Australia's NEXTDC tumbles to near-9-year low on outlook cut

NEXTDC

Wed 01:35

Updates
** Shares of NEXTDC NXT.AX fall as much as 44.8% to A$5.070, their lowest level since November 14, 2017
** The data centre operator cuts FY27 net revenue forecast to between A$475 million ($333.02 million) and A$500 million, from its prior outlook of A$615 million to A$640 million, excluding the affected M3 contracts
** Co also cut its 2027 EBITDA forecast to between A$245 million and A$265 million, from A$385 million to A$410 million, excluding the affected M3 contracts
** Co lowers FY27 capex outlook to range of A$4,500 million to A$5,000 million, down from A$5,250 million to A$5,750 million
** Citi says reducing capex outlook should help with financial covenants, but does put NXT in a competitively weaker position from a medium-term perspective
** Stock down 56.1% YTD

($1 = 1.4263 Australian dollars)

 (Reporting by Sherin Sunny and Keshav Singh Chundawat in Bengaluru)
 ((Sherin.Sunny@thomsonreuters.com))