6-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

 

FORM 6-K

 

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

Report on Form 6-K dated 1 March 2017

(Commission File No. 001-35053)

 

 

INTERXION HOLDING N.V.

(Translation of Registrant’s Name into English)

 

 

Tupolevlaan 24, 1119 NX Schiphol-Rijk, The Netherlands, +31 20 880 7600

(Address of Principal Executive Office)

 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F  ☒             Form 40-F  ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):  ☐

Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7) ):  ☐

Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.

 

 

 


This report contains Interxion Holding N.V.’s (1) fourth quarter and full year 2016 earnings press release and (2) presentation materials to be used during a conference call with investors on 1 March 2017.

 

Exhibit

    
99.1    The press release “Interxion Reports Q4 and Full Year 2016 Results”, dated 1 March 2017.
99.2    Presentation materials to be used during a conference call with investors on 1 March 2017.


SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

  INTERXION HOLDING N.V.
By:  

/s/ David C. Ruberg

Name:   David C. Ruberg
Title:   Chief Executive Officer

Date: 1 March 2017

Press Release

Exhibit 99.1

 

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Press Release, 1 March 2017

Interxion Reports Q4 and Full Year 2016 Results

12% Constant Currency Revenue Growth in Fourth Quarter

AMSTERDAM 1 March 2017 – Interxion Holding NV (NYSE: INXN), a leading European provider of carrier and cloud-neutral colocation data centre services, announced its results today for the three months and year ended 31 December 2016.

Financial Highlights

 

    Revenue for the fourth quarter and full year (FY) increased by 10% and 9% to €110.5 million and €421.8 million, respectively (4Q 2015: €100.7 million; FY 2015: €386.6 million)

 

    Net income for the fourth quarter and full year was €10.0 million and €39.9 million, respectively (4Q 2015: €12.1 million; FY 2015: €48.6 million)

 

    Adjusted EBITDA1 for the fourth quarter and full year increased by 10% and 11% to €49.3 million and €190.9 million, respectively (4Q 2015: €44.9 million; FY 2015: €171.3 million)

 

    Adjusted EBITDA margin for the fourth quarter was 44.6% and 45.3% for the full year, unchanged and up 100 basis points, respectively (4Q 2015: 44.6%; FY 2015: 44.3%)

 

    Earnings per diluted share for the fourth quarter and full year were €0.14 and €0.56, respectively (4Q 2015: €0.17; FY 2015: €0.69)

 

    Adjusted net income1 for the fourth quarter and full year was €9.0 million and €36.6 million, respectively (4Q 2015: €12.1 million; FY 2015: €37.9 million)

 

    Adjusted earnings per diluted share for the fourth quarter and full year was €0.13 and €0.51, respectively (4Q 2015: €0.17; FY 2015: €0.54)

 

    Capital expenditures2, including intangible assets, were €73.8 million in the fourth quarter and €250.9 million for full year 2016 (4Q 2015: €42.0 million; FY 2015: €192.6 million)

 

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Operating Highlights

 

    Equipped Space increased by 3,000 square metres in the fourth quarter and 9,600 square metres for the full year to 110,800 square metres

 

    Revenue Generating Space increased by 3,100 square metres in the fourth quarter and 8,100 square metres for the full year to 87,200 square metres

 

    Utilisation Rate was 79% at the end of the year

 

    During the fourth quarter, Interxion opened two new data centres: the first phase of its AMS8 data centre in Amsterdam, and the first two phases of its DUB3 data centre in Dublin. In addition, Interxion opened a 500 sqm expansion at its PAR7 data centre in Paris.

“Interxion continued its momentum into the fourth quarter, capping 2016 with double digit annual growth for revenues and Adjusted EBITDA, and solid margin improvement. We experienced growth across our key target segments, and we saw a continuation of strong bookings across all deal sizes” said David Ruberg, Interxion’s Chief Executive Officer. ”Customers value our services, which are located in the main connectivity hubs across Europe, as they seek network-dense facilities where they create business value by gaining access to our vibrant Communities of Interest.”

Quarterly Review

Revenue for the fourth quarter of 2016 was €110.5 million, a 10% increase over the fourth quarter of 2015 and a 5% increase over the third quarter of 2016. Recurring revenue3 was €103.4 million, a 9% increase over the fourth quarter of 2015 and a 3%

 

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increase over the third quarter of 2016. Recurring revenue in the quarter was 94% of total revenue. On a constant currency basis4, revenue in the fourth quarter of 2016 was 12% higher than the fourth quarter of 2015.

Cost of sales in the fourth quarter of 2016 was €43.0 million, a 10% increase over the fourth quarter of 2015 and a 6% increase over the third quarter of 2016.

Gross profit was €67.5 million in the fourth quarter of 2016, a 10% increase over the fourth quarter of 2015 and a 5% increase over the third quarter of 2016.

Sales and marketing costs in the fourth quarter of 2016 were €7.6 million, a 3% increase compared to the fourth quarter of 2015 and a 5% increase over the third quarter of 2016. Other general and administrative costs5 were €10.5 million, a 15% increase compared to the fourth quarter of 2015 and a 19% increase compared to the third quarter of 2016.

Adjusted EBITDA for the fourth quarter of 2016 was €49.3 million, a 10% increase compared to the fourth quarter of 2015 and a 2% increase compared to the third quarter of 2016. Adjusted EBITDA margin was 44.6% in both the fourth quarter of 2016 and the fourth quarter of 2015, and 45.9% in the third quarter of 2016.

Depreciation, amortisation, and impairments in the fourth quarter of 2016 was €24.2 million, an increase of 20% compared to the fourth quarter of 2015 and a 10% increase compared to the third quarter of 2016.

Operating income during the fourth quarter of 2016 was €22.6 million, a 1% decrease compared to the fourth quarter of 2015 and a 4% decrease compared to the third quarter of 2016.

Net finance expense for the fourth quarter of 2016 was €9.5 million, an 18% increase compared to the fourth quarter of 2015, and a 10% increase compared to the third quarter of 2016. Comparisons to previous periods are impacted by the bond tap in April 2016. Included in third quarter 2016 was a €1.4 million positive adjustment on finance lease obligations, lowering net finance expense.

 

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Income tax expense for the fourth quarter of 2016 was €3.0 million, an 18% increase compared to the fourth quarter of 2015, and a 33% decrease compared to the third quarter of 2016. Income tax expense in the fourth quarter 2016 was impacted by the release of €0.8 million income tax accrual.

Net income was €10.0 million in the fourth quarter of 2016, a 17% decrease compared to the fourth quarter of 2015 and a 4% decrease compared to the third quarter of 2016.

Adjusted net income was €9.0 million in the fourth quarter of 2016, a 26% decrease compared to the fourth quarter of 2015 and a 5% increase compared to the third quarter of 2016.

Cash generated from operations, defined as cash generated from operating activities before interest and corporate income tax payments and receipts, was €50.2 million in the fourth quarter of 2016, a 32% increase compared to the fourth quarter of 2015, and a 15% increase compared to the third quarter of 2016.

Capital expenditures, including intangible assets, were €73.8 million in the fourth quarter 2016 compared to €42.0 million in the fourth quarter of 2015 and €64.5 million in the third quarter of 2016.

Cash and cash equivalents were €115.9 million at 31 December 2016, compared to €53.7 million at year end 2015. Total borrowings, net of deferred revolving facility financing fees, were €735.0 million at year end 2016 compared to €555.1 million at year end 2015. As of 31 December 2016, the company’s revolving credit facility was undrawn.

Equipped space at year end 2016 was 110,800 square metres compared to 101,200 square metres at year end 2015 and 107,800 square metres at the end of the third quarter 2016. Revenue generating space at year end 2016 was 87,200 square metres compared to 79,100 square metres at year end 2015 and 84,100 square metres at the end of the third quarter 2016. Utilisation rate, the ratio of revenue-generating space to equipped space, was 79% at year-end 2016 compared to 78% at year-end 2015 and 78% at the end of the third quarter 2016.

 

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Annual Review

Revenue for 2016 was €421.8 million, a 9% increase compared to 2015. Recurring revenue for 2016 was €400.0 million, a 10% increase compared to 2015, and accounted for 95% of total revenue in 2016 compared to 94% in 2015. On a constant currency basis, revenue in 2016 was 11% higher than in 2015.

Gross profit was €259.2 million in 2016, a 10% increase compared to 2015. Gross profit margin was 61.5% in 2016, an increase of 70 bps compared to 2015.

Sales and marketing costs for 2016 were €29.9 million, a 6% increase compared to 2015.

Adjusted EBITDA for 2016 was €190.9 million, an 11% increase compared to 2015. Adjusted EBITDA margin for 2016 was 45.3%, an increase of 100 bps compared to 2015.

Net income was €39.9 million in 2016, compared to €48.6 million in 2015. Diluted earnings per share in 2016 were €0.56 on a weighted average of 71.2 million diluted shares, compared to €0.69 on a weighted average of 70.5 million diluted shares in 2015. Net income and earnings per share in 2016 were impacted by €2.4 million of M&A transaction costs, and other one-time items having a net positive impact €2.7 million. Net income and earnings per share in 2015 were impacted by €11.8 million of M&A transaction costs, €20.9 million of M&A transaction break fee income, and a €2.3 million gain on the sale of a financial asset.

Adjusted net income was €36.6 million in 2016, a 4% decrease compared to 2015. Adjusted earnings per diluted share were €0.51 on a weighted average of 71.2 million diluted shares, compared to €0.54 on a weighted average of 70.5 million diluted shares in 2015.

 

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Cash generated from operations, defined as cash generated from operating activities before interest and corporate income tax payments and receipts, was €183.4 million in 2016, an increase of 8% compared to 2015.

Capital expenditures, including intangible assets, were €250.9 million in 2016 compared to €192.6 million in 2015.

During 2016, Interxion opened 9,600 square metres of new Equipped Space, and installed a net 8,100 Revenue Generating Square Metres, increasing utilisation to 79% from 78%.

Business Outlook

The company today is providing guidance for full year 2017:

 

Revenue

     €468 million –  €483 million 

Adjusted EBITDA

     €212 million –  €222 million 

Capital expenditures (including intangibles)

     €250 million –  €270 million 

Capital expenditure guidance does not include ~ €78 million for the acquisition of the Vancis data centre business in Amsterdam in 1Q 2017.

