue growth was 9% for 2006, and the company says storage revenues have grown for 72 consecutive quarters. The balance sheet shows total assets of $5.21 billion, long-term debt of $2.67 billion and stockholders' equity of $1.55 billion. The company describes itself as highly leveraged, with a bond leverage ratio of 4.6 as of December 31, 2006 against a maximum allowable ratio of 6.5. Cash flow from operations was $374.3 million, capital expenditures were $382.0 million, and the company expects 2007 capital expenditures of $390 million to $420 million excluding acquisitions. The company has never paid cash dividends and does not expect to. Its stock traded on the NYSE under "IRM" and was subject to a three-for-two stock split in December 2006. Investors should note the risks the filing highlights: heavy reliance on real estate, exposure to international operations, debt covenants, and the July 2006 fire at a London facility, which the company does not expect to have a material impact. In January 2007 the company issued 225.0 million Euro of senior subordinated notes and used the proceeds to repay IMI term loan and revolving credit facility borrowings.
Mar 1, 2007
2005
Iron Mountain Annual Report, Year Ended Dec 31, 2005
Iron Mountain Incorporated (NYSE: IRM) reported total revenues of $2.08 billion for the year ended December 31, 2005, up from $1.82 billion in 2004, with operating income of $386.8 million and net income of $111.1 million, or $0.84 per diluted share. The company describes itself as the global leader in information protection and storage services, serving more than 90,000 corporate clients across North America, Europe, Latin America and the Pacific Rim. Storage revenues, which it describes as recurring, accounted for over 56% of total consolidated revenues in each of the last five years, and the company states that its quarterly storage revenues have grown for 68 consecutive quarters. Growth in 2005 came from both internal growth and acquisitions. Internal revenue growth was 8% in 2005, and the company says it expects most future revenue growth to come internally in the absence of unusual acquisition activity. In December 2005 it completed three acquisitions: Pickfords (Australia and New Zealand) for approximately $86 million, LiveVault for approximately $36 million, and Secure Destruction (U.K. shredding). OIBDA rose to $573.7 million, or 27.6% of revenues, from 28.0% in 2004. Leverage remains significant. Long-term debt was $2,529.4 million against stockholders' equity of $1,370.1 million, a debt-to-equity ratio of 1.85x, and the company states its bond leverage ratio was 5.0 at both year-ends, against a maximum of 6.5. The company has never paid cash dividends, and the filing reports capital expenditures of $272.1 million in 2005 with 2006 capital expenditures expected between $300 million and $355 million, excluding acquisitions.
Mar 16, 2006
2004
Iron Mountain Annual Report, Year Ended Dec 31, 2004
Iron Mountain Incorporated (IRM) reported total revenues of $1.82 billion for fiscal 2004, up 21.1% from $1.50 billion in 2003, with internal revenue growth of 8% for the year. Operating income rose 13.0% to $344.5 million, and net income increased 11.3% to $94.2 million. OIBDA grew 16.6% to $508.1 million, though OIBDA margin declined to 28.0% from 29.0%, which the company attributed largely to higher labor, facilities and transportation costs tied to its European operations and secure shredding business. Growth was helped by acquisitions, including the July 2003 Hays IMS purchase, the February 2004 buyout of Mentmore's 49.9% stake in Iron Mountain Europe Limited for 82.5 million British pounds sterling ($154 million), and the November 2004 acquisition of Connected Corporation for $109 million net of cash acquired. The balance sheet expanded materially, with total assets of $4.44 billion and long-term debt of $2.48 billion at December 31, 2004, compared with $3.89 billion and $2.09 billion a year earlier. Management stated that the company is highly leveraged and that its key bond leverage ratio was 5.0 at year-end, against a target range of 4.5 to 5.5 and a maximum of 6.5 under its bond indentures. Cash flow from operations was $305.4 million, which funded capital expenditures of $232.0 million and acquisitions. The company expects 2005 capital expenditures, excluding acquisitions, of approximately $220 million to $250 million, and does not expect to pay significant income taxes in 2005 given its net operating loss carryforwards. The filing also describes ongoing litigation involving former director J. Peter Pierce, Sequedex, H-W Associates and Pioneer Capital. Management does not believe these proceedings will have a material adverse effect on financial condition or results of operations, although the outcome cannot be predicted with certainty. Management concluded that internal control over financial reporting was effective as of December 31, 2004, and Deloitte & Touche LLP issued an unqualified opinion on that assessment.
