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Mar 31, 2024

Lamar Q1 2024 Earnings Report

Lamar's first-quarter results exceeded expectations, driven by strong local sales and a return to same-store growth in digital, leading to raised full-year diluted AFFO guidance.

Key Takeaways

Lamar Advertising Company reported a 5.7% increase in net revenue to $498.2 million for the first quarter of 2024. Net income increased to $78.5 million, and Adjusted EBITDA rose by 7.1% to $211.9 million. The company raised its full-year diluted AFFO guidance to a range of $7.75 to $7.90 per share.

Net revenue increased by 5.7% compared to the first quarter of 2023, reaching $498.2 million.

Net income saw an increase to $78.5 million, up from $76.2 million in the same period last year.

Adjusted EBITDA increased by 7.1% to $211.9 million.

Diluted AFFO per share increased by 9.2% to $1.54.

Total Revenue
$498M
Previous year: $471M
+5.7%
EPS
$0.76
Previous year: $0.74
+2.7%
Adjusted EBITDA
$212M
Gross Profit
$247M
Previous year: $304M
-18.5%
Cash and Equivalents
$36.4M
Previous year: $33.5M
+8.7%
Free Cash Flow
$139M
Previous year: $113M
+22.4%
Total Assets
$6.53B
Previous year: $6.44B
+1.3%

Lamar

Lamar

Forward Guidance

Lamar Advertising Company updated its 2024 guidance, now expecting net income per diluted share to be between $4.95 and $5.01, with diluted AFFO per share between $7.75 and $7.90.

Positive Outlook

  • Net income per diluted share for fiscal year 2024 is expected to be between $4.95 and $5.01.
  • Diluted AFFO per share is projected to be between $7.75 and $7.90.
  • The guidance is based on reasonable assumptions and reflects management's expectations as of May 2, 2024.
  • Company anticipates continued growth and strong performance in the coming year.
  • Revised guidance reflects the positive momentum and strong first-quarter results.

Challenges Ahead

  • Actual results may differ materially from these estimates due to various factors.
  • Significant indebtedness could impact financial flexibility.
  • The state of the economy and financial markets could affect demand for advertising.
  • Changes in tax laws applicable to REITs or their interpretation could adversely affect the company.
  • The company's ability to renew expiring contracts at favorable rates is a risk.