Conference Call to Discuss Results

Interxion will host a conference call today at 8:30 a.m. ET (1:30 pm GMT, 2:30 pm CET) to discuss Interxion’s 4Q and 2016 year end results.

To participate on this call, U.S. callers may dial toll free 1-866-966-9439; callers outside the U.S. may dial direct +44 (0) 1452 555 566. The conference ID for this call is INXN. This event also will be webcast live over the Internet in listen-only mode at investors.interxion.com.

 

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A replay of this call will be available shortly after the call concludes and will be available until 14 March 2017. To access the replay, U.S. callers may dial toll free 1-866-247-4222; callers outside the U.S. may dial direct +44 (0) 1452 550 000. The replay access number is 56607932

Forward-looking Statements

This communication contains forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking statements. Factors that could cause actual results and future events to differ materially from Interxion’s expectations include, but are not limited to, the difficulty of reducing operating expenses in the short term, the inability to utilise the capacity of newly planned data centres and data centre expansions, significant competition, the cost and supply of electrical power, data centre industry over-capacity, performance under service level agreements, certain other risks detailed herein and other risks described from time to time in Interxion’s filings with the United States Securities and Exchange Commission (the “SEC”).

Interxion does not assume any obligation to update the forward-looking information contained in this report.

Non-IFRS Financial Measures

Included in these materials are certain non-IFRS financial measures, which are measures of our financial performance that are not calculated and presented in accordance with IFRS, within the meaning of applicable SEC rules. These measures are as follows: (i) EBITDA; (ii) adjusted EBITDA; (iii) revenue on a constant currency basis, (iv) recurring revenue; (v) recurring revenue on a constant currency basis (vi) adjusted net income; (vii) adjusted basic earnings per share and (viii) adjusted diluted earnings per share.

 

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Other companies may present EBITDA, adjusted EBITDA, revenue on a constant currency basis, recurring revenue, recurring revenue on a constant currency basis, adjusted net income, adjusted basic earnings per share and adjusted diluted earnings per share differently than we do. Each of these measures are not measures of financial performance under IFRS and should not be considered as an alternative to operating income or as a measure of liquidity or an alternative to Profit for the period attributable to shareholders (“net income”) as indicators of our operating performance or any other measure of performance implemented in accordance with IFRS.

EBITDA, Adjusted EBITDA, revenue on a constant currency basis, recurring revenue and recurring revenue on a constant currency basis

We define EBITDA as net income plus income tax expense, net finance expense, depreciation, amortisation and impairment of assets.

We define adjusted EBITDA as EBITDA adjusted for the following items, which may occur in any period, and which management believes are not representative of our operating performance:

 

    Share-based payments – primarily the fair value at the date of grant to employees of equity awards, is recognised as an employee expense over the vesting period. We believe that this expense does not represent our operating performance.

 

    Income or expense related to the evaluation and execution of potential mergers or acquisitions (“M&A”) – under IFRS, gains and losses associated with M&A activity are recognised in the period incurred. We exclude these effects because we believe they are not reflective of our ongoing operating performance.

 

   

Adjustments related to terminated and unused datacentre sites – these gains and losses relate to historical leases entered into for certain brownfield sites,

 

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with the intention of developing datacentres, which were never developed and for which management has no intention of developing into data centres. We believe the impact of gains and losses related to unused datacentres are not reflective of our business activities and our ongoing operating performance.

In certain circumstances, we may also adjust for items that management believes are not representative of our current ongoing performance. Examples of this would include: adjusting for the cumulative effect of a change in accounting principle or estimate, impairment losses, litigation gains and losses or windfall gains and losses.

We believe EBITDA and adjusted EBITDA provide useful supplemental information to investors regarding our ongoing operational performance because it helps us and our investors evaluate the ongoing operating performance of the business after removing the impact of our capital structure (primarily interest expense) and our asset base (primarily depreciation and amortisation). Management believes that the presentation of adjusted EBITDA, when combined with the primary IFRS presentation of net income provides a more complete analysis of our operating performance. Management also believes the use of EBITDA and adjusted EBITDA facilitates comparisons between us and other data centre operators and other data centre operators that are REITs and other infrastructure based businesses. EBITDA and adjusted EBITDA are also relevant measures used in the financial covenants of our €100 million revolving facility and our 6.00% Senior Secured Notes due 2020.

A reconciliation from net income to EBITDA and EBITDA to adjusted EBITDA is provided in the tables attached to this press release.

Recurring revenue comprises revenue that is incurred monthly from colocation, connectivity and associated power charges, office space, amortized set-up fees and certain recurring managed services (but excluding any ad hoc managed

 

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services) provided by us directly or through third parties. Rents received for the sublease of unused sites are excluded. We present recurring revenue as we believe it assists investors understand our operating performance.

We present constant currency information for revenue and recurring revenue to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency rate fluctuations. To present this information, current and comparative prior period results for entities reporting in currencies other than Euro are converted into Euro using the average exchange rates from the prior period rather than the actual exchange rates in effect during the current period.

We believe that revenue growth is a key indicator of how a company is progressing from period to period and presenting constant currency information for revenue and recurring revenue provides useful supplemental information to investors regarding our ongoing operational performance because it helps us and our investors evaluate the ongoing operating performance of the business after removing the impact of currency exchange rates.

Adjusted net income, adjusted basic earnings per share and adjusted diluted earnings per share

We define adjusted net income as net income adjusted for the following items and the related income tax effect, which may occur in any period, and which management believes are not reflective of our operating performance:

 

    Income or expense related to the evaluation and execution of potential mergers or acquisitions (“M&A”) – under IFRS, gains and losses associated with M&A activity are recognised in the period incurred. We exclude these effects because we believe they are not reflective of our ongoing operating performance.

 

    Adjustments related to provisions – these adjustments are made for adjustments in provisions that are not reflective of the ongoing operating performance of Interxion. These adjustments may include changes in provisions for onerous lease contracts.

 

    Adjustments related to capitalised interest – Under IFRS we are required to calculate and capitalise interest allocated to the investment in data centres and exclude it from net income. We believe that reversing the impact of capitalised interest provides information about the impact of the total interest costs and facilitates comparisons with other data centre operators.

 

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In certain circumstances, we may also adjust for items that management believes are not representative of our current ongoing performance. Examples of this would include: adjusting for the cumulative effect of a change in accounting principle or estimate, impairment losses, litigation gains and losses or windfall gains and losses.

Management believe that the exclusion of certain items listed above, provides useful supplemental information to net income to aid investors in evaluating the operating performance of our business and to aid investors compare our operating performance with other data centre operators and infrastructure companies. We believe the presentation of adjusted net income, when combined with net income (loss) prepared in accordance with IFRS is beneficial to a complete understanding of our performance.

Adjusted basic earnings per share and adjusted diluted earnings per share amounts are determined on adjusted net income.

Interxion does not provide forward-looking estimates of net income, operating income, depreciation, amortisation, and impairments, share-based payments, M&A transaction costs or increase/decrease in provision for onerous lease contracts, and income from sub-leases of unused data centre sites, which it uses to reconcile to adjusted EBITDA. The Company is, therefore, unable to provide forward-looking reconciling information for adjusted EBITDA.

A reconciliation from reported net income to adjusted net income is provided in the tables attached to this press release.

-ENDS-

 

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About Interxion

Interxion (NYSE: INXN) is a leading provider of carrier and cloud-neutral colocation data centre services in Europe, serving a wide range of customers through 45 data centres in 11 European countries. Interxion’s uniformly designed, energy efficient data centres offer customers extensive security and uptime for their mission-critical applications.

With over 600 connectivity providers, 21 European Internet exchanges, and most leading cloud and digital media platforms across its footprint, Interxion has created connectivity, cloud, content and finance hubs that foster growing customer communities of interest. For more information, please visit www.interxion.com.

Contact information:

Interxion

Jim Huseby

Investor Relations

Tel: +1-813-644-9399

IR@interxion.com

This announcement contains inside information under Regulation (EU) 596/2014 (16 April 2014).

 

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1 Adjusted net income and adjusted EBITDA are non-IFRS figures intended to adjust for certain items and are not measures of financial performance under IFRS. Full definitions can be found in the “Non-IFRS Financial Measures” section in this press release. Reconciliations of net income to adjusted EBITDA and net income to adjusted net income can be found in the financial tables later in this press release.
2 Capital expenditures, including intangible assets, represent payments to acquire property, plant, and equipment and intangible assets, as recorded in the consolidated statement of cash flows as “Purchase of property, plant and equipment” and “Purchase of intangible assets”, respectively.
3 Recurring revenue is revenue that is incurred from colocation and associated power charges, office space, amortised set-up fees, cross-connects and certain recurring managed services (but excluding any ad hoc managed services) provided by us directly or through third parties. Rents received for the sublease of unused sites are excluded.
4 We present constant currency information for revenue and recurring revenue to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency rate fluctuations. To present this information, current and comparative prior period results for entities reporting in currencies other than Euro are converted into Euro using the average exchange rates from the prior period rather than the actual exchange rates in effect during the current period.
5 Other general administrative costs represents general and administrative costs excluding depreciation, amortisation, impairments, share based payments, M&A transaction costs, and increase/(decrease) in provision for onerous lease contracts.

