TABLE OF CONTENTS | |||||
Page | |||||
Company Overview | |||||
Company Profile | |||||
Strategy | |||||
General Company Information | |||||
Asset Portfolio Footprint | |||||
Historical Common Stock Data | |||||
Annualized Fourth Quarter Dividends Per Share | |||||
Executive Management Team | |||||
Board of Directors | |||||
Research Coverage | |||||
Outlook | |||||
Outlook | |||||
Outlook for Components of Changes in Site Rental Revenues | |||||
Outlook for Components of Changes in Site Rental Revenues by Line of Business | |||||
Outlook for Capital Expenditures | |||||
Outlook for Components of Interest Expense | |||||
Consolidated Financials | |||||
Consolidated Summary Financial Highlights | |||||
Consolidated Components of Changes in Site Rental Revenues | |||||
Consolidated Summary of Capital Expenditures | |||||
Consolidated Return on Invested Capital | |||||
Consolidated Tenant Overview | |||||
Consolidated Annualized Rental Cash Payments at Time of Renewal | |||||
Consolidated Projected Revenues from Tenant Contracts | |||||
Consolidated Projected Expenses from Existing Ground Leases and Fiber Access Agreements | |||||
Capitalization Overview | |||||
Capitalization Overview | |||||
Debt Maturity Overview | |||||
Liquidity Overview | |||||
Summary of Maintenance and Financial Covenants | |||||
Interest Rate Exposure | |||||
Components of Interest Expense | |||||
Towers Segment | |||||
Towers Segment Summary Financial Highlights | |||||
Towers Segment Components of Changes in Site Rental Revenues | |||||
Towers Segment Summary of Capital Expenditures | |||||
Towers Segment Portfolio Highlights | |||||
Towers Segment Cash Yield on Invested Capital | |||||
Summary of Tower Portfolio by Vintage | |||||
Ground Interest Overview | |||||
Fiber Segment | |||||
Fiber Segment Summary Financial Highlights | |||||
Fiber Segment Components of Changes in Site Rental Revenues | |||||
Fiber Segment Summary of Capital Expenditures | |||||
Fiber Segment Revenue Detail by Line of Business | |||||
Fiber Segment Portfolio Highlights | |||||
Fiber Segment Cash Yield on Invested Capital | |||||
Fiber Solutions Revenue Mix | |||||
Appendix of Condensed Consolidated Financial Statements and Non-GAAP Reconciliations |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
COMPANY PROFILE |
STRATEGY |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
GENERAL COMPANY INFORMATION | |||||
Principal executive offices | 8020 Katy Freeway, Houston, TX 77024 | ||||
Common shares trading symbol | CCI | ||||
Stock exchange listing | New York Stock Exchange | ||||
Fiscal year ending date | December 31 | ||||
Fitch - Long-term Issuer Default Rating | BBB+ | ||||
Moody’s - Long-term Corporate Family Rating | Baa3 | ||||
Standard & Poor’s - Long-term Local Issuer Credit Rating | BBB |
ASSET PORTFOLIO FOOTPRINT | ||
HISTORICAL COMMON STOCK DATA | |||||||||||||||||
Three Months Ended | |||||||||||||||||
(in millions, except per share amounts) | 9/30/22 | 12/31/22 | 3/31/23 | 6/30/23 | 9/30/23 | ||||||||||||
High price(b) | $ | 173.94 | $ | 144.98 | $ | 147.72 | $ | 132.36 | $ | 116.44 | |||||||
Low price(b) | $ | 135.75 | $ | 115.42 | $ | 118.95 | $ | 105.86 | $ | 88.77 | |||||||
Period end closing price(c) | $ | 137.12 | $ | 130.08 | $ | 129.91 | $ | 112.11 | $ | 92.03 | |||||||
Dividends paid per common share | $ | 1.47 | $ | 1.57 | $ | 1.57 | $ | 1.57 | $ | 1.57 | |||||||
Volume weighted average price for the period(b) | $ | 159.58 | $ | 127.72 | $ | 132.68 | $ | 114.25 | $ | 101.69 | |||||||
Common shares outstanding, at period end | 433 | 433 | 434 | 434 | 434 | ||||||||||||
Market value of outstanding common shares, at period end(d) | $ | 59,382 | $ | 56,331 | $ | 56,337 | $ | 48,619 | $ | 39,912 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
ANNUALIZED FOURTH QUARTER DIVIDENDS PER SHARE(a) |
EXECUTIVE MANAGEMENT TEAM | |||||||||||
Age | Years with Company | Position | |||||||||
Jay A. Brown | 50 | 24 | President and Chief Executive Officer | ||||||||
Daniel K. Schlanger | 49 | 7 | Executive Vice President and Chief Financial Officer | ||||||||
Christopher D. Levendos | 56 | 5 | Executive Vice President and Chief Operating Officer | ||||||||
Michael J. Kavanagh | 55 | 13 | Executive Vice President and Chief Commercial Officer | ||||||||
Philip M. Kelley | 50 | 26 | Executive Vice President - Corporate Development and Strategy | ||||||||
Edward B. Adams, Jr. | 54 | 6 | Executive Vice President and General Counsel | ||||||||
Laura B. Nichol | 63 | 9 | Executive Vice President - Business Support |
BOARD OF DIRECTORS | ||||||||||||||
Name | Position | Committees | Age | Years as Director | ||||||||||
P. Robert Bartolo | Chair | Audit, Compensation, Strategy | 51 | 9 | ||||||||||
Jay A. Brown | Director | 50 | 7 | |||||||||||
Cindy Christy | Director | Compensation, NESG(b), Strategy | 57 | 16 | ||||||||||
Ari Q. Fitzgerald | Director | Compensation, NESG(b), Strategy | 60 | 21 | ||||||||||
Andrea J. Goldsmith | Director | NESG(b), Strategy | 59 | 5 | ||||||||||
Tammy K. Jones | Director | Audit, NESG(b), Strategy | 58 | 2 | ||||||||||
Kevin T. Kabat | Director | Compensation, NESG(b) | 66 | <1 | ||||||||||
Anthony J. Melone | Director | Audit, NESG(b), Strategy | 63 | 8 | ||||||||||
W. Benjamin Moreland | Director | Strategy | 60 | 17 | ||||||||||
Maria M. Pope | Director | Audit | 58 | <1 | ||||||||||
Kevin A. Stephens | Director | Audit, Compensation, Strategy | 61 | 2 | ||||||||||
Matthew Thornton III | Director | Compensation, Strategy | 65 | 2 | ||||||||||
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
RESEARCH COVERAGE | ||||||||
Equity Research | ||||||||
Bank of America David Barden (646) 855-1320 | Barclays Brendan Lynch (212) 526-9428 | BMO Capital Markets Ari Klein (212) 885-4103 | ||||||
Citigroup Michael Rollins (212) 816-1116 | Credit Suisse Douglas Mitchelson (212) 325-7542 | Deutsche Bank Matthew Niknam (212) 250-4711 | ||||||
Goldman Sachs Brett Feldman (212) 902-8156 | Green Street David Guarino (949) 640-8780 | Jefferies Jonathan Petersen (212) 284-1705 | ||||||
JPMorgan Philip Cusick (212) 622-1444 | KeyBanc Brandon Nispel (503) 821-3871 | LightShed Partners Walter Piecyk (646) 450-9258 | ||||||
MoffettNathanson Nick Del Deo (212) 519-0025 | Morgan Stanley Simon Flannery (212) 761-6432 | New Street Research Jonathan Chaplin (212) 921-9876 | ||||||
Raymond James Ric Prentiss (727) 567-2567 | RBC Capital Markets Jonathan Atkin (415) 633-8589 | TD Cowen Gregory Williams (646) 562-1367 | ||||||
UBS Batya Levi (212) 713-8824 | Wells Fargo Securities, LLC Eric Luebchow (312) 630-2386 | Wolfe Research Andrew Rosivach (646) 582-9350 | ||||||
Rating Agencies | ||||||||
Fitch Salone Seghal (312) 368-3137 | Moody’s Lori Marks (212) 553-1098 | Standard & Poor’s Ryan Gilmore (212) 438-0602 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
OUTLOOK | |||||||||||||||||||||||
(in millions, except per share amounts) | Full Year 2023 Outlook(a) | Full Year 2024 Outlook(a) | |||||||||||||||||||||
Site rental billings(b) | $5,631 | to | $5,671 | $5,740 | to | $5,780 | |||||||||||||||||
Amortization of prepaid rent | $570 | to | $580 | $410 | to | $435 | |||||||||||||||||
Straight-lined revenues | $264 | to | $284 | $175 | to | $200 | |||||||||||||||||
Site rental revenues | $6,488 | to | $6,533 | $6,347 | to | $6,392 | |||||||||||||||||
Site rental costs of operations(c) | $1,633 | to | $1,678 | $1,686 | to | $1,731 | |||||||||||||||||
Services and other gross margin | $120 | to | $150 | $65 | to | $95 | |||||||||||||||||
Net income (loss) | $1,429 | to | $1,509 | $1,213 | to | $1,293 | |||||||||||||||||
Net income (loss) per share—diluted | $3.29 | to | $3.47 | $2.79 | to | $2.97 | |||||||||||||||||
Adjusted EBITDA(d) | $4,399 | to | $4,444 | $4,138 | to | $4,188 | |||||||||||||||||
Depreciation, amortization and accretion | $1,712 | to | $1,807 | $1,680 | to | $1,775 | |||||||||||||||||
Interest expense and amortization of deferred financing costs, net(e) | $834 | to | $869 | $933 | to | $978 | |||||||||||||||||
FFO(d) | $3,183 | to | $3,218 | $2,951 | to | $2,996 | |||||||||||||||||
AFFO(d) | $3,261 | to | $3,296 | $2,980 | to | $3,030 | |||||||||||||||||
AFFO per share(d) | $7.50 | to | $7.58 | $6.85 | to | $6.97 |
OUTLOOK FOR COMPONENTS OF CHANGES IN SITE RENTAL REVENUES | |||||||||||||||||||||||
(dollars in millions; totals may not sum due to rounding) | Full Year 2023 Outlook(a) | Full Year 2024 Outlook(a) | |||||||||||||||||||||
Components of changes in site rental revenues: | |||||||||||||||||||||||
Prior year site rental billings excluding payments for Sprint Cancellations(b) | $5,310 | $5,486 | |||||||||||||||||||||
Prior year payments for Sprint Cancellations(b) | $— | $165 | |||||||||||||||||||||
Prior year site rental billings(b) | $5,310 | $5,651 | |||||||||||||||||||||
Core leasing activity(b) | $275 | to | $305 | $305 | to | $335 | |||||||||||||||||
Escalators | $90 | to | $100 | $95 | to | $105 | |||||||||||||||||
Non-renewals(b) | $(175) | to | $(155) | $(165) | to | $(145) | |||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(b) | $205 | to | $235 | $245 | to | $285 | |||||||||||||||||
