Outfront Media (OUT) investor relations material

Executive summary

• Q3 2025 revenues rose to $468 million, up 3.5% year-over-year, driven by strong transit segment growth, especially in NYC, while billboard revenues declined due to the exit of major contracts.

• Net income increased 48.3% to $51.3 million, and Adjusted OIBDA grew 17.2% to $137.2 million, reflecting improved operational efficiency.

• AFFO increased 24% to $100.3 million, and guidance for full-year AFFO was raised to high single-digit growth.

• Digital transit revenues rose over 50%, with digital revenues overall representing 35.4% of total revenues and growing over 12%.

• A $0.30 per share quarterly dividend was declared, and management expects continued business momentum into Q4 2025.

Financial highlights

• Billboard revenues declined 2.2% year-over-year to $352.8 million, but would have been up over 1% excluding exited contracts.

• Transit revenues surged 24% to $112.4 million, with digital transit up over 50% year-over-year.

• Adjusted OIBDA margin for Q3 2025 was 29.3% (Billboard: 39.5%, Transit: 14.0%).

• Operating expenses decreased 1% to $230.7 million, and SG&A expenses fell 3.2% to $105.2 million.

• Net interest expense was $37 million, with a weighted average cost of debt at 5.4%.

Outlook and guidance

• Q4 revenue growth is expected to slightly exceed Q3, with consolidated revenues up low to mid-single digits and mid-teens growth in transit.

• Full-year 2025 AFFO guidance was raised to high single-digit growth, with maintenance CAPEX of $30–$35 million and interest expense of $140–$145 million.

• Full-year 2025 capital expenditures are expected to be approximately $85 million, focused on digital displays and technology.

• Management anticipates continued cost savings from restructuring, though some may be offset by investments in strategic initiatives.

• Annual MTA equipment deployment costs projected at $20–25 million in 2025 and $30–40 million annually thereafter.