Mar 16, 2005
2003
Iron Mountain Annual Report, Year Ended Dec 31, 2003
Iron Mountain Incorporated's 2003 Form 10-K reports total revenues of $1.50 billion for the year ended December 31, 2003, up 13.9% from $1.32 billion in 2002, with internal revenue growth of 6%. Storage revenues rose 15.2% to $875.0 million and service and storage material sales rose 12.0% to $626.3 million. Operating income increased 20.7% to $304.9 million, OIBDA rose 20.5% to $435.8 million (29.0% of revenues), and net income increased 45.2% to $84.6 million, or $0.98 per diluted share. Results were supported by the July 2003 acquisition of the records management operations of Hays plc (Hays IMS), which cost about $333 million and was split between the company and its European joint venture, Iron Mountain Europe (IME). Leverage and capital structure are the main investor considerations. Long-term debt was $2.09 billion at year-end 2003, up from $1.73 billion, and the company describes itself as highly leveraged. Its key bond leverage ratio rose to 5.0 from 4.8, and the company states that it was in compliance with all material debt covenants. Subsequent to year-end, the company issued 150 million British pounds of 7 1/4% notes in January 2004 and used the proceeds to buy Mentmore plc's 49.9% stake in IME for 82.5 million pounds, giving it full ownership of IME. The company paid no common dividends in the last two years, and its credit agreement limits dividends and stock repurchases. The filing also discloses ongoing litigation, most notably the Sequedex competitor dispute, in which Sequedex's counterclaims seek compensatory damages of approximately $59 million plus $6.6 million of pre-judgment interest, with a trial scheduled for April 2004. The South Brunswick fire lawsuits from 1997 also remain pending. Management does not believe the outcome of these proceedings will have a material adverse effect on financial condition or results of operations.
Mar 11, 2004
2002-A
Iron Mountain Annual Report (Amendment), Year Ended Dec 31, 2002
Iron Mountain Incorporated's Amendment No. 1 on Form 10-K/A amends and restates Items 1, 6, 7 and 15 and Notes 6 and 12 of its 2002 Annual Report, primarily for compliance with Regulation G after the company filed a Form S-3 shelf registration on May 23, 2003. The company describes itself as the leader in records and information management services, with total 2002 revenues of $1.32 billion, storage revenues of $759.5 million (about 58% of total revenues), and services with approximately 85% of revenues from storage and core services. Net income rose to $58.3 million in 2002 from a net loss of $44.1 million in 2001, and EBITDA increased 28.6% to $362.8 million, or 27.5% of revenues. Revenue grew 11.2% in 2002, with internal revenue growth of 9.5%. Operating income rose to $253.2 million from $145.0 million, driven partly by the elimination of goodwill amortization under SFAS No. 142 and lower depreciation and amortization of $109.8 million. Cash flow from operations was $254.9 million, and the company expects 2003 capital expenditures of $190.0 million to $215.0 million, excluding acquisitions. Total debt was $1.73 billion at year-end, and the company reported that its bond leverage ratio declined to 4.8 from 5.2. The filing also discloses material risks, including ongoing litigation over the 1997 South Brunswick fires, lawsuits involving former director J. Peter Pierce and the competitor Sequedex, and the consolidation of three variable interest entities that added $202.6 million of real estate term loans to the balance sheet. Management does not believe these proceedings will have a material adverse effect on financial condition or results of operations, though no assurance is given.
