SBA Communications (SBAC) 29 Apr 192019 Q1 Earnings call transcript

Ladies and gentlemen, thank you for standing by and welcome to the SBA First Quarter Results Call. [Operator Instructions] And as a reminder the conference is being recorded. And I will now turn the call over to our host Vice President of Finance, Mark DeRussy. Please go ahead Sir.

Good evening, and thank you for joining us for SBA's first quarter 2019 earnings conference call.

are Brendan our Officer. Cavanagh, today Executive and me and Officer; our with Jeff President Stoops, Chief Here Chief Financial

of filings, limited future from will forward-looking, we today's cause press XXXX the our this in In material Some is our our risks and call may SEC and discuss beyond. differ including, detail any expectations. results to, on not to release guidance we for but information that

have of today, to April Our no statements we we obligation any and make. are statement forward-looking as update XX, may

the and Brendan results. addition, key and Relations Investor will In to quarter items our is to comments include that, landing our With regarding website. first on data information metrics. non-GAAP can turn comment of page financial reconciliation of financial it measures found our over in which supplemental other our The be on I'll these operating package, other located

evening. with first businesses. leasing Good site $XXX.X Mark. $XXX.X and were We services revenues start Total very and solid cash and million both were leasing million. revenues in the for operating Thanks, results leasing strong the our a year quarter GAAP had site to financial

over same-tower including X.X were X%, first growth on release, iDEN over churn. impact Domestic provided to which first churn. to generally cash X.X% Clearwire, same-tower, same-tower basis of of is growth year leasing and first of revenue revenue basis the comparisons. net including with a Foreign first quarter, a continues the basis XXXX exchange revenue our basis still large headwind our cash to currency activity leasing domestic a however in we a was increase leasing for modestly on for operational strong with a climbing year quarter last the in gross was On growth Same-tower X.X% recurring gross cash the solid terminations leasing the on quarter. gross A during results. ago representing the line over operational new Metro/Leap, the rates continues constant up be impacting basis estimates to domestic X.X% quarter quarter, our of calculated our quarter only X.X% fourth highest X.X% of in recurring very earnings again Domestic related of growth first previously which was leasing year. quarter They years and reflecting on point on was revenues portion a signed the its last activity which recurring were

of from newly about favor we amendments leases. shift quarter, domestic saw from and leasing amendments in new bit a of back with coming a This signed XX% up XX% revenue

that The contributions carriers. total We quarter. signed revenue of continue XX% each to from was big domestic the see the leasing four four carriers of incremental during up represented big

had again contribution active also agreements. our continues a lease who We domestic leasing to be to executing operational nice DISH, activity from new

Internationally, largest to our on again basis. us we year leasing tower executed growth X.X%, currency growth churn contributors. have quarter in While from We of was domestic a giving the on continue same contributions organic basis. constant one a of another and our cash solid Oi, being XX.X% of Brazil a continues with business quarter, same-tower Brazil gross Claro, X.X% internationally the constant remain Brazil, Vivo, XX.X% to in on we Gross lot revenue In active, of leasing remainder for currency restock as itself TIM. confidence new a including or customers solid backlog basis, had the the was

leasing denominated non excluding of revenues representing U.S. dollars. with cash with revenue expenses. leasing was from all revenues consolidated expectations. Brazil majority The revenue, XX.X% was the dollar U.S. Clearwire during quarter, denominated Brazil, of see consistent With XX.X% quarter site and revenue During site with we first of to leases the first cash regard churn from Leap in quarter and from our churn, to Metro, X.X% site pass-through leasing cash continue of

$X Leap, we recurring quarter, incurred of call off of same from reported results revenue annual approximately XXXX. annualized the X.X%. over first run in our million tenants cash certain churn three of The other $XXX.X our that for $X was earnings As annual million. Also two was churn of leases first basis ultimately Tower we from from an Clearwire years. with will flow and leases. churn million legacy churn the mentioned Domestic approximately to next rate the as which quarter-end, quarters all last on have in iDEN-related expect we on impact the fourth same the quarter of tower affect tower quarter first for Metro,

expenses. was tower quarter margin industry Our of flow margin flow Adjusted the to in leading increased the was domestic to cash XX% XX.X% in tower $XXX.X reimbursable quarter. cash excluding increased first the EBITDA impact and International million. pass-through XX.X%

in period. over the EBITDA adjusted in of driving almost XXXX services businesses. in quarter strong quarter and gross the Our both a quarter first Services again driven first services as were were the much revenues leasing million, $XX.X by our performances results twice year profit up ago as XX.X%

year larger the margin the Our contribution business. quarter, was XX.X% from adjusted EBITDA our period services same as earlier the in notwithstanding the