Payments for Sprint Cancellations(b)(f) | $160 | to | $170 | $(170) | to | $(160) | |||||||||||||||||
Non-renewals associated with Sprint Cancellations(b)(f) | $(25) | to | $(25) | $(10) | to | $(10) | |||||||||||||||||
Organic Contribution to Site Rental Billings(b) | $340 | to | $380 | $70 | to | $110 | |||||||||||||||||
Straight-lined revenues | $264 | to | $284 | $175 | to | $200 | |||||||||||||||||
Amortization of prepaid rent | $570 | to | $580 | $410 | to | $435 | |||||||||||||||||
Acquisitions(g) | — | — | |||||||||||||||||||||
Other | — | — | |||||||||||||||||||||
Total site rental revenues | $6,488 | to | $6,533 | $6,347 | to | $6,392 | |||||||||||||||||
Year-over-year changes in revenues:(h) | |||||||||||||||||||||||
Site rental revenues as a percentage of prior year site rental revenues | 3.5% | (2.2)% | |||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations as a percentage of prior year site rental billings excluding payments for Sprint Cancellations(b) | 4.1% | 4.8% | |||||||||||||||||||||
Organic Contribution to Site Rental Billings as a percentage of prior year site rental billings(b) | 6.8% | 1.6% |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
OUTLOOK FOR COMPONENTS OF CHANGES IN SITE RENTAL REVENUES BY LINE OF BUSINESS | |||||||||||||||||||||||||||||||||||
Full Year 2023 Outlook(a) | |||||||||||||||||||||||||||||||||||
Towers Segment | Fiber Segment | ||||||||||||||||||||||||||||||||||
(dollars in millions) | Small Cells | Fiber Solutions | |||||||||||||||||||||||||||||||||
Core leasing activity(b) | $125 | to | $135 | $30 | to | $40 | $120 | to | $130 | ||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(b)(c)(d) | 5% | 8% | —% | ||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(b)(d) | 5% | 25% | 5% | ||||||||||||||||||||||||||||||||
Full Year 2024 Outlook(a) | |||||||||||||||||||||||||||||||||||
Towers Segment | Fiber Segment | ||||||||||||||||||||||||||||||||||
(dollars in millions) | Small Cells | Fiber Solutions | |||||||||||||||||||||||||||||||||
Core leasing activity(b) | $105 | to | $115 | $55 | to | $65 | $145 | to | $155 | ||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations as a percentage of prior year site rental billings excluding payments for Sprint Cancellations(b)(d) | 4.5% | 13% | 3% | ||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as a percentage of prior year site rental billings(b)(d) | 4.5% | -9% | -3% | ||||||||||||||||||||||||||||||||
OUTLOOK FOR CAPITAL EXPENDITURES | |||||||||||||||||||||||||||||||||||
Full Year 2023 Outlook(a)(e) | |||||||||||||||||||||||||||||||||||
(in millions) | Towers Segment | Fiber Segment | Total | ||||||||||||||||||||||||||||||||
Capital expenditures | ~$200 | ~$1,100 | to | $1,200 | $1,300 | to | $1,400 | ||||||||||||||||||||||||||||
Less: Prepaid rent additions(f) | ~$100 | ~$300 | ~$400 | ||||||||||||||||||||||||||||||||
Capital expenditures less prepaid rent additions | ~$100 | ~$800 | to | $900 | $900 | to | $1,000 | ||||||||||||||||||||||||||||
Full Year 2024 Outlook(a)(e) | |||||||||||||||||||||||||||||||||||
(in millions) | Towers Segment | Fiber Segment | Total | ||||||||||||||||||||||||||||||||
Capital expenditures | ~$180 | $1,350 | to | $1,450 | $1,530 | to | $1,630 | ||||||||||||||||||||||||||||
Less: Prepaid rent additions(f) | ~$80 | ~$350 | ~$430 | ||||||||||||||||||||||||||||||||
Capital expenditures less prepaid rent additions | ~$100 | $1,000 | to | $1,100 | $1,100 | to | $1,200 | ||||||||||||||||||||||||||||
OUTLOOK FOR COMPONENTS OF INTEREST EXPENSE | |||||||||||||||||||||||
(in millions) | Full Year 2023 Outlook(a) | Full Year 2024 Outlook(a) | |||||||||||||||||||||
Interest expense on debt obligations | $824 | to | $854 | $922 | to | $962 | |||||||||||||||||
Amortization of deferred financing costs and adjustments on long-term debt | $20 | to | $30 | $20 | to | $30 | |||||||||||||||||
Capitalized interest | $(18) | to | $(8) | $(17) | to | $(7) | |||||||||||||||||
Interest expense and amortization of deferred financing costs, net | $834 | to | $869 | $933 | to | $978 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CONSOLIDATED SUMMARY FINANCIAL HIGHLIGHTS | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(in millions, except per share amounts) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental | |||||||||||||||||||||||||||||||||||||||||
Site rental billings(a) | $ | 1,319 | $ | 1,304 | $ | 1,338 | $ | 1,348 | $ | 1,404 | $ | 1,460 | $ | 1,393 | |||||||||||||||||||||||||||
Amortization of prepaid rent | 141 | 143 | 140 | 145 | 137 | 188 | 126 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | 116 | 120 | 90 | 85 | 83 | 80 | 58 | ||||||||||||||||||||||||||||||||||
Total site rental | 1,576 | 1,567 | 1,568 | 1,578 | 1,624 | 1,728 | 1,577 | ||||||||||||||||||||||||||||||||||
Services and other | 166 | 167 | 178 | 186 | 149 | 139 | 90 | ||||||||||||||||||||||||||||||||||
Net revenues | $ | 1,742 | $ | 1,734 | $ | 1,746 | $ | 1,764 | $ | 1,773 | $ | 1,867 | $ | 1,667 | |||||||||||||||||||||||||||
Select operating expenses: | |||||||||||||||||||||||||||||||||||||||||
Costs of operations(b) | |||||||||||||||||||||||||||||||||||||||||
Site rental exclusive of straight-lined expenses | $ | 377 | $ | 383 | $ | 387 | $ | 382 | $ | 398 | $ | 406 | $ | 403 | |||||||||||||||||||||||||||
Straight-lined expenses | 19 | 19 | 18 | 18 | 17 | 18 | 17 | ||||||||||||||||||||||||||||||||||
Total site rental | 396 | 402 | 405 | 400 | 415 | 424 | 420 | ||||||||||||||||||||||||||||||||||
Services and other | 113 | 112 | 119 | 122 | 104 | 98 | 66 | ||||||||||||||||||||||||||||||||||
Total costs of operations | 509 | 514 | 524 | 522 | 519 | 522 | 486 | ||||||||||||||||||||||||||||||||||
Selling, general and administrative | $ | 181 | $ | 190 | $ | 187 | $ | 192 | $ | 195 | $ | 210 | $ | 176 | |||||||||||||||||||||||||||
Net income (loss) | $ | 421 | $ | 421 | $ | 419 | $ | 413 | $ | 418 | $ | 455 | $ | 265 | |||||||||||||||||||||||||||
Adjusted EBITDA(c) | 1,095 | 1,078 | 1,077 | 1,090 | 1,104 | 1,188 | 1,047 | ||||||||||||||||||||||||||||||||||
Depreciation, amortization and accretion | 420 | 427 | 430 | 431 | 431 | 445 | 439 | ||||||||||||||||||||||||||||||||||
Interest expense and amortization of deferred financing costs, net | 164 | 165 | 177 | 192 | 202 | 208 | 217 | ||||||||||||||||||||||||||||||||||
FFO(c) | 843 | 842 | 838 | 838 | 835 | 901 | 698 | ||||||||||||||||||||||||||||||||||
AFFO(c) | $ | 812 | $ | 783 | $ | 804 | $ | 802 | $ | 828 | $ | 891 | $ | 767 | |||||||||||||||||||||||||||
Weighted-average common shares outstanding— diluted | 434 | 434 | 434 | 434 | 434 | 434 | 434 | ||||||||||||||||||||||||||||||||||
Net income (loss) per share—diluted | $ | 0.97 | $ | 0.97 | $ | 0.97 | $ | 0.95 | $ | 0.97 | $ | 1.05 | $ | 0.61 | |||||||||||||||||||||||||||
AFFO per share(c) | $ | 1.87 | $ | 1.80 | $ | 1.85 | $ | 1.85 | $ | 1.91 | $ | 2.05 | $ | 1.77 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CONSOLIDATED COMPONENTS OF CHANGES IN SITE RENTAL REVENUES | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(dollars in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Components of changes in site rental revenues: | |||||||||||||||||||||||||||||||||||||||||
Prior year site rental billings(a) | $ | 1,243 | $ | 1,245 | $ | 1,270 | $ | 1,290 | $ | 1,318 | $ | 1,304 | $ | 1,339 | |||||||||||||||||||||||||||
Core leasing activity(a) | 92 | 75 | 79 | 73 | 57 | 73 | 66 | ||||||||||||||||||||||||||||||||||
Escalators | 25 | 22 | 30 | 27 | 24 | 24 | 24 | ||||||||||||||||||||||||||||||||||
Non-renewals(a) | (42) | (39) | (42) | (43) | (42) | (42) | (37) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 75 | 58 | 67 | 57 | 39 | 54 | 53 | ||||||||||||||||||||||||||||||||||
Payments for Sprint Cancellations(a)(b) | — | — | — | — | 48 | 106 | 6 | ||||||||||||||||||||||||||||||||||
Non-renewals associated with Sprint Cancellations(a)(b) | — | — | — | — | (2) | (6) | (6) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 75 | 58 | 67 | 57 | 85 | 155 | 53 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | 116 | 120 | 90 | 85 | 83 | 80 | 58 | ||||||||||||||||||||||||||||||||||
Amortization of prepaid rent | 141 | 143 | 140 | 145 | 137 | 188 | 126 | ||||||||||||||||||||||||||||||||||
Acquisitions(c) | 1 | 1 | 1 | 1 | 1 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Other | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Total site rental revenues | $ | 1,576 | $ | 1,567 | $ | 1,568 | $ | 1,578 | $ | 1,624 | $ | 1,728 | $ | 1,577 | |||||||||||||||||||||||||||
Year-over-year changes in revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental revenues as a percentage of prior year site rental revenues | 15.1 | % | 10.0 | % | 8.1 | % | 7.1 | % | 3.0 | % | 10.3 | % | 0.6 | % | |||||||||||||||||||||||||||
Changes in revenues as a percentage of prior year site rental billings: | |||||||||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 6.1 | % | 4.7 | % | 5.3 | % | 4.3 | % | 2.9 | % | 4.2 | % | 4.0 | % | |||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 6.1 | % | 4.7 | % | 5.3 | % | 4.3 | % | 6.4 | % | 11.9 | % | 3.9 | % |
