DigiCo Infrastructure REIT (ASX: DGT) has plummeted -9.7% in afternoon trade, with investors dumping the stock in the wake of its FY25 results – even though the results came in ahead of prospect forecasts.
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DigiCo’s FY25 results hit major financial, operational, and strategic milestones, but the consensus has settled on it being a miss – albeit, a small one.
One highlight was that the company’s SYD1 data centre was granted ‘Certified Strategic’ status under the Australian Government Hosting Certification Framework.
This is the top tier of certification, DigiCo explained, and with sites certified across New South Wales and Queensland, and then Adelaide to follow by Q2 FY26, the company now has a strong national footprint.
“The granting of ‘Certified Strategic’ status for SYD1 marks a significant achievement, reinforcing our role as a cornerstone of Australia’s sovereign digital infrastructure. Our sales pipeline has materially exceeded expectations, supported by surging demand in AI, hyperscale cloud, and enterprise segments,” CEO Chris Maher said.
On the development side, progress is also tracking well, DigiCo reported. The SYD1 expansion, 9MW of liquid-cooled capacity, is scheduled for delivery in early Q4. Overseas, the LAX1 project is on track for approval, while in Chicago, revenue is flowing for Phases 1 and 2, with Phase 3 to follow in August 2026.
Operationally, DigiCo secured 2.6MW of renewals at an 8.2% premium, bringing billing IT capacity to 53MW, contracted IT capacity to 65MW, and installed IT capacity to 76MW.
Future Expansion Capacity sits at 156MW, with Planned Capacity of up to 232MW, highlighting the scale of opportunity ahead.
The company delivered annualised EBITDA of $99m, above PDS guidance. Distributions per security came in at 10.9c, with available liquidity of $740m ($425m cash and $315m undrawn facilities).
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“We finished FY25 ahead of PDS guidance, with EBITDA of $99M, liquidity of $740M, and gearing at the lower end of our 35% to 45% target range. This robust position provides the flexibility to progress our development programs and execute on capital partnering initiatives,” CFO Simon Mitchell highlighted.
DGT has been trading flat at 15.5cps in afternoon trade.
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