XX% or expenses, attributable of first first the pass-through the from was was of first over $XXX.X revenues AFFO currency quarter. our $X.XX, a of tower on XXXX share adjusted an million. constant basis. the business EBITDA our margin of to quarter Approximately in quarter was XX.X% XX.X%. EBITDA in adjusted per impact increase total AFFO leasing the was XX.X% Excluding

court, of Oi. for the as approved which debt we Net a general, to connection million, reorganization doubtful within to process, During million, accounts. we allowance received BRL first of amount recovery incurred SBA offset bankruptcy costs our recovery owed Oi XX.X which We plan with payment by accordance during the resulted was in from selling, of reported a in administrative recovery this U.S. dollar partial expense obligations this a bad expenses. quarter and of with the represents in the partial $X.X quarter the Brazilian pre-petition an

recovery positively $X.X the by for share As made AFFO impacted Oi calls by years. three payments to plan over a result, EBITDA $X.XX. by and per of adjusted be AFFO million additional pre-petition The and reorganization next this receivables

We during received. will record under payments these payments plan similar in a additional as are this No they manner are due XXXX.

acquiring tower and added the internationally. During expanding XX million sites invest we portfolio, continued $XX.X the first located communication for quarter, sites in Most to sites. of building were our XX

the anticipate sites As of today, we aggregate of by closing end the third quarter $XXX.X million. an have for acquisition price XXX and additional of contract at under on

to under both sites, land continued the in which financial also We benefits. invest provides our strategic and

our and press outlook anticipate ground under we inorganic coming by changes and Brazil. of life assumptions to aggregate versus We the a rental in of for During The than outlook approximately our million in commencements XX years, and to average leases. adjusted in the changes results in updated these release, XX% timing the million, spent buy amendments included leases $X.X we higher across approximately primarily flow year, the a an the quarter, and extend our our for quarter, leasing due in Increases the AFFO $XX.X is cash ground years. At primarily due of foreign land including increases incremental site We’ve by terms. outlook million. by lease today's revenue under options leasing impacted underneath earnings control in the of full we organic The our owned activity of XX by our for the and partially land million EBITDA site easements our end negatively growth In and our tower large negative growth. remaining currency increased to remainder is $X.X or to result both currency more leasing part of concentration from assumptions increase board. in rate $X are XXXX. anticipated renewal for controlled towers organic being earlier of leasing new year as average offset

and due healthy strong incremental results our our We contributions business backlogs. also our anticipate services our QX to to performance from

our our CapEx, still anticipated for has slowdown interest cash expense of net also by XXXX the half results due better for expectations. Sprint/T-Mobile improved higher slightly to been services in the offset contemplates guidance outlook and nondiscretionary However, the year in AFFO transaction. of balance year full a second The tax

has year increases influenced prices. in negatively by Finally, been estimated a AFFO impacted weighted share per assumed million, current also and assumption in shares number $X.XX, share due for which to our change of diluted by average outlook is of XXX.X part for future about in our our common the

and position rest an sheet. who things with are has We optimistic over update XXXX. and about started year Mark, of the the are provide very will our I'll now on liquidity turn pleased to how balance

net Thank was debt, of SBA of Xx range you, debt-to-annualized leverage adjusted our $X.X to end Xx, of ratio EBITDA low the ended with our X.Xx. Brendan. billion net at targeted quarter first the and

quarter is is debt our four expense first EBITDA X.X%, interest average coverage and weighted our cash outstanding X.Xx. ratio cash approximately Our interest to was adjusted net coupon of average net of weighted maturity The years.

today, committed million As had under $XX we billion of revolver. outstanding $X.XX our

a the four-year outstanding during Term X.XX% entered swap, B. on expense we As our interest interest effectively earnings into fixing approximately the last XXXX on our $X.X quarter, half first billion Loan of mentioned call, at rate

our The integral XX% outstanding still not of As company part since fixed. debt any repurchase are an this the strategy. our however, of last approximately transaction, common repurchases, stock a Stock call. in result earnings of our months two our of nonrevolver shares did is

we now company's our at call $XXX.X XXXX, outstanding authorization which is I'll The As have repurchase March XX, turn With are XXXX. March today, shares billion that, at $XXX.X from under X.X% remaining down the of to million, stock over $XXX.X million of plan. Jeff. million $X XX,