CONSOLIDATED SUMMARY OF CAPITAL EXPENDITURES(a) | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(dollars in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Discretionary capital expenditures: | |||||||||||||||||||||||||||||||||||||||||
Communications infrastructure improvements and other capital projects | $ | 250 | $ | 267 | $ | 302 | $ | 343 | $ | 311 | $ | 338 | $ | 312 | |||||||||||||||||||||||||||
Purchases of land interests | 10 | 15 | 12 | 16 | 15 | 23 | 13 | ||||||||||||||||||||||||||||||||||
Total discretionary capital expenditures | 260 | 282 | 314 | 359 | 326 | 361 | 325 | ||||||||||||||||||||||||||||||||||
Sustaining capital expenditures | 21 | 21 | 23 | 30 | 15 | 18 | 22 | ||||||||||||||||||||||||||||||||||
Total capital expenditures | 281 | 303 | 337 | 389 | 341 | 379 | 347 | ||||||||||||||||||||||||||||||||||
Less: Prepaid rent additions(d) | 72 | 62 | 63 | 99 | 81 | 84 | 80 | ||||||||||||||||||||||||||||||||||
Capital expenditures less prepaid rent additions | $ | 209 | $ | 241 | $ | 274 | $ | 290 | $ | 260 | $ | 295 | $ | 267 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CONSOLIDATED RETURN ON INVESTED CAPITAL(a) | ||||||||
(as of September 30, 2023; dollars in millions) | Q3 2023 LQA | Q3 2022 LQA | ||||||
Adjusted EBITDA(b) | $ | 4,188 | $ | 4,308 | ||||
Cash taxes (paid) refunded | (11) | (6) | ||||||
Adjusted EBITDA less cash taxes paid | $ | 4,177 | $ | 4,302 | ||||
Historical gross investment in property and equipment(c) | $ | 28,463 | $ | 27,187 | ||||
Historical gross investment in site rental contracts and tenant relationships | 7,866 | 7,841 | ||||||
Historical gross investment in goodwill | 10,085 | 10,087 | ||||||
Consolidated Invested Capital(a) | $ | 46,414 | $ | 45,115 | ||||
Consolidated Return on Invested Capital(a) | 9.0 | % | 9.5 | % |
CONSOLIDATED TENANT OVERVIEW | |||||||||||
(as of September 30, 2023) | Percentage of Q3 2023 LQA Site Rental Revenues | Weighted Average Current Term Remaining(d) | Long-Term Credit Rating (S&P / Moody’s) | ||||||||
T-Mobile | 35% | 8 | BBB / Baa2 | ||||||||
AT&T | 19% | 5 | BBB / Baa2 | ||||||||
Verizon | 20% | 7 | BBB+ / Baa1 | ||||||||
All Others Combined | 26% | 4 | N/A | ||||||||
Total / Weighted Average | 100% | 6 |
CONSOLIDATED ANNUALIZED RENTAL CASH PAYMENTS AT TIME OF RENEWAL(e) | |||||||||||||||||
Years Ending December 31, | |||||||||||||||||
(as of September 30, 2023; in millions) | 2024 | 2025 | 2026 | 2027 | |||||||||||||
T-Mobile | $ | 32 | $ | 239 | $ | 51 | $ | 58 | |||||||||
AT&T | 17 | 19 | 29 | 29 | |||||||||||||
Verizon | 23 | 32 | 35 | 30 | |||||||||||||
All Others Combined | 225 | 193 | 173 | 88 | |||||||||||||
Total | $ | 297 | $ | 483 | $ | 288 | $ | 205 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CONSOLIDATED PROJECTED REVENUES FROM TENANT CONTRACTS(a) | |||||||||||||||||
Years Ending December 31, | |||||||||||||||||
(as of September 30, 2023; in millions) | 2024 | 2025 | 2026 | 2027 | |||||||||||||
Components of site rental revenues: | |||||||||||||||||
Site rental billings(b) | $ | 5,646 | $ | 5,601 | $ | 5,716 | $ | 5,833 | |||||||||
Amortization of prepaid rent | 370 | 284 | 242 | 202 | |||||||||||||
Straight-lined revenues | 176 | 47 | (61) | (174) | |||||||||||||
Site rental revenues | $ | 6,192 | $ | 5,932 | $ | 5,897 | $ | 5,861 |
CONSOLIDATED PROJECTED EXPENSES FROM EXISTING GROUND LEASES AND FIBER ACCESS AGREEMENTS(c) | |||||||||||||||||
Years Ending December 31, | |||||||||||||||||
(as of September 30, 2023; in millions) | 2024 | 2025 | 2026 | 2027 | |||||||||||||
Components of ground lease and fiber access agreement expenses: | |||||||||||||||||
Ground lease and fiber access agreement expenses exclusive of straight-lined expenses | $ | 1,021 | $ | 1,041 | $ | 1,063 | $ | 1,085 | |||||||||
Straight-lined expenses | 54 | 43 | 30 | 19 | |||||||||||||
Ground lease and fiber access agreement expenses | $ | 1,075 | $ | 1,084 | $ | 1,093 | $ | 1,104 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CAPITALIZATION OVERVIEW | |||||||||||||||||
(as of September 30, 2023; dollars in millions) | Face Value(a) | Fixed vs. Variable | Interest Rate(b) | Debt to LQA Adjusted EBITDA(c) | Maturity | ||||||||||||
Cash, cash equivalents and restricted cash | $ | 289 | |||||||||||||||
Senior Secured Notes, Series 2009-1, Class A-2(d) | 41 | Fixed | 9.0% | 2029 | |||||||||||||
Senior Secured Tower Revenue Notes, Series 2015-2(e) | 700 | Fixed | 3.7% | 2045 | |||||||||||||
Senior Secured Tower Revenue Notes, Series 2018-2(e) | 750 | Fixed | 4.2% | 2048 | |||||||||||||
Finance leases and other obligations | 264 | Fixed | Various | Various | |||||||||||||
Total secured debt | $ | 1,755 | 4.1% | 0.4x | |||||||||||||
2016 Revolver(f) | 160 | Variable | 6.5% | 2027 | |||||||||||||
2016 Term Loan A(g) | 1,169 | Variable | 6.5% | 2027 | |||||||||||||
Commercial Paper Notes(h) | 1,803 | Variable | 6.1% | 2023 | |||||||||||||
3.200% Senior Notes | 750 | Fixed | 3.2% | 2024 | |||||||||||||
1.350% Senior Notes | 500 | Fixed | 1.4% | 2025 | |||||||||||||
4.450% Senior Notes | 900 | Fixed | 4.5% | 2026 | |||||||||||||
3.700% Senior Notes | 750 | Fixed | 3.7% | 2026 | |||||||||||||
1.050% Senior Notes | 1,000 | Fixed | 1.1% | 2026 | |||||||||||||
2.900% Senior Notes | 750 | Fixed | 2.9% | 2027 | |||||||||||||
4.000% Senior Notes | 500 | Fixed | 4.0% | 2027 | |||||||||||||
3.650% Senior Notes | 1,000 | Fixed | 3.7% | 2027 | |||||||||||||
5.000% Senior Notes | 1,000 | Fixed | 5.0% | 2028 | |||||||||||||
3.800% Senior Notes | 1,000 | Fixed | 3.8% | 2028 | |||||||||||||
4.800% Senior Notes | 600 | Fixed | 4.8% | 2028 | |||||||||||||
4.300% Senior Notes | 600 | Fixed | 4.3% | 2029 | |||||||||||||
3.100% Senior Notes | 550 | Fixed | 3.1% | 2029 | |||||||||||||
3.300% Senior Notes | 750 | Fixed | 3.3% | 2030 | |||||||||||||
2.250% Senior Notes | 1,100 | Fixed | 2.3% | 2031 | |||||||||||||
2.100% Senior Notes | 1,000 | Fixed | 2.1% | 2031 | |||||||||||||
2.500% Senior Notes | 750 | Fixed | 2.5% | 2031 | |||||||||||||
5.100% Senior Notes | 750 | Fixed | 5.1% | 2033 | |||||||||||||
2.900% Senior Notes | 1,250 | Fixed | 2.9% | 2041 | |||||||||||||
4.750% Senior Notes | 350 | Fixed | 4.8% | 2047 | |||||||||||||
5.200% Senior Notes | 400 | Fixed | 5.2% | 2049 | |||||||||||||
4.000% Senior Notes | 350 | Fixed | 4.0% | 2049 | |||||||||||||
4.150% Senior Notes | 500 | Fixed | 4.2% | 2050 | |||||||||||||
3.250% Senior Notes | 900 | Fixed | 3.3% | 2051 | |||||||||||||
Total unsecured debt | $ | 21,132 | 3.8% | 5.0x | |||||||||||||
Net Debt(i) | $ | 22,598 | 3.8% | 5.4x | |||||||||||||
Market Capitalization(j) | 39,912 | ||||||||||||||||
Firm Value(k) | $ | 62,510 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
DEBT MATURITY OVERVIEW(a)(b) |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
LIQUIDITY OVERVIEW(a) | |||||
(in millions) | September 30, 2023 | ||||
Cash, cash equivalents, and restricted cash(b) | $ | 289 | |||
Undrawn 2016 Revolver availability(c) | 6,802 | ||||
Total debt and other obligations (current and non-current)(d) | 22,730 | ||||
Total equity | 6,669 |
SUMMARY OF MAINTENANCE AND FINANCIAL COVENANTS | |||||||||||||||||
Debt | Borrower / Issuer | Covenant(e) | Covenant Level Requirement | As of September 30, 2023 | |||||||||||||
Maintenance Financial Covenants(f) | |||||||||||||||||
2016 Credit Facility | CCI | Total Net Leverage Ratio | ≤ 6.50x | 5.1x | |||||||||||||
2016 Credit Facility | CCI | Total Senior Secured Leverage Ratio | ≤ 3.50x | 0.3x | |||||||||||||
2016 Credit Facility | CCI | Consolidated Interest Coverage Ratio(g) | N/A | N/A | |||||||||||||
Financial covenants requiring excess cash flows to be deposited in a cash trap reserve account and not released | |||||||||||||||||
2015 Tower Revenue Notes | Crown Castle Towers LLC and its Subsidiaries | Debt Service Coverage Ratio | > 1.75x | (h) | 17.7x | ||||||||||||
2018 Tower Revenue Notes | Crown Castle Towers LLC and its Subsidiaries | Debt Service Coverage Ratio | > 1.75x | (h) | 17.7x | ||||||||||||
2009 Securitized Notes | Pinnacle Towers Acquisition Holdings LLC and its Subsidiaries | Debt Service Coverage Ratio | > 1.30x | (h) | 24.4x | ||||||||||||
Financial covenants restricting ability of relevant issuer to issue additional notes under the applicable indenture | |||||||||||||||||
2015 Tower Revenue Notes | Crown Castle Towers LLC and its Subsidiaries | Debt Service Coverage Ratio | ≥ 2.00x | (i) | 17.7x | ||||||||||||
2018 Tower Revenue Notes | Crown Castle Towers LLC and its Subsidiaries | Debt Service Coverage Ratio | ≥ 2.00x | (i) | 17.7x | ||||||||||||
2009 Securitized Notes | Pinnacle Towers Acquisition Holdings LLC and its Subsidiaries | Debt Service Coverage Ratio | ≥ 2.34x | (i) | 24.4x |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
(as of September 30, 2023; dollars in millions) INTEREST RATE EXPOSURE(a) | |||||||||||||||||
Fixed Rate Debt | Floating Rate Debt | ||||||||||||||||
