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Jun 30, 2021

SBA Q2 2021 Earnings Report

SBA Communications Corporation's financial performance improved due to increased US wireless carrier activity, record domestic services revenue, and strategic international investments.

Key Takeaways

SBA Communications Corporation reported strong second-quarter results, driven by increased U.S. wireless carrier activity and strategic international investments. Total revenue increased by 13.5% to $575.5 million, and net income rose significantly to $152.7 million, or $1.37 per share. The company also updated its full-year 2021 outlook, reflecting confidence in continued growth and profitability.

Net income was $152.7 million, or $1.37 per share.

AFFO per share grew by 15.3% year-over-year.

Total revenue reached $575.5 million.

The company issued $1.165 billion of Tower Securities at a 1.631% interest rate.

Total Revenue
$576M
Previous year: $507M
+13.5%
EPS
$1.37
Previous year: $0.2
+585.0%
Tower Cash Flow Margin
81.9%
Previous year: 81.8%
+0.1%
Adjusted EBITDA Margin
70.7%
Previous year: 72.8%
-2.9%
AFFO
$294M
Gross Profit
$440M
Previous year: $396M
+11.1%
Cash and Equivalents
$274M
Previous year: $475M
-42.4%
Free Cash Flow
$322M
Previous year: $287M
+12.2%
Total Assets
$9.96B
Previous year: $9.39B
+6.1%

SBA

SBA

SBA Revenue by Segment

SBA Revenue by Geographic Location

Forward Guidance

The Company is updating its full year 2021 Outlook for anticipated results. The Outlook provided is based on a number of assumptions that the Company believes are reasonable at the time of this press release.

Positive Outlook

  • Site leasing revenue is expected to be between $2,080.0 million and $2,100.0 million.
  • Site development revenue is projected to be between $180.0 million and $200.0 million.
  • Total revenues are anticipated to range from $2,260.0 million to $2,300.0 million.
  • Adjusted EBITDA is forecasted to be between $1,586.0 million and $1,606.0 million.
  • AFFO per share is expected to be between $10.32 and $10.72.

Challenges Ahead

  • The outlook assumes acquisitions of only those communication sites under contract.
  • The outlook does not contemplate additional repurchases of the Company’s stock during 2021.
  • The outlook assumes specific average foreign currency exchange rates.
  • Net cash interest expense is expected to be between $351.0 million and $361.0 million.
  • Non-discretionary cash capital expenditures are projected to be between $35.0 million and $45.0 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income