Thanks, evening, everyone. good Mark, and

quarter have all metrics. We across as expectations about straightforward simple, financial we was first a exceeded could and hoped solid our Our for.

another operational to business services continued very again activity, strong We and see quarter. had our healthy, leasing

earnings only the it we has has last happened, call, for like two XXXX. clarity improved of been lot around since a feel our remainder particularly While months

are over wireless carriers continued saw amendment activity our were technology in U.S. capacity-related to to highest in year. major in able quarter the quarter contribution quarterly particular into outlook. new full XXXX. to the pushing of increases operational our varying and increase upgrades, degrees business active the we the strong result, a a the during of four with year first All XXXX As half leasing second Domestically, we

DISH We Phase remains also saw continued busy build-out. from X their with who contributions network

remain up and revenue had during giving Brazil. continued QX once steady contractual us The leasing contributions all our confidence leasing quarter strong, steady with across lease-up of results very by also Our in signed again in beyond. to we Similar solid Internationally, leases about balanced application backlogs had new markets, led upgrades. in between it XX% quarter from wireless last from be four builds solid we to XX% major this amendments, in quarter, very and our all contributions markets Brazil. though from and coverage international came carriers continues another technology

the Brazil increased currency, but weaken would of more. for bit, target Brendan on have currency growth our remain again mentioned the been this the to operationally, year outlook Although, once little has a strong earlier, or, we in as weakening XXXX continued for even

We all about our continue markets. to optimistic that opportunities exist of throughout the be international

During on we capital no capital in amounts spent discretionary months and two new the of limited first on call. our the share last quarter, earnings repurchases since asset additions

do our quickly range in As through quickly organically at capital the how This in delever leverage end investment we XXXX. and We of drop flexibility leverage demonstrates our target within can of dropped remainder a result, quarter leverage the structure. low to to our one increase we that saw the expect exists X.Xx.

to but explore our our growing markets, on disciplined growing we to acquisitions portfolio We, new year this our XX% course, regularly through opportunities of committed X% still existing portfolio builds. in markets. are other throughout also focus We and

been very focus are tower believe we be avoiding those of value good this, to We on that and and our has shareholder Our do as key to always and at continues a accretive finding will to continue not. create frankly, component opportunities it maintain we strategy.

our part In addition, also of an important proposition. remain value will repurchases stock

did the stock around months. and repurchases in not of last have the look repurchases any been repurchase we we two in We shares any not dislocations; so have opportunistic market typically did for always

both For shares our of the right mix repurchase share portfolio changed. will and quality desire throughout a additions confident I'm that repurchases circumstances to under we hasn't XXXX. have nice

Our greatest continues be our capital one of structure assets. to

access markets. incremental of financing significant liquidity to capital a and tremendous diverse across sizable We set have

drive shareholder Our capital affords our to a structure variety AFFO per share us use flexibility to in great ways. industry-leading resources and value of

potential but tower material In and about for today, business pursue businesses. investments addition business year, we XX a the to operationally we high XXXX initiatives we This are explore in public to not are repurchases, share to to related These years in years we currently exploring. a opportunities initiatives our excited anniversaries: new good continue very at the are existing XX celebrate a level. two We're are start company. off performing as and and and

important striking contributions Laurie, I'd in are like of within the to for what customers $X with and that, about our billion holds milestones: distance We XX,XXX and ready our excited future two revenue. for their thank very questions. we to sites And for employees SBA. are now success. I'm our

[Operator first question go Please of line with Stanley. Instructions] Our the Flannery Simon from ahead. Morgan

you in strength, could it a if color into to on the or If leverage but very X.X provide buybacks. little Great, the down more potentially have X you you the didn't this quarter? would lot a bit Where the slowing your that balance want it about strong, do that draw Thanks opportunity much. you line range? down the on Thanks. sheet do thanks was M&A, more be and drop And the services the behind prepared keep leverage? for strength just then commentary there, to to would Or high-Xs? talked let to buybacks you an on very you what

ideally, range, of for is just the to because do do We've frankly. spending in to continue leverage. not and to have believe it either. keep sake just the money repurchases for X.Xx implemented repurchase be that kind the money implemented to opportunistic had want that to program we yet had that will we of to us that be stock afforded but We're mechanical be the haven't we'd want by we don't would we to maintaining opportunity Well, sake what market. always a around stock the like hesitant do Xx And spend to that, of to Simon,

noted do including but on In Sprint, as the work said the and of transaction. services to amount as release and we in business, Sprint/T-Mobile one position take carriers, a we for comments, terms press fair his the we of for Brendan all a in the – work of had the

