How did SBA perform in the fourth quarter of 2024?

Net income rose to $178.8 million, or $1.61 per diluted share, from $109.5 million, or $1.01 per share, in Q4 2023. Site leasing revenue increased to $646.3 million from $636.1 million, and Adjusted EBITDA was $489.3 million compared with $480.7 million. The company attributed the net income change in part to currency remeasurement effects on intercompany loans, which produced a $77.8 million after-tax loss in Q4 2024 versus a $28.3 million gain in Q4 2023.

What dividend did SBA declare?

The Board declared a quarterly cash dividend of $1.11 per share of Class A Common Stock, an increase of approximately 13% over the dividend paid in the fourth quarter. It is payable March 27, 2025 to shareholders of record at the close of business on March 13, 2025. Management said the annual dividend represents approximately 35% of AFFO in its 2025 outlook.

What is SBA's balance sheet and leverage position?

At December 31, 2024, SBA reported $13.7 billion of total debt, $10.7 billion of total secured debt, and $12.0 billion of Net Debt. The Net Debt to Annualized Adjusted EBITDA leverage ratio was 6.1x and the Net Secured Debt leverage ratio was 4.6x. The company said it had no remaining debt maturities in 2025 and no amount outstanding under its $2.0 billion Revolving Credit Facility as of the release date.

What portfolio changes occurred after year-end 2024?

SBA sold all of its towers and related assets in the Philippines on January 10, 2025. On February 20, 2025, it agreed to sell its Colombia towers, with closing expected by the end of the first quarter of 2025, subject to regulatory approvals. SBA also purchased or agreed to purchase 32 sites for $14.6 million in cash, expected to close by the end of the second quarter of 2025, and has over 7,000 sites under contract with Millicom.

SBAC 8-K: Earnings & Results

Q: What is SBA's full year 2025 outlook?

SBA guided to total revenues of $2,690.0 million to $2,735.0 million, site leasing revenue of $2,530.0 million to $2,555.0 million, Tower Cash Flow of $2,040.0 million to $2,065.0 million, Adjusted EBITDA of $1,885.0 million to $1,905.0 million, and AFFO of $1,345.0 million to $1,385.0 million, or $12.40 to $12.76 per share. The outlook assumes the Millicom acquisition closes September 1, 2025 and excludes additional stock repurchases or new debt financings.

01—Abstract

Summary

Summary of the 8-K filed February 24, 2025. Cited figures are marked; the original filing is the authoritative source.

SBA Communications Corporation reported fourth quarter 2024 results on February 24, 2025, with net income of $178.8 million^a, or $1.61 per share, compared with $109.5 million, or $1.01 per share, in the prior-year quarter.

Site leasing revenue was $646.3 million^b, up from $636.1 million, and Adjusted EBITDA was $489.3 million. AFFO per share was $3.47, and the company stated its Net Debt to Annualized Adjusted EBITDA leverage ratio of 6.1x was the lowest in its history. Management cited continued US carrier activity, with the highest year-end backlogs of the year for both leasing and services.

The company also issued initial full year 2025 guidance, projecting site leasing revenue of $2,530.0 million to $2,555.0 million^c, Adjusted EBITDA of $1,885.0 million to $1,905.0 million, and AFFO of $1,345.0 million to $1,385.0 million, or $12.40 to $12.76 per share. The outlook assumes the Millicom acquisition closes on an estimated date of September 1, 2025, and it excludes any additional stock repurchases or new debt financings. The company also declared a quarterly dividend of $1.11 per share, an increase of approximately 13% over the prior dividend, payable March 27, 2025.

Management stated the annual dividend represents approximately 35% of 2025 outlook AFFO. Subsequent to year-end, SBA sold its Philippines towers on January 10, 2025, and entered into an agreement on February 20, 2025 to sell its Colombia towers, expected to close by the end of the first quarter of 2025. At year-end the company reported $13.7 billion^d of total debt and $12.0 billion of Net Debt, with no amount outstanding under its $2.0 billion Revolving Credit Facility as of the release date, and it noted no remaining debt maturities in 2025.

02—Key points

Key Highlights

Q4 2024 net income of $178.8 million ($1.61 per share) versus $109.5 million ($1.01 per share) a year earlier; the filing notes net income included a $77.8 million after-tax loss on currency remeasurement of intercompany loans.
Q4 2024 site leasing revenue of $646.3 million, up from $636.1 million; Adjusted EBITDA of $489.3 million; AFFO per share of $3.47 versus $3.37.
Net Debt to Annualized Adjusted EBITDA leverage ratio of 6.1x, described as the lowest in company history, with no remaining debt maturities in 2025.
Initial full year 2025 guidance: site leasing revenue of $2,530.0 million to $2,555.0 million, Adjusted EBITDA of $1,885.0 million to $1,905.0 million, and AFFO per share of $12.40 to $12.76.
Quarterly dividend increased to $1.11 per share, approximately 13% above the prior quarter's dividend, payable March 27, 2025; management says it equals about 35% of 2025 outlook AFFO.
Portfolio exits: Philippines towers sold January 10, 2025, and an agreement to sell Colombia towers was signed February 20, 2025, with closing expected by the end of Q1 2025.
Pending Millicom acquisition, with over 7,000 sites under contract and an estimated closing date of September 1, 2025 assumed in guidance.

03—Questions

Frequently Asked Questions

How did SBA perform in the fourth quarter of 2024?
Net income rose to $178.8 million, or $1.61 per diluted share, from $109.5 million, or $1.01 per share, in Q4 2023. Site leasing revenue increased to $646.3 million from $636.1 million, and Adjusted EBITDA was $489.3 million compared with $480.7 million. The company attributed the net income change in part to currency remeasurement effects on intercompany loans, which produced a $77.8 million after-tax loss in Q4 2024 versus a $28.3 million gain in Q4 2023.
What is SBA's full year 2025 outlook?
SBA guided to total revenues of $2,690.0 million to $2,735.0 million, site leasing revenue of $2,530.0 million to $2,555.0 million, Tower Cash Flow of $2,040.0 million to $2,065.0 million, Adjusted EBITDA of $1,885.0 million to $1,905.0 million, and AFFO of $1,345.0 million to $1,385.0 million, or $12.40 to $12.76 per share. The outlook assumes the Millicom acquisition closes September 1, 2025 and excludes additional stock repurchases or new debt financings.
What dividend did SBA declare?
The Board declared a quarterly cash dividend of $1.11 per share of Class A Common Stock, an increase of approximately 13% over the dividend paid in the fourth quarter. It is payable March 27, 2025 to shareholders of record at the close of business on March 13, 2025. Management said the annual dividend represents approximately 35% of AFFO in its 2025 outlook.
What is SBA's balance sheet and leverage position?
At December 31, 2024, SBA reported $13.7 billion of total debt, $10.7 billion of total secured debt, and $12.0 billion of Net Debt. The Net Debt to Annualized Adjusted EBITDA leverage ratio was 6.1x and the Net Secured Debt leverage ratio was 4.6x. The company said it had no remaining debt maturities in 2025 and no amount outstanding under its $2.0 billion Revolving Credit Facility as of the release date.
What portfolio changes occurred after year-end 2024?
SBA sold all of its towers and related assets in the Philippines on January 10, 2025. On February 20, 2025, it agreed to sell its Colombia towers, with closing expected by the end of the first quarter of 2025, subject to regulatory approvals. SBA also purchased or agreed to purchase 32 sites for $14.6 million in cash, expected to close by the end of the second quarter of 2025, and has over 7,000 sites under contract with Millicom.

04—Continue

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