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SBAC · Sba Communications

28 filings

10-K

SBAC 10-K Annual Reports

Sba Communications - 28 annual reports

Filing record · 2016–202610-K1110-Q328-K107

2025
Sba Communications Annual Report, Year Ended Dec 31, 2025
SBA Communications Corporation (SBAC) reported 2025 total revenues of $2.82 billion, up from $2.68 billion in 2024, with net income of $1.05 billion versus $748.7 million a year earlier. Site leasing revenue was $2.57 billion, and the company stated that its site leasing business contributed 97.9% of total segment operating profit in 2025. Domestic site leasing revenue was essentially flat at $1.87 billion, while international site leasing rose to $705.0 million, helped by the Millicom transaction, which added 7,110 towers. Adjusted EBITDA was $1.91 billion, compared with $1.89 billion in 2024. The filing shows net income boosted by a $208.4 million gain on the sale of Philippines, Colombia and Canada towers and $366.2 million of other income, net. The company faces near-term revenue headwinds. It expects churn of $132.0 million to $136.0 million of domestic cash site leasing revenue and $36.0 million to $40.0 million internationally in 2026, driven partly by Sprint and EchoStar. EchoStar defaulted on payments in December 2025, and the filing says that default has continued into 2026. Asset impairment and decommission costs rose to $184.2 million from $107.9 million. Total principal debt fell to $12.96 billion from $13.67 billion, and the company reported a shareholders' deficit of $4.85 billion. Capital allocation remained shareholder-oriented. SBAC repurchased $497.8 million of stock in 2025, paid $479.0 million in dividends, and declared a quarterly dividend of $1.25 per share in February 2026, up from $1.11. It had $1.1 billion remaining under its repurchase authorization at the filing date. Subsequent to year end, the company bought land rights for about 3,900 sites in Guatemala for $109.0 million, and it expects 2026 discretionary capital expenditures of $430.0 million to $450.0 million.
Feb 27, 2026
2024
Sba Communications Annual Report, Year Ended Dec 31, 2024
SBA Communications Corporation reported total revenues of $2.68 billion for the year ended December 31, 2024, essentially flat versus $2.71 billion in 2023, with site leasing revenue of $2.53 billion and site development revenue of $152.9 million. Site leasing generated 98.4% of total segment operating profit in 2024. Net income attributable to SBA Communications Corporation rose to $749.5 million from $501.8 million, driven in large part by a reduction in depreciation, accretion, and amortization of $446.8 million, which reflects the revision of tower useful lives from 15 to 30 years effective January 1, 2024 (a $411.5 million reduction in depreciation and amortization expense, or $3.45 per diluted share). Adjusted EBITDA was $1.89 billion, roughly unchanged year over year, and cash provided by operating activities was $1.33 billion, down from $1.54 billion. The balance sheet remains highly levered. Total principal debt rose to $13.67 billion from $12.39 billion, and the shareholders' deficit was $5.11 billion. The company refinanced its 2018 Term Loan with a $2.3 billion 2024 Term Loan, issued $2.05 billion of new Tower Securities, and repaid $620.3 million of Tower Securities. Capital returns in 2024 included $200.0 million of share repurchases and $424.2 million of dividends paid, with a $1.11 per share quarterly dividend declared in February 2025. The company also has a pending agreement to acquire over 7,000 sites in Central America from Millicom for approximately $975.0 million, with an estimated closing date of September 1, 2025, and has sold its Philippines towers and agreed to sell its Colombia towers. Key risks flagged in the filing include customer consolidation and churn, with expected churn of $115.0 million to $125.0 million of cash site leasing revenue from 2025 through 2028 related to the T-Mobile and Sprint consolidation, and approximately $27.0 million to $31.0 million of international churn expected in 2025. Customer concentration is significant, with T-Mobile, AT&T Wireless, and Verizon Wireless representing 30.5%, 20.6%, and 15.1% of 2024 total revenues, respectively. Foreign currency exposure is also material, as the Brazilian Real weakened 6.9% on average in 2024, and the company recorded a $156.8 million net-of-tax loss on intercompany loan remeasurement in 2024.
Feb 26, 2025
2023
Sba Communications Annual Report, Year Ended Dec 31, 2023
SBA Communications Corporation (SBAC) reported 2023 total revenues of $2.71 billion, up from $2.63 billion in 2022, with site leasing revenue of $2.52 billion and site development revenue of $194.6 million. Site leasing generated 97.4% of total segment operating profit in 2023. Net income attributable to SBA Communications Corporation was $501.8 million, compared with $461.4 million in 2022, and Adjusted EBITDA was $1.89 billion, up 6.9% on a constant currency basis from $1.77 billion. The company owned 39,618 towers at year-end 2023, including 17,487 domestic and 22,131 international sites, and averaged 1.9 tenants per tower. Domestic site leasing revenue grew 3.9% on a constant currency basis, while international site leasing grew 19.6%, and site development revenue fell 34.4% as carrier activity declined. Leverage remains high. Total principal debt was $12.39 billion at December 31, 2023, down from $12.95 billion, and the shareholders' deficit was $5.17 billion. Cash provided by operating activities was $1.54 billion. The company repurchased $100.0 million of stock and paid $370.0 million in dividends during 2023. Subsequent to year-end, it refinanced its 2018 Term Loan with a new $2.3 billion Term Loan maturing in 2031, raised its revolving credit facility commitments to $2.0 billion, and declared a quarterly dividend of $0.98 per share. The filing notes that churn from the T-Mobile/Sprint consolidation is expected to total $125.0 million to $150.0 million of cash site leasing revenue from 2024 through 2028, and that Oi S.A.'s judicial recovery in Brazil creates uncertainty around revenue and land rights for 2,113 towers. Leadership changed effective December 31, 2023, when Brendan T. Cavanagh became President and Chief Executive Officer and Marc Montagner became Chief Financial Officer. The company also stated that it is reviewing the useful lives of its towers and intangible assets and expects to conclude that review in the first quarter of 2024, which could extend asset lives and materially change future depreciation and amortization.