So June while XX. least side, and work no approved, quarter, that the the of services to or Sprint continue to there expect that lot on up position respect a as to right taking second we're the through with end do at is rather, more of the Sprint deal we ends the gets the deal of

course were but into a right is position course Now whether that take we quarter, now. second today that we And to where of full things reason see guidance, don't of purposes had combination quarter we outlook the know, in was and happens but or rolled has what to year not, services second the we we did up. quarter for really of the business the of busy in able move very, the first the that very the

of…? I mean, is what’s rollout this the related kind or to XG

a just is mix a high not it's really what's leasing XG of the which the mean, so our I everything. really really Well, behind of also activity, business. business we're level that are on all trail, customers doing It's

Thank Great. you.

with ahead. And to Atkin go Jon RBC. we’ll go Please

Yes.

at you that international tied of not, how on couple the thoughts to a or potential interested wondering current of do one, I was are update So secondly, longer of what kind I small opportunity as cells look questions, And think see on computing you. and edge with term the growth in that? ex-Brazil? And was that's perhaps kind your any then Thank the in movers there rate? but about business, are you out call needle any there you

Yes.

lagging, XG a the bigger some frankly are and work Brazil than in of some these really whatsoever. is confidence no that us but of are markets cases, some other ahead Some of our terms XG around gives of is any Brazil thing in is in issue the markets. The the their much Jon, slightly, they the alone of well markets, still so now of technology U.S. behind There's are being all that of international XG markets, and upgrades. done lot let

future we but case. of work for U.S., markets. carrier that to has will there out an a to expenditures, by ecosystem the economy do be and be as we in just do think all pay Obviously, the So these will think in an that coming that of be lot that there just the

mobile terms continue opportunities prepare edge from we day the be computing, when that. of In steps take to there to for come the will revenue that the ourselves material

through day on working Stadium, number tell when Gillette day Packet some It's of We've on, in believe lot revenue that can't A discussion to of terms in away. I is come had that to have outside been we've that of a think in be. We I good going bit production, we're one ways who come mean, of with material you with continue facility. will traction not I the that but certainly actual deploy still to going Packet of will folks deployment come. XXXX.

to And build-out Okay. leasing the and that the equipment you mentioned see continue Is up? Phase X going actually there. you then

Absolutely.

then And there if ramp of thought anyway the is wanted there don't lastly, activity. way ground ground lease to but think Is I – repurchases? you just – the kind I around is, I’d that there buyback to any check,

No.

These more in the particular on say always different have individuals no has really times, governed are situation that. all say That plenty capital of yes time. been then by the might We business who fourth spend and three the seller. of

kind it a desire operational that. That after how of So, but issue – an XX of it's goes. sound really much Jon. It's it's as that's to the years may – pulling as crazy, seller is different do little issue, we've not not tried levers, it all the

much. very you Thank Right.

go Morgan. with go Phil Cusick We'll ahead. Please to JP

a follow-ups and Hey guys, one. new of a couple

as is And of today? of year? a contribution, the part business First the on services that DISH should we bigger the ramping through that think

It's part the bigger I services of a of part know the don't it's business. a business. if services

our increase business. it's a may it of makes that big as the a year small goes but so I services, as of It's difference. Yes. percentage kind think It don't huge part services of on

that not went number. reason to the quarter from Yes. It's quarter fourth the number the first

Correct.

that that Okay. If stay dividend next talked of about somewhere than level make or nobody shares you've leverage maintain as stock? here, rather on sense around to a this to And the has mentioned pull leverage the does back but doing buying years. at couple the the forward yet, then it side, within way

could. I list to something at. the add to mean, be to It’d things look it of

Right. used they be… If accretive or buybacks instead the that is aren't more dividend as as that or size – it over does dividend you want – timing driven be, of NOL that to the time maintain could by to is maybe the

We've always in when only it. paying talked about start terms first of the had to we dividend

Right, which you is talked about? XXXX

Correct.

