Key points
- Megaport secures three new AI infrastructure contracts with a combined TCV of approximately $978.6M
- New contracts increase pro forma Group Annual Recurring Revenue (ARR) to approximately $1.1B
- Upgraded FY27 Group guidance: Revenue of $720M - $810M, EBITDA margin of 42-44%
- Increased FY27 Group Capex to $1.78B - $1.88B
- Megaport is fully funded for strategic contracts and GPU pool replenishment with pro forma liquidity of approximately $362.2M
Full summary
Megaport Limited announced the securing of three new AI infrastructure contracts, collectively valued at approximately $978.6 million, significantly boosting its Annual Recurring Revenue (ARR) to around $1.1 billion. The new contracts, which include GPU and CPU compute, network, and storage for AI applications, are expected to contribute approximately $232.4 million in ARR by Q4 FY27. The company also provided an upgraded FY27 guidance, projecting a revenue range of $720 million to $810 million, an EBITDA margin of 42-44%, and increased capital expenditure to $1.78 billion to $1.88 billion. Megaport is fully funded for these strategic contracts and GPU pool replenishment, with a pro forma liquidity of approximately $362.2 million.
Guidance
FY27 Group Revenue: $720M - $810M, EBITDA Margin: 42-44%, Group Capex: $1.78B - $1.88B
Outlook
Megaport is optimistic about its future growth, driven by the new strategic contracts and the early execution of previously announced strategic contracts. The company remains focused on disciplined investment and delivery, aiming to expand its AI inference platform and customer base.