Jun 5, 2003
2002
Iron Mountain Annual Report, Year Ended Dec 31, 2002
Iron Mountain Incorporated's 10-K for fiscal 2002 describes the company as the leader in records and information management services (RIMS), serving more than half of the Fortune 500 with over 150,000 customer accounts across 81 U.S. markets and 47 markets outside the United States. Total revenues were $1,318.5 million in 2002, up 11.2% from $1,185.7 million in 2001, driven by internal revenue growth of 9.5%. Net income rose to $58.3 million from a net loss of $44.1 million in 2001, and Adjusted EBITDA increased 20.4% to $363.9 million, or 27.6% of revenues. Storage revenues were $759.5 million, and the company reports that storage and core services represented approximately 85% of total revenues. Cash flow from operations increased to $254.9 million in 2002 from $160.9 million in 2001. Capital expenditures were $197.0 million, and the company expects to invest between $190.0 million and $215.0 million in capital expenditures in 2003, excluding acquisitions. Long-term debt was $1,732.1 million at December 31, 2002, and the company describes itself as highly leveraged, with a bond leverage ratio of 4.8 (down from 5.2). The company completed the integration of Pierce Leahy ahead of schedule in 2002 and is refinancing its debt, including a $100.0 million offering of 7 3/4% senior subordinated notes in December 2002 and an exchange of notes in March 2003. The filing also discloses ongoing litigation: claims related to the March 1997 South Brunswick, New Jersey fires, and proceedings involving former director J. Peter Pierce and competitor Sequedex. Management does not believe these matters will have a material adverse effect on financial condition or results of operations, although outcomes cannot be predicted with certainty. The company also states it will no longer present Adjusted EBITDA in public filings after March 28, 2003.
Mar 21, 2003
2001
Iron Mountain Annual Report, Year Ended Dec 31, 2001
Iron Mountain Incorporated's 10-K for fiscal 2001 describes the company as the leader in outsourced records and information management services, serving more than half of the Fortune 500 across 124 markets, with total 2001 revenues of $1,171.1 million, up from $986.4 million in 2000. Storage revenues were $694.5 million and service and storage material sales were $476.6 million. Internal revenue growth was 10.5%, and Adjusted EBITDA rose to $302.2 million (25.8% of revenues) from $257.0 million. Storage and core services represented approximately 86% of 2001 revenues, and storage revenues have been about 60% of total revenues in each of the last five years. Profitability remained weak at the net income line. The company reported a 2001 net loss of $44.1 million, driven by $134.7 million of interest expense, $153.6 million of depreciation and amortization, an $18.4 million other expense (including a $6.9 million investment impairment and a $10.4 million foreign currency loss), and an $11.8 million extraordinary charge from early debt retirement. Total debt was $1,496.1 million at year-end 2001, and shareholders' equity was $885.96 million. Management attributes the losses in part to growth-related depreciation, goodwill amortization, and interest costs. Goodwill amortization is set to cease on January 1, 2002 under SFAS 142, which management expects to increase 2002 operating income by approximately $59 million, subject to possible impairment write-downs. Liquidity was supported in 2001 by $427.9 million of net proceeds from 8 5/8% senior subordinated notes, used to retire the 11 1/8% and 10 1/8% notes. On March 15, 2002, the company entered into an amended and restated credit agreement of $650.0 million, including a $400.0 million revolver and a $250.0 million term loan. Management estimates 2002 capital expenditures of $175 to $200 million and expects cash flow from operations and borrowings to fund them. The company does not pay cash dividends and has a pending legal matter from 1997 arson fires at its South Brunswick, New Jersey facilities, which management does not believe will have a material adverse effect.
Mar 21, 2002
2000
Iron Mountain Annual Report, Year Ended Dec 31, 2000
Iron Mountain Incorporated (NYSE: IRM) reported total 2000 revenues of $986.4 million, up from $519.5 million in 1999, driven primarily by the February 1, 2000 merger with Pierce Leahy Corp., which was valued at $1.0 billion and structured as a reverse merger in which Iron Mountain was the accounting acquirer. Internal revenue growth was 12.3% for total revenues. EBITDA from continuing operations rose to $257.0 million (26.1% of revenues) from $129.7 million in 1999, but the company posted a 2000 net loss of $27.8 million ($0.52 per share), compared with a $14.2 million net loss in 1999. Net loss was driven by $126.8 million of depreciation and amortization, $118.0 million of interest expense, $15.1 million of stock option compensation expense and $9.1 million of merger-related expenses. The balance sheet expanded significantly, with total assets of $2.66 billion and total debt of $1.36 billion at December 31, 2000, up from $1.32 billion and $612.9 million a year earlier. Goodwill grew to $1.53 billion. Net cash provided by operating activities was $157.6 million, and capital expenditures were $168.7 million. For 2001, the company estimated capital expenditures of $175 to $200 million, excluding acquisitions and digital services, and it expects merger integration to save about $15 million annually within three years. The company stated it does not anticipate paying cash dividends and is shifting its focus from acquisitions toward internal revenue growth. The filing also discloses litigation from March 1997 arson fires at the South Brunswick Township, New Jersey facilities. Management does not believe the outcome will have a material adverse effect, although it cannot be predicted with certainty.
