Iron Mountain Q4 Profit Surges, Backs FY14 View - Update

(RTTNews) - Information management services provider Iron Mountain Inc. (IRM) Friday reported a sharp increase in fourth-quarter profit, reflecting higher revenues as well as income tax benefit. The company also reiterated its guidance for full year 2014.

William Meaney, president and chief executive officer of the company said, "Our business fundamentals for the fourth quarter were in line with our expectations, and we are pleased with the underlying trends in the business as we move into 2014."

For the fourth quarter, net income attributable to the company significantly increased to $47.27 million or $0.25 per share from $25.49 million or $0.14 per share in the prior year.

Adjusted earnings from continuing operations for the recent quarter were $0.15 per share, while the company posted $0.20 per share in 2012. Excluding restructuring charge and related tax impacts, fourth quarter adjusted earnings would have been $0.22 per share, the firm said.

On average, 10 analysts polled by Thomson Reuters expected the company to earn $0.22 per share for the quarter. Analysts' estimates typically exclude special items.

For the recent quarter, the company recorded a benefit from income taxes totaling $25.90 million, while the prior year had a provision of $9.53 million.

Revenues for the quarter increased to $768.53 million from $758.47 million last year. Nine analysts had consensus revenue estimate of $775.44 million for the quarter. On a constant dollar basis, total revenues were up 2.7 percent.

Storage Rental revenues were $455.36 million, up from $439.70 million last year. Meanwhile, Service revenues declined to $313.17 million from $318.77 million in the preceding year.

The company still expects fiscal 2014 adjusted earnings per share to be in the range of $1.03 to $1.14, and revenues of $3.09 billion to $3.17 billion. Street currently is looking for 2014 earnings of $1.11 per share, on revenues of $3.12 billion.

IRM closed Thursday's regular trading at $28.41 on the NYSE. In the pre-market activity, the shares are up 3.13 percent.