Face value of principal outstanding(b) | $19,491 | Face value of principal outstanding(b) | $3,132 | ||||||||||||||
% of total debt | 86% | % of total debt | 14% | ||||||||||||||
Weighted average interest rate | 3.5% | Weighted average interest rate(c) | 6.2% | ||||||||||||||
Upcoming maturities: | 2024 | Interest rate sensitivity of 25 bps increase in interest rates: | |||||||||||||||
Face value of principal outstanding(b) | $750 | Full year effect(d) | $7.8 | ||||||||||||||
Weighted average interest rate | 3.2% |
COMPONENTS OF INTEREST EXPENSE | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(in millions) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Interest expense on debt obligations | $ | 160 | $ | 161 | $ | 174 | $ | 189 | $ | 198 | $ | 205 | $ | 213 | |||||||||||||||||||||||||||
Amortization of deferred financing costs and adjustments on long-term debt | 7 | 7 | 6 | 6 | 7 | 7 | 8 | ||||||||||||||||||||||||||||||||||
Capitalized interest | (3) | (3) | (3) | (3) | (3) | (4) | (4) | ||||||||||||||||||||||||||||||||||
Interest expense and amortization of deferred financing costs, net | $ | 164 | $ | 165 | $ | 177 | $ | 192 | $ | 202 | $ | 208 | $ | 217 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
TOWERS SEGMENT SUMMARY FINANCIAL HIGHLIGHTS | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(in millions) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Segment net revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental | |||||||||||||||||||||||||||||||||||||||||
Site rental billings(a) | $ | 880 | $ | 878 | $ | 915 | $ | 922 | $ | 926 | $ | 929 | $ | 956 | |||||||||||||||||||||||||||
Amortization of prepaid rent | 79 | 80 | 80 | 80 | 72 | 67 | 61 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | 116 | 120 | 89 | 84 | 83 | 84 | 57 | ||||||||||||||||||||||||||||||||||
Total site rental | 1,075 | 1,078 | 1,084 | 1,086 | 1,081 | 1,080 | 1,074 | ||||||||||||||||||||||||||||||||||
Services and other | 163 | 164 | 175 | 183 | 146 | 124 | 86 | ||||||||||||||||||||||||||||||||||
Net revenues | $ | 1,238 | $ | 1,242 | $ | 1,259 | $ | 1,269 | $ | 1,227 | $ | 1,204 | $ | 1,160 | |||||||||||||||||||||||||||
Segment operating expenses: | |||||||||||||||||||||||||||||||||||||||||
Costs of operations(b) | |||||||||||||||||||||||||||||||||||||||||
Site rental exclusive of straight-lined expenses | $ | 206 | $ | 213 | $ | 212 | $ | 213 | $ | 217 | $ | 226 | $ | 219 | |||||||||||||||||||||||||||
Straight-lined expenses | 19 | 19 | 18 | 17 | 17 | 17 | 17 | ||||||||||||||||||||||||||||||||||
Total site rental | 225 | 232 | 230 | 230 | 234 | 243 | 236 | ||||||||||||||||||||||||||||||||||
Services and other | 109 | 107 | 114 | 117 | 99 | 92 | 61 | ||||||||||||||||||||||||||||||||||
Total costs of operations | 334 | 339 | 344 | 347 | 333 | 335 | 297 | ||||||||||||||||||||||||||||||||||
Selling, general and administrative(c) | 28 | 28 | 28 | 30 | 31 | 30 | 24 | ||||||||||||||||||||||||||||||||||
Segment operating profit(d) | $ | 876 | $ | 875 | $ | 887 | $ | 892 | $ | 863 | $ | 839 | $ | 839 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
TOWERS SEGMENT COMPONENTS OF CHANGES IN SITE RENTAL REVENUES | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(dollars in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Components of changes in site rental revenues: | |||||||||||||||||||||||||||||||||||||||||
Prior year site rental billings(a) | $ | 827 | $ | 830 | $ | 853 | $ | 866 | $ | 879 | $ | 877 | $ | 915 | |||||||||||||||||||||||||||
Core leasing activity(a) | 41 | 37 | 42 | 40 | 32 | 38 | 25 | ||||||||||||||||||||||||||||||||||
Escalators | 23 | 20 | 28 | 25 | 22 | 22 | 22 | ||||||||||||||||||||||||||||||||||
Non-renewals(a) | (12) | (10) | (9) | (10) | (8) | (8) | (7) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 52 | 47 | 61 | 55 | 46 | 51 | 40 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | 116 | 120 | 89 | 84 | 83 | 84 | 57 | ||||||||||||||||||||||||||||||||||
Amortization of prepaid rent | 79 | 80 | 80 | 80 | 72 | 67 | 61 | ||||||||||||||||||||||||||||||||||
Acquisitions(b) | 1 | 1 | 1 | 1 | 1 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Other | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Total site rental revenues | $ | 1,075 | $ | 1,078 | $ | 1,084 | $ | 1,086 | $ | 1,081 | $ | 1,080 | $ | 1,074 | |||||||||||||||||||||||||||
Year-over-year changes in revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental revenues as a percentage of prior year site rental revenues | 20.0 | % | 13.2 | % | 11.5 | % | 10.3 | % | 0.6 | % | 0.2 | % | (0.9) | % | |||||||||||||||||||||||||||
Changes in revenues as a percentage of prior year site rental billings: | |||||||||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 6.4 | % | 5.7 | % | 7.2 | % | 6.2 | % | 5.2 | % | 5.8 | % | 4.4 | % |
TOWERS SEGMENT SUMMARY OF CAPITAL EXPENDITURES(a) | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Discretionary capital expenditures: | |||||||||||||||||||||||||||||||||||||||||
Communications infrastructure improvements and other capital projects | $ | 35 | $ | 27 | $ | 30 | $ | 29 | $ | 33 | $ | 34 | $ | 34 | |||||||||||||||||||||||||||
Purchases of land interests | 10 | 15 | 12 | 16 | 15 | 23 | 13 | ||||||||||||||||||||||||||||||||||
Total discretionary capital expenditures | 45 | 42 | 42 | 45 | 48 | 57 | 47 | ||||||||||||||||||||||||||||||||||
Sustaining capital expenditures | 2 | 3 | 3 | 3 | 2 | 4 | 2 | ||||||||||||||||||||||||||||||||||
Total capital expenditures | 47 | 45 | 45 | 48 | 50 | 61 | 49 | ||||||||||||||||||||||||||||||||||
Less: Prepaid rent additions(c) | 22 | 23 | 20 | 23 | 22 | 25 | 25 | ||||||||||||||||||||||||||||||||||
Capital expenditures less prepaid rent additions | $ | 25 | $ | 22 | $ | 25 | $ | 25 | $ | 28 | $ | 36 | $ | 24 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
TOWERS SEGMENT PORTFOLIO HIGHLIGHTS | |||||
(as of September 30, 2023) | |||||
Number of towers (in thousands)(a) | 40 | ||||
Average number of tenants per tower | 2.5 | ||||
Remaining contracted tenant receivables (in billions)(b) | $ | 35 | |||
Weighted average remaining tenant contract term (years)(b)(c) | 6 | ||||
Percent of towers in the Top 50 / 100 Basic Trading Areas | 56% / 71% | ||||
Percent of ground leased / owned(d) | 59% / 41% | ||||
Weighted average maturity of ground leases (years)(d)(e) | 35 |
TOWERS SEGMENT CASH YIELD ON INVESTED CAPITAL(f) | |||||||||||
(as of September 30, 2023; dollars in millions) | Q3 2023 LQA | Q3 2022 LQA | |||||||||
Segment site rental gross margin(g) | $ | 3,352 | $ | 3,416 | |||||||
Less: Amortization of prepaid rent | (244) | (320) | |||||||||
Less: Straight-lined revenues | (228) | (356) | |||||||||
Add: Straight-lined expenses | 68 | 72 | |||||||||
Numerator | $ | 2,948 | $ | 2,812 | |||||||
Segment net investment in property and equipment(h) | $ | 13,395 | $ | 13,205 | |||||||
Segment investment in site rental contracts and tenant relationships | 4,576 | 4,554 | |||||||||
Segment investment in goodwill(i) | 5,351 | 5,351 | |||||||||
Segment Net Invested Capital(f) | $ | 23,322 | $ | 23,110 | |||||||
Segment Cash Yield on Invested Capital(f) | 12.6 | % | 12.2 | % |
SUMMARY OF TOWER PORTFOLIO BY VINTAGE(j) | ||||||||||||||
(as of September 30, 2023; dollars in thousands) | Acquired and Built 2006 and Prior | Acquired and Built 2007 to Present | ||||||||||||
Cash yield(k) | 21 | % | 10 | % | ||||||||||
Number of tenants per tower | 3.0 | 2.3 | ||||||||||||
Last quarter annualized average cash site rental revenue per tower(l) | $ | 134 | $ | 80 | ||||||||||
Last quarter annualized average site rental gross cash margin per tower(m) | $ | 115 | $ | 57 | ||||||||||
Net invested capital per tower(n) | $ | 559 | $ | 581 | ||||||||||
Number of towers | 11,205 | 28,844 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
GROUND INTEREST OVERVIEW | |||||||||||||||||||||||
(as of September 30, 2023; dollars in millions) | LQA Cash Site Rental Revenues(a) | Percentage of LQA Cash Site Rental Revenues(a) | LQA Towers Segment Site Rental Gross Cash Margin(b) | Percentage of LQA Towers Segment Site Rental Gross Cash Margin(b) | Number of Towers(c) | Percentage of Towers | Weighted Average Term Remaining (by years)(d) | ||||||||||||||||
Less than 10 years | $ | 430 | 11 | % | $ | 234 | 8 | % | 5,575 | 14 | % | ||||||||||||
10 to 20 years | 544 | 14 | % | 344 | 12 | % | 6,046 | 15 | % | ||||||||||||||
Greater than 20 years | 1,561 | 41 | % | 1,140 | 39 | % | 16,873 | 42 | % | ||||||||||||||
Total leased | $ | 2,534 | 66 | % | $ | 1,718 | 59 | % | 28,494 | 71 | 35 | ||||||||||||
Owned | $ | 1,280 | 34 | % | $ | 1,203 | 41 | % | 11,555 | 29 | % | ||||||||||||
Total / Average | $ | 3,814 | 100 | % | $ | 2,921 | 100 | % | 40,049 | 100 | % |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
FIBER SEGMENT SUMMARY FINANCIAL HIGHLIGHTS | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(in millions) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Segment net revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental | |||||||||||||||||||||||||||||||||||||||||
