SBA Communications (SBAC) Q4 2025 earnings summary

Executive summary

• Fourth quarter 2025 results were solid, with net income of $370.4 million ($3.47 per share), AFFO per share of $3.19, and a 13% dividend increase to $1.25 per share, despite higher bad debt expenses from EchoStar.

• Consolidated site leasing revenue for 2025 was $2,571M, up from $2,527M in 2024, with operating profit margin stable at 80.9%.

• Domestic core leasing revenue reached $1,866M in 2025, with an operating profit margin of 85.1%; international core leasing revenue was $705M at 69.9%.

• Net income for 2025 was $1.05 billion, more than doubling year-over-year, driven by a $226.3 million gain on the sale of Canadian operations.

• Significant capital was deployed for share buybacks, totaling $500 million for 2.5 million shares in 2025.

Financial highlights

• FFO per share for Q4 2025 was $3.19; AFFO per share for full year 2025 was $11.81.

• Adjusted EBITDA for 2025 was $1,912M, with a margin of 68.1%; Q4 2025 Adjusted EBITDA was $486.0 million.

• Tower Cash Flow for 2025 was $2,068M, with a margin of 80.5%.

• Cash dividend per share was $1.11 in Q4 2025, up 13% from Q4 2024; Q1 2026 dividend set at $1.25 per share.

• Leverage ratio at year-end 2025 was 6.4x, with net debt of $12.5B.

Outlook and guidance

• 2026 site leasing revenue expected between $2.625B and $2.650B; total revenues $2.815–$2.860B.

• AFFO projected at $1.26–$1.31B ($11.84–$12.29 per share); Adjusted EBITDA forecasted at $1.91–$1.93B.

• 2026 domestic outlook assumes similar new revenue growth from carrier leasing as 2025; Sprint churn expected at $55–$56M in 2026, less than $20M in 2027 and beyond.

• International outlook includes full-year contribution from Millicom sites and $19–$21M in new leases/abandonments; churn expected at $36–$40M, with $14M from Oi wireline ending after 2026.

• Guidance excludes all contracted revenue from EchoStar due to ongoing dispute and non-payment; no further share repurchases or acquisitions assumed beyond those under contract.