SBA Communications (SBAC) Q2 2025 earnings summary

Executive summary

• Second quarter revenue rose 7.0% year-over-year to $699.0 million, with net income up 41.5% to $225.7 million ($2.09 per share), driven by strong site development, stable site leasing, and early Millicom site integration.

• Adjusted EBITDA for Q2 2025 was $475.5 million, up 2.9% year-over-year on a constant currency basis, and AFFO per share was $3.17, down 3.6% year-over-year.

• Portfolio expanded with the acquisition of 4,673 towers (mainly from Millicom), while operations in the Philippines and Colombia were exited and a definitive agreement was signed to sell Canadian tower assets.

• S&P upgraded the corporate credit rating to BBB investment grade, enhancing access to investment-grade debt markets.

• Share repurchases and dividends remained key capital priorities, with 799,000 shares repurchased for $172 million and a quarterly dividend of $1.11 per share declared.

Financial highlights

• Q2 2025 site leasing revenue grew 1.4% domestically and 4.0% internationally (constant currency); site development revenue nearly doubled to $67.2 million.

• Adjusted EBITDA for Q2 2025 was $475.5 million, with a margin of 68.1%; AFFO was $342.1 million, and Tower Cash Flow Margin was 81.0%.

• Net income per diluted share was $2.09 for Q2 2025, up from $1.51 in Q2 2024.

• Cash and cash equivalents at June 30, 2025, were $275.3 million, with total assets of $10.8 billion.

• Dividend payout for the first half of 2025 was $2.22 per share, totaling $241.7 million.

Outlook and guidance

• Full-year 2025 revenue outlook raised to $2.78–$2.83 billion, with AFFO per share guidance of $12.65–$13.02 and Adjusted EBITDA expected at $1.91–$1.93 billion.

• Core site leasing revenue in both domestic and international segments is expected to increase over 2024 levels on a currency-neutral basis.

• Guidance assumes closing of remaining Millicom sites and no impact from Canadian asset sale.

• Discretionary capital expenditures for 2025 are projected at $1.26–$1.28 billion.

• Backlog remains healthy, supporting positive momentum into 2026.