Highlights
Reported net income available to common stockholders of $0.46 per share in 1Q26, compared to $0.27 in 1Q25
Reported FFO per share of $1.99 in 1Q26, compared to $1.67 in 1Q25
Reported Core FFO per share of $2.04 in 1Q26, compared to $1.77 in 1Q25; reported Constant-Currency Core FFO per share of $1.96 in 1Q26
Signed total bookings during 1Q26 that are expected to generate $707 million of annualized GAAP base rent at 100% share; at Digital Realty's share, total bookings were $423 million, including a $98 million contribution from the 0-1 megawatt plus interconnection category
Reported a total backlog of $1.8 billion of annualized GAAP base rent at 100% share, at the end of 1Q26; at Digital Realty's share, the total backlog was $1.0 billion
Reported rental rate increases on renewal leases of 5.0% on a cash basis in 1Q26
Raised 2026 Core FFO per share outlook to $8.00 - $8.10 and 2026 Constant-Currency Core FFO per share outlook to $7.95 - $8.05
Financial Results
Digital Realty reported total revenues of $1.6 billion in the first quarter of 2026, in line with the previous quarter and a 16% increase from the same quarter last year.
The company delivered net income of $175 million in the first quarter of 2026, as well as net income available to common stockholders of $169 million and $0.46 per share, compared to $0.24 per share in the previous quarter and $0.27 per share in the same quarter last year.
Digital Realty generated Adjusted EBITDA of $920 million in the first quarter of 2026, a 7% increase from the previous quarter and a 16% increase over the same quarter last year.
The company reported Funds From Operations (FFO) of $700 million in the first quarter of 2026, or $1.99 per share, compared to $1.89 per share in the previous quarter and $1.67 per share in the same quarter last year.
Excluding certain items that do not represent core expenses or revenue streams, Digital Realty delivered Core FFO per share of $2.04 in the first quarter of 2026, compared to $1.86 per share in the previous quarter and $1.77 per share in the same quarter last year. Digital Realty delivered Constant-Currency Core FFO per share of $1.96 in the first quarter of 2026.
"Digital Realty saw a further acceleration in data center demand and our growth trajectory in the first quarter, with record 0–1 megawatt plus interconnection leasing and the largest hyperscale lease in company history, which contributed to double-digit growth in Core FFO per share," said Digital Realty President and Chief Executive Officer Andy Power. "We are swiftly advancing hyperscale AI-oriented capacity in the U.S., growing our connectivity-rich portfolio across key global markets, and broadening our capital base to prudently extend Digital Realty's runway for growth."
Leasing Activity
In the first quarter, Digital Realty signed total bookings that are expected to generate $707 million of annualized GAAP rental revenue, at 100% share; at Digital Realty's share, total bookings were $423 million, including a $79 million contribution from the 0-1 megawatt category and a $19 million contribution from interconnection.
The weighted-average lag between new leases signed during the first quarter of 2026 and the contractual commencement date was nineteen months. The backlog of signed-but-not-commenced leases at quarter-end was $1.8 billion of annualized GAAP base rent at 100% share, and $1.0 billion at Digital Realty's share.
In addition, Digital Realty also signed renewal leases representing $193 million of annualized cash rental revenue during the quarter. Rental rates on renewal leases signed during the first quarter of 2026 increased 5.0% on a cash basis and 6.3% on a GAAP basis.
New leases signed during the first quarter of 2026, at Digital Realty's share, are summarized by region and product as follows:
Annualized GAAP
Base Rent
GAAP Base Rent
Americas
(in thousands)
Megawatts
per Kilowatt
0-1 MW
$40,444
13.2
$256
> 1 MW
280,082
134.5
174
Other(1)
385
—
—
Total
$320,912
147.7
$181
EMEA(2)
0-1 MW
$29,282
8.6
$284
> 1 MW
8,007
3.2
209
Other(1)
132
—
—
Total
$37,422
11.8
$264
Asia Pacific(2)
0-1 MW
$9,228
4.9
$158
> 1 MW
36,392
11.7
260
Other(1)
210
—
—
Total
$45,829
16.5
$230
All Regions(2)
0-1 MW
$78,954
26.6
$247
> 1 MW
324,482
149.3
181
Other(1)
728
—
—
Total
$404,163
176.0
$191
Interconnection
$18,611
N/A
N/A
Grand Total at DLR Share
$422,774
176.0
$191
Grand Total at 100% Share
$706,883
312.8
$183
Note: Totals may not foot due to rounding differences.