 

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INTERXION HOLDING NV

CONDENSED CONSOLIDATED INCOME STATEMENTS

(in €‘000 — except per share data and where stated otherwise)

(unaudited)

 

     Three Months Ended     Year ended  
     Dec-31     Dec-31     Dec-31     Dec-31  
     2016     2015     2016     2015  

Revenue

     110,487       100,653       421,788       386,560  

Cost of sales

     (43,022     (39,204     (162,568     (151,613
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross Profit

     67,465       61,449       259,220       234,947  

Other income

     191       86       333       21,288  

Sales and marketing costs

     (7,640     (7,385     (29,941     (28,217

General and administrative costs

     (37,438     (31,370     (137,010     (132,505
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

     22,578       22,780       92,602       95,513  

Net Finance expense

     (9,513     (8,084     (36,269     (29,022
  

 

 

   

 

 

   

 

 

   

 

 

 

Profit or loss before income taxes

     13,065       14,696       56,333       66,491  

Income tax expense

     (3,027     (2,557     (16,450     (17,925
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income

     10,038       12,139       39,883       48,566  
  

 

 

   

 

 

   

 

 

   

 

 

 

Basic earnings per share: (€)

     0.14       0.17       0.57       0.70  

Diluted earnings per share: (€)

     0.14       0.17       0.56       0.69  

Number of shares outstanding at the end of the period (shares in thousands)

     70,603       69,919       70,603       69,919  

Weighted average number of shares for Basic EPS (shares in thousands)

     70,538       69,736       70,349       69,579  

Weighted average number of shares for Diluted EPS (shares in thousands)

     71,407       70,675       71,215       70,499  
                 As at  
                 Dec-31     Dec-31  

Capacity metrics

               2016     2015  

Equipped space (in square meters)

         110,800       101,200  

Revenue generating space (in square meters)

         87,200       79,100  

Utilization Rate

         79     78

 

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INTERXION HOLDING NV

NOTES TO CONDENSED CONSOLIDATED INCOME STATEMENTS: SEGMENT INFORMATION

(in €‘000 — except where stated otherwise)

(unaudited)

 

     Three Months Ended     Year ended  
     Dec-31     Dec-31     Dec-31     Dec-31  
     2016     2015     2016     2015  

Consolidated

        

Recurring revenue

     103,429       95,074       399,958       365,175  

Non-recurring revenue

     7,058       5,579       21,830       21,385  
  

 

 

   

 

 

   

 

 

   

 

 

 

Revenue

     110,487       100,653       421,788       386,560  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income

     10,038       12,139       39,883       48,566  

Net income margin

     9.1     12.1     9.5     12.6
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

     22,578       22,780       92,602       95,513  

Operating income margin

     20.4     22.6     22.0     24.7
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA

     49,280       44,910       190,876       171,276  
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit margin

     61.1     61.0     61.5     60.8

Adjusted EBITDA margin

     44.6     44.6     45.3     44.3

Total assets

     1,482,665       1,252,064       1,482,665       1,252,064  

Total liabilities

     933,896       744,647       933,896       744,647  

Capital expenditure, including intangible assets (a)

     (73,758     (41,961     (250,878     (192,636

France, Germany, the Netherlands, and the UK

        

Recurring revenue

     66,157       60,859       256,004       232,624  

Non-recurring revenue

     4,812       3,910       13,770       14,290  
  

 

 

   

 

 

   

 

 

   

 

 

 

Revenue

     70,969       64,769       269,774       246,914  

Operating income

     21,565       21,699       87,558       83,215  

Operating income margin

     30.4     33.5     32.5     33.7
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA

     38,222       34,803       148,191       134,328  
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit margin

     62.0     62.0     62.6     62.2

Adjusted EBITDA margin

     53.9     53.7     54.9     54.4

Total assets

     990,406       878,568       990,406       878,568  

Total liabilities

     202,330       196,996       202,330       196,996  

Capital expenditure, including intangible assets (a)

     (46,834     (34,877     (170,707     (131,812

Rest of Europe

        

Recurring revenue

     37,272       34,215       143,954       132,551  

Non-recurring revenue

     2,246       1,669       8,060       7,095  
  

 

 

   

 

 

   

 

 

   

 

 

 

Revenue

     39,518       35,884       152,014       139,646  
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

     16,078       14,357       62,404       54,374  

Operating income margin

     40.7     40.0     41.1     38.9
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA

     22,740       20,764       88,195       78,868  
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit margin

     65.9     65.9     65.9     64.6

Adjusted EBITDA margin

     57.5     57.9     58.0     56.5

Total assets

     363,444       309,218       363,444       309,218  

Total liabilities

     73,613       54,396       73,613       54,396  

Capital expenditure, including intangible assets (a)

     (24,466     (5,568     (69,650     (55,004

Corporate and other

        

Operating income

     (15,065     (13,276     (57,360     (42,076
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA

     (11,682     (10,657     (45,510     (41,920
  

 

 

   

 

 

   

 

 

   

 

 

 

Total assets

     128,815       64,278       128,815       64,278  

Total liabilities

     657,953       493,255       657,953       493,255  

Capital expenditure, including intangible assets (a)

     (2,458     (1,516     (10,521     (5,820

 

(a) Capital expenditure, including intangible assets, represents payments to acquire property, plant and equipment and intangible assets, as recorded in the condensed consolidated statements of cash flows as “Purchase of property, plant and equipment” and “Purchase of intangible assets”, respectively.

 

15


LOGO

Press Release, 1 March 2017

 

INTERXION HOLDING NV

NOTES TO CONDENSED CONSOLIDATED INCOME STATEMENTS: ADJUSTED EBITDA RECONCILIATION

(in €‘000 — except where stated otherwise)

(unaudited)

 

     Three Months Ended     Year ended  
     Dec-31     Dec-31     Dec-31     Dec-31  
     2016     2015     2016     2015  

Reconciliation to Adjusted EBITDA

        

Consolidated

        

Net income

     10,038       12,139       39,883       48,566  

Income tax expense

     3,027       2,557       16,450       17,925  
  

 

 

   

 

 

   

 

 

   

 

 

 

Profit before taxation

     13,065       14,696       56,333       66,491  

Net finance expense

     9,513       8,084       36,269       29,022  
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

     22,578       22,780       92,602       95,513  

Depreciation, amortisation and impairments

     24,244       20,186       89,835       78,229  
  

 

 

   

 

 

   

 

 

   

 

 

 

EBITDA (1)

     46,822       42,966       182,437       173,742  

Share-based payments

     1,828       1,467       6,343       7,161  

Income or expense related to the evaluation and execution of potential mergers or acquisitions

        

M&A transaction break fee income (2)

     —         —         —         (20,923

M&A transaction costs (3)

     821       563       2,429       11,845  

Items related to terminated or unused data centre sites:

        

Increase/(decrease) in provision for onerous lease contracts (4)

     —         —         —         (184

Items related to sub-leases on unused data centre sites (5)

     47       (86     (95     (365

Increase/(decrease) in provision for site restoration (6)

     (238     —         (238     —    
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA (1)

     49,280       44,910       190,876       171,276  
  

 

 

   

 

 

   

 

 

   

 

 

 

France, Germany, the Netherlands, and the UK

        

Operating income

     21,565       21,699       87,558       83,215  

Depreciation, amortisation and impairments

     16,511       12,990       60,128       50,317  
  

 

 

   

 

 

   

 

 

   

 

 

 

EBITDA (1)

     38,076       34,689       147,686       133,532  

Share-based payments

     337       200       838       1,345  

Items related to terminated or unused data centre sites:

        

Increase/(decrease) in provision for onerous lease contracts (4)

     —         —         —         (184

Items related to sub-leases on unused data centre sites (5)

     47       (86     (95     (365

Increase/(decrease) in provision for site restoration (6)

     (238       (238  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA (1)

     38,222       34,803       148,191       134,328  
  

 

 

   

 

 

   

 

 

   

 

 

 

Rest of Europe

        

Operating income

     16,078       14,357       62,404       54,374  

Depreciation, amortisation and impairments

     6,554       6,213       25,371       23,688  
  

 

 

   

 

 

   

 

 

   

 

 

 

EBITDA (1)

     22,632       20,570       87,775       78,062  

Share-based payments

     108       194       420       806  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA (1)

     22,740       20,764       88,195       78,868  
  

 

 

   

 

 

   

 

 

   

 

 

 

Corporate and Other

        

Operating income

     (15,065     (13,276     (57,360     (42,076

Depreciation, amortisation and impairments

     1,179       983       4,336       4,224  
  

 

 

   

 

 

   

 

 

   

 

 

 

EBITDA (1)

     (13,886     (12,293     (53,024     (37,852

Share-based payments

     1,383       1,073       5,085       5,010  

Income or expense related to the evaluation and execution of potential mergers or acquisitions

        

M&A transaction break fee income (2)

     —         —         —         (20,923

M&A transaction costs (3)

     821       563       2,429       11,845  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA (1)

     (11,682     (10,657     (45,510     (41,920
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) “EBITDA” and “Adjusted EBITDA” are non-IFRS financial measures within the meaning of the rules of the SEC. See “Non-IFRS Financial Measures” for more information on these measures, including why we believe that these supplemental measures are useful, and the limitations on the use of these supplemental measures.
(2) “M&A transaction break fee income” represents the cash break up fee received following the termination of the Implementation Agreement in May 2015. This fee was included in “Other income”.
(3) “M&A transaction costs” are costs associated with the evaluation, diligence and conclusion or termination of merger or acquisition activity. These costs are included in “General and administrative costs”. In the quarter ended 31 December 2016, M&A transaction costs included €0.8 million related to other activity including the evaluation of potential asset acquisitions.
(4) “Increase/(decrease) in provision for onerous lease contracts” relates to those contracts in which we expect losses to be incurred in respect of unused data centre sites over the term of the lease contract.
(5) “Income from sub-leases of unused data centre sites” represents the income on sub-lease of portions of unused data centre sites to third parties. This income is treated as ‘Other income’.
(6) “Increase/(decrease) in provision for site restoration” represents income related to the termination of data centre sites. This item is treated as ‘Other income’.