Feb 28, 2024
2022
Sba Communications Annual Report, Year Ended Dec 31, 2022
SBA Communications Corporation (SBAC) reported total revenues of $2,633,454 thousand for 2022, up from $2,308,834 thousand in 2021, with net income of $459,799 thousand compared with $237,624 thousand a year earlier. Site leasing generated 96.2% of total segment operating profit in 2022. Adjusted EBITDA, a non-GAAP measure, was $1,768,977 thousand versus $1,606,279 thousand in 2021. The company owned 39,311 towers at December 31, 2022, 17,416 domestic and 21,895 international, with an average of 1.9 tenants per tower structure. Its largest customers were T-Mobile (36.4% of 2022 total revenues), AT&T Wireless (19.6%) and Verizon Wireless (14.5%). The balance sheet carries substantial leverage. Total principal amount of indebtedness was $12,952,000 thousand at December 31, 2022, and shareholders' deficit was $(5,276,315) thousand. Cash provided by operating activities was $1,285,700 thousand. Cash used in investing activities was $1,393,654 thousand, including $489,888 thousand for tower acquisitions, and the company repurchased $431,666 thousand of common stock and paid $306,766 thousand in dividends during 2022. For 2023, the company expects discretionary cash capital expenditures of $283.0 million to $303.0 million and non-discretionary cash capital expenditures of $53.0 million to $63.0 million. Key risks flagged in the filing include customer consolidation, with churn from the T-Mobile and Sprint merger expected to total $140.0 million to $190.0 million of cash site leasing revenue through 2028, and rising interest rates. Variable-rate debt of about $3.0 billion, or 23.3% of total indebtedness, is exposed to rate increases, and the 2018 Term Loan must be transitioned away from LIBOR before June 30, 2023. The company also faces a Brazilian tax assessment with a reasonably possible loss range of zero to $89.7 million above amounts accrued.
Mar 1, 2023
2021
Sba Communications Annual Report, Year Ended Dec 31, 2021
SBA Communications Corporation (SBAC) reported 2021 total revenues of $2.31 billion, up from $2.08 billion in 2020, with net income of $237.6 million versus $24.0 million a year earlier. Site leasing generated 97.4% of total segment operating profit, and the company owned 34,177 towers at December 31, 2021, with 17,356 domestic and 16,821 international sites. Operating income rose to $782.5 million from $633.7 million, and cash provided by operating activities was $1.19 billion. Adjusted EBITDA, a non-GAAP measure defined in the filing, was $1.61 billion versus $1.49 billion in 2020. Customer concentration is significant: T-Mobile, AT&T and Verizon Wireless represented 36.2%, 22.2% and 14.7% of 2021 total revenues. Total principal debt rose to $12.40 billion from $11.18 billion, and shareholders' deficit was $(5.28) billion. Management noted that T-Mobile and Sprint consolidation is expected to cause churn of $140.0 million to $190.0 million of cash site leasing revenue over six years, and that Oi's Brazilian tower assets are being sold to other carriers, with about 1,568 of Oi's 7,525 leases overlapping with other providers. During 2021 the company acquired the exclusive right to lease 713 utility transmission structures from PG&E for $972.0 million, and it closed 1,445 Tanzanian towers in January 2022 for $176.1 million. Management expects 2022 discretionary cash capital expenditures of $525.0 million to $545.0 million, and the Board declared a quarterly dividend of $0.71 per share on February 27, 2022, with $586.4 million remaining under the share repurchase authorization.
Mar 1, 2022
2020
Sba Communications Annual Report, Year Ended Dec 31, 2020
SBA Communications Corporation (SBAC) reported full-year 2020 total revenues of $2.08 billion, up from $2.01 billion in 2019, with site leasing generating 98.4% of total segment operating profit. The company owned 32,923 towers at December 31, 2020 (16,546 domestic and 16,377 international, with 30% of global sites in Brazil), and averaged 1.8 tenants per tower. T-Mobile, AT&T Wireless and Verizon Wireless accounted for 34.5%, 24.1% and 14.1% of total 2020 revenues, respectively. Net income fell to $24.0 million from $147.3 million, mainly due to a $220.4 million loss on remeasurement of U.S. dollar intercompany loans and higher non-cash interest expense. Adjusted EBITDA, a non-GAAP measure, rose 9.0% to $1.49 billion. The balance sheet carries significant leverage: total principal indebtedness was $11.18 billion at year-end 2020 versus $10.41 billion a year earlier, and shareholders' deficit widened to $(4.82) billion. Cash provided by operating activities rose to $1.13 billion. The company repurchased $859.3 million of stock in 2020 and paid $207.7 million in dividends, and it declared a $0.58 per share dividend in February 2021. Subsequent to year-end, it closed the first tranche of the PG&E transaction for $954.0 million in cash and issued $1.5 billion of 3.125% Senior Notes due 2029. Management expects 2021 discretionary cash capital expenditures of $1,200.0 million to $1,220.0 million. Key risks flagged in the filing include wireless carrier consolidation (T-Mobile and Sprint merged in 2020, with lease non-renewals already beginning), the Oi restructuring in Brazil, foreign currency exposure, LIBOR transition, and REIT distribution requirements.
