IRM · 10-Q · 2026Q3 · Full report

Operating Expense Trends

IRON MOUNTAIN INC · 2026-11-05 · Importance 59 · Surprise 48

For the nine months ended September 30, 2026, cost of sales increased 23.0% to $2,775.1 million, and rose from 44.6% to 46.6% of revenue. Product cost of sales and other increased 77.6% to $670.1 million, primarily in ALM in line with product sales growth; labor rose 11.0% to $965.1 million with higher service activity, and facilities expense rose 12.7% to $991.4 million, reflecting data center utilities, rent, and real estate taxes. Selling, general and administrative expense increased 6.5% to $1,123.9 million, but fell from 20.9% to 18.9% of revenue; higher compensation, professional fees, and marketing costs drove the increase. Nine-month depreciation increased $73.5 million, or 13.8%, and amortization increased $20.6 million, or 9.6%.

Key facts

• Nine-month cost of sales was $2,775.060 million, up $518.080 million or 23.0%. source
• Nine-month selling, general and administrative expenses were $1,123.868 million, up $68.427 million or 6.5%. source
• Nine-month depreciation expense increased $73.5 million, or 13.8%, compared with the prior-year period. source
• Nine-month amortization expense increased $20.6 million, or 9.6%, compared with the prior-year period. source
• Nine-month labor costs increased due to increased service activity, primarily in Global RIM. source
• Nine-month facilities expenses increased primarily because of higher Global Data Center utilities costs and increased rent and real estate tax expense. source
• Nine-month ALM product cost of sales and other increased in line with product sales increases from new and existing customers. source