(1) Other includes Powered Base Building® shell capacity as well as storage and office space within fully improved data center facilities.(2) Based on quarterly average exchange rates during the three months ended March 31, 2026.
Investment Activity
During the first quarter of 2026, Digital Realty acquired the following:
An 873-acre parcel in the greater Atlanta metro area for $95 million. This parcel is proximate to Digital Realty's existing Atlanta campus and is expected to support over one gigawatt of IT capacity.
A 30-acre parcel of land in the Portland metro area for $50 million that is expected to support 160 megawatts of IT capacity. This parcel is near another assemblage of land announced last quarter that is expected to support up to 85 megawatts of IT capacity.
As previously announced, during the quarter, Digital Realty acquired the following:
Telepoint, a leading data center and interconnection provider based in Sofia, Bulgaria, for €66.5 million or $76.6 million, adding the market's leading connectivity hub to PlatformDIGITAL.
Two land parcels totaling more than 90 acres near Milan, Italy for €56.5 million or $65.1 million. These parcels are located close to the terrestrial and subsea routes that connect northern Italy to other locations throughout the Mediterranean region.
Also previously disclosed, during the first quarter of 2026 Digital Realty entered into an agreement, to acquire TelcoHub 1, an operational 1.5-megawatt data center that is one of Malaysia's leading connectivity hubs, and an adjacent land parcel that can support the development of up to 14 megawatts of IT capacity. These transactions are expected to close in the first half of 2026, subject to customary closing conditions. Subsequent to quarter end, Digital Realty acquired a 15-megawatt data center development in Cyberjaya, Malaysia, located near TelcoHub 1, for approximately $117 million. This facility is unleased, with initial IT capacity expected to deliver in the second half of 2026 to support a connected campus.
During the first quarter, Digital Realty sold a non-core data center in the Boston metro area for gross proceeds of approximately $6.4 million.
Subsequent to quarter end, Digital Realty also closed on the sale of a non-core asset in the Atlanta metro area for $24 million.
Balance Sheet
Digital Realty had approximately $18.0 billion of total debt outstanding as of March 31, 2026, comprised of $17.2 billion of unsecured debt and approximately $0.8 billion of secured debt and other debt. At the end of the first quarter of 2026, net debt-to-Adjusted EBITDA was 4.7x, debt-plus-preferred-to-total enterprise value was 22.7% and fixed charge coverage was 4.9x.
Since December 31, 2025, the company sold 7.3 million shares of common stock under its At-The-Market (ATM) equity issuance program at a weighted average price of $179.30 per share, for net proceeds of approximately $1.3 billion.
2026 Outlook
Digital Realty raised its 2026 Core FFO per share outlook to $8.00 - $8.10 and its 2026 Constant-Currency Core FFO per share outlook to $7.95 - $8.05. The assumptions underlying the outlook are summarized in the following table.
As of
As of
Top-Line and Cost Structure
February 5, 2026
April 23, 2026
Total revenue
$6.600 - $6.700 billion
$6.650 - $6.750 billion
Net non-cash rent adjustments(1)
($90 - $95 million)
($90 - $95 million)
Adjusted EBITDA
$3.600 - $3.700 billion
$3.650 - $3.750 billion
G&A
$610 - $620 million
$615 - $625 million
Internal Growth
Rental rates on renewal leases
Cash basis
6.0% - 8.0%
6.5% - 8.5%
GAAP basis
8.5% - 10.5%
9.5% - 11.5%
Year-end portfolio occupancy(2)
+50 - 100 bps
+50 - 100 bps
"Same-Capital" cash NOI growth(3)
4.0% - 5.0%
4.0% - 5.0%
Foreign Exchange Rates
U.S. Dollar / Pound Sterling
$1.30 - $1.35
$1.32 - $1.37
U.S. Dollar / Euro
$1.13 - $1.18
$1.15 - $1.20
External Growth
Dispositions / Joint Venture Capital
Dollar volume
$500 - $1,000 million
$500 - $1,000 million
Cap rate
0.0% - 10.0%
0.0% - 10.0%
Development
CapEx (Net of Partner Contributions)(4)
$3,250 - $3,750 million
$3,500 - $4,000 million
Average stabilized yields
10.0%+
10.0%+
Enhancements and other non-recurring CapEx(5)
$30 - $35 million
$30 - $35 million
Recurring CapEx + capitalized leasing costs(6)
$400 - $425 million
$400 - $425 million
Balance Sheet
Long-term debt issuance
Dollar amount
$1,000 - $1,500 million
$1,500 - $2,000 million
Pricing
4.0% - 4.5%
4.0% - 4.5%
Timing
Mid-Year
Mid-Year
Net income per diluted share
$2.55 - $2.65
$2.65 - $2.75
Real estate depreciation and (gain) / loss on sale
$4.90 - $4.90
$4.95 - $4.95
Funds From Operations / share (NAREIT-Defined)
$7.45 - $7.55
$7.60 - $7.70
Non-core expenses and revenue streams
$0.45 - $0.45
$0.40 - $0.40
Core Funds From Operations / share
$7.90 - $8.00
$8.00 - $8.10
Foreign currency translation adjustments
$0.00 - $0.00
($0.05) - ($0.05)
Constant-Currency Core Funds From Operations / share
$7.90 - $8.00
$7.95 - $8.05
(1)
Net non-cash rent adjustments represent the sum of straight-line rental revenue and straight-line rental expense, as well as the amortization of above- and below-market leases (i.e., ASC 805 adjustments).
