Australian-listed NextDC has recovered from last year's AU$10.3 million loss, reporting a AU$1.8 million statutory profit for the 2015-16 financial year, giving the datacentre-as-a-service company its first full-year profit.
Revenue for the year ended June 30, 2016, was AU$92.8 million, up 52 percent year on year, with datacentre services accounting for AU$89 million of the total.
Earnings before interest, taxes, depreciation, and amortisation (EBITDA) was AU$27.7 million, a 247 percent increase from last year's AU$8 million.
NextDC CEO Craig Scroggie said the positive result is a significant achievement for what he called a young company with substantial capital investments.
"NextDC continues to experience strong growth in the key metrics of revenue and contracted utilisation, and we're pleased to announce the company's first full-year statutory net profit," Scroggie said.
During the year, NextDC inked a AU$1.79 million "critical and sensitive" three-year deal with the Australian government, and signed a five-year contract with the Australian Electoral Commission (AEC), with the AU$1.4 million deal including the relocation of the AEC's critical IT infrastructure.
When reporting its first-half results in February, the company had hinted that it was in "advanced discussions in relation to further large customer opportunities".
"While there can be no assurances that these discussions will result in further large contract wins, it is the company's expectations that any such contract wins are likely to have the majority of their impact on NextDC's financial performance in FY17 and beyond," the company said in February.
Scroggie told shareholders on Tuesday that NextDC continues to experience strong demand at its existing facilities.
"The value of our national datacentre network to the regional IT industry continues to grow as we bring new connectivity options to our expanding customer and partner ecosystem," he said.
"When evaluating new material opportunities, the company undertakes a robust and disciplined approach to contract pricing, with shareholder returns the ultimate determinant."
NextDC secured space in Queensland's Fortitude Valley in May to build its AU$75 million Brisbane 2 (B2) datacentre, scheduled for completion in late 2017.
The AU$75 million includes the purchase of land, base building, and associated infrastructure to support an initial 1.5 megawatts (MW) of IT load. At the time, NextDC said it has every intention for B2's total capacity to reach 6MW, building on a site close to a major electricity substation.
A day later, NextDC confirmed Tullamarine as the location for its AU$85 million Melbourne 2 (M2) datacentre, after executing a contract to acquire the space near one of Australia's busiest airports.
Similarly to B2, the AU$85 million investment includes the land, base building, and associated infrastructure to support the facility's initial 2MW of IT load, with the company expecting this to scale up to a target capacity of 25MW at full fit-out.
The company set out to raise AU$120 million in November to fund the construction of B2 and M2.
"Both B1 and M1 have proven to be highly successful facilities for the company in a relatively short period of time," Scroggie said previously. "We are confident that the ongoing demand in these geographies, together with our return expectations, warrants this next phase of investment in markets we know well."
NextDC confirmed on Tuesday that the FY17 capital investment in B2 and M2 is expected to be between AU$120 million and AU$140 million.
"NextDC's business is long-term in nature, with the bulk of capital expenditure invested upfront and cash flows underpinned by contracted recurring revenue," Scroggie added.
Looking forward, the company expects revenues in the range of AU$115 million to AU$122 million for FY17, with EBITDA pinned to come in at almost double that of this year to between AU$46 million and AU$50 million.