 

16


LOGO

Press Release, 1 March 2017

 

INTERXION HOLDING NV

CONDENSED CONSOLIDATED BALANCE SHEET

(in €‘000 — except where stated otherwise)

(unaudited)

 

     As at  
     Dec-31     Dec-31  
     2016     2015  

Non-current assets

    

Property, plant and equipment

     1,156,031       999,072  

Intangible assets

     28,694       23,194  

Deferred tax assets

     20,370       23,024  

Other investments

     1,942       —    

Other non-current assets

     11,914       11,152  
  

 

 

   

 

 

 
     1,218,951       1,056,442  

Current assets

    

Trade receivables and other current assets

     147,821       141,936  

Cash and cash equivalents

     115,893       53,686  
  

 

 

   

 

 

 
     263,714       195,622  
  

 

 

   

 

 

 

Total assets

     1,482,665       1,252,064  
  

 

 

   

 

 

 

Shareholders’ equity

    

Share capital

     7,060       6,992  

Share premium

     519,604       507,296  

Foreign currency translation reserve

     9,988       20,865  

Hedging reserve, net of tax

     (243     (213

Accumulated Profit / (deficit)

     12,360       (27,523
  

 

 

   

 

 

 
     548,769       507,417  

Non-current liabilities

    

Trade payables and other liabilities

     11,718       12,049  

Deferred tax liabilities

     9,628       9,951  

Borrowings

     723,975       550,812  
  

 

 

   

 

 

 
     745,321       572,812  

Current liabilities

    

Trade payables and other liabilities

     171,399       162,629  

Income tax liabilities

     5,694       2,738  

Provision for onerous lease contracts

     —         1,517  

Borrowings

     11,482       4,951  
  

 

 

   

 

 

 
     188,575       171,835  
  

 

 

   

 

 

 

Total liabilities

     933,896       744,647  
  

 

 

   

 

 

 

Total liabilities and shareholders’ equity

     1,482,665       1,252,064  
  

 

 

   

 

 

 

 

17


LOGO

Press Release, 1 March 2017

 

INTERXION HOLDING NV

NOTES TO THE CONDENSED CONSOLIDATED BALANCE SHEET: BORROWINGS

(in €‘000 — except where stated otherwise)

(unaudited)

 

     As at  
     Dec-31     Dec-31  
     2016     2015  

Borrowings net of cash and cash equivalents

    

Cash and cash equivalents (a)

     115,893       53,686  
  

 

 

   

 

 

 

6.00% Senior Secured Notes due 2020 (b)

     629,327       475,503  

Mortgages

     54,412       44,073  

Financial leases

     51,718       34,582  

Other borrowings

     —         1,605  
  

 

 

   

 

 

 

Borrowings excluding Revolving Facility deferred financing costs

     735,457       555,763  
  

 

 

   

 

 

 

Revolving Facility deferred financing costs (c)

     (426     (710
  

 

 

   

 

 

 

Total borrowings

     735,031       555,053  
  

 

 

   

 

 

 
    
  

 

 

   

 

 

 

Borrowings net of cash and cash equivalents

     619,138       501,367  
  

 

 

   

 

 

 

 

(a) Cash and cash equivalents exclude €3.7 million as of 31 December 2016 and €4.9 million as of 31 December 2015, which is restricted and held as collateral to support the issuance of bank guarantees on behalf of a number of subsidiary companies. Restricted cash is reported under (non)current assets.
(b) €625 million 6.00% Senior Secured Notes due 2020 include a premium on the additional issuance and are shown after deducting underwriting discounts and commissions, offering fees and expenses.
(c) Deferred financing costs of €0.4 million as of 31 December 2016 were incurred in connection with the €100 million revolving facility.

 

18


LOGO

Press Release, 1 March 2017

 

INTERXION HOLDING NV

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in €‘000 — except where stated otherwise)

(unaudited)

 

     Three Months Ended     Year ended  
     Dec-31
2016
    Dec-31
2015
    Dec-31
2016
    Dec-31
2015
 

Net income

     10,038       12,139       39,883       48,566  

Depreciation, amortisation and impairments

     24,244       20,186       89,835       78,229  

Provision for onerous lease contracts

     —         (879     (1,533     (3,532

Share-based payments

     1,702       824       6,105       6,518  

Net finance expense

     9,513       8,084       36,269       29,022  

Income tax expense

     3,027       2,557       16,450       17,925  
  

 

 

   

 

 

   

 

 

   

 

 

 
     48,524       42,911       187,009       176,728  

Movements in trade receivables and other assets

     (7,480     (9,799     (11,126     (19,380

Movements in trade payables and other liabilities

     9,127       4,973       7,505       12,040  
  

 

 

   

 

 

   

 

 

   

 

 

 

Cash generated from operations

     50,171       38,085       183,388       169,388  

Interest and fees paid (a)

     (2,224     (1,393     (36,003     (30,522

Interest received

     67       35       136       152  

Income tax paid

     (2,638     (2,781     (8,124     (11,948
  

 

 

   

 

 

   

 

 

   

 

 

 

Net cash flows from / (used in) operating activities

     45,376       33,946       139,397       127,070  

Cash flows from investing activities

        

Purchase of property plant and equipment

     (72,741     (40,487     (241,958     (186,115

Financial investments - deposits

     1,139       418       1,139       418  

Purchase of intangible assets

     (1,017     (1,474     (8,920     (6,521

Loans to third parties

     —         —         (1,942     —    

Proceeds from sale of financial asset

     —         —         281       3,063  

Redemption of short-term investments

     —         —         —         1,650  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net cash flows from / (used in) investing activities

     (72,619     (41,543     (251,400     (187,505

Cash flows from financing activities

        

Proceeds from exercised options

     112       3,265       6,332       5,686  

Proceeds from mortgages

     —         14,850       14,625       14,850  

Repayment of mortgages

     (2,215     (985     (4,031     (2,346

Proceeds Senior secured notes at 6%

     (538     —         154,808       —    

Interest received at issue of additional notes

     —         —         2,225       —    

Repayment of other borrowings

     —         31       —         —    

Net cash flows from / (used in) financing activities

     (2,641     17,161       173,959       18,190  

Effect of exchange rate changes on cash

     843       (622     251       1,294  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net increase / (decrease) in cash and cash equivalents

     (29,041     8,942       62,207       (40,951

Cash and cash equivalents, beginning of period

     144,934       44,744       53,686       94,637  
  

 

 

   

 

 

   

 

 

   

 

 

 

Cash and cash equivalents, end of period

     115,893       53,686       115,893       53,686  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(a) Interest paid is reported net of cash interest capitalised, which is reported as part of “Purchase of property, plant and equipment”.

 

19


LOGO

Press Release, 1 March 2017

 

INTERXION HOLDING NV

NOTES TO CONDENSED CONSOLIDATED INCOME STATEMENTS: ADJUSTED NET INCOME RECONCILIATION

(in €‘000 — except per share data and where stated otherwise)

(unaudited)

 

     Three Months Ended     Year ended  
     Dec-31     Dec-31     Dec-31     Dec-31  
     2016     2015     2016     2015  

Net income - as reported

     10,038       12,139       39,883       48,566  

Add back

        

+ M&A transaction costs

     821       563       2,429       11,845  
  

 

 

   

 

 

   

 

 

   

 

 

 
     821       563       2,429       11,845  

Reverse

        

- M&A transaction break fee income

     —         —         —         (20,923

- Profit on sale of financial asset

     —         —         (281     (2,289

- Adjustment of financial lease obligation

     —         —         (1,410     —    

- Increase / (decrease) in provision for onerous lease contracts

     —         —         —         (184

- Increase/(decrease) in provision for site restoration

     (238     —         (238     —    

- Deferred tax asset adjustment

     (809       (809  

- Interest capitalised

     (941     (615     (3,362     (2,638
  

 

 

   

 

 

   

 

 

   

 

 

 
     (1,988     (615     (6,100     (26,034

Tax effect of above add backs & reversals

     89       13       363       3,547  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted net income

     8,960       12,100       36,575       37,924  
  

 

 

   

 

 

   

 

 

   

 

 

 

Reported basic EPS: (€)

     0.14       0.17       0.57       0.70  

Reported diluted EPS: (€)

     0.14       0.17       0.56       0.69  

Adjusted basic EPS: (€)

     0.13       0.17       0.52       0.55  

Adjusted diluted EPS: (€)

     0.13       0.17       0.51       0.54  

 

20


LOGO

Press Release, 1 March 2017

 

INTERXION HOLDING NV

Status of Announced Expansion Projects as at 1 March 2017

with Target Open Dates after 1 January 2016

 

Market

  

Project

   CAPEX (a)(b)
(€ million)
     Equipped
Space (a)
(sqm)
     Target Opening Dates  

Amsterdam

   AMS 8: Phases 1 - 2 New Build      50        2,900        4Q 2016 -1Q 2017(c)  

Copenhagen

   CPH2: Phases 1 - 2 New Build      19        1,100        2Q 2016 - 1Q 2017(d)  

Dublin

   DUB3: Phases 1 - 2 New Build      28        1,200        4Q 2016

Dusseldorf

   DUS 2: Phase 1 - 2 New Build      16        1,200        4Q 2015 - 2Q 2016 (e)  

Frankfurt

   FRA 10: Phases 1 - 4 New Build      92        4,800        1Q 2016 - 3Q 2016 (f )  

Frankfurt

   FRA 11: Phases 1 - 4 New Build      95        4,800        4Q 2017 - 2Q 2018 (g)  

Frankfurt

   FRA 12: New Build      19        1,100        4Q 2017

London

   LON3: New Build      35        1,800        3Q 2018  

Marseille

   MRS 1: Phase 2 (cont) - 3      30        2,200        3Q 2016 - 2Q 2017 (h)  

Paris

   PAR7: Phase 2      37        2,100        4Q 2016 - 2Q 2017 (i)  

Stockholm

   STO5: Phase 1 New Build      11        600        3Q 2017  

Vienna

   VIE 2: New Build      65        4,200        4Q 2014 - 2Q 2017 (j)  

Total

      497        28,000     

 

(a) CAPEX and Equipped space are approximate and may change. Figures are rounded to nearest 100 sqm unless otherwise noted.
(b) CAPEX reflects the total spend for the projects listed at full power and capacity and the amounts shown in the table above may be invested over the duration of more than one fiscal year.
(c) Phase 1 (1,500 square metres) became operational in 4Q 2016. Phase 2 (1,400 square metres) is scheduled to become operational in 1Q 2017.
(d) Phase 1 (500 square metres) became operational in 2Q 2016. Phase 2 (600 square metres) is scheduled to become operational in 1Q 2017.
(e) Phase 1 (600 square metres) became operational in 4Q 2015. Phase 2 (600 square metres) became operational in 2Q 2016.
(f) Phase 1 (1,200 square metres) became operational in 1Q 2016; phase 2 (1,200 square metres) became operational in 2Q 2016; phases 3 & 4 (1,200 square metres each) became operational in 3Q 2016.
(g) Phases 1 and 2 (1,200 square metres each) are scheduled to become operational in 4Q 2017; phases 3 & 4 (1,200 square metres each) are scheduled to become operational in 2Q 2018.
(h) Phase 2 (cont.) (800 square metres) became operational in 3Q 2016. Phase 3 (1,400 square metres) is scheduled to become operational in 2Q 2017.
(i) The first 500 square metres became operational in 4Q 2016. The remaining 1,600 square metres is scheduled to become operational in 2Q 2017.
(j) 1,300 square metres became operational in 4Q 2014; 600 square metres became operational in 1Q 2015; 600 square metres became operational in 2Q 2015; 300 square metres became operational in 4Q 2015; 300 sqm became operational in 3Q 2016; another 1,100 square metres is scheduled to become operational in 2Q 2017.