Feb 25, 2021
2019
Sba Communications Annual Report, Year Ended Dec 31, 2019
SBA Communications Corporation reported total revenues of $2.01 billion for 2019, up from $1.87 billion in 2018, and net income attributable to the company of $147.0 million, compared with $47.5 million a year earlier. Site leasing is the core business, contributing 97.7% of total segment operating profit for 2019. The company owned 32,403 towers at December 31, 2019, of which 16,401 were domestic and 16,002 were international. Adjusted EBITDA rose to $1.41 billion from $1.31 billion, and cash provided by operating activities reached $970.0 million, up from $850.6 million. The balance sheet remains highly leveraged. Total principal debt was $10.41 billion at year-end 2019, and total shareholders' deficit was $(3.67) billion. Management is returning cash to shareholders through a dividend that was initiated in 2019 (quarterly cash dividends of $0.37 per share were paid in 2019, and $0.465 per share was declared on February 20, 2020) and through share repurchases, which totaled $470.3 million for 2019 at an average price of $231.87 per share. The board had $624.3 million of repurchase authorization remaining as of the filing date. Customer concentration is significant: AT&T Wireless (23.8%), T-Mobile (18.2%), Sprint (16.9%) and Verizon Wireless (14.0%) together accounted for the majority of total revenues in 2019. The filing highlights the proposed T-Mobile/Sprint merger, which is expected to close in 2020 and could lead to non-renewal of overlapping leases. For 2020, the company guided to discretionary cash capital expenditures of $240.0 million to $260.0 million and non-discretionary capital expenditures of $37.0 million to $47.0 million.
Feb 24, 2020
2018
Sba Communications Annual Report, Year Ended Dec 31, 2018
SBA Communications Corporation (SBAC) reported total revenues of $1.87 billion for 2018, up from $1.73 billion in 2017, with site leasing revenue of $1.74 billion and site development revenue of $125.3 million. Net income fell to $47.5 million from $103.7 million, primarily due to foreign currency effects, including an $89.1 million loss on remeasurement of intercompany loans with a Brazilian subsidiary, higher interest expense, and a larger loss from debt extinguishment. Operating income rose to $544.2 million from $458.5 million, and Adjusted EBITDA increased to $1.31 billion from $1.20 billion. The company owned 29,578 towers as of December 31, 2018 (16,263 domestic and 13,315 international), and its site leasing business generated 98.0% of total segment operating profit. Cash provided by operating activities was $850.6 million, and total principal debt was $10.03 billion, against a shareholders' deficit of $3.38 billion. In April 2018 the company secured a new $2.4 billion term loan and in March 2018 issued $640.0 million of Tower Securities, and it repurchased $795.5 million of Class A common stock during the year. Management expects 2019 discretionary cash capital expenditures of $225.0 million to $245.0 million and states that cash on hand, Revolving Credit Facility capacity and operating cash flow will be sufficient to service debt over the next twelve months. Estimated total debt service for the 12 months ending December 31, 2019 is $1.34 billion. The company has never paid a dividend on common stock, and as a REIT it expects to use available NOLs to reduce its 2019 REIT distribution requirement.
Feb 28, 2019
2017
Sba Communications Annual Report, Year Ended Dec 31, 2017
SBA Communications Corporation (SBAC) reported that its site leasing business generated 98.7% of total segment operating profit in 2017. Total revenues rose to $1.73 billion in 2017 from $1.63 billion in 2016, with domestic site leasing revenue of $1.31 billion, international site leasing revenue of $314.8 million, and site development revenue of $104.5 million. Net income was $103.7 million, or $0.86 per diluted share, compared with $76.2 million in 2016. Adjusted EBITDA was $1.20 billion, up from $1.11 billion. The company owned 27,909 towers at year-end, of which 11,930 were international, and it had 1,205 executed but not yet commenced leases contractually providing about $9.2 million of annual revenue. The balance sheet carries significant leverage. Total principal indebtedness was $9.405 billion at December 31, 2017, up from $8.875 billion, and shareholders' deficit widened to $(2.60) billion. The company issued $750.0 million of 4.0% senior notes due 2022 and $760.0 million of 2017-1C Tower Securities during 2017, and it agreed in February 2018 to issue $640.0 million of 2018-1C Tower Securities to refinance the 2013-1C and 2013-1D securities. Cash from operating activities was $818.5 million. The company repurchased $850.0 million of Class A common stock during 2017, and the board authorized a new $1.0 billion repurchase plan on February 16, 2018. The company operates as a REIT, effective January 1, 2016, and has never paid a dividend on its common stock. Management states that future distributions depend on available net operating losses, and that $956.7 million of federal NOLs are attributable to the REIT. The 2017 Tax Cuts and Jobs Act produced a $52.4 million one-time transition tax inclusion and a $31.5 million reduction in deferred tax assets, both reported as provisional. Investors should weigh the company's concentration in four large wireless carriers, which together accounted for 72.0% of 2017 total revenues, and the Oi S.A. reorganization in Brazil.
Mar 1, 2018
2016
Sba Communications Annual Report, Year Ended Dec 31, 2016
SBA Communications Corporation (SBAC) reported total revenues of $1.63 billion for 2016, essentially flat compared with $1.64 billion in 2015, with site leasing revenue of $1.54 billion (up from $1.48 billion) and site development revenue declining to $95.1 million from $157.8 million. Site leasing generated 98.7% of total segment operating profit in 2016. Net income was $76.2 million, compared with a net loss of $175.7 million in 2015, and Adjusted EBITDA was $1.11 billion. The company owned 26,197 towers at December 31, 2016, of which 15,922 were domestic and 10,275 international, and it averaged 1.8 tenants per tower structure. The filing describes SBAC's intention to qualify as a REIT beginning with its taxable year ending December 31, 2016, and the merger with its predecessor effective January 13, 2017. Key risks highlighted include carrier consolidation, a heavy debt load (total principal of $8.875 billion against a shareholders' deficit of $1.996 billion), customer concentration (AT&T Wireless, T-Mobile, Sprint and Verizon Wireless), and the June 2016 judicial reorganization petition filed by Oi S.A., which led to a $16.5 million bad debt provision. Subsequent to year end, the board authorized a new $1.0 billion stock repurchase plan, and the company repriced its term loans on January 20, 2017.