Site rental billings(a) | $ | 439 | $ | 426 | $ | 423 | $ | 426 | $ | 478 | $ | 531 | $ | 436 | |||||||||||||||||||||||||||
Amortization of prepaid rent | 62 | 63 | 60 | 65 | 65 | 121 | 66 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | — | — | 1 | 1 | — | (4) | 1 | ||||||||||||||||||||||||||||||||||
Total site rental | 501 | 489 | 484 | 492 | 543 | 648 | 503 | ||||||||||||||||||||||||||||||||||
Services and other | 3 | 3 | 3 | 3 | 3 | 15 | 4 | ||||||||||||||||||||||||||||||||||
Net revenues | $ | 504 | $ | 492 | $ | 487 | $ | 495 | $ | 546 | $ | 663 | $ | 507 | |||||||||||||||||||||||||||
Segment operating expenses | |||||||||||||||||||||||||||||||||||||||||
Costs of operations(b) | |||||||||||||||||||||||||||||||||||||||||
Site rental exclusive of straight-lined expenses | $ | 162 | $ | 162 | $ | 166 | $ | 161 | $ | 172 | $ | 170 | $ | 175 | |||||||||||||||||||||||||||
Straight-lined expenses | — | — | — | — | — | 1 | — | ||||||||||||||||||||||||||||||||||
Total site rental | 162 | 162 | 166 | 161 | 172 | 171 | 175 | ||||||||||||||||||||||||||||||||||
Services and other | 2 | 2 | 3 | 2 | 2 | 3 | 3 | ||||||||||||||||||||||||||||||||||
Total costs of operations | 164 | 164 | 169 | 163 | 174 | 174 | 178 | ||||||||||||||||||||||||||||||||||
Selling, general and administrative(c) | 47 | 46 | 47 | 50 | 49 | 51 | 48 | ||||||||||||||||||||||||||||||||||
Segment operating profit(d) | $ | 293 | $ | 282 | $ | 271 | $ | 282 | $ | 323 | $ | 438 | $ | 281 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
FIBER SEGMENT COMPONENTS OF CHANGES IN SITE RENTAL REVENUES | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(dollars in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Components of changes in site rental revenues: | |||||||||||||||||||||||||||||||||||||||||
Prior year site rental billings(a) | $ | 416 | $ | 415 | $ | 417 | $ | 424 | $ | 439 | $ | 427 | $ | 424 | |||||||||||||||||||||||||||
Core leasing activity(a) | 51 | 38 | 37 | 33 | 25 | 36 | 41 | ||||||||||||||||||||||||||||||||||
Escalators | 2 | 2 | 2 | 2 | 2 | 2 | 2 | ||||||||||||||||||||||||||||||||||
Non-renewals(a) | (30) | (29) | (33) | (33) | (34) | (34) | (30) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 23 | 11 | 6 | 2 | (7) | 3 | 13 | ||||||||||||||||||||||||||||||||||
Payments for Sprint Cancellations(a)(b) | — | — | — | — | 48 | 106 | 6 | ||||||||||||||||||||||||||||||||||
Non-renewals associated with Sprint Cancellations(a)(b) | — | — | — | — | (2) | (6) | (6) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 23 | 11 | 6 | 2 | 39 | 104 | 12 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | — | — | 1 | 1 | — | (4) | 1 | ||||||||||||||||||||||||||||||||||
Amortization of prepaid rent | 62 | 63 | 60 | 65 | 65 | 121 | 66 | ||||||||||||||||||||||||||||||||||
Acquisitions(c) | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Other | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Total site rental revenues | $ | 501 | $ | 489 | $ | 484 | $ | 492 | $ | 543 | $ | 648 | $ | 503 | |||||||||||||||||||||||||||
Year-over-year changes in revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental revenues as a percentage of prior year site rental revenues | 5.7 | % | 3.4 | % | 1.0 | % | 0.6 | % | 8.4 | % | 32.5 | % | 3.9 | % | |||||||||||||||||||||||||||
Changes in revenues as a percentage of prior year site rental billings: | |||||||||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 5.5 | % | 2.9 | % | 1.5 | % | 0.5 | % | (1.6) | % | 0.8 | % | 3.0 | % | |||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 5.5 | % | 2.9 | % | 1.5 | % | 0.5 | % | 8.8 | % | 24.3 | % | 2.9 | % |
FIBER SEGMENT SUMMARY OF CAPITAL EXPENDITURES(a) | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Discretionary capital expenditures: | |||||||||||||||||||||||||||||||||||||||||
Communications infrastructure improvements and other capital projects | $ | 209 | $ | 235 | $ | 267 | $ | 307 | $ | 272 | $ | 298 | $ | 273 | |||||||||||||||||||||||||||
Purchases of land interests | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Total discretionary capital expenditures | 209 | 235 | 267 | 307 | 272 | 298 | 273 | ||||||||||||||||||||||||||||||||||
Sustaining capital expenditures | 13 | 12 | 10 | 6 | 7 | 8 | 14 | ||||||||||||||||||||||||||||||||||
Total capital expenditures | 222 | 247 | 277 | 313 | 279 | 306 | 287 | ||||||||||||||||||||||||||||||||||
Less: Prepaid rent additions(d) | 50 | 39 | 43 | 76 | 59 | 59 | 55 | ||||||||||||||||||||||||||||||||||
Capital expenditures less prepaid rent additions | $ | 172 | $ | 208 | $ | 234 | $ | 237 | $ | 220 | $ | 247 | $ | 232 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
FIBER SEGMENT REVENUE DETAIL BY LINE OF BUSINESS | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(dollars in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Small Cells | |||||||||||||||||||||||||||||||||||||||||
Site rental revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental billings(a) | $ | 108 | $ | 108 | $ | 109 | $ | 111 | $ | 113 | $ | 211 | $ | 113 | |||||||||||||||||||||||||||
Amortization of prepaid rent | 47 | 48 | 45 | 50 | 48 | 102 | 45 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | — | — | — | — | (1) | (6) | (1) | ||||||||||||||||||||||||||||||||||
Total site rental revenues | 155 | 156 | 154 | 161 | 160 | 308 | 157 | ||||||||||||||||||||||||||||||||||
Services and other revenues | 3 | 2 | 2 | 3 | 3 | 15 | 3 | ||||||||||||||||||||||||||||||||||
Net revenues | $ | 158 | $ | 158 | $ | 156 | $ | 164 | $ | 163 | $ | 323 | $ | 160 | |||||||||||||||||||||||||||
Components of changes in site rental revenues: | |||||||||||||||||||||||||||||||||||||||||
Prior year site rental billings(a) | $ | 100 | $ | 100 | $ | 104 | $ | 109 | $ | 108 | $ | 109 | $ | 109 | |||||||||||||||||||||||||||
Core leasing activity(a) | 7 | 8 | 5 | 3 | 6 | 6 | 8 | ||||||||||||||||||||||||||||||||||
Escalators | 2 | 2 | 2 | 2 | 2 | 2 | 2 | ||||||||||||||||||||||||||||||||||
Non-renewals(a) | (1) | (2) | (2) | (3) | (3) | (2) | (1) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 8 | 8 | 5 | 2 | 5 | 5 | 8 | ||||||||||||||||||||||||||||||||||
Payments for Sprint Cancellations(a) | — | — | — | — | — | 101 | — | ||||||||||||||||||||||||||||||||||
Non-renewals associated with Sprint Cancellations(a)(b) | — | — | — | — | — | (4) | (5) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 8 | 8 | 5 | 2 | 5 | 102 | 3 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | — | — | — | — | (1) | (6) | (1) | ||||||||||||||||||||||||||||||||||
Amortization of prepaid rent | 47 | 48 | 45 | 50 | 48 | 102 | 45 | ||||||||||||||||||||||||||||||||||
Acquisitions(c) | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Other | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Total site rental revenues | $ | 155 | $ | 156 | $ | 154 | $ | 161 | $ | 160 | $ | 308 | $ | 157 | |||||||||||||||||||||||||||
Year-over-year changes in revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental revenues as a percentage of prior year site rental revenues | 8.4 | % | 8.3 | % | 1.3 | % | 1.9 | % | 3.2 | % | 97.4 | % | 1.9 | % | |||||||||||||||||||||||||||
Changes in revenues as a percentage of prior year site rental billings: | |||||||||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 7.3 | % | 8.2 | % | 4.1 | % | 2.2 | % | 4.5 | % | 5.0 | % | 7.3 | % | |||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 7.3 | % | 8.2 | % | 4.1 | % | 2.2 | % | 4.5 | % | 93.6 | % | 3.1 | % |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
FIBER SEGMENT REVENUE DETAIL BY LINE OF BUSINESS CONTINUED | |||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(dollars in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Fiber Solutions | |||||||||||||||||||||||||||||||||||||||||
Site rental revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental billings(a) | $ | 331 | $ | 318 | $ | 314 | $ | 315 | $ | 365 | $ | 320 | $ | 323 | |||||||||||||||||||||||||||
Amortization of prepaid rent | 15 | 15 | 15 | 15 | 17 | 19 | 20 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | — | — | 1 | 1 | 1 | 2 | 2 | ||||||||||||||||||||||||||||||||||
Total site rental revenues | 346 | 333 | 330 | 331 | 383 | 340 | 346 | ||||||||||||||||||||||||||||||||||
Services and other revenues | — | 1 | 1 | — | — | — | 1 | ||||||||||||||||||||||||||||||||||
Net revenues | $ | 346 | $ | 334 | $ | 331 | $ | 331 | $ | 383 | $ | 340 | $ | 347 | |||||||||||||||||||||||||||
Components of changes in site rental revenues: | |||||||||||||||||||||||||||||||||||||||||
Prior year site rental billings(a) | $ | 315 | $ | 314 | $ | 312 | $ | 315 | $ | 331 | $ | 318 | $ | 315 | |||||||||||||||||||||||||||
Core leasing activity(a) | 45 | 31 | 33 | 30 | 19 | 30 | 34 | ||||||||||||||||||||||||||||||||||
Escalators | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Non-renewals(a) | (29) | (27) | (31) | (30) | (31) | (32) | (29) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 16 | 4 | 2 | — | (12) | (2) | 5 | ||||||||||||||||||||||||||||||||||