 

21

Presentation materials

Exhibit 99.2

 

LOGO

 

4Q 2016 Earnings Conference Call

NYSE: INXN

1 March 2017

Copyright © 2017 Interxion


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Disclaimer

This document includes forward-looking statements. All statements other than statements of historical fact included in this document regarding our business, financial condition, results of operations and certain of our plans, objectives, assumptions, projections, expectations or beliefs with respect to these items and statements regarding other future events or prospects, are forward-looking statements. These statements include, without limitation, those concerning: our strategy and our ability to achieve it; expectations regarding sales, profitability and growth; plans for the construction of new data centres; our possible or assumed future results of operations; research and development, capital expenditure and investment plans; adequacy of capital; and financing plans. The words “aim,” “may,” “will,” “expect,” “anticipate,” “believe,” “future,”

“continue,” “help,” “estimate,” “plan,” “schedule,” “intend,” “should,” “shall” or the negative or other variations thereof as well as other statements regarding matters that are not historical fact, are or may constitute forward-looking statements.

In addition, this document includes forward-looking statements relating to our potential exposure to various types of market risks, such as foreign exchange rate risk, interest rate risks and other risks related to financial assets and liabilities. We have based these forward-looking statements on our management’s current view with respect to future events and financial performance. These views reflect the best judgment of our management but involve a number of risks and uncertainties which could cause actual results to differ materially from those predicted in our forward-looking statements and from past results, performance or achievements. Although we believe that the estimates reflected in the forward-looking statements are reasonable, such estimates may prove to be incorrect. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements. These factors include, among other things:

operating expenses cannot be easily reduced in the short term;

inability to utilise the capacity of newly planned data centres and data centre expansions;    significant competition;    cost and supply of electrical power;    data centre industry over-capacity; and    performance under service level agreements.

All forward-looking statements included in this document are based on information available to us on the date of this document. The Company undertakes no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required by applicable law. All subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements contained throughout this document.

This document contains references to certain non-IFRS financial measures, such as EBITDA, adjusted EBITDA, recurring revenue, adjusted net income, adjusted diluted earnings per share. For definitions of these measures and a reconciliation of these measures to the nearest IFRS-measure, please refer to the appendix.

Certain financial and other information presented in this document has not been audited or reviewed by our independent auditors.

Certain numerical, financial data, other amounts and percentages in this document may not sum due to rounding. In addition, certain figures in this document have been rounded to the nearest whole number.

2


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Strategic & Operational Highlights

David Ruberg – Chief Executive Officer

Copyright © 2017 Interxion


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FY 2016 Performance    

Financial Execution    Operational Execution

Total revenue, all organic, grew 9% Y/Y Opened 4 new data centres and completed 6 other

11% Y/Y constant currency    expansions across 5 markets

Recurring revenue grew 10% Y/Y    4 additional data centres and 5 other expansions

scheduled for 2017 and 2018

Adjusted EBITDA grew 11% Y/Y

Revenue generating space grew 10%

Adjusted EBITDA margin increased by 100 bps Y/Y to

Utilisation rate increased to 79%

45.3%    

Capital expenditure of € 250.9 million including Acquired data centre business of Vancis in 1Q 2017 in

Amsterdam

intangibles    

Solid Revenue Growth and Expanding Adjusted EBITDA Margins    4


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4Q    2016 Financial Highlights

Revenue

4Q Revenue € 110.5 million(€ millions)110.5

104.0105.3

Grew 10% Y/Y and 5% Q/Q100.7102.0

Non-

Grew 12% Y/Y and 5% Q/Q constant currencyrecurring

revenue

4Q Recurring revenue € 103.4 million95.197.299.3100.0103.4

Recurring

Grew 9% Y/Y and 3% Q/Qrevenue

94% of total revenue4Q151Q162Q163Q164Q16

4Q Adjusted EBITDA € 49.3 million Adjusted EBITDA & Margin

(€ millions)

Grew 10% Y/Y and 2% Q/Q

4Q Adjusted EBITDA margin 44.6% 44.945.947.348.349.3

4Q151Q162Q163Q164Q16

44.6%45.0%45.5%45.9%44.6%Margin

12% Constant Currency Revenue Growth Provides Momentum into 20175


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4Q 2016 Operational Highlights    

Equipped & Revenue Generating Space

Equipped space of 110,800 sqm (1,000’s sqm)

3,000 sqm added in the quarter    110.8Available

104.2107.8Equipped

101.6

101.2space

Revenue

Revenue generating space of 87,200 sqm space generating

3,100 sqm installed in the quarter    

79.180.481.684.187.2

Utilisation rate of 79%

4Q151Q162Q163Q164Q16

78%79%78%78%79%Utilisation

High Utilisation as Installations Aligned with Added Capacity    6


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Expanding Facilities To Support Customer Demand    

Announced Projects With Current or Pending Expansions(1)

(See Appendix for further information)

Completed expansions: ProjectEquipped Space

MarketData CentreProjectCapEx(sqm)Remaining

AMS8: opened initial ~1,500 sqm(€ millions)ProjectOpened (1)Schedule

Phases 1 – 2

DUB3: opened initial ~1,200 sqmAmsterdamAMS8New Build502,9001,5001Q17

Phase 1—2

PAR7: opened ~500 sqmCopenhagenCPH2New Build191,1005001Q17

Phase 1 – 2

DublinDUB3281,2001,200Complete

Three new data centres announced: New Build

Phases 1-4

FrankfurtFRA11954,80004Q17 – 2Q18

FRA12: 1,100 sqmNew Build

Phases 1

FrankfurtFRA12191,10004Q17

LON3: 1,800 sqmNew Build

Phases 1

LondonLON3351,80003Q18

STO5: 2,200 sqm in 3 phasesNew Build

Phases 2

MarseilleMRS1302,2008002Q17

(cont.)—3

Organic expansions totaling approximately

ParisPAR7Phase 2372,1005002Q17

14,400 sqm opening in 2017 through mid-2018    

Phases 1

StockholmSTO51160003Q17

New Build

Phases 1-6

ViennaVIE2654,2003,1002Q17

New Build

Note: Totals may not add due to rounding.    

(1)    As of 1 March 2017. CapEx and Equipped Space are approximate and may change. CapEx reflects the total spend for the listed project at full power and capacity and the amounts shown in the table above may be

invested over the duration of more than one fiscal year.    7


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Building Communities Of Interest Delivers Significant Customer Value

9% 11%

Financial Services Digital Media / CDNs Enterpri

9% Systems Integrators

30%

Cloud Providers

31%

Connectivity Providers

Note: Totals may not add due to rounding.    8


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Financial Highlights

Josh Joshi – Chief Financial Officer

Copyright © 2017 Interxion

9


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4Q 2016 Results    

4Q 20164Q 2016

€ millions    4Q 2015 3Q 20164Q 2016vs.vs.

(except per share amounts)     4Q 20153Q 2016

Recurring revenue    95.1 100.0103.49%3%

Revenue grew 10% Y/Y and 5% Q/Q

Revenue    100.7 105.3110.510%5%

Gross profit    61.4 64.567.510%5% Constant currency revenue grew 12% Y/Y and

5% Q/Q

Gross profit margin    61.1% 61.3%61.1%-(20 bps)

GBP approximately 10% of 4Q 2016 total

Adjusted EBITDA(1)    44.9 48.349.310%2%

revenue

Adjusted EBITDA(1) margin    44.6% 45.9%44.6%-(130 bps)

Strong NRR driven by installations

Net income    12.1 10.510.0(17%)(4%)

ARPU increased to € 403

EPS (diluted)    € 0.17 € 0.15€ 0.14(18%)(4%)

Adjusted net income(1)    12.1 8.69.0(26%)5% 4Q16 Adjusted EBITDA margins impacted by

revenue mix and higher G&A in quarter

Adjusted EPS (diluted)(1)    € 0.17 € 0.12€ 0.13(27%)5%

(1) Adjusted EBITDA, adjusted net income, and adjusted earnings per share (diluted) are non-IFRS figures intended to adjust for certain items. Full definitions can be found on the “Definitions” section in this slide deck.    

Reconciliations of adjusted EBITDA and adjusted net income to Net income can be found in the financial tables later in the appendix of this slide deck.    10


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4Q 2016 Reporting    Segment Analysis

France, Germany, Netherlands & UK     Rest of Europe

53.7%    55.2% 55.8%55.0%53.9%(€ millions)57.9%59.0%57.3%58.3%57.5%

71.0

64.8    65.566.466.9Revenue

35.936.537.638.439.5

34.8    36.237.036.838.2Adjusted22.7

EBITDA20.821.521.622.4

Adjusted

EBITDA

margin

4Q15    1Q162Q163Q164Q164Q151Q162Q163Q164Q16

Revenue grew 10% Y/Y, 6% Q/Q Revenue grew 10% Y/Y, 3% Q/Q

13% Y/Y and 6% Q/Q constant currency 11% Y/Y and 3% Q/Q constant currency

Recurring revenue grew 9% Y/Y, 4% Q/Q Recurring revenue grew 9% Y/Y, 3% Q/Q

Adjusted EBITDA grew 10% Y/Y, 4% Q/Q Adjusted EBITDA grew 10% Y/Y, 2% Q/Q

Strength in Germany and France Strength in Austria, Spain and Sweden

Note: Analysis excludes “Corporate & Other” segment.    

Double Digit Revenue Growth and Strong Margins in Both Reporting Segments11


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2016 FY Results    

2016

€ millions    2015 2016vs.

(except per share amounts)     2015

Recurring revenue    365.2 400.010%

Revenue grew 9% Y/Y

Revenue    386.6 421.89%

Constant currency revenue grew 11% Y/Y

Gross profit    234.9 259.210%

Gross profit margin    60.8% 61.5%+70 bps Gross profit margins increased 70 basis points

Adjusted EBITDA(1)    171.3 190.911% Adjusted EBITDA grew 11% Y/Y

Adjusted EBITDA(1) margin    44.3% 45.3%+100 bps Adjusted EBITDA margins increased 100 basis points

Net income    48.6 39.9(18%) Net income & Adjusted net income impacted by M&A

EPS (diluted)    € 0.69 € 0.56(19%)items in 2015 and increased depreciation and finance

Adjusted net income(1)    37.9 36.6(4%)expense in 2016

Adjusted EPS (diluted)(1)    € 0.54 € 0.51(5%)

(1) Adjusted EBITDA, adjusted net income, and adjusted earnings per share (diluted) are non-IFRS figures intended to adjust for certain items. Full definitions can be found on the “Definitions” section in this slide deck.    