Mar 1, 2017
2015
Sba Communications Annual Report, Year Ended Dec 31, 2015
SBA Communications Corporation (SBAC) reported total revenues of $1.64 billion for 2015, up from $1.53 billion in 2014, driven by site leasing revenue of $1.48 billion. Site leasing generated 96.8% of total segment operating profit in 2015. Domestic site leasing revenue rose to $1.24 billion and international site leasing revenue to $243.9 million, while site development revenue declined to $157.8 million. The company owned 25,465 towers as of December 31, 2015, 15,778 domestic and 9,687 international. The company posted a net loss of $175.7 million in 2015, compared with a net loss of $24.3 million in 2014. The increase was driven by a $178.9 million foreign exchange remeasurement loss on an intercompany loan, $94.8 million of asset impairment and decommission costs (including a $56.7 million impairment on fiber assets), and higher depreciation, accretion and amortization of $660.0 million. Adjusted EBITDA, a non-GAAP measure defined in the filing, rose to $1.09 billion from $998.8 million. Operating cash flow was $737.2 million, and shareholders' deficit widened to $1.71 billion from $660.8 million. Total principal indebtedness was $8.56 billion at year-end 2015, versus $7.87 billion a year earlier. The company completed $500.0 million of Secured Tower Revenue Securities and a $500.0 million 2015 Term Loan, and repurchased $300.1 million of stock during 2015. The company states it has never paid a dividend. For 2016 it intends to build 590 to 610 new towers and expects discretionary cash capital expenditures of $220.0 million to $240.0 million.
Feb 26, 2016
2014
Sba Communications Annual Report, Year Ended Dec 31, 2014
SBA Communications Corporation (SBAC) reported a net loss of $24.3 million for 2014, improved from a net loss of $55.9 million in 2013, while total revenues rose 17.0% to $1.53 billion. Site leasing revenue reached $1.36 billion, and the company ended the year with 24,292 towers, including 9,168 international towers across Brazil, Canada, Central America. Domestic site leasing generated 85.1% of site leasing revenue, and site leasing accounted for 96.3% of total segment operating profit. Adjusted EBITDA was $998.8 million, up from $797.2 million in 2013. The balance sheet carries substantial leverage. Total principal debt was $7.87 billion at December 31, 2014, against shareholders' deficit of $(660.8) million, compared with equity of $356.9 million a year earlier. Major 2014 financings included a $1.5 billion senior secured Term Loan, $750.0 million of 4.875% senior notes, and $1.54 billion of Secured Tower Revenue Securities. Cash provided by operating activities was $671.6 million, while cash used in investing activities was $1.76 billion, mainly for acquisitions. Cash and cash equivalents fell to $39.4 million at year-end. The company has never paid a dividend. The company expects to build between 575 and 595 new towers in 2015 and to grow its tower portfolio by 5-10%. It expects 2015 discretionary cash capital expenditures of $509.0 million to $529.0 million. Management stated that cash on hand, operating cash flow and revolver availability will be sufficient to service debt over the next twelve months. Subsequent to year-end, the Revolving Credit Facility was increased from $770.0 million to $1.0 billion and its maturity extended to February 5, 2020.
Mar 2, 2015
2013
Sba Communications Annual Report, Year Ended Dec 31, 2013
SBA Communications Corporation (SBAC) reported net loss attributable to the company of $55.9 million for 2013, narrowing from $181.0 million in 2012, while total revenues grew to $1.30 billion from $954.1 million. Site leasing revenue was $1.13 billion, or 86.8% of total revenues, and generated 96.2% of total segment operating profit. Adjusted EBITDA rose to $797.2 million from $587.9 million. The company owned 20,079 towers at December 31, 2013, had an average of 1.9 tenants per tower structure, and planned to build 400 to 420 new towers in 2014 and grow its tower portfolio by 10-15% during 2014. Growth was driven largely by acquisitions. The company acquired 2,502 towers in 2013 and paid cash acquisition capital expenditures of $686.7 million, including the Oi S.A. purchase of 2,113 towers in Brazil for $317.0 million. Cash provided by operating activities increased to $497.6 million. Total debt rose to $5.91 billion principal from $5.44 billion, and shareholders' equity fell to $357.0 million from $653.0 million. Subsequent events included a February 2014 $1.5 billion delayed-draw Term Loan, the proceeds of which repaid the 2011 Term Loan, the 2012-2 Term Loan and the Revolving Credit Facility. Investors should weigh the company's reliance on a few customers (Sprint 24.9%, AT&T Wireless 19.0%, T-Mobile 17.3% and Verizon Wireless 11.1% of 2013 total revenues), its high leverage, and the 4.0% Convertible Senior Notes due October 1, 2014 with a $499.9 million principal balance. The company has never paid a dividend, and it recorded a full valuation allowance against its net operating loss deferred tax assets.
Feb 27, 2014
2012
Sba Communications Annual Report, Year Ended Dec 31, 2012
SBA Communications Corporation (SBAC) reported that it is a leading independent owner and operator of wireless communications towers, with principal operations in the United States and its territories and additional towers in Canada, Central America and South America. Site leasing generated 88.7% of 2012 total revenues ($846.1 million of $954.1 million) and 97.4% of total segment operating profit. The company owned 17,491 tower sites at December 31, 2012, up from 10,524 a year earlier, largely due to the Mobilitie acquisition (2,281 towers, $1.1 billion total consideration) and the TowerCo II acquisition (3,256 towers, $1.2 billion in cash plus 4,588,840 shares), along with the purchase of 800 towers in Brazil. Total revenues rose 36.7% to $954.1 million, but the company remained unprofitable, with a 2012 net loss attributable to SBA of $181.0 million. The balance sheet expanded sharply as total debt grew to $5.44 billion in principal (from $3.51 billion) and total assets reached $6.60 billion. Shareholders' equity turned positive at $653.0 million from a deficit of $(11.3) million a year earlier. Adjusted EBITDA, a non-GAAP measure, was $587.9 million versus $444.9 million in 2011. Operating cash flow was $340.9 million, while investing outflows of $2.28 billion reflected acquisitions. The company's customer base is concentrated: Sprint (21.2%), AT&T (20.4%), T-Mobile (12.7%) and Verizon Wireless (12.7%) accounted for the stated shares of 2012 total revenues. Management plans to build 380 to 400 new towers in 2013 and grow the portfolio 5% to 10%, funded by operating cash flow, the Revolving Credit Facility and capacity under its debt agreements. The company disclosed that $468.8 million of 1.875% convertible notes mature May 1, 2013, and that it elected in February 2013 to settle that conversion obligation in cash. The company has never paid a dividend, and its 2012 debt service requirement for the next twelve months was $719.1 million.