Payments for Sprint Cancellations(a)(b) | — | — | — | — | 48 | 5 | 6 | ||||||||||||||||||||||||||||||||||
Non-renewals associated with Sprint Cancellations(a)(b) | — | — | — | — | (2) | (2) | (2) | ||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 16 | 4 | 2 | — | 34 | 1 | 9 | ||||||||||||||||||||||||||||||||||
Straight-lined revenues | — | — | 1 | 1 | 1 | 2 | 2 | ||||||||||||||||||||||||||||||||||
Amortization of prepaid rent | 15 | 15 | 15 | 15 | 17 | 19 | 20 | ||||||||||||||||||||||||||||||||||
Acquisitions(c) | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Other | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Total site rental revenues | $ | 346 | $ | 333 | $ | 330 | $ | 331 | $ | 383 | $ | 340 | $ | 346 | |||||||||||||||||||||||||||
Year-over-year changes in revenues: | |||||||||||||||||||||||||||||||||||||||||
Site rental revenues as a percentage of prior year site rental revenues | 4.5 | % | 1.2 | % | 0.9 | % | — | % | 10.7 | % | 2.1 | % | 4.8 | % | |||||||||||||||||||||||||||
Changes in revenues as a percentage of prior year site rental billings: | |||||||||||||||||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a) | 4.9 | % | 1.2 | % | 0.7 | % | — | % | (3.6) | % | (0.7) | % | 1.5 | % | |||||||||||||||||||||||||||
Organic Contribution to Site Rental Billings(a) | 4.9 | % | 1.2 | % | 0.7 | % | — | % | 10.2 | % | 0.4 | % | 2.8 | % |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
FIBER SEGMENT PORTFOLIO HIGHLIGHTS | |||||
(as of September 30, 2023) | |||||
Number of route miles of fiber (in thousands) | 85 | ||||
Number of small cells on air or under contract (in thousands)(a) | 115 | ||||
Remaining contracted tenant receivables (in billions)(b) | $ | 5 | |||
Weighted average remaining tenant contract term (years)(b)(c) | 3 |
FIBER SEGMENT CASH YIELD ON INVESTED CAPITAL(d) | |||||||||||
(as of September 30, 2023; dollars in millions) | Q3 2023 LQA | Q3 2022 LQA | |||||||||
Segment site rental gross margin(e) | $ | 1,312 | $ | 1,272 | |||||||
Less: Amortization of prepaid rent | (264) | (240) | |||||||||
Less: Straight-lined revenues | (4) | (4) | |||||||||
Add: Straight-lined expenses | — | — | |||||||||
Add: Indirect labor costs(f) | 104 | 116 | |||||||||
Numerator | $ | 1,148 | $ | 1,144 | |||||||
Segment net investment in property and equipment(g) | $ | 9,313 | $ | 8,537 | |||||||
Segment investment in site rental contracts and tenant relationships | 3,290 | 3,287 | |||||||||
Segment investment in goodwill(h) | 4,080 | 4,082 | |||||||||
Segment Net Invested Capital(d) | $ | 16,683 | $ | 15,906 | |||||||
Segment Cash Yield on Invested Capital(d) | 6.9 | % | 7.2 | % |
FIBER SOLUTIONS REVENUE MIX | |||||
(as of September 30, 2023) | Percentage of Q3 2023 LQA Site Rental Revenues | ||||
Carrier(i) | 36% | ||||
Education | 14% | ||||
Healthcare | 11% | ||||
Financial Services | 7% | ||||
Other | 32% | ||||
Total | 100% |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CONDENSED CONSOLIDATED BALANCE SHEET (Unaudited) | |||||||||||
(in millions, except par values) | September 30, 2023 | December 31, 2022 | |||||||||
ASSETS | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 117 | $ | 156 | |||||||
Restricted cash | 167 | 166 | |||||||||
Receivables, net | 512 | 593 | |||||||||
Prepaid expenses | 143 | 102 | |||||||||
Deferred site rental receivables | 115 | 127 | |||||||||
Other current assets | 72 | 73 | |||||||||
Total current assets | 1,126 | 1,217 | |||||||||
Deferred site rental receivables | 2,189 | 1,954 | |||||||||
Property and equipment, net | 15,573 | 15,407 | |||||||||
Operating lease right-of-use assets | 6,309 | 6,526 | |||||||||
Goodwill | 10,085 | 10,085 | |||||||||
Other intangible assets, net | 3,276 | 3,596 | |||||||||
Other assets, net | 141 | 136 | |||||||||
Total assets | $ | 38,699 | $ | 38,921 | |||||||
LIABILITIES AND EQUITY | |||||||||||
Current liabilities: | |||||||||||
Accounts payable | $ | 215 | $ | 236 | |||||||
Accrued interest | 145 | 183 | |||||||||
Deferred revenues | 650 | 736 | |||||||||
Other accrued liabilities | 373 | 407 | |||||||||
Current maturities of debt and other obligations | 827 | 819 | |||||||||
Current portion of operating lease liabilities | 339 | 350 | |||||||||
Total current liabilities | 2,549 | 2,731 | |||||||||
Debt and other long-term obligations | 21,903 | 20,910 | |||||||||
Operating lease liabilities | 5,660 | 5,881 | |||||||||
Other long-term liabilities | 1,918 | 1,950 | |||||||||
Total liabilities | 32,030 | 31,472 | |||||||||
Commitments and contingencies | |||||||||||
Stockholders' equity: | |||||||||||
Common stock, 0.01 par value; 1,200 shares authorized; shares issued and outstanding: September 30, 2023—434 and December 31, 2022—433 | 4 | 4 | |||||||||
Additional paid-in capital | 18,241 | 18,116 | |||||||||
Accumulated other comprehensive income (loss) | (5) | (5) | |||||||||
Dividends/distributions in excess of earnings | (11,571) | (10,666) | |||||||||
Total equity | 6,669 | 7,449 | |||||||||
Total liabilities and equity | $ | 38,699 | $ | 38,921 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) | |||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
(in millions, except per share amounts) | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||
Net revenues: | |||||||||||||||||||||||
Site rental | $ | 1,577 | $ | 1,568 | $ | 4,929 | $ | 4,711 | |||||||||||||||
Services and other | 90 | 178 | 378 | 511 | |||||||||||||||||||
Net revenues | 1,667 | 1,746 | 5,307 | 5,222 | |||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Costs of operations:(a) | |||||||||||||||||||||||
Site rental | 420 | 405 | 1,259 | 1,204 | |||||||||||||||||||
Services and other | 66 | 119 | 268 | 344 | |||||||||||||||||||
Selling, general and administrative | 176 | 187 | 581 | 558 | |||||||||||||||||||
Asset write-down charges | 8 | 3 | 30 | 26 | |||||||||||||||||||
Acquisition and integration costs | — | — | 1 | 1 | |||||||||||||||||||
Depreciation, amortization and accretion | 439 | 430 | 1,315 | 1,276 | |||||||||||||||||||
Restructuring charges | 72 | — | 72 | — | |||||||||||||||||||
Total operating expenses | 1,181 | 1,144 | 3,526 | 3,409 | |||||||||||||||||||
Operating income (loss) | 486 | 602 | 1,781 | 1,813 | |||||||||||||||||||
Interest expense and amortization of deferred financing costs, net | (217) | (177) | (627) | (506) | |||||||||||||||||||
Gains (losses) on retirement of long-term obligations | — | (2) | — | (28) | |||||||||||||||||||
Interest income | 3 | 1 | 10 | 1 | |||||||||||||||||||
Other income (expense) | — | (2) | (4) | (5) | |||||||||||||||||||
Income (loss) before income taxes | 272 | 422 | 1,160 | 1,275 | |||||||||||||||||||
Benefit (provision) for income taxes | (7) | (3) | (21) | (14) | |||||||||||||||||||
Net income (loss) | $ | 265 | $ | 419 | $ | 1,139 | $ | 1,261 | |||||||||||||||
Net income (loss), per common share: | |||||||||||||||||||||||
Basic | $ | 0.61 | $ | 0.97 | $ | 2.63 | $ | 2.91 | |||||||||||||||
Diluted | $ | 0.61 | $ | 0.97 | $ | 2.63 | $ | 2.91 | |||||||||||||||
Weighted-average common shares outstanding: | |||||||||||||||||||||||
Basic | 434 | 433 | 434 | 433 | |||||||||||||||||||
Diluted | 434 | 434 | 434 | 434 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited) | |||||||||||
Nine Months Ended September 30, | |||||||||||
(in millions) | 2023 | 2022 | |||||||||
Cash flows from operating activities: | |||||||||||
Net income (loss) | $ | 1,139 | $ | 1,261 | |||||||
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities: | |||||||||||
Depreciation, amortization and accretion | 1,315 | 1,276 | |||||||||
(Gains) losses on retirement of long-term obligations | — | 28 | |||||||||
Amortization of deferred financing costs and other non-cash interest | 22 | 10 | |||||||||
Stock-based compensation expense, net | 126 | 120 | |||||||||
Asset write-down charges | 30 | 26 | |||||||||
Deferred income tax (benefit) provision | 1 | 2 | |||||||||
Other non-cash adjustments, net | 10 | 6 | |||||||||
Changes in assets and liabilities, excluding the effects of acquisitions: | |||||||||||
Increase (decrease) in liabilities | (220) | (329) | |||||||||
Decrease (increase) in assets | (165) | (362) | |||||||||
Net cash provided by (used for) operating activities | 2,258 | 2,038 | |||||||||
Cash flows from investing activities: | |||||||||||
Capital expenditures | (1,067) | (921) | |||||||||
Payments for acquisitions, net of cash acquired | (93) | (15) | |||||||||
Other investing activities, net | 5 | (10) | |||||||||
Net cash provided by (used for) investing activities | (1,155) | (946) | |||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from issuance of long-term debt | 2,347 | 748 | |||||||||
Principal payments on debt and other long-term obligations | (58) | (55) | |||||||||
Purchases and redemptions of long-term debt | (750) | (1,274) | |||||||||
Borrowings under revolving credit facility | 2,943 | 2,625 | |||||||||
Payments under revolving credit facility | (4,088) | (2,580) | |||||||||
Net borrowings (repayments) under commercial paper program | 561 | 1,329 | |||||||||
Payments for financing costs | (23) | (14) | |||||||||