Reconciliations of adjusted EBITDA and adjusted net income to Net income can be found in the financial tables later in the appendix of this slide deck.    12


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Operating    LeverageDrivesStrong Returns

Adjusted EBITDA Margin    

45.3%

Strong margin performance driven by

44.3%

disciplined expansion and prudent capital

allocation

42.9%43.0%

380 bps margin expansion while

41.5%    expanding capacity by 50% and adding

11 new data centres

Operating leverage, coupled with continued

2012    2013201420152016efficiencies in data centre operations

DC’s in    

Operation    33 34404144

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Disciplined    Investments

Capital Expenditures,     By Geography (FY 2016)

including Intangible Assets    (€ millions)

(€    millions)

10.5

250.9Big 4 68% of capex invested in

216.369.7ROEBig 4

Corporate

192.6170.7 91% of capex invested in

178.3    

discretionary expansion

143.4

projects

By Category (FY 2016) Maintenance & other capex

(€ millions)

8.9constituted 3% of total

13.2

Expansion /revenue

Upgrade

Maintenance

& Other

2012    2013201420152016228.8Intangibles

Utilisation    76% 75%76%78%79%

Demand Driven Capex Delivering Continued High Utilisation Levels14


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Strong Balance Sheet    

€ millions     Strong Balance Sheet

(except per share amounts)    31-Dec-16 31-Dec-15

€ 100 million RCF undrawn at year end

Cash & Cash Equivalents    115.9 53.7

€ 30 million drawn in Q1 2017

Total Borrowings(1)    735.0 555.1 Acquired data centre business of Vancis for

Shareholders Equity    548.8 507.4~€ 78 million in 1Q 2017

Total Capitalisation    1,283.8 1,062.5 5.7% blended cost of debt

Total Borrowings / Total Capitalisation    57.3% 52.2% 4Q 2016 LTM Cash ROGIC 11%

Gross Leverage Ratio(2)    3.8x 3.3x

Net Leverage Ratio(3)    3.2x 2.9x

(1)    Total Borrowings = 6.00% Senior Secured Notes due 2020 including premium on additional issue and are shown after deducting underwriting discounts and commissions, offering fees and expenses + Mortgages +

Financial Leases + Revolving facility borrowings + Other Borrowings – Revolving facility deferred financing costs.    

(2)    Gross Leverage Ratio = (6.00% Senior Secured Notes due 2020 at face value + Mortgages + Financial Leases + Revolving facility borrowings+ Other Borrowings) / LTM Adjusted EBITDA.

(3)    Net Leverage Ratio = (6.00% Senior Secured Notes due 2020 at face value + Mortgages + Financial Leases + Revolving facility balance + Other Borrowings – Cash & Cash Equivalents) / LTM Adjusted EBITDA.

Ample Liquidity Provides Flexibility for Future Growth    15


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Disciplined Investments Drive Strong    Returns

(€ millions)    

832    

30 fully built-out data centres(1)(2)

Space fully equipped

Some power upgrades yet to come

Returns     As of 1 January 2015

LTM    314 70,500 sqm of equipped space

2016    24% 83% utilisation

Q4    211203

24% annual cash return

(8)

Investments (3)    RevenueGross ProfitMaintenanceAnnual Cash

CapexReturn

67% margin

(1)    Fully built-out data centre: a data centre for which materially all equippable space is equipped. However, note, future power upgrades can further increase the capacity of a fully built out data centre.

(2)    30 fully built-out data centres as at 1 January 2015: AMS1, AMS3, AMS4, AMS5, AMS6, BRU1, CPH1, DUB1, DUB 2, FRA1, FRA2, FRA3, FRA4, FRA5, FRA6, FRA7, FRA8, FRA9, LON1, LON2, MAD1, PAR1, PAR2,

PAR3, PAR4, PAR5, PAR6, STO1, STO3, and VIE1.    

(3)    Represents total cumulative investments in Data Centre Assets, including freehold land and buildings, infrastructure and equipment, Intangible assets, and assets under construction as at 31 Dec 2016.

Attractive Cash Returns from Fully Built-Out Data Centres(1)16


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Business Commentary Outlook &

Concluding Remarks

David Ruberg – Chief Executive Officer

Copyright © 2017 Interxion

17


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Spectrum of Data    Centre Providers

Wholesale    Carrier OperatedCarrier Neutral

Increasing value creation through connectivity and communities    

Limited connectivity Limited connectivity Rich connectivity

Real estate focus Data centre as add-on service Communities of interest

Barriers to Entry

Economies of scale Customer ownership Connectivity community

18


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Connectivity Influen

Priorities

Competitive landscape differs

Frankfurt, London, Amsterdam

Paris are the key markets in E

Marseille has been established

connectivity gateway between

Middle East, Africa, and Asia    

Big 4 Markets

Gateway Markets

Other Markets


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Guidance for 2017

Revenue € 468m – € 483m

Adjusted EBITDA(1) € 212m – € 222m

Capital Expenditures(2) € 250m – € 270m

(1) Adjusted EBITDA is a non-IFRS measure intended to adjust for certain items. The definition of Adjusted EBITDA can be found on the “Definitions” section in this slide deck. A reconciliations of adjusted EBITDA can be found in the financial tables later in the appendix of this slide deck.

(2) Excludes ~€ 78 million for acquisition of the Vancis data centre business in 1Q 2017. 20


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Questions & Answers

Copyright © 2017 Interxion

21


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Appendix

Copyright © 2017 Interxion

22


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Track Record Of Execution    

Revenue by Quarter    

(€ millions)    95.498.0100.7 102.0 104.0 105.3 110.5

89.992.5

83.686.4

54.655.657.960.062.064.465.868.070.472.974.476.578.178.280.6

47.8    50.4

1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12    2Q12 3Q124Q12 1Q13 2Q133Q13 4Q131Q142Q143Q144Q141Q152Q153Q154Q151Q162Q163Q164Q16

Y/Y Growth 18%    19% 25%23%21%19%13%16%14%13%14%13%13%13%11%7%8%9%11%15%15%14%13%12%10%9%7%10%

Big 4 %(2)    60% 60%60%58%60%60%59%62%61%62%62%62%63%63%62%63%63%62%63%63%63%63%65%64%64%64%65%64%

Adjusted EBITDA by Quarter    349.3

(€ millions)    40.642.043.744.945.947.348.

31.231.732.733.834.535.937.338.7

27.127.327.828.7

17.4    19.620.821.422.223.325.0

Adjusted    1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q124Q12 1Q13 2Q133Q13 4Q131Q142Q143Q144Q141Q152Q153Q154Q151Q162Q163Q164Q16

EBITDA    36% 39%38%38%38%39%40%42%42%41%41%43%43%43%43%43%43%43%43%43%44%44%45%45%45%46%46%45%

Margin(3)    

(1)    CAGR calculated as 4Q16 vs. 1Q10.

(2)    Big 4 % defined as percentage of total revenue from France, Germany, Netherlands, and UK reporting segment.

(3)    Adjusted EBITDA margin calculated as adjusted EBITDA divided by Revenue.

41 Consecutive Quarters of Organic Revenue and Adjusted EBITDA Growth23


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Illustrative ARPU    Development

Customer ARPU    

Development     ARPU increases over time as IT workloads

increase:

Customers initially contract for space and modest power

reservation(1)

As workloads increase, larger power reservation fees are

required and energy consumption increases

Space Installed

Data Centre Recurring     Revenue grows from space, power reservation, and

Revenue Development    Power Reservation & energy consumption over time

Energy Consumption

As data centres fill with customers:

Revenue mix initially tilted toward space

As space becomes more fully utilised, revenue growth

from power reservation and energy consumption can

continue

(1)    Power Reservation is the fee for infrastructure power (cooling, power distribution, etc.).

Revenue Develops Over Time as Power Reservation and Energy Consumption Increase    24


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Historical Financial Results    

€ in millions     201420152016201420152016

(except as noted)    1Q 2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4QFYFYFY

Recurring revenue    75.9 78.780.983.787.190.392.895.197.299.3100.0103.4319.2365.2400.0

Non-recurring revenue    4.7 4.95.66.25.45.25.25.64.84.75.37.121.421.421.8

Total revenue    80.6 83.686.489.992.595.498.0100.7102.0104.0105.3110.5340.6386.6421.8

Gross profit    48.0 49.650.953.056.257.859.561.462.964.464.567.5201.6234.9259.2

Gross profit margin    59.6% 59.4%58.9%58.9%60.8%60.5%60.7%61.1%61.6%61.9%61.3%61.1%59.2%60.8%61.5%

Adj EBITDA    34.5 35.937.338.740.642.043.744.945.947.348.349.3146.4171.3190.9

Adj EBITDA margin    42.9% 42.9%43.1%43.0%43.9%44.0%44.6%44.6%45.0%45.5%45.9%44.6%43.0%44.3%45.3%

Net profit / (loss)    10.4 8.39.07.44.4(1)21.6(1)10.4(1,2)12.1(1)10.2(1)9.2(1)10.5(1)(2)10.0(1)35.148.6(1,2)39.9(1,2)

CapEx paid    57.0 54.457.047.867.647.835.342.050.062.664.573.8216.3192.6250.9

Expansion / upgrade    52.7 51.051.243.764.244.330.436.945.356.358.868.2198.7175.7228.8

Maintenance & other    3.7 2.65.02.91.12.63.03.62.14.42.24.514.310.413.2

Intangibles    0.6 0.80.81.22.30.91.91.52.61.93.51.03.36.58.9

Cash generated from    

operations    34.3 26.933.640.534.2(1)54.1(1)43.0(1)38.1(1)50.4(1)39.3(1)43.5(1)50.2(1)135.4169.4(1)183.4(1)

Gross PP&E    1,045.4 1,105.81,183.11,235.61,308.81,350.21,375.61,418.71,457.21,541.21,579.71,651.11,235.61,418.71,651.1

Gross intangible assets    25.5 26.527.528.030.533.635.134.636.538.143.242.328.034.642.3

LTM Cash ROGIC    13% 12%12%11%12%12%12%12%12%11%12%11%11%12%11%

Note: Figures rounded to nearest net € 0.1 Million. Totals may not add due to rounding. The Company’s growth has been 100% organic; hence, gross goodwill is zero for all periods.    

