Digital Realty’s record bookings bolster AI-infrastructure growth case

Transcript intelligence

What changed

Management pointed to more than $1 billion in 2025 bookings and a record $1.4 billion backlog, alongside growing zero-to-one-megawatt interconnection demand. The call also highlighted an inaugural closed-end fund with $3.2 billion of LP equity commitments and a shift toward power-based occupancy reporting.

Guidance delta

Management maintained its 2026 outlook: 8% FFO growth, revenue and EBITDA growth above 10%, and capital expenditures of $3.25 billion to $3.75 billion.

Key takeaways

• Core FFO increased 10% year over year to $7.39 per share for 2025; Q4 core FFO was up 8% year over year.
• Bookings exceeded $1 billion in 2025 and backlog reached a record $1.4 billion, providing demand visibility.
• Zero-to-one-megawatt interconnection bookings rose 35% year over year, which management associated with higher-density and AI workloads.
• The 2026 plan combines growth targets with higher capital spending of $3.25 billion to $3.75 billion.

Management priorities

• Deploy AI-ready, high-density capacity with pre-installed liquid cooling.
• Expand PlatformDIGITAL, the private AI exchange and Service Fabric connectivity.
• Continue APAC expansion while targeting $0.5 billion to $1 billion of dispositions and joint-venture investments in 2026.