SBA Communications shares edge lower on Q2 earnings miss

Published 04/08/2025, 21:36
 SBA Communications shares edge lower on Q2 earnings miss

BOCA RATON - SBA Communications Corporation (NASDAQ:SBAC) reported second quarter earnings that missed analyst expectations despite revenue that exceeded forecasts, as the tower operator continued to see strong domestic leasing activity.

The company reported earnings per share of $2.09 for the quarter ended June 30, 2025, falling short of analyst estimates of $2.11. However, revenue came in at $698.98 million, significantly above the consensus estimate of $670.33 million. Following the results, SBA (LON:SBA) shares fell 1.2% in trading.

During the quarter, SBA closed on 4,323 sites from its previously announced deal with Millicom, several months ahead of schedule. The company also repurchased 799,000 shares during and after the quarter.

"Domestic activity remained very strong in the second quarter as our carrier customers continued to invest meaningfully in their wireless networks," said Brendan Cavanagh, President and Chief Executive Officer. "New U.S. leasing business signed up during the quarter was ahead of our expectations and benefitted from continued high levels of new colocations."

The company noted that its company-wide total of new colocations executed during the quarter was the highest in nearly three years, with construction volumes continuing to grow sequentially over the first quarter.

SBA also announced it has entered into an agreement to sell all of its Canadian tower assets, a move the company says will be immediately accretive to AFFO (Adjusted Funds From Operations) per share upon closing.

The company’s Board of Directors declared a quarterly cash dividend of $1.11 per share, payable September 18, 2025, to shareholders of record as of August 21, 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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