(1)    Includes € 6.9 million, € 3.9 million, € 0.5 million, € 0.6 million, € 0.2 million, € 0.5 million, € 0.9 million, and € 0.8 million of M&A transaction cost in 1Q15, 2Q15, 3Q15, 4Q15, 1Q16, 2Q16, 3Q16, and 4Q16 , respectively; also includes

€ 20.9 million M&A transaction break fee income in 2Q15.    

(2)    Includes gain on sale of financial asset.

25


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Historical Segment Financial Results    

€ in millions     201420152016201420152016

(except as noted)    1Q 2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4QFYFYFY

Big 4    

Recurring revenue    47.6 49.351.052.755.057.359.560.962.363.863.866.2200.6232.6256.0

Non-recurring revenue    3.1 2.93.93.73.63.03.83.93.32.63.14.813.614.313.8

Total revenue    50.8 52.254.956.458.660.363.264.865.566.466.971.0214.2246.9269.8

Gross profit margin    61.8% 61.2%60.5%60.1%62.0%62.6%62.3%62.0%62.4%63.4%62.6%62.0%60.9%62.2%62.6%

Adj EBITDA    27.3 27.929.229.031.433.234.934.836.237.036.838.2113.4134.3148.2

Adj EBITDA margin    53.8% 53.4%53.3%51.4%53.5%55.1%55.2%53.7%55.2%55.8%55.0%53.9%52.9%54.4%54.9%

Rest of Europe    

Recurring revenue    28.2 29.429.931.032.133.033.334.235.035.636.237.3118.6132.6144.0

Non-recurring revenue    1.6 2.01.72.51.82.21.51.71.52.12.22.27.87.18.1

Total revenue    29.8 31.431.633.533.935.134.835.936.537.638.439.5126.4139.6152.0

Gross profit margin    62.2% 62.3%61.5%62.3%64.6%63.6%64.3%65.9%66.9%65.8%65.2%64.3%62.1%64.6%65.9%

Adj EBITDA    15.8 16.616.818.119.019.319.820.821.521.622.422.767.378.988.2

Adj EBITDA margin    52.9% 52.9%53.1%53.9%56.0%55.1%56.9%57.9%59.0%57.3%58.3%57.5%53.2%56.5%58.0%

Corporate & Other    

Adj EBITDA    (8.5) (8.7)(8.7)(8.4)(9.7)(10.6)(11.0)(10.7)(11.8)(11.2)(10.8)(11.7)(34.3)(41.9)(45.5)

Note: Figures rounded to nearest net € 0.1 Million. Totals may not add due to rounding.     26


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Historical Operating Metrics    

Space figures in square metres(1)     201420152016

Recurring ARPU in €    

Customer Available Power in    1Q 2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q

MW(1)    

Equipped space    82,900 86,00088,60093,50094,80098,300100,200101,200101,600104,200107,800110,800

Equipped space added    2,800 3,1002,6004,9001,3003,5001,9001,0004002,6003,6003,000

Revenue generating space    61,400 64,30068,50071,00074,00077,10078,00079,10080,40081,60084,10087,200

RGS added    1,700 2,9004,2002,5003,0003,1009001,1001,3001,2002,5003,100

Recurring ARPU    418 418406400400398399403406409402403

Utilisation (%)(2)    74% 75%77%76%78%78%78%78%79%78%78%79%

Equipped customer power    86 909699109114116118120123129131

Maximum equippable customer    

power     139139145145153154177179178178187187

Data centres in operation    36 3738403940404141424244

(1)    All figures at the end of the period, except as noted. Maximum equippable customer power includes the announced maximum equippable customer power from current and announced data centres as at the date of

each quarter’s respective report.    

(2)    Utilisation as at the end of the reporting period. 27


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Scheduled Equipped Space Additions    

2014201520162017E(2)2018E

Space figures in square metres(1)    

1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1QE2QE3QE4QEFYE

Big 4    

600 900 800500 3,000

Germany    800 1,8001001,800 4001006001,2001,8002,400 3,5002,400

Netherlands(3)    1,100 1,0001,5001,3007001,300 (700) 1,5001,400

UK     100100 100 1,800

Subtotal    1,900 2,9001,7003,7007001,7001,1006004001,8003,2002,0001,4003,000 3,5004,200

Rest of Europe    

Austria     1,300600600 300 300 1,100

Belgium    300

Denmark     500 600

Ireland     1,200

Spain     800

Sweden    500 900 1,100 200 600

Switzerland     100 100

Subtotal    800 1009001,3006001,800800300 7003001,2006001,100600

Total additional equipped space    2,800 3,1002,6004,9001,3003,5001,9001,0004002,6003,6003,0002,0004,1006003,5004,200

13,400 Sqm in 20147,700Sqm in 20159,600 Sqm in 201610,200 Sqm in 2017E

(1)    Figures rounded to nearest net 100 sqm for each country unless otherwise noted. Totals may not add due to rounding.

(2)    Future expansion additions based on announced schedule, which is subject to change; additions scheduled for the first half are noted in the second quarter and additions scheduled for the second half are noted in the fourth quarter.

(3)    HIL1 exited in 1Q15; AMS2 exited in 1Q16. Excludes Interxion Science Park.

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Space Analysis by Country    

Maximum Equippable

Space figures in square metres(1)    Data Centres in Operation Space in Country(5)Equipped Space inEquipped Space UnderUnequipped Space

/ under ConstructionCountryConstruction in Country(2)Available for Development

(incl DC’s under construction)

Big 4    

France    8 28,50020,2003,1005,200

Germany    12 29,10024,2004,800(2)100

Netherlands(3,4)    7 27,90021,4001,5005,000

UK    2 6,8006,8000(2)0

Subtotal    2992,30072,6009,30010,400

Rest of Europe    

Austria    2 10,9007,9001,1001,900

Belgium    1 5,1005,0000100

Denmark    2 5,4004,300600500

Ireland    3 5,8004,60001,200

Spain    2 5,7005,70000

Sweden    4 5,1004,9000(2)100

Switzerland    1 7,1005,80001,300

Subtotal    1545,10038,2001,7005,200

Total    44 137,400110,80011,000(2)15,600

Note: Totals may not add due to rounding. As of Dec. 31, 2016.    

(1)    Figures rounded to nearest net 100 sqm for each country unless otherwise noted. Totals may not add due to rounding.

(2)    Future expansion additions based on announced schedule, which is subject to change; Excludes expansions announced after the end of the period.

(3)    Includes sites on owned and available land, under lease agreements, and options

(4)    Excludes Interxion Science Park

(5)    Maximum Equippable Space (incl DC’s under construction) = Equipped Space + Under Construction Space + Unequipped Space 29


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Pan-European Data Centre Portfolio    

Maximum EquippableMaximum Equippable

LocationOwned / LeasedBuild Out Status(1)LocationOwned / LeasedBuild Out Status(1)

Space (sqm)(2)(3)(5)Space (sqm)(2) (3)

FranceNetherlands

MRS1OwnedExpanding6,400AMS1LeasedFully600

PAR1LeasedFully1,400AMS3OwnedFully3,000

PAR2LeasedFully2,900AMS4LeasedFullyNM (5)

PAR3OwnedFully1,900AMS5LeasedFully4,300

PAR4LeasedFully1,300AMS6OwnedFully4,400

PAR5OwnedFully4,000AMS7Finance Lease(4)Expanding7,600

PAR6LeasedFully1,300AMS8Finance LeaseExpanding7,900

PAR7Finance Lease (4)Expanding9,300UK

4    LON1LeasedFully5,400

Big    LON2LeasedFully1,500

Germany

DUS1LeasedExpanding3,300FRA6LeasedFully2,200

DUS2LeasedExpanding1,200FRA7LeasedFully1,500

FRA1LeasedFully500FRA8OwnedFully3,700

FRA2LeasedFully1,100FRA9LeasedFully800

FRA3LeasedFully2,200FRA10OwnedExpanding4,800

FRA4LeasedFully1,400FRA11OwnedUnder Construction4,800

FRA5LeasedFully1,700

AustriaSpain

VIE1OwnedFully4,700MAD1LeasedFully4,000

VIE2OwnedExpanding6,200MAD2LeasedExpanding1,700

BelgiumSweden

BRU1OwnedFully5,100STO1LeasedFully1,900

DenmarkSTO2LeasedExpanding1,200

ROE    CPH1LeasedFully3,800STO3LeasedFully900

CPH2OwnedExpanding1,600STO4LeasedExpanding1,100

IrelandSwitzerland

DUB1LeasedFully1,100ZUR1LeasedExpanding7,100

DUB2LeasedFully2,300

DUB3OwnedExpanding2,300

Total     137,500

(1)    Built Out Status as at 1 January 2015, consistent with slide 16 Totals:# sqm%

(2)    Maximum equippable space as at 31 December 2016. Owned13 53,00038.5%

(3)    Not included in Maximum Equippable Space, Interxion owns or leases land for data centre development in Copenhagen, Dublin, Frankfurt, Madrid, Marseille and Paris. Finance Lease 3 24,80018.0%

(4)    Purchase options have been exercised, though not yet closed

(5)    Maximum equippable space for AMS4 is included in the maximum equippable space of AMS1 Operating Lease29 59,70043.5%30

Total45 137,500100.0%


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Adjusted NET Income Reconciliation    

Reconciliation to adjusted net income    

€ in millions     201420152016201420152016

(except as noted)    1Q 2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4QFYFYFY

Net income – as reported    10.4 8.39.07.44.421.610.412.110.29.210.510.035.148.639.9

Add back    

+    Refinancing charges 0.6 0.6

+    M&A transaction costs 0.36.93.90.50.60.20.50.90.80.311.82.4

0.6 0.36.93.90.50.60.20.50.90.80.911.82.4

Reverse    

    M&A transaction break fee income (20.9) (20.9)

    Profit on sale of financial asset (2.3) (0.3) (2.3)(0.3)