Feb 27, 2013
2011
Sba Communications Annual Report, Year Ended Dec 31, 2011
SBA Communications Corporation (SBAC) reported a 2011 net loss attributable to the company of $126.5 million, compared with $194.7 million in 2010, while total revenues rose to $698.2 million from $626.6 million. The company is primarily an owner and operator of wireless communications towers, with site leasing contributing 88.3% of total revenues and 97.8% of total segment operating profit for 2011. The site leasing business is supported by long-term tenant leases with rent escalators averaging 3-4% per year. Major wireless carriers AT&T, Sprint, Verizon Wireless and T-Mobile together accounted for a large share of revenue, with AT&T at 23.8% and Sprint at 19.8% of total 2011 revenues. The balance sheet shows a deterioration in equity: shareholders' deficit was $(11.3) million at December 31, 2011, versus equity of $317.1 million a year earlier, as total debt rose to $3.35 billion from $2.83 billion. Adjusted EBITDA, a non-GAAP measure, was $444.9 million for 2011 versus $387.4 million in 2010. Cash provided by operating activities was $249.1 million. The company repurchased 5,917,940 shares for $225.1 million during 2011 and has $150.0 million remaining under its $300.0 million repurchase authorization. Looking ahead, the company announced on February 18, 2012 a purchase agreement with Mobilitie, LLC affiliates to acquire about 2,300 tower sites in the US and Central America plus nine DAS networks for $1.093 billion, consisting of $850 million in cash and 5.25 million Class A shares. The closing was scheduled for the second quarter of 2012, and the company plans to build between 415 and 435 new towers in 2012. The filing also notes the company is not profitable and expects to continue incurring losses.
Feb 27, 2012
2010
Sba Communications Annual Report, Year Ended Dec 31, 2010
SBA Communications Corporation, a leading independent owner and operator of wireless communications towers, reported net loss attributable to the company of $194.7 million for 2010, compared with $140.9 million in 2009, with total revenues of $626.6 million (up from $555.5 million). Site leasing generated $535.4 million of revenue and 97.5% of total segment operating profit in 2010, and the company owned 9,111 tower sites at December 31, 2010, up from 8,324. Adjusted EBITDA was $387.4 million, compared with $338.5 million in 2009. The company has never paid a dividend and expects continued losses, and it plans to build 390 to 410 new towers and grow its portfolio by 5% to 10% in 2011. Balance sheet leverage is significant: total principal indebtedness was $3.05 billion at year-end 2010, against shareholders' equity of $317.1 million, down from $599.9 million a year earlier. During 2010 the company issued $1.23 billion of Secured Tower Revenue Securities (4.254% Series 2010-1 and 5.101% Series 2010-2) and used the proceeds to repay the $938.6 million 2006 CMBS Certificates. Loss from extinguishment of debt was $49.1 million, and cash provided by operating activities was $201.2 million. Cash and cash equivalents fell to $64.3 million from $161.3 million. The filing also highlights customer concentration, with AT&T, Sprint, Verizon Wireless and T-Mobile accounting for 23.9%, 20.4%, 14.8% and 11.6% of 2010 total revenues, respectively. Management expects 2011 non-discretionary capital expenditures of $10.0 million to $14.0 million and discretionary capital expenditures of $230.0 million to $250.0 million, and states that cash on hand and operating cash flow will be sufficient to service debt over the next twelve months.
Feb 25, 2011
2009
Sba Communications Annual Report, Year Ended Dec 31, 2009
SBA Communications Corporation, a leading independent owner and operator of wireless communications towers, reported total revenues of $555.5 million for 2009, up from $475.0 million in 2008, with site leasing revenue of $477.0 million accounting for 85.9% of total revenues. Site leasing generated 97.4% of total segment operating profit in 2009. The company owned 8,324 tower sites at December 31, 2009, up from 7,854 a year earlier, and reported an average of 2.5 tenants per tower. Adjusted EBITDA rose to $338.5 million from $269.2 million. The company remained unprofitable, with a net loss attributable to SBA Communications Corporation of $140.9 million in 2009 (net loss of $141.1 million before noncontrolling interest), compared with $67.2 million in 2008. The loss was driven by higher interest expense, non-cash interest expense from convertible debt accounting, depreciation, accretion and amortization of $258.5 million, and net losses on debt extinguishment. Cash provided by operating activities was $219.6 million in 2009 (the cash flow statement in the financial statements shows $222.6 million). At year-end, total debt principal was $2.77 billion, with $940.6 million of 2006 CMBS Certificates due for anticipated repayment in November 2011. The key investor issue is refinancing risk. If the 2006 CMBS Certificates are not refinanced by November 2011, cash flow from 3,746 pledged towers (45% of the portfolio) would be trapped, and interest rates on the mortgage would step up. Management planned to grow the tower portfolio 5% to 10% in 2010 and build 120 to 140 new towers, and entered a $500 million 2010 Credit Facility in February 2010 after terminating its prior $320 million Senior Credit Facility.
