GDS Holdings (GDS) Q3 2022 Earnings Call Transcript

For the period ending September 30, 2022

November 22, 2022 7:00 p.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Hello, ladies and gentlemen. Thank you for standing by for GDS Holdings Limited Third Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. After management's prepared remarks, there will be a question-and-answer session. Today's conference call [technical difficulty].

I will now turn the call over to your host, Ms. Laura Chen, Head of Investor Relations for the company. Please go ahead, Laura.

Laura Chen

Hello, everyone. Welcome to the third quarter 2022 earnings conference call of GDS Holdings Limited. The company's results were issued via Newswire Services earlier today and are posted online. A summary presentation, which we will refer to during this conference call can be viewed and downloaded from our IR Web site at investorsgdsservices.com.

Leading today's call is Mr. William Huang, GDS Founder, Chairman and CEO, who will provide an overview of our business strategy and performance; Mr. Dan Newman, GDS CFO, will then review the financial and operating results; Ms. Jamie Khoo, our COO, is also available to answer questions.

Before we continue, please note that today's discussion will contain forward-looking statements made under the Safe Harbor provisions of the US Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, the company's results may be materially different from the views expressed today.

Further information regarding these and other risks and uncertainties is included in the company's perspective as filed with the US SEC. The company does not assume any obligation to update any forward-looking statements, except as required under applicable law.

Please also note that GDS earnings press release and this conference call, includes discussions of unaudited GAAP financial information as well as unaudited non-GAAP financial measures. GDS press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited most directly comparable GAAP measures.

I will now turn the call over to GDS Founder, Chairman and CEO, William Huang. Please go ahead, William.

William Huang

Thank you. Hello, everyone. This is William. Thank you for joining us on today's call. I'm pleased to report another quarter of solid result. We grew revenue by 15% and adjusted EBITDA by 11%, demonstrating that our business is resilient and defensive. In a current uncertain environment, we are managing GDS with the following priorities. In China, we are focused on delivering the backlog, keeping CapEx down to what is essential and being selective about new business. Outside of China, we are stepping up our international expansion and it has been proven to be a winning strategy with the groundbreaking order secured during the quarter.