Business · Companies · 55 mins ago
NextDC shares plunge 40% after power delays force guidance cut
Australian data centre operator NextDC cut its outlook after power delays at its M3 facility in West Footscray, Melbourne.
The company said delays in getting electricity to the site affected its guidance, but the sources do not give the revised figures.
NextDC’s shares fell 40% after the guidance cut as the Australian market opened higher.
The M3 site is being expanded, and its power connection requires high-voltage lines through nearby residential streets.
A local protest halted work on part of the power-line project, though neither NextDC nor electricity distributor Jemena confirmed that this caused the delay.
The setback highlights grid constraints and local opposition to data centres as Australia’s demand for power-hungry AI infrastructure grows.
NextDC had sought a trading halt while assessing the delay, and said it would remain in place until Wednesday or until the company made a full announcement.
NextDC warned that power supply delays could affect development of its M3 data centre in West Footscray, Melbourne.
The delay is likely linked to a pause in power pole work after community opposition, though neither NextDC nor Jemena confirmed the connection.
NextDC’s shares fell 40 per cent after the company cut its guidance.
The M3 facility is undergoing a $750 million expansion and is designed to eventually cover 10 hectares.
- Who
- NextDC, Australia’s largest listed data centre developer.
- What
- A delay in getting power to its M3 facility could affect its development and earnings.
- When
- NextDC sought a trading halt on October 19, 2026; its shares fell 40 per cent after it cut guidance.
- Where
- The M3 data centre in West Footscray, Melbourne.
- Why
- The delay may be linked to a community blockade that halted Jemena’s power pole work, but the companies did not confirm the connection.
West Footscray residents
NextDC
Power infrastructure
West Footscray residents
Residents blockaded contractor trucks and stopped excavation work; Jemena paused work in Yarraville to allow consultation.
NextDC
NextDC is developing its M3 data centre, which requires a high-capacity power connection; the company said it needed to assess the impact of the power delay.
Local residents blockaded contractor trucks and stopped excavation work on a power pole project in Yarraville.
NextDC sought a trading halt while it assessed the impact of delays in getting power to the M3 data centre.
NextDC shares fell 40 per cent after the company cut guidance over power delays.
- M3 location
- West Footscray, Melbourne
- Expansion cost
- $750 million
- Planned eventual site area
- 10 hectares
- Existing site area
- 5 hectares
- Share decline
- 40 per cent
5 sources
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