Purchases of common stock | (29) | (64) | |||||||||
Dividends/distributions paid on common stock | (2,044) | (1,924) | |||||||||
Net cash provided by (used for) financing activities | (1,141) | (1,209) | |||||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | (38) | (117) | |||||||||
Effect of exchange rate changes on cash | — | (2) | |||||||||
Cash, cash equivalents and restricted cash at beginning of period | 327 | 466 | |||||||||
Cash, cash equivalents and restricted cash at end of period | $ | 289 | $ | 347 | |||||||
Supplemental disclosure of cash flow information: | |||||||||||
Interest paid | 654 | 559 | |||||||||
Income taxes paid (refunded) | 13 | 10 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
SEGMENT OPERATING RESULTS | |||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2023 | Three Months Ended September 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||
(in millions) | Towers | Fiber | Other | Consolidated Total | Towers | Fiber | Other | Consolidated Total | |||||||||||||||||||||||||||||||||||||||
Segment site rental revenues | $ | 1,074 | $ | 503 | $ | 1,577 | $ | 1,084 | $ | 484 | $ | 1,568 | |||||||||||||||||||||||||||||||||||
Segment services and other revenues | 86 | 4 | 90 | 175 | 3 | 178 | |||||||||||||||||||||||||||||||||||||||||
Segment revenues | 1,160 | 507 | 1,667 | 1,259 | 487 | 1,746 | |||||||||||||||||||||||||||||||||||||||||
Segment site rental costs of operations | 236 | 175 | 411 | 230 | 166 | 396 | |||||||||||||||||||||||||||||||||||||||||
Segment services and other costs of operations | 61 | 3 | 64 | 114 | 3 | 117 | |||||||||||||||||||||||||||||||||||||||||
Segment costs of operations(a)(b) | 297 | 178 | 475 | 344 | 169 | 513 | |||||||||||||||||||||||||||||||||||||||||
Segment site rental gross margin(c) | 838 | 328 | 1,166 | 854 | 318 | 1,172 | |||||||||||||||||||||||||||||||||||||||||
Segment services and other gross margin(c) | 25 | 1 | 26 | 61 | — | 61 | |||||||||||||||||||||||||||||||||||||||||
Segment selling, general and administrative expenses(b) | 24 | 48 | 72 | 28 | 47 | 75 | |||||||||||||||||||||||||||||||||||||||||
Segment operating profit(c) | 839 | 281 | 1,120 | 887 | 271 | 1,158 | |||||||||||||||||||||||||||||||||||||||||
Other selling, general and administrative expenses(b) | $ | 75 | 75 | $ | 81 | 81 | |||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense, net | 36 | 36 | 38 | 38 | |||||||||||||||||||||||||||||||||||||||||||
Depreciation, amortization and accretion | 439 | 439 | 430 | 430 | |||||||||||||||||||||||||||||||||||||||||||
Restructuring charges | 72 | 72 | — | — | |||||||||||||||||||||||||||||||||||||||||||
Interest expense and amortization of deferred financing costs, net | 217 | 217 | 177 | 177 | |||||||||||||||||||||||||||||||||||||||||||
Other (income) expenses to reconcile to income (loss) before income taxes(d) | 9 | 9 | 10 | 10 | |||||||||||||||||||||||||||||||||||||||||||
Income (loss) before income taxes | $ | 272 | $ | 422 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
SEGMENT OPERATING RESULTS | |||||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2023 | Nine Months Ended September 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||
(in millions) | Towers | Fiber | Other | Consolidated Total | Towers | Fiber | Other | Consolidated Total | |||||||||||||||||||||||||||||||||||||||
Segment site rental revenues | $ | 3,234 | $ | 1,695 | $ | 4,929 | $ | 3,237 | $ | 1,474 | $ | 4,711 | |||||||||||||||||||||||||||||||||||
Segment services and other revenues | 356 | 22 | 378 | 502 | 9 | 511 | |||||||||||||||||||||||||||||||||||||||||
Segment revenues | 3,590 | 1,717 | 5,307 | 3,739 | 1,483 | 5,222 | |||||||||||||||||||||||||||||||||||||||||
Segment site rental costs of operations | 714 | 518 | 1,232 | 689 | 490 | 1,179 | |||||||||||||||||||||||||||||||||||||||||
Segment services and other costs of operations | 252 | 8 | 260 | 329 | 7 | 336 | |||||||||||||||||||||||||||||||||||||||||
Segment costs of operations(a)(b) | 966 | 526 | 1,492 | 1,018 | 497 | 1,515 | |||||||||||||||||||||||||||||||||||||||||
Segment site rental gross margin(c) | 2,520 | 1,177 | 3,697 | 2,548 | 984 | 3,532 | |||||||||||||||||||||||||||||||||||||||||
Segment services and other gross margin(c) | 104 | 14 | 118 | 173 | 2 | 175 | |||||||||||||||||||||||||||||||||||||||||
Segment selling, general and administrative expenses(b) | 84 | 148 | 232 | 84 | 140 | 224 | |||||||||||||||||||||||||||||||||||||||||
Segment operating profit(c) | 2,540 | 1,043 | 3,583 | 2,637 | 846 | 3,483 | |||||||||||||||||||||||||||||||||||||||||
Other selling, general and administrative expenses(b) | $ | 246 | 246 | $ | 234 | 234 | |||||||||||||||||||||||||||||||||||||||||
Stock-based compensation expense, net | 126 | 126 | 121 | 121 | |||||||||||||||||||||||||||||||||||||||||||
Depreciation, amortization and accretion | 1,315 | 1,315 | 1,276 | 1,276 | |||||||||||||||||||||||||||||||||||||||||||
Restructuring charges | 72 | 72 | — | — | |||||||||||||||||||||||||||||||||||||||||||
Interest expense and amortization of deferred financing costs, net | 627 | 627 | 506 | 506 | |||||||||||||||||||||||||||||||||||||||||||
Other (income) expenses to reconcile to income (loss) before income taxes(d) | 37 | 37 | 71 | 71 | |||||||||||||||||||||||||||||||||||||||||||
Income (loss) before income taxes | $ | 1,160 | $ | 1,275 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
NON-GAAP MEASURES AND OTHER INFORMATION |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
2022 | 2023 | ||||||||||||||||||||||||||||||||||||||||
(in millions; totals may not sum due to rounding) | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 421 | $ | 421 | $ | 419 | $ | 413 | $ | 418 | $ | 445 | $ | 265 | |||||||||||||||||||||||||||
Adjustments to increase (decrease) net income (loss) | |||||||||||||||||||||||||||||||||||||||||
Asset write-down charges | 14 | 9 | 3 | 8 | — | 22 | 8 | ||||||||||||||||||||||||||||||||||
Acquisition and integration costs | — | 1 | — | 1 | — | 1 | — | ||||||||||||||||||||||||||||||||||
Depreciation, amortization and accretion | 420 | 427 | 430 | 431 | 431 | 445 | 439 | ||||||||||||||||||||||||||||||||||
Restructuring charges | — | — | — | — | — | — | 72 | ||||||||||||||||||||||||||||||||||
Amortization of prepaid lease purchase price adjustments | 4 | 4 | 4 | 4 | 4 | 4 | 4 | ||||||||||||||||||||||||||||||||||
Interest expense and amortization of deferred financing costs, net(a) | 164 | 165 | 177 | 192 | 202 | 208 | 217 | ||||||||||||||||||||||||||||||||||
(Gains) losses on retirement of long-term obligations | 26 | — | 2 | — | — | — | — | ||||||||||||||||||||||||||||||||||
Interest income | — | — | (1) | (2) | (2) | (5) | (3) | ||||||||||||||||||||||||||||||||||
Other (income) expense | 1 | 2 | 2 | 5 | 3 | 2 | — | ||||||||||||||||||||||||||||||||||
(Benefit) provision for income taxes | 6 | 5 | 3 | 2 | 7 | 7 | 7 | ||||||||||||||||||||||||||||||||||
Stock-based compensation expense, net | 39 | 44 | 38 | 36 | 41 | 50 | 36 | ||||||||||||||||||||||||||||||||||
Adjusted EBITDA(b)(c) | $ | 1,095 | $ | 1,078 | $ | 1,077 | $ | 1,090 | $ | 1,104 | $ | 1,188 | $ | 1,047 |
(in millions; totals may not sum due to rounding) | Full Year 2023 Outlook(e) | Full Year 2024 Outlook(e) | |||||||||||||||||||||
Net income (loss) | $1,429 | to | $1,509 | $1,213 | to | $1,293 | |||||||||||||||||
Adjustments to increase (decrease) net income (loss): | |||||||||||||||||||||||
Asset write-down charges | $26 | to | $36 | $42 | to | $52 | |||||||||||||||||
Acquisition and integration costs | $0 | to | $8 | $0 | to | $6 | |||||||||||||||||
Depreciation, amortization and accretion | $1,712 | to | $1,807 | $1,680 | to | $1,775 | |||||||||||||||||
Restructuring charges | $102 | to | $122 | $0 | to | $0 | |||||||||||||||||
Amortization of prepaid lease purchase price adjustments | $15 | to | $17 | $15 | to | $17 | |||||||||||||||||
Interest expense and amortization of deferred financing costs, net(d) | $834 | to | $869 | $933 | to | $978 | |||||||||||||||||
(Gains) losses on retirement of long-term obligations | $0 | to | $0 | $0 | to | $0 | |||||||||||||||||
Interest income | $(14) | to | $(13) | $(12) | to | $(11) | |||||||||||||||||
Other (income) expense | $2 | to | $7 | $0 | to | $9 | |||||||||||||||||
(Benefit) provision for income taxes | $16 | to | $24 | $20 | to | $28 | |||||||||||||||||
Stock-based compensation expense, net | $165 | to | $169 | $142 | to | $146 | |||||||||||||||||
Adjusted EBITDA(b)(c) | $4,399 | to | $4,444 | $4,138 | to | $4,188 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
(in millions; totals may not sum due to rounding) | 2022 | 2023 | |||||||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | |||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 421 | $ | 421 | $ | 419 | $ | 413 | $ | 418 | $ | 455 | $ | 265 | |||||||||||||||||||||||||||
Real estate related depreciation, amortization and accretion | 408 | 412 | 416 | 417 | 417 | 424 | 425 | ||||||||||||||||||||||||||||||||||
Asset write-down charges | 14 | 9 | 3 | 8 | — | 22 | 8 | ||||||||||||||||||||||||||||||||||
