Segment Information

12 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

Segment Information

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. Our chief operating decision-maker evaluates performance, makes operating decisions and allocates resources based on our revenues and adjusted EBITDA, both on a consolidated basis and based on these three reportable segments. Intercompany transactions between segments are excluded for management reporting purposes.

The following tables present revenue information disaggregated by product lines and geographic areas (in thousands):

	Year Ended December 31, 2023
	Americas		EMEA		Asia-Pacific		Total
Colocation (1)	$	2,365,049	$	2,112,168	$	1,288,844	$	5,766,061
Interconnection	820,007		307,337		266,966		1,394,310
Managed infrastructure	249,779		130,061		71,833		451,673
Other (1)	22,118		98,591		11,978		132,687
Recurring revenues	3,456,953		2,648,157		1,639,621		7,744,731
Non-recurring revenues	160,539		189,697		93,169		443,405
Total	$	3,617,492	$	2,837,854	$	1,732,790	$	8,188,136

(1)    Includes some leasing and hedging activities.

	Year Ended December 31, 2022
	Americas		EMEA		Asia-Pacific		Total
Colocation (1)	$	2,187,751	$	1,744,121	$	1,150,738	$	5,082,610
Interconnection	756,214		268,398		243,664		1,268,276
Managed infrastructure	218,499		119,361		77,646		415,506
Other (1)	20,727		75,449		8,719		104,895
Recurring revenues	3,183,191		2,207,329		1,480,767		6,871,287
Non-recurring revenues	166,026		135,875		89,917		391,818
Total	$	3,349,217	$	2,343,204	$	1,570,684	$	7,263,105

(1)    Includes some leasing and hedging activities.

	Year Ended December 31, 2021
	Americas		EMEA		Asia-Pacific		Total
Colocation (1)	$	2,002,253	$	1,597,830	$	1,042,131	$	4,642,214
Interconnection	678,677		259,538		223,287		1,161,502
Managed infrastructure	168,577		124,937		87,343		380,857
Other (1)	12,430		19,626		3,856		35,912
Recurring revenues	2,861,937		2,001,931		1,356,617		6,220,485
Non-recurring revenues	159,814		153,285		101,953		415,052
Total	$	3,021,751	$	2,155,216	$	1,458,570	$	6,635,537

(1)    Includes some leasing and hedging activities.

Total revenues attributed to the U.S. were $3.1 billion, $2.9 billion and $2.6 billion for the year ended December 31, 2023, 2022, and 2021, respectively. For the year ended December 31, 2023, we derived revenues of $821.9 million from the United Kingdom, which is the only country outside of the U.S. from which we derived revenues that exceeded 10% of our total revenues. There was no country outside of the U.S. from which we derived revenues that exceeded 10% of revenues for the years ended December 31, 2022 and 2021. No single customer accounted for 10% or greater of our accounts receivable or revenues for the years ended December 31, 2023, 2022, and 2021.

We define adjusted EBITDA 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 charges, impairment charges, transaction costs and gain or loss on asset sales as presented below for the years ended December 31 (in thousands):

	2023		2022		2021
Adjusted EBITDA:
Americas	$	1,613,696	$	1,521,775	$	1,326,460
EMEA	1,251,276		1,109,502		1,033,333
Asia-Pacific	836,869		738,423		784,591
Total adjusted EBITDA	3,701,841		3,369,700		3,144,384
Depreciation, amortization and accretion expense	(1,843,665)		(1,739,374)		(1,660,524)
Stock-based compensation expense	(407,536)		(403,983)		(363,774)
Transaction costs	(12,412)		(21,839)		(22,769)
Gain (loss) on asset sales	5,046		(3,976)		10,845
Interest income	94,227		36,268		2,644
Interest expense	(402,022)		(356,337)		(336,082)
Other expense	(11,214)		(51,417)		(50,647)
Gain (loss) on debt extinguishment	(35)		327		(115,125)
Income before income taxes	$	1,124,230	$	829,369	$	608,952

We also provide the following segment disclosures related to our operations as follows for the years ended December 31 (in thousands):

	2023		2022		2021
Depreciation and amortization:
Americas	$	1,000,976	$	931,357	$	865,910
EMEA	499,888		458,156		455,651
Asia-Pacific	344,274		346,695		334,729
Total	$	1,845,138	$	1,736,208	$	1,656,290
Capital expenditures:
Americas	$	1,626,953	$	1,139,309	$	970,217
EMEA	717,471		750,569		1,049,279
Asia-Pacific	436,594		388,126		732,016
Total	$	2,781,018	$	2,278,004	$	2,751,512

Our long-lived assets, including property, plant and equipment, net and operating lease right-of-use assets, are located in the following geographic areas as of December 31 (in thousands):

	2023		2022
Americas (1)	$	8,610,354	$	7,532,125
EMEA	6,321,164		5,577,498
Asia-Pacific	3,669,315		3,539,911
Total Property, plant and equipment, net	$	18,600,833	$	16,649,534

(1)Includes $6.7 billion and $6.0 billion, respectively, of property, plant and equipment, net attributed to the U.S. as of December 31, 2023 and 2022.

	2023		2022
Americas (1)	$	421,268	$	263,148
EMEA	367,865		440,139
Asia-Pacific	659,757		724,663
Total Operating lease right-of-use assets	$	1,448,890	$	1,427,950

(1)Includes $398.3 million and $244.7 million of operating lease ROU assets attributed to the U.S. as of December 31, 2023 and 2022, respectively.