(2)
Year-end portfolio occupancy guidance based on IT load (kW).
(3)
The "Same-Capital" pool includes properties owned as of December 31, 2024 with less than 5% of total rentable square feet under development. It excludes properties that were undergoing, or were expected to undergo, development activities in 2025-2026, properties classified as held for sale and contribution, and properties sold or contributed to joint ventures for all periods presented. The 2026 "Same-Capital" cash NOI growth outlook is presented on a constant currency basis.
(4)
Excludes land acquisitions and includes Digital Realty's share of joint venture and fund contributions. Figure is net of joint venture and fund partners' share of contributions.
(5)
Other non-recurring CapEx represents costs incurred to enhance the capacity or marketability of operating properties, such as network fiber initiatives and software development costs.
(6)
Recurring CapEx represents non-incremental improvements required to maintain current revenues, including second-generation tenant improvements and leasing commissions.
Note: The company does not provide a reconciliation for non-GAAP estimates on a forward-looking basis, where it is unable to provide a meaningful or accurate calculation or estimation of reconciling items, and the information is not available without unreasonable effort. Please see Non-GAAP Financial Measures in this document for further discussion.
Non-GAAP Financial Measures
This document contains non-GAAP financial measures, including FFO, Core FFO, Constant Currency Core FFO, Adjusted FFO, Net Operating Income (NOI), "Same-Capital" Cash NOI and Adjusted EBITDA. A reconciliation from U.S. GAAP net income available to common stockholders to FFO, a reconciliation from FFO to Core FFO, a reconciliation from Core FFO to Adjusted FFO, a reconciliation from NOI to Cash NOI, and definitions of FFO, Core FFO, Constant Currency Core FFO, Adjusted FFO, NOI and "Same-Capital" Cash NOI are included as an attachment to this document. A reconciliation from U.S. GAAP net income available to common stockholders to Adjusted EBITDA, a definition of Adjusted EBITDA and definitions of net debt-to-Adjusted EBITDA, debt-plus-preferred-to-total enterprise value, cash NOI, and fixed charge coverage ratio are included as an attachment to this document.
The company does not provide a reconciliation for non-GAAP estimates on a forward-looking basis, where it is unable to provide a meaningful or accurate calculation or estimation of reconciling items and the information is not available without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and/or amount of various items that would impact net income attributable to common stockholders per diluted share, which is the most directly comparable forward-looking GAAP financial measure. This includes, for example, external growth factors, such as dispositions, and balance sheet items such as debt issuances, that have not yet occurred, are out of the company's control and/or cannot be reasonably predicted. For the same reasons, the company is unable to address the probable significance of the unavailable information. Forward-looking non-GAAP financial measures provided without the most directly comparable GAAP financial measures may vary materially from the corresponding GAAP financial measures.
Investor Conference Call
Prior to Digital Realty's investor conference call at 5:00 p.m. ET / 4:00 p.m. CT on April 23, 2026, a presentation will be posted to the Investors section of the company's website at https://investor.digitalrealty.com. The presentation is designed to accompany the discussion of the company's first quarter 2026 financial results and operating performance. The conference call will feature President & Chief Executive Officer Andy Power and Chief Financial Officer Matt Mercier.
A live webcast of the call will be available on the Investors section of Digital Realty's website at https://investor.digitalrealty.com. The webcast will be archived for one year and the replay will be available shortly after the conclusion of the live event.