Mar 1, 2010
2008
Sba Communications Annual Report, Year Ended Dec 31, 2008
SBA Communications Corporation (SBAC) reported a net loss of $46.8 million for 2008, improved from $77.9 million in 2007, while total revenues rose to $474.9 million from $408.2 million. Site leasing revenue of $395.5 million drove results, and site leasing contributed 97.6% of segment operating profit. Adjusted EBITDA was $269.2 million, up from $209.4 million. Operating cash flow was $173.7 million, and the company owned 7,854 towers at year-end, up from 6,220 at the end of 2007, largely through acquisitions including Optasite and Light Tower. The central investor concern is leverage and refinancing risk. Total indebtedness was $2.55 billion at December 31, 2008, against shareholders' equity of $491.8 million. About $2.0 billion matures or has an anticipated repayment date within three years, including the 2005 CMBS Certificates ($391.8 million, anticipated repayment November 2010) and the 2006 CMBS Certificates ($1.1 billion, anticipated repayment November 2011). The filing states that if the 2005 CMBS Certificates are not repaid by November 2010, substantially all cash flows from 4,969 towers will be trapped by the trustee. The filing also notes that the credit market crisis has adversely affected access to capital. The company has never paid a dividend and expects continued losses. Its largest customers are Sprint (23.2% of 2008 revenue), AT&T (21.3%) and Verizon Wireless (11.2%). Management plans to build 80 to 100 new towers in 2009 and has limited 2009 cash capital expenditures to $36 million to $59 million in total, a range it reports as $6.0 million to $9.0 million non-discretionary plus $30.0 million to $50.0 million discretionary.
Feb 27, 2009
2007
Sba Communications Annual Report, Year Ended Dec 31, 2007
SBA Communications Corporation reported a net loss of $77.9 million for 2007, narrowing from $133.4 million in 2006 and $94.7 million in 2005. Total revenues grew to $408.2 million in 2007 from $351.1 million in 2006, led by site leasing revenue of $321.8 million, up from $256.2 million. Operating income rose to $30.0 million from $19.5 million, and Adjusted EBITDA was $209.4 million versus $161.8 million. Site leasing generated approximately 96% of segment operating profit in the filing's discussion, and the company owned 6,220 towers at December 31, 2007. Cash provided by operating activities increased to $122.9 million from $73.7 million. Leverage increased substantially. Total indebtedness rose to $1.905 billion at December 31, 2007 from $1.555 billion a year earlier, while shareholders' equity fell to $337.4 million from $385.9 million. Debt consists of $1.555 billion of CMBS Certificates and $350.0 million of 0.375% Convertible Senior Notes due 2010. In January 2008 the company entered into a $285.0 million senior secured revolving credit facility, restricted to tower construction, tower acquisition and ground lease buyouts. The filing states that the company will not be able to repay its substantial indebtedness from operating cash flow alone and expects to rely on refinancing, asset sales or equity issuances at maturity. Customer concentration remains a key risk. Sprint accounted for 30.5% of total revenue and AT&T for 21.0% in 2007. The company also disclosed a $15.6 million other-than-temporary impairment on auction rate securities, leaving a fair value of $14.2 million on three remaining securities with par value of $29.8 million as of February 22, 2008. The filing describes plans to build 80 to 100 towers in 2008 and grow the tower portfolio 5% to 10% annually.
Feb 28, 2008
2006
Sba Communications Annual Report, Year Ended Dec 31, 2006
SBA Communications Corporation reported a net loss of $133.4 million for 2006, compared with $94.7 million in 2005, while revenue rose to $351.1 million from $260.0 million. Site leasing revenue reached $256.2 million, up from $161.3 million, and the company attributed much of the growth to the AAT Acquisition, which it completed in April 2006 for $634.0 million in cash plus 17,059,336 Class A shares. Operating income improved to $19.5 million from $4.2 million, but interest expense, loss on extinguishment of debt and amortization of financing fees pushed results further into the red. Management states it expects to keep incurring significant losses. Leverage rose sharply during the year. Total indebtedness was $1.555 billion at December 31, 2006, versus $784.4 million a year earlier, and shareholders' equity increased to $385.9 million from $81.4 million, largely from stock issued for acquisitions. Nearly all debt is secured CMBS certificates: $405.0 million of Initial CMBS Certificates due for anticipated repayment in November 2010 and $1.15 billion of Additional CMBS Certificates issued November 2006 with anticipated repayment in November 2011. The filing notes that failure to repay by these dates would significantly increase the interest rate, and that a debt service coverage ratio below 1.30 times triggers cash trapping. Concentration and tenant risk are material. Sprint Nextel and Cingular (now AT&T) accounted for 27.6% and 21.4% of total revenues in 2006. Under the risk factors, Cingular and former AT&T Wireless had leases on 290 towers with annualized contractual revenue of about $14.9 million, and Sprint Nextel had multiple leases on 555 towers with about $27.1 million. The company operated 5,551 towers at year-end 2006 and plans 80 to 100 new builds in 2007.
Mar 1, 2007
2005
Sba Communications Annual Report, Year Ended Dec 31, 2005
SBA Communications Corporation's 10-K for fiscal 2005 shows a company still reporting net losses but moving toward operating breakeven, with site leasing as its primary business. Total revenues rose to $259.99 million in 2005 from $231.48 million in 2004, and site leasing revenue reached $161.28 million (62.0% of revenues). Operating income from continuing operations was $4.20 million, compared with an operating loss of $23.88 million in 2004. Net loss narrowed to $94.71 million from $147.28 million, and Adjusted EBITDA increased to $95.32 million from $78.79 million. The balance sheet improved meaningfully during 2005. Shareholders' equity turned positive at $81.43 million, compared with a deficit of $88.67 million at December 31, 2004. Total debt declined to $784.39 million from $925.80 million, funded by two equity offerings (May and October 2005, $75.4 million and $151.5 million net) and a $405.0 million CMBS financing completed in November 2005. Cash and cash equivalents fell to $45.93 million, and operating cash flow was $49.77 million. The company also disclosed a $160.0 million revolving credit facility, with no amounts drawn at year-end and $39.1 million available. Its weighted average cost of debt decreased to 7.4% from 7.7%. The filing highlights material risks for investors. Leverage remains high, with total indebtedness of $784.39 million against shareholders' equity of $81.43 million. Revenue is concentrated, with Cingular at 25.5% and Sprint Nextel at 20.8% of 2005 total revenues. Consolidation among wireless carriers could lead to non-renewal of duplicate tower leases, and the company expects to continue incurring losses. Management plans to build 80 to 100 new towers in 2006 and to pursue additional acquisitions.
