Cordiant Digital Infrastructure Ltd (LSE:CORD, FRA:86L), the FTSE 250 owner of data centres, towers and fibre networks, reported a resilient first quarter and said booming demand for artificial intelligence capacity was starting to convert into contracted revenue across its portfolio.
For the three months to 30 June, portfolio revenue rose 20.2% and EBITDA edged up 2.0% at constant currency, with the company reiterating that growth would build through the year as new contracts start and it works through a large pipeline of opportunities.
Management said demand for what its platforms offer currently exceeds the capital available to meet it, and that securing funding for its growth pipeline was its central priority.
That pipeline of costed projects, both committed and uncommitted, represents at least £410 million of potential spending, with attractive double-digit returns.
Including opportunities still being scoped, such as a bid for its Prague site to become an EU AI Gigafactory, the total could exceed £1 billion.
AI is emerging as a fresh source of growth, though it still accounts for less than 1% of quarterly revenue.
Its Czech business CRA has signed six GPU-as-a-service contracts worth about £6.5 million of committed annual revenue, while its New York and Belgian sites have landed multi-megawatt AI deals.
Construction of the first phase of Prague Gateway, costing up to £74 million, is under way after the signing of a contract with Skanska.
Executive chairman Steven Marshall said the group’s “Buy, Build and Grow” strategy was delivering, with returns expected above its 9% annual target.
The company pointed to a robust balance sheet, with £193.3 million of liquidity and no debt maturing before June 2029.
Its target dividend of 4.45p is covered 1.6 times by adjusted funds from operations.
Chairman Shonaid Jemmett-Page said structural forces including AI demand, scarce power and Europe’s focus on data sovereignty played to the group’s strengths.