The company has incurred approximately $483.6 million in Restructuring and other transformation costs related to 'Project Matterhorn' through June 30, 2025, with an additional $150.0 million expected in 2025. This global program aims to transform the operating model, accelerate growth, and capture greater market share through a solution-based sales approach and new digital offerings.

The Global Data Center Business segment reported robust organic storage rental revenue growth of 25.3% for the six months ended June 30, 2025. This growth is primarily attributable to new lease commencements, improved pricing, and increased usage of pass-through power, highlighting successful expansion in a key strategic area.

Iron Mountain amended its Credit Agreement, increasing Term Loan A by $281.25 million to $500.0 million, and extended the maturity of its AUD Term Loan from September 2026 to September 2030 while increasing its principal amount. These actions provide enhanced liquidity and flexibility to fund ongoing growth initiatives and potential acquisitions.

Management successfully increased the Adjusted EBITDA Margin by 130 basis points for the six months ended June 30, 2025, reaching 36.6%. This improvement was driven by favorable overhead management, demonstrating effective cost control despite changes in revenue mix and ongoing strategic investments.

The company has committed substantial resources to 'Project Matterhorn,' incurring $105.1 million in restructuring and other transformation costs for the six months ended June 30, 2025. This ongoing investment signifies management's commitment to optimizing the operating model and enhancing service delivery to customers.

Management actively managed its debt profile by amending the Credit Agreement and AUD Term Loan, securing increased principal amounts and extending maturities. These actions, coupled with compliance with all debt covenants, demonstrate a proactive approach to maintaining financial flexibility and supporting long-term strategic objectives.

Foreign currency transaction losses, net, increased substantially by $132.184 million for the six months ended June 30, 2025, resulting in a loss of $116.818 million compared to a gain in the prior year. This was primarily due to adverse changes in the exchange rates of the British pound sterling and the Euro against the U.S. dollar, highlighting significant FX risk exposure.

Net interest expense increased by $58.8 million to $399.8 million for the six months ended June 30, 2025, compared to the prior year. This increase is attributed to higher average debt outstanding, indicating that rising interest rates and increased borrowings are materially impacting the company's cost of capital.

The recently signed 'One Big Beautiful Bill Act' (OBBBA) introduces several changes to U.S. federal income tax law, including modifications to REIT asset thresholds and interest deductibility. The company is currently assessing the impact, which could be material to its consolidated financial statements, creating regulatory uncertainty.

The Global Data Center Business achieved 25.3% organic storage rental revenue growth for the six months ended June 30, 2025, driven by new lease commencements and improved pricing. This robust performance suggests the company is effectively competing and gaining market share in the expanding data center market.

Organic service revenue growth, up 8.4% for the six months ended June 30, 2025, was primarily driven by increases in Global Digital Solutions and the Asset Lifecycle Management (ALM) business. This indicates successful diversification and leveraging of competitive advantages in value-added digital services beyond traditional storage.

Organic storage rental revenue growth in the Global RIM Business segment is primarily driven by revenue management, while improved pricing contributed to growth in the Global Data Center Business. These factors suggest the company maintains strong pricing power and effective strategies to optimize revenue in its core and growth segments.

The Adjusted EBITDA Margin for the six months ended June 30, 2025, increased by 130 basis points to 36.6% compared to the prior year period. This improvement is primarily driven by favorable overhead management, indicating enhanced efficiency in controlling indirect costs.

Total Cost of Sales increased by 10.2% to $1,465,041 thousand for the six months ended June 30, 2025. This rise was primarily due to increased labor costs from higher service activity in Global RIM and ALM, and higher facilities expenses, particularly real estate taxes in the Global Data Center Business.

The company incurred $105.1 million in restructuring and other transformation costs for the six months ended June 30, 2025, as part of 'Project Matterhorn.' These costs are associated with site consolidation, employee severance, and professional fees aimed at transforming the operating model to improve efficiency and accelerate growth.

Growth investment capital expenditures for 'Innovation and Other' totaled $49.605 million for the six months ended June 30, 2025. This dedicated spending highlights the company's commitment to developing new products, services, and technological advancements to support future growth.

Organic service revenue growth is expected to benefit from new and existing digital offerings and the Asset Lifecycle Management (ALM) business. This indicates successful integration and expansion of technology-driven solutions, aligning with market demands for digital transformation.

The 'Project Matterhorn' initiative is designed to transform the company's operating model to a global, solution-based sales approach, including the enablement of new growth initiatives through digital offerings. This strategic program underscores a significant commitment to leveraging technology for competitive advantage and market expansion.

Total capital expenditures for the six months ended June 30, 2025, were $1,231.5 million, with $1,070.6 million allocated to growth investments. A substantial portion of this, $952.982 million, was directed towards Data Center growth, indicating a strong strategic priority on expanding this high-growth segment.

The board declared increased dividends per share, from $0.6500 in early 2024 to $0.7850 in early 2025, with total parent cash dividends paid of $455.236 million for the six months ended June 30, 2025. This consistent increase signals management's confidence in the company's ability to generate sustainable cash flows and return value to shareholders.

Long-term debt, net of current portion, increased to $14,818,175 thousand at June 30, 2025, from $13,003,977 thousand at December 31, 2024. Net proceeds from borrowings under the Revolving Credit Facility of approximately $1,637.8 million for the six months ended June 30, 2025, indicate increased leverage to finance significant capital expenditures and acquisitions.

The company's forward-looking statements include its ability to 'transition to more sustainable sources of energy' as a factor influencing future results. This indicates an ongoing strategic focus on environmental responsibility and reducing its carbon footprint, aligning with broader ESG objectives.

Stock-based compensation expense for employee awards increased to $86.448 million for the six months ended June 30, 2025, from $43.928 million in the prior year. This significant investment in employee incentives demonstrates a commitment to aligning employee interests with company performance and fostering a motivated workforce.

Management concluded that its disclosure controls and procedures were effective as of June 30, 2025, with no material changes in internal control over financial reporting during the quarter. This attestation indicates sound governance practices and a commitment to transparent financial reporting.

The company experienced substantial foreign currency transaction losses of $116.818 million for the six months ended June 30, 2025, compared to a gain in the prior year. This was primarily due to unfavorable exchange rate changes of the British pound sterling and the Euro against the U.S. dollar, highlighting the impact of global currency volatility.

Organic storage rental revenue growth is driven by revenue management and data center lease commencements, while organic service revenue growth is fueled by Global Digital Solutions and ALM business. This demonstrates the company's successful adaptation to evolving industry trends, moving from traditional storage to higher-value digital services.

The recently enacted 'One Big Beautiful Bill Act' (OBBBA) introduces changes to U.S. federal income tax law, including aspects relevant to REITs. The company is currently assessing the potential material impact of these regulatory changes, indicating a dynamic and uncertain tax environment.