Mar 10, 2006
2004
Sba Communications Annual Report, Year Ended Dec 31, 2004
SBA Communications Corporation, a Boca Raton, Florida-based owner and operator of wireless communications towers in the Eastern third of the United States, reported in its Form 10-K for fiscal 2004 that it owned 3,060 towers in continuing operations with 7,257 tenants. Revenue rose to $231.5 million in 2004 from $192.1 million in 2003, driven by site leasing revenue of $144.0 million (62.2% of revenue, with 94.1% of gross profit contribution) and site development revenue of $87.5 million. The company is structured around site leasing, which the filing describes as its primary focus, while site development is a smaller, more volatile business concentrated in the Northeast and Southeast after the exit from Western services. The company remains financially stressed. It posted a net loss of $147.3 million in 2004 and a shareholders' deficit of $88.7 million, with total indebtedness of $925.8 million. Earnings were insufficient to cover fixed charges by $143.3 million, and the filing notes that the company would need about $46.0 million of operating cash flow to cover 2005 cash interest and principal, versus $93.2 million generated in 2004 before net cash interest. Cash rose to $69.6 million at year end, helped by $244.8 million in net proceeds from new 8 1/2% senior notes, used to retire most of the 10 1/4% senior notes. Operating cash flow was $14.2 million as reported. Investors should also note a restatement of 2003 and 2002 results to correct ground lease accounting and depreciation, and management's conclusion that internal control over financial reporting was not effective as of December 31, 2004, due to a material weakness. Ernst & Young issued an adverse opinion on internal control. The company plans to build 50 to 75 new towers in 2005, with 2005 capital expenditures expected at $10.0 million to $15.0 million for construction and $12.0 million to $13.0 million for acquisitions.
Mar 16, 2005
2003
Sba Communications Annual Report, Year Ended Dec 31, 2003
SBA Communications Corporation reported a net loss of $172.2 million for 2003, compared with $249.0 million in 2002, on total revenues of $212.1 million. Site leasing revenue rose to $127.8 million, up 11.1%, and accounted for 60.3% of total revenue and 93.1% of gross profit. Site development revenue fell to $84.2 million from $125.0 million as wireless carrier capital spending declined and competition intensified. Same-tower site leasing revenue grew 9.3% and same-tower site leasing gross profit grew 16.1% on 3,020 towers owned at December 31, 2002. The company had 6,847 tenants on its 3,032 towers at year-end 2003. The balance sheet remains highly leveraged. Total indebtedness was $866.2 million against shareholders' equity of $43.9 million at December 31, 2003, and earnings did not cover fixed charges by $162 million. Cash from operations before net cash interest was $56.7 million in 2003, and the company estimates it would need about $53.5 million for 2004 debt service on an as-adjusted basis. In January 2004 the company entered a new $400.0 million senior credit facility, used in part to repay the prior facility, repurchase 12% and 10¼% notes, and redeem the 12% notes on March 1, 2004. The company also issued $402.0 million of 9¾% senior discount notes due 2011 in December 2003, with net proceeds of approximately $267.1 million. The filing also discloses a material weakness identified by Ernst & Young in prior audits related to accounting for asset and business acquisitions and dispositions, which E&Y did not find in the 2003 audit. The company stated it did not have a permanent Chief Financial Officer as of the filing date and was searching for one. Management also expects additional net losses and material charges for debt extinguishment in 2004.
Mar 12, 2004
2002-A
Sba Communications Annual Report (Amendment), Year Ended Dec 31, 2002
This Amendment No. 1 on Form 10-K/A for the fiscal year ended December 31, 2002 of SBA Communications Corporation, filed April 30, 2003, supplies Part III information (Items 10 through 13) covering directors, executive officers, executive compensation, security ownership, and related transactions. The filing reports that the registrant's Class A common stock had an aggregate market value of approximately $61.0 million held by non-affiliates as of June 28, 2002, and that 45,670,043 Class A shares and 5,455,595 Class B shares were outstanding as of April 15, 2003. The closing price of Class A common stock on December 31, 2002 was $.41. The filing shows concentrated control and insider ownership. Founder Steven E. Bernstein, Chairman, holds all 5,455,595 Class B shares, which the filing states represent 54.2% of total voting power. All current directors and executive officers as a group are reported to beneficially own 15.2% of the Class A common stock and 56.4% of total voting power. Two outside holders are listed as 5% beneficial owners: Amalgamated Gadget, L.P. with 3,000,000 Class A shares and Richard B. Worley with 4,000,000 Class A shares. On compensation, the filing reports that Jeffrey A. Stoops, President and Chief Executive Officer, earned a 2002 salary of $414,804 and received a 180,000-share option grant at $12.94 per share. The company granted 2,444,610 options in 2002, of which 1,151,000 were issued under a stock option exchange program. Equity compensation plans approved by shareholders had 2,847,786 options outstanding at a weighted-average exercise price of $11.37 and 4,726,987 shares remaining available for future issuance. The filing also describes employment agreements that provide severance payments tied to salary and bonus, including three times annual base salary plus bonus for Mr. Stoops upon termination without cause or resignation for good reason.