About Digital Realty
Digital Realty brings companies and data together by delivering the full spectrum of data center, colocation and interconnection solutions. PlatformDIGITAL®, the company's global data center platform, provides customers with a secure data meeting place and a proven Pervasive Datacenter Architecture (PDx®) solution methodology for powering innovation, from cloud and digital transformation to emerging technologies like artificial intelligence (AI), and efficiently managing Data Gravity challenges. Digital Realty gives its customers access to the connected data communities that matter to them with a global data center footprint of 300+ facilities in 55+ metros across 30+ countries on six continents. To learn more about Digital Realty, please visit digitalrealty.com or follow us on LinkedIn and X.
Contact Information
Matt MercierChief Financial OfficerDigital Realty
Jordan Sadler / Jim Huseby Investor Relations Digital Realty (737) 281-0101
Consolidated Quarterly Statements of Operations
Unaudited and in Thousands, Except Per Share Data
First Quarter 2026
Three Months Ended
31-Mar-26
31-Dec-25
30-Sep-25
30-Jun-25
31-Mar-25
Rental revenues
$1,103,946
$1,074,703
$1,045,708
$1,003,550
$960,526
Tenant reimbursements - Utilities
333,909
356,084
332,681
294,503
271,189
Tenant reimbursements - Other
38,093
34,406
37,302
37,355
42,177
Interconnection and other
124,278
123,414
120,399
121,952
112,969
Fee income
34,899
45,692
36,398
34,427
20,643
Other
47
372
4,746
1,363
133
Total Operating Revenues
$1,635,173
$1,634,671
$1,577,234
$1,493,150
$1,407,637
Utilities
$372,385
$398,185
$375,627
$339,288
$313,385
Rental property operating
266,115
295,948
278,292
267,724
238,600
Property taxes
54,964
50,791
51,823
49,570
48,856
Insurance
4,799
4,711
4,508
4,946
4,483
Depreciation and amortization
499,511
493,458
497,002
461,167
443,009
General and administration
151,923
159,283
139,911
133,755
121,112
Severance, equity acceleration and legal expenses
2,835
4,937
1,794
2,262
2,428
Transaction and integration expenses
15,685
36,083
86,559
22,546
39,902
Provision for impairment
—
78,553
—
—
—
Other expenses
23
98
3,297
195
112
Total Operating Expenses
$1,368,240
$1,522,047
$1,438,813
$1,281,453
$1,211,887
Operating income before gain (loss) on disposition of properties, net
$266,933
$112,624
$138,420
$211,698
$195,750
Gain (loss) on disposition of properties, net
873
42,865
19,780
931,830
1,111
Operating Income
$267,806
$155,489
$158,200
$1,143,527
$196,860
Equity in earnings (loss) of unconsolidated entities
(1,833
)
4,659
(16,944
)
(12,062
)
(7,640
)
Interest and other income (expense), net
45,342
42,797
47,735
37,747
32,773
Interest (expense)
(116,384
)
(116,516
)
(113,584
)
(109,383
)
(98,464
)
Income tax benefit (expense)
(16,008
)
9,673
(11,695
)
(12,883
)
(17,135
)
Gain (loss) on debt extinguishment and modifications
(4,119
)
9
—
—
—
Net Income
$174,804
$96,111
$63,713
$1,046,946
$106,395
Net (income) loss attributable to noncontrolling interests
4,470
2,536
4,099
(14,790
)
3,579
Net Income Attributable to Digital Realty Trust, Inc.
$179,274
$98,647
$67,812
$1,032,156
$109,974
Preferred stock dividends
(10,181
)
(10,181
)
(10,181
)
(10,181
)
(10,181
)
Net Income (Loss) Available to Common Stockholders
$169,093
$88,466
$57,631
$1,021,975
$99,793
Weighted-average shares outstanding - basic
345,013
343,493
341,370
337,589
336,683
Weighted-average shares outstanding - diluted
353,255
351,570
349,234
345,734
344,721
Weighted-average fully diluted shares and units
359,300
357,430
355,165
351,691
350,632
Net income / (loss) per share - basic
$0.49
$0.26
$0.17
$3.03
$0.30
Net income / (loss) per share - diluted
$0.46
$0.24
$0.15
$2.94
$0.27
Funds From Operations and Core Funds From Operations
Unaudited and in Thousands, Except Per Share Data
First Quarter 2026
Three Months Ended
Reconciliation of Net Income to Funds From Operations (FFO)
31-Mar-26
31-Dec-25
30-Sep-25
30-Jun-25
31-Mar-25
