SBA Communications (SBAC) Corporate presentation summary

Industry overview

• Wireless towers are essential infrastructure for mobile operators and technology providers, offering high revenue visibility and stable, recurring cash flows due to long-term, non-cancellable leases with annual escalators.

• The business model is capital-intensive with high operating leverage, low churn, and significant barriers to entry, supported by scalable fixed costs and strong pricing power.

• Mobile data traffic is projected to grow at a 13% CAGR in North America from 2025 to 2031, driven by 5G/6G deployment, AI-enabled applications, and new wireless use cases.

• Towers remain the backbone of wireless networks as bandwidth-intensive applications and emerging 6G use cases increase demand for network capacity and densification.

Company overview

• Operates over 46,000 communication sites across 13 markets, with a strong presence in the U.S., Central/South America, and Africa.

• FY2025 revenue reached $2.8B, with adjusted EBITDA of $1.9B and AFFO per share of $12.85; market cap is approximately $20.6B.

• Business segments include domestic site leasing (72.6% of leasing revenue), international site leasing (27.4%), and site development services (8.7% of total revenue).

• Customer base is anchored by major wireless carriers, with no single U.S. state representing more than 10% of the portfolio.

Strategic and operational highlights

• Growth strategy focuses on portfolio expansion through disciplined M&A, build-to-suit programs, and maximizing tower capacity with an average of 1.8 tenants per site.

• Strong land control, with 71% of towers on land owned or controlled for over 20 years and a 35-year average remaining ground lease term.

• Adjacent business opportunities include edge data centers, fiber aggregation, and private networks.