Apr 30, 2003
2002
Sba Communications Annual Report, Year Ended Dec 31, 2002
SBA Communications Corporation (Boca Raton, Florida; Nasdaq: SBAC) reported a net loss of $273.2 million for 2002, up from $125.1 million in 2001, and its auditors, Ernst & Young, included a going-concern qualification in their opinion. The company expects to fall out of compliance with one or more financial covenants of its senior credit facility in 2003. Total revenues rose to $264.7 million from $242.9 million, driven by site leasing revenue of $139.6 million (up from $103.2 million), while site development revenue declined to $125.0 million from $139.7 million, and management expects that decline to continue in 2003. To address this, certain subsidiaries agreed on March 17, 2003 to sell 679 towers (or 801 if AAT Communications elects to buy an additional 122) to AAT Communications Corp. for gross proceeds of $160.0 million or $203.0 million, with closing expected in stages from May 9, 2003 through September 30, 2003. The company intends to use substantially all net proceeds to reduce debt, and the sale is conditioned on an amendment to the senior credit facility. Total debt was $1,024.3 million at December 31, 2002, against stockholders' equity of $185.5 million, and cash and equivalents were $61.1 million. For investors, the central issues are the covenant risk, the $189.4 million of debt reclassified as current, and whether the AAT Transaction and a credit facility amendment are completed. The company states that, if both occur, it expects to reach positive free cash flow, but it cannot assure that either will happen.
Mar 31, 2003
2001
Sba Communications Annual Report, Year Ended Dec 31, 2001
SBA Communications Corporation reported a net loss of $125.1 million for 2001 on total revenues of $242.9 million, up from $167.9 million in 2000. Site leasing revenue rose to $103.2 million from $52.0 million, and site development revenue rose to $139.7 million from $115.9 million. Operating loss widened to $(48.0) million, driven by $80.5 million of depreciation and amortization and a $24.4 million restructuring charge. EBITDA increased 88.0% to $60.2 million. The company owned or controlled 3,734 towers at December 31, 2001, and reported total debt of $845.5 million against shareholders' equity of $450.6 million. Cash flow was a key concern. Operating cash flow was $13.0 million, while investing activities used $530.3 million, mainly for tower acquisitions and construction. The company stated that it did not generate sufficient operating cash flow to fund its cash expenditures in 2001 and expected this to continue until early 2003. It relies on availability under its $300.0 million senior secured credit facility, of which $190.0 million was undrawn at year-end. In February 2002, management announced a sharp reduction in new tower development, suspended material new tower investment, and planned restructuring charges of $30.0 million to $65.0 million in 2002. The filing also flags leverage and governance risks. Cash interest obligations increase materially from September 2003, when interest begins on the 12% senior discount notes. Steven E. Bernstein controls approximately 57% of total voting power through Class B shares. The company adopted a shareholder rights plan in January 2002, and it expects the adoption of SFAS 142 to have a potentially material impact.
Mar 21, 2002
2000
Sba Communications Annual Report, Year Ended Dec 31, 2000
SBA Communications Corporation, a Florida-incorporated owner and operator of wireless communications towers, reported total revenues of $167.9 million for 2000, up 93.0% from $87.0 million in 1999. Site development revenue was $115.9 million and site leasing revenue was $52.0 million, which grew 96.8%. The company owned or controlled 2,390 towers at December 31, 2000, with 5,548 tenants, and had agreements to acquire 677 more towers for an aggregate purchase price of approximately $218.5 million. Net loss was $28.9 million for 2000, compared with $34.6 million in 1999, and the company states it has not achieved profitability and expects continued losses. EBITDA rose to $32.0 million from $9.6 million. The balance sheet shows total assets of $948.8 million, total debt of $284.3 million and shareholders' equity of $538.2 million at year-end 2000. Cash capital expenditures were $445.3 million in 2000, and the company plans at least $400.0 million to $450.0 million for 2001. In February 2001 it issued $500.0 million of 10 1/4% senior notes due 2009, with net proceeds of $484.2 million, and used the proceeds to repay its senior credit facility. The filing notes that earnings have been insufficient to cover fixed charges and that the company will need additional financing beyond 2001 if its planned capital expenditures exceed current estimates. Risk factors emphasized in the filing include substantial leverage, dependence on a small number of customers (Sprint at 10.7% of 2000 revenue), reliance on tenant demand for newly built towers that generate little cash flow at construction, and the conditional closing of the remaining TeleCorp PCS and US Unwired tower acquisitions. Steven E. Bernstein controls approximately 57% of total voting power.
Apr 2, 2001
1999
Sba Communications Annual Report, Year Ended Dec 31, 1999
SBA Communications Corporation's 10-K for fiscal 1999 describes a company transitioning from site development services toward owning and leasing wireless communications towers. As of December 31, 1999, the company owned or controlled 1,163 towers, had letters of intent or definitive agreements to acquire 94 more, and had non-binding mandates to build over 335 additional towers. Total revenues rose to $86.99 million in 1999 from $59.10 million in 1998, with site leasing revenue growing to $26.42 million from $12.40 million, while site development consulting revenue declined to $17.96 million from $27.45 million, and the company expects that consulting revenue to keep declining. The company remained unprofitable, with a 1999 net loss of $34.59 million (net loss available to common shareholders of $33.86 million, or $(1.77) per share), driven largely by depreciation and amortization of $16.56 million and non-cash amortization of original issue discount and debt issuance costs of $22.06 million. Adjusted EBITDA was $9.58 million, compared with $(2.38) million in 1998. Net cash used in investing activities was $208.87 million, primarily for tower acquisitions and capital expenditures, and cash capital expenditures for 1999 were $208.9 million. The company estimated 2000 cash capital expenditures of at least $200.0 million to $250.0 million. Financing was a central theme. Total indebtedness was $320.77 million at year-end 1999 against stockholders' equity of $48.58 million, and the company completed an IPO in June 1999 and a follow-on offering in February 2000 with net proceeds of approximately $229.3 million. Management stated that cash flow, offering proceeds and senior credit facility borrowings would fund planned capital expenditures through the middle of 2001, after which additional equity or debt financing may be needed. Major customers were concentrated, with Sprint PCS and BellSouth among the largest site development customers, and PageNet a significant site leasing customer.
Mar 30, 2000