FFO(a)(b) | $ | 843 | $ | 842 | $ | 838 | $ | 838 | $ | 835 | $ | 901 | $ | 698 | |||||||||||||||||||||||||||
Weighted-average common shares outstanding—diluted | 434 | 434 | 434 | 434 | 434 | 434 | 434 | ||||||||||||||||||||||||||||||||||
FFO (from above) | $ | 843 | $ | 842 | $ | 838 | $ | 838 | $ | 835 | $ | 901 | $ | 698 | |||||||||||||||||||||||||||
Adjustments to increase (decrease) FFO: | |||||||||||||||||||||||||||||||||||||||||
Straight-lined revenues | (116) | (120) | (90) | (85) | (83) | (80) | (59) | ||||||||||||||||||||||||||||||||||
Straight-lined expenses | 19 | 19 | 18 | 18 | 20 | 18 | 18 | ||||||||||||||||||||||||||||||||||
Stock-based compensation expense, net | 39 | 44 | 38 | 36 | 41 | 50 | 36 | ||||||||||||||||||||||||||||||||||
Non-cash portion of tax provision | 5 | (3) | 2 | 2 | 9 | (6) | 4 | ||||||||||||||||||||||||||||||||||
Non-real estate related depreciation, amortization and accretion | 12 | 15 | 14 | 14 | 14 | 21 | 14 | ||||||||||||||||||||||||||||||||||
Amortization of non-cash interest expense | 4 | 4 | 3 | 3 | 4 | 4 | 3 | ||||||||||||||||||||||||||||||||||
Other (income) expense | 1 | 2 | 2 | 5 | 3 | 2 | — | ||||||||||||||||||||||||||||||||||
(Gains) losses on retirement of long-term obligations | 26 | — | 2 | — | — | — | — | ||||||||||||||||||||||||||||||||||
Acquisition and integration costs | — | 1 | — | 1 | — | 1 | — | ||||||||||||||||||||||||||||||||||
Restructuring charges | — | — | — | — | — | — | 72 | ||||||||||||||||||||||||||||||||||
Sustaining capital expenditures | (21) | (21) | (23) | (30) | (15) | (18) | (21) | ||||||||||||||||||||||||||||||||||
AFFO(a)(b) | $ | 812 | $ | 783 | $ | 804 | $ | 802 | $ | 828 | $ | 891 | $ | 767 | |||||||||||||||||||||||||||
Weighted-average common shares outstanding—diluted | 434 | 434 | 434 | 434 | 434 | 434 | 434 |
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
(in millions, except per share amounts; totals may not sum due to rounding) | 2022 | 2023 | |||||||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | |||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 0.97 | $ | 0.97 | $ | 0.97 | $ | 0.95 | $ | 0.96 | $ | 1.05 | $ | 0.61 | |||||||||||||||||||||||||||
Real estate related depreciation, amortization and accretion | 0.94 | 0.94 | 0.96 | 0.96 | 0.96 | 0.98 | 0.98 | ||||||||||||||||||||||||||||||||||
Asset write-down charges | 0.03 | 0.03 | 0.01 | 0.02 | — | (0.05) | 0.02 | ||||||||||||||||||||||||||||||||||
FFO(a)(b) | $ | 1.94 | $ | 1.94 | $ | 1.93 | $ | 1.93 | $ | 1.92 | $ | 2.08 | $ | 1.61 | |||||||||||||||||||||||||||
Weighted-average common shares outstanding—diluted | 434 | 434 | 434 | 434 | 434 | 434 | 434 | ||||||||||||||||||||||||||||||||||
FFO (from above) | $ | 1.94 | $ | 1.94 | $ | 1.93 | $ | 1.93 | $ | 1.92 | $ | 2.08 | $ | 1.61 | |||||||||||||||||||||||||||
Adjustments to increase (decrease) FFO: | |||||||||||||||||||||||||||||||||||||||||
Straight-lined revenues | (0.27) | (0.28) | (0.21) | (0.20) | (0.19) | (0.18) | (0.14) | ||||||||||||||||||||||||||||||||||
Straight-lined expenses | 0.04 | 0.04 | 0.04 | 0.04 | 0.05 | 0.04 | 0.04 | ||||||||||||||||||||||||||||||||||
Stock-based compensation expense, net | 0.09 | 0.10 | 0.09 | 0.08 | 0.09 | 0.12 | 0.08 | ||||||||||||||||||||||||||||||||||
Non-cash portion of tax provision | 0.01 | (0.01) | — | — | 0.02 | (0.01) | 0.01 | ||||||||||||||||||||||||||||||||||
Non-real estate related depreciation, amortization and accretion | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.05 | 0.03 | ||||||||||||||||||||||||||||||||||
Amortization of non-cash interest expense | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | ||||||||||||||||||||||||||||||||||
Other (income) expense | 0.01 | 0.01 | — | 0.01 | 0.01 | — | — | ||||||||||||||||||||||||||||||||||
(Gains) losses on retirement of long-term obligations | 0.06 | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Acquisition and integration costs | — | 0.01 | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
Restructuring charges | — | — | — | — | — | — | 0.17 | ||||||||||||||||||||||||||||||||||
Sustaining capital expenditures | (0.05) | (0.05) | (0.05) | (0.07) | (0.03) | (0.04) | (0.05) | ||||||||||||||||||||||||||||||||||
AFFO(a)(b) | $ | 1.87 | $ | 1.81 | $ | 1.85 | $ | 1.85 | $ | 1.91 | $ | 2.05 | $ | 1.77 | |||||||||||||||||||||||||||
Weighted-average common shares outstanding—diluted | 434 | 434 | 434 | 434 | 434 | 434 | 434 | ||||||||||||||||||||||||||||||||||
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
(in millions; totals may not sum due to rounding) | Full Year 2023 Outlook(c) | Full Year 2024 Outlook(c) | |||||||||||||||||||||
Net income (loss) | $1,429 | to | $1,509 | $1,213 | to | $1,293 | |||||||||||||||||
Real estate related depreciation, amortization and accretion | $1,666 | to | $1,746 | $1,634 | to | $1,714 | |||||||||||||||||
Asset write-down charges | $26 | to | $36 | $42 | to | $52 | |||||||||||||||||
FFO(a)(b) | $3,183 | to | $3,218 | $2,951 | to | $2,996 | |||||||||||||||||
Weighted-average common shares outstanding—diluted | 435 | 435 | |||||||||||||||||||||
FFO (from above) | $3,183 | to | $3,218 | $2,951 | to | $2,996 | |||||||||||||||||
Adjustments to increase (decrease) FFO: | |||||||||||||||||||||||
Straight-lined revenues | $(284) | to | $(264) | $(197) | to | $(177) | |||||||||||||||||
Straight-lined expenses | $61 | to | $81 | $55 | to | $75 | |||||||||||||||||
Stock-based compensation expense, net | $165 | to | $169 | $142 | to | $146 | |||||||||||||||||
Non-cash portion of tax provision | $0 | to | $8 | $2 | to | $17 | |||||||||||||||||
Non-real estate related depreciation, amortization and accretion | $47 | to | $62 | $46 | to | $61 | |||||||||||||||||
Amortization of non-cash interest expense | $7 | to | $17 | $9 | to | $19 | |||||||||||||||||
Other (income) expense | $2 | to | $7 | $0 | to | $9 | |||||||||||||||||
(Gains) losses on retirement of long-term obligations | $0 | to | $0 | $0 | to | $0 | |||||||||||||||||
Acquisition and integration costs | $0 | to | $8 | $0 | to | $6 | |||||||||||||||||
Restructuring charges | $102 | to | $122 | $0 | to | $0 | |||||||||||||||||
Sustaining capital expenditures | $(88) | to | $(68) | $(85) | to | $(65) | |||||||||||||||||
AFFO(a)(b) | $3,261 | to | $3,296 | $2,980 | to | $3,030 | |||||||||||||||||
Weighted-average common shares outstanding—diluted | 435 | 435 |
(in millions, except per share amounts; totals may not sum due to rounding) | Full Year 2023 Outlook Per Share(c) | Full Year 2024 Outlook Per Share(c) | |||||||||||||||||||||
Net income (loss) | $3.29 | to | $3.47 | $2.79 | to | $2.97 | |||||||||||||||||
Real estate related depreciation, amortization and accretion | $3.83 | to | $4.01 | $3.76 | to | $3.94 | |||||||||||||||||
Asset write-down charges | $0.06 | to | $0.08 | $0.10 | to | $0.12 | |||||||||||||||||
FFO(a)(b) | $7.32 | to | $7.40 | $6.78 | to | $6.89 | |||||||||||||||||
Weighted-average common shares outstanding—diluted | 435 | 435 | |||||||||||||||||||||
FFO (from above) | $7.32 | to | $7.40 | $6.78 | to | $6.89 | |||||||||||||||||
Adjustments to increase (decrease) FFO: | |||||||||||||||||||||||
Straight-lined revenues | $(0.65) | to | $(0.61) | $(0.45) | to | $(0.41) | |||||||||||||||||
Straight-lined expenses | $0.14 | to | $0.19 | $0.13 | to | $0.17 | |||||||||||||||||
Stock-based compensation expense, net | $0.38 | to | $0.39 | $0.33 | to | $0.34 | |||||||||||||||||
Non-cash portion of tax provision | $0.00 | to | $0.02 | $0.00 | to | $0.04 | |||||||||||||||||
Non-real estate related depreciation, amortization and accretion | $0.11 | to | $0.14 | $0.11 | to | $0.14 | |||||||||||||||||
Amortization of non-cash interest expense | $0.02 | to | $0.04 | $0.02 | to | $0.04 | |||||||||||||||||
Other (income) expense | $0.00 | to | $0.02 | $0.00 | to | $0.02 | |||||||||||||||||
(Gains) losses on retirement of long-term obligations | $0.00 | to | $0.00 | $0.00 | to | $0.00 | |||||||||||||||||
Acquisition and integration costs | $0.00 | to | $0.02 | $0.00 | to | $0.01 | |||||||||||||||||
Restructuring charges | $0.23 | to | $0.28 | $0.00 | to | $0.00 | |||||||||||||||||
Sustaining capital expenditures | $(0.20) | to | $(0.16) | $(0.20) | to | $(0.15) | |||||||||||||||||
AFFO(a)(b) | $7.50 | to | $7.58 | $6.85 | to | $6.97 | |||||||||||||||||
Weighted-average common shares outstanding—diluted | 435 | 435 | |||||||||||||||||||||
COMPANY OVERVIEW | OUTLOOK | CONSOLIDATED FINANCIALS | CAPITALIZATION OVERVIEW | TOWERS SEGMENT | FIBER SEGMENT | APPENDIX |
(as of September 30, 2023; dollars in millions) | |||||
Total debt and other obligations (current and non-current) | $ | 22,730 | |||
Unamortized adjustments, net | 157 | ||||
Total face value of debt | 22,887 | ||||
Less: Ending cash, cash equivalents and restricted cash | 289 | ||||
Net Debt(a) | $ | 22,598 | |||
Adjusted EBITDA for the three months ended September 30, 2023(a) | $ | 1,047 | |||
Last quarter annualized Adjusted EBITDA(a) | 4,188 | ||||
Net debt to Last Quarter Annualized Adjusted EBITDA(a) | 5.4 | x |