Mar 23, 2001
1997
Iron Mountain Annual Report, Year Ended Dec 31, 1997
Pierce Leahy Corp. (now Iron Mountain Incorporated) reported a 1997 net loss of $15.2 million on total revenues of $183.5 million, up from $129.7 million in 1996, an increase the filing states as 41.4%. Storage revenues were $107.9 million (58.8% of total revenues) and service and storage material sales were $75.6 million (41.2%). Operating income rose to $27.5 million from $19.7 million, while interest expense climbed to $29.3 million from $17.2 million. EBITDA was $51.5 million, or 28.1% of revenues, and the company describes itself as the largest hard copy records management company in North America, with 64.0 million cubic feet of records under management and 188 facilities. The net loss reflects a $7.4 million income tax provision, which includes a $6.6 million one-time charge from terminating the company's S corporation status upon its July 1997 initial public offering, and a $6.0 million extraordinary charge for early debt extinguishment. The IPO raised net proceeds of $93.6 million, and the company completed 17 acquisitions in 1997 for an aggregate purchase price of $109.1 million. Total assets grew to $394.7 million and shareholders' equity became positive at $59.3 million, compared with a deficit of $25.4 million a year earlier. Looking ahead, the company signed a definitive agreement to acquire Archivex Inc., a Canadian records management company, for CDN $90.0 million, expected to close in April 1998, and it expects 1998 capital expenditures of approximately $35.0 million. Management states that cash flow from operations and borrowings under the Credit Facility will be sufficient for the foreseeable future. The company does not expect to pay cash dividends, and its ability to do so is limited by its senior subordinated notes and credit facility.
Mar 31, 1998
1996
Iron Mountain Annual Report, Year Ended Dec 31, 1996
Pierce Leahy Corp. (now Iron Mountain Incorporated) reported in its 10-K for the fiscal year ended December 31, 1996 that it is the largest archive records management company in North America, with 42.3 million cubic feet of records under management across 136 facilities (123 in the United States and 13 in Canada). Total revenues rose from $95.4 million in 1995 to $129.7 million in 1996, an increase of 36.0%, with $25.7 million of the growth attributed to acquisitions. Storage revenues were 58.5% of total revenues in 1996. Net income fell to $0.5 million from $2.1 million in 1995, weighed down by interest expense that rose to $17.2 million, a $2.0 million extraordinary charge from debt refinancing, and $3.3 million of non-recurring charges. The company's balance sheet became considerably more leveraged during 1996. Following the July 1996 issuance of $200.0 million of 11-1/8% Senior Subordinated Notes due 2006, total debt including redeemable warrants rose to $217.4 million from $120.1 million, and shareholders' deficit widened to $25.4 million. Net cash from operating activities increased to $26.4 million, while $108.8 million was used in investing activities, primarily for acquisitions and capital expenditures. The company completed 12 acquisitions in 1996 and four more in early 1997, and has signed a definitive agreement to buy a regional records management company for approximately $62.0 million, to be financed under its credit facility. The filing shows that EBITDA grew to $35.9 million in 1996 (27.7% of revenues) from $23.6 million in 1995, and that the company expects 1997 capital expenditures of approximately $30 million. The company's Class A common stock was held by a small group of Pierce family members and related holders, with no non-affiliate market value reported as of March 1, 1997.
Mar 11, 1997