    Adjustment for onerous leases (0.8) (0.1) (0.1) (0.8)(0.2)

    Increase/(decrease) of finance (1.4) (1.4)

lease obligation    

    Increase/(decrease) in provision for (0.2) (0.2)

site restoration    

    Deferred tax asset adjustment (0.8) (0.8)

    Interest capitalised (0.8)(0.8)(1.3)(0.6)(0.9)(0.7)(0.4)(0.6)(0.5)(0.7)(1.3)(0.9)(3.6)(2.6)(3.4)

(0.8)(1.6)(1.3)(0.6)(1.0)(21.6)(2.8)(0.6)(0.5)(0.7)(3.0)(2.0)(4.4)(26.0)(6.1)

Tax effect of above add backs &    

reversals    0.2 0.30.30.2(1.4)4.40.60.00.10.10.20.10.93.50.4

Adjusted net income    9.8 7.68.07.28.98.38.712.110.09.08.69.032.537.936.6

Reported Basic EPS (€ )    0.15 0.120.130.110.060.310.150.170.150.130.150.140.510.700.57

Reported Diluted EPS (€ )    0.15 0.120.130.110.060.310.150.170.140.130.150.140.500.690.56

Adjusted Basic EPS (€ )    0.14 0.110.120.100.130.120.120.170.140.130.120.130.470.550.52

Adjusted Diluted EPS (€ )    0.14 0.110.110.100.130.120.120.170.140.130.120.130.460.540.51

Note: Figures rounded to nearest net € 0.1 Million. Totals may not add due to rounding.     31


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Non-IFRS Reconciliation    

Reconciliation to adjusted EBITDA    

€ in millions     2010201120122013201420152016

(except as noted)    1Q 2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q

Net income    (4.7) 4.05.99.52.85.26.910.68.78.78.65.67.06.6(16.5)(1) (9.810.48.39.07.44.421.610.412.110.29.210.510.0

Income tax expense /    1.2 2.91.6(3.2)2.32.33.21.93.94.14.33.53.43.1(4.1)3.74.23.93.93.52.48.24.72.64.74.24.53.0

(benefit)    

Profit / (loss) before    (3.5) 6.97.56.35.17.510.112.612.612.912.89.110.39.7(20.6)13.414.612.212.810.86.829.815.214.714.913.415.013.1

taxation    

Net finance expense    13.5 4.85.16.16.66.05.35.04.43.93.85.76.57.338.1(1)5.65.47.57.08.06.67.96.48.18.010.28.69.5

Operating profit    10.0 11.712.612.411.713.515.317.517.116.716.614.816.817.117.519.020.019.719.818.813.437.721.622.822.923.523.622.6

Depreciation, amortisation    7.2 7.57.88.68.59.69.18.49.710.211.013.114.014.915.213.514.014.916.017.318.219.620.320.221.522.022.124.2

and impairments    

EBITDA    17.2 19.220.421.020.323.124.425.926.727.027.627.830.832.032.732.534.034.635.936.231.657.341.843.044.445.645.746.8

Share-based payments    0.3 0.40.40.60.30.30.71.30.70.91.22.61.00.81.11.30.62.11.52.32.21.81.71.51.41.31.81.8

Increase/(decrease) in    

provision for onerous lease    0.1 0.10.1(0.1)0.0 0.8 - (0.8) (0.1) (0.1)

contracts    

IPO transaction costs     1.7 - ----

M&A transaction break fee    

income     - (20.9) ----

M&A transaction costs     - 0.36.93.90.50.60.20.50.90.8

Income from sub-leases on    

(0.1)    (0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.0)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.0)(0.0)0.0

unused data centre sites    

Increase/(decrease) in    

provision for site restoration     (0.2)

Adjusted EBITDA    17.4 19.620.821.422.223.325.027.127.327.828.731.231.732.733.733.834.535.937.338.740.642.043.744.945.947.348.349.3

Note: Figures rounded to nearest net € 0.1 Million. Totals may not add due to rounding.

(1) Includes € 31 Million in one time charges related to debt refinancing.     32


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Non-IFRS Reconciliation    

Reconciliation to Segment adjusted EBITDA    

201420152016

€ in millions    

1Q    2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q

BIG 4    

Operating profit    18.3 18.718.417.619.520.321.721.721.722.421.921.6

Depreciation, amortisation and impairments    8.9 9.510.511.211.712.513.113.014.314.514.816.5

EBITDA    27.2 28.328.928.731.232.934.834.736.036.936.738.1

Share-based payments    0.2 0.50.30.40.30.50.40.20.30.10.10.3

Increase/(decrease) in provision for onerous lease    

contracts     (0.8) (0.1) (0.1)

Income from sub-leases on unused data centre sites    (0.1) (0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.1)(0.0)(0.0)0.0

Increase/(decrease) in provision for site restoration     (0.2)

Adjusted EBITDA    27.3 27.929.229.031.433.234.934.836.237.036.838.2

ROE    

Operating profit    11.5 11.811.912.613.313.213.514.415.315.116.016.1

Depreciation, amortisation and impairments    4.3 4.54.65.15.45.96.16.26.16.46.36.6

EBITDA    15.7 16.316.517.818.819.119.620.621.421.522.322.6

Share-based payments    0.1 0.30.30.30.20.20.20.20.10.10.10.1

Adjusted EBITDA    15.8 16.616.818.119.019.319.820.821.521.622.422.7

CORPORATE & OTHER    

Operating profit/(loss)    (9.8) (10.9)(10.4)(11.4)(19.4)4.2(13.6)(13.3)(14.1)(13.9)(14.3)(15.1)

Depreciation, amortisation and impairments    0.8 0.80.91.01.11.11.11.01.01.11.01.2

EBITDA    (9.0) (10.0)(9.6)(10.4)(18.3)5.3(12.5)(12.3)(13.0)(12.8)(13.3)(13.9)

Share-based payments    0.4 1.40.81.71.71.11.11.11.01.11.61.4

M&A transaction costs     0.36.93.90.50.60.20.50.90.8

M&A transaction break fee income     (20.9)

Adjusted EBITDA    (8.5) (8.7)(8.7)(8.4)(9.7)(10.6)(11.0)(10.7)(11.8)(11.2)(10.8)(11.7)

Note: Figures rounded to nearest net € 0.1 Million. Totals may not add due to rounding.     33


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Definitions

Adjusted EBITDA and EBITDA: EBITDA is defined as net profit plus income tax expense, net finance expense, depreciation, amortisation and impairment of assets. W e define adjusted EBITDA as EBITDA adjusted for share-based payments, income or expense related to the evaluation and execution of potential mergers or acquisitions and adjustments related to terminated and unused data centre sites. In certain circumstances, we may also adjust for gains or losses that management believes are not representative of our current ongoing performance. Examples of this would include: adjusting for the cumulative effect of a change in accounting principle or estimate, impairment losses, litigation gains and losses or windfall gains and losses (e.g., Dutch crisis wage tax, IPO transaction costs)

Adjusted diluted earnings per share: Adjusted diluted earnings per share amounts are determined on adjusted net profit

Adjusted net profit: We define adjusted net profit as net profit adjusted to exclude income or expense related to the evaluation and execution of potential mergers or acquisitions, adjustments to provisions which are not reflective of our ongoing performance, and adjustments related to capitalised interest. In certain circumstances, we may also adjust for gains or losses that management believes are not representative of our current ongoing performance. Examples of this would include: adjusting for the cumulative effect of a change in accounting principle or estimate, impairment losses, litigation gains and losses or windfall gains and losses (e.g., Dutch crisis wage tax, IPO transaction costs)

Big 4: France, Germany, the Netherlands, and the UK

CAGR: Compound Annual Growth Rate

Capital expenditures including intangible assets: represent payments to acquire property, plant & equipment and intangible assets as recorded on our consolidated statement of cash flows as “Purchase of property, plant and equipment” and “Purchase of intangible assets”, respectively. Investments in intangibles assets include power grid rights and software development

Cash ROGIC: Cash Return on Gross Invested Capital (Cash ROGIC) defined as (Adjusted EBITDA less maintenance and other capex) divided by {Average of opening and closing (gross PP&E plus gross intangible assets plus gross goodwill)}

Constant Currency: Measurements of the given metric that eliminate the effects of foreign currency rate fluctuations. To calculate this information, current and comparative prior period results for entities reporting in currencies other than Euro are converted into Euro using the average exchange rates from the comparative period rather than the actual exchange rates in effect during the respective periods.

Corporate and Other: Unallocated items comprised of mainly general and administrative expenses, assets and liabilities associated with our headquarters operations, provisions for onerous contracts (relating to the discounted amount of future losses expected to be incurred in respect of unused data centre sites over the term of the relevant leases) and revenue and expenses related to those onerous contracts, loans and borrowings and related expenses and income tax assets and liabilities

CDNs: Content Distribution Networks

Churn: contracted Monthly Recurring Revenue which came to an end during the month as a percentage of the total contracted Monthly Recurring Revenue at the beginning of the month

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Definitions (cont.)

Customer Available Power: the current installed electrical customer capacity

Equipped Space: the amount of data centre space that, on the relevant date, is equipped and either sold or could be sold, without making any significant additional investments to common infrastructure. IAAS: Infrastructure as a Service LTM: Last Twelve Months ended 31 December 2016, unless otherwise noted MW: Megawatts PAAS: Platform as a Service SAAS: Software as a Service SQM: Square metres

Recurring ARPU: Monthly recurring revenue per square metre calculated as {reported recurring revenue in the quarter divided by 3} divided by {sum of prior and current quarter end reported revenue generating space divided by 2}

Recurring Revenue: revenue that is incurred from colocation and associated power charges, office space, amortised set-up fees, cross-connects and certain recurring managed services (but excluding any ad hoc managed services) provided by us directly or through third parties. Rents received for the sublease of unused sites are excluded.

Rest of Europe / ROE: Austria, Belgium, Denmark, Ireland, Spain, Sweden, and Switzerland

Revenue Generating Space: the amount of Equipped Space that is under contract and billed on the relevant date

Utilisation Rate: on the relevant date, Revenue Generating Space as a percentage of Equipped Space. Some Equipped Space is not fully utilised due to customers’ specific requirements regarding the layout of their equipment. In practice, therefore, Utilisation Rate does not reach 100%

YTM: Yield to maturity

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