Rated as a B+ company by S&P Global, 21Vianet Group has chosen to expand more aggressively.
On Wednesday, November 25, the Chinese carrier-neutral hyper-scale data center 21 Vianet (VNET:NASDAQ) boomed by 20.37% to USD 29.96. Another startup, Chindata (CD:NASDAQ) reached its all-time high of USD 18.94 per share.
21 Vianet reported 3Q 2020 financials on November 24 of the topline increased by 27% to CNY 1.25 billion (USD 183.5 million) from CNY 981.0 million in the same period of 2019, the adjusted EBITDA (non-GAAP) increased by 35.2% to CNY 368.5 million (USD 54.3 million) from CNY 272.5 million. The adjusted EBITDA margin was 29.6%, compared to 27.8% a year ago and 26.8% in the second quarter of 2020.
Chindata also topped revenue by 64% but presented a wider loss over the period.
21 Vianet's management showed strong confidence in future demand, which set a minimum capacity expansion target of 25,000 standard cabinets (or 180MW) per year. Chindata also guided outlook for the full 2020 fiscal year, expecting its total turnover to range from CNY 492 million to CNY 512 million, meaning an 82% to 90% year-on-year rise of revenue in Q4 2020.
By contrast, the biggest third-party data center solution provider, GDS holdings, slid by 2.42%.