So pulling share that as forward, especially isn't accretive? the price

possibility available a is to That that is us.

one. last then it. Got And

You've on to that, the have negative? of past both AT&T and talked competitive who of positive are T-Mobile know a or about the in your some shift bit overbuild you peers. and builds churn. new in for pace them guys Any little I working

No really there. changes No.

Thanks Okay. guys.

And we'll go to go Michael Rollins with Citi. ahead. Please

Hi, thanks taking the for questions.

I does relative you if for to one, think business? first compare of And you slides, current How international valuations Thanks. the the your First provided the that return the churn an the capital, how objectives? on about do is about XX.X% on of which and quarter. at invested On business between one domestic assets could. update end

but international obviously to those international out that's immature bit maturity mostly of for breaking it's stuff We'll had the an give down less a domestically because mature. But from numbers due just little the we that. something standpoint. just the in domestically, because Yes, higher and so to is long consider those decided it's assets haven't we'll future, higher

some individual where There highest it return in countries, are Although it's invested countries has the on higher. capital.

price clearly And think to yes, terms in versus Mike, those you things, got about current Absolutely. pricing of matters.

easier tougher? what Or terms just terms is of purchases? out is in of there, it in seeing for getting And it the getting asset opportunities you're

easier. getting it's price is I a it's say capital it wouldn't mean, there's competitive. of I and lot – Well,

to very the and be chaff. patient knowledgeable hard be about have you wheat and You and to the look have you to have

Thanks.

we’re another think I Laurie, question. ready for

you. Very We’ll Please James. Ric thank to good, Prentiss, go Raymond ahead. go

Thanks. Good afternoon guys.

Hey Ric.

Hey, questions. if a kind asking and the the like the want leverage quarter portfolio. was the of was through probably percent. under in one-plus on on talked looks less on of previous range. portfolio contract it's to add sites you Simon the couple even we the follow-up It still in third than growth first about a I quarter, end percent in And the side,

you to out to target getting tougher? So bigger seeing transactions given get are Mike that was prices the you answer that XX% there portfolios are of zone could the into X% some that there

be some We opportunities yes. lines, along think will those that there

alluded some be the popping of you And markets kind to new that maybe might screen? under

said I that. think don't I No,

say like we look to we’ll makes sense markets, think look. existing our everywhere to stay that I we but in

good. in Okay, Tower of been we're grow American long day which leverage like? we come kind you payout And a okay. then to of the Phil's has it dividend – the time, might of the kind going at what that path like about paying crown with the about AFFO kind should does when started dividend when convert way looking look full guys of have the payment. with might think dividend, and for that with and look the they That’s on ratio question you thought

The latter.

of Tower The growing? more like it kind is American keep

Yes.

Okay. the And leverage. for the on last me then one

pay and dividend? as As to and where a XXXX start we to think about you XXXX, go looking need XXXX does leverage

go to it. about on now. six have than We've lower with it is the right something Doesn't much talked handle

did amendments about apologize. talked have with gone had about I more. Amendment colo, XX% and one versus to revenue XX%. how I of colos new you

new customer that on that is on RAD tower more a different amendment? but a an or they a to a tower comes who's get your the colocation is who equipment you want in If put customer and already center,

a which brand-new event bring they lease. whether in on their conduct under or contract, a in Depends it an would existing be amendment would it event which be

project as first gauging AT&T, seen is going we're actually, think just trying of with be And how type amendment of to I’m what's NAT an base just coming more to business the hypothetically our in? say, that

under a an it's If contract, existing lease. it's the new contract, a it's it's amendment. If

that helps. Yes,

Okay, thanks Jeff.

And to Piecyk go with BTIG. go we'll ahead. Walter Please

Domestically, I happen quarters, so. has amendment for XXXX looks sequential throughout accelerated just to Yes, guess that for annual know the growth and to gross rate quarter don't growth, just is it. accelerations your this amendments Thanks. five. could number I the five in colos colo guess, you like escalations, it the Jeff, or you what call growth reported X.X that your I last

Are of you rate the talking colos? growth about the or rate amendments to

about I growth I’m so. which call different X.X%, I it think that call talking rate, every the company something

number. is each or answer given year obviously, you the quarter. Yes, it so we'll it we yes. a increase for increase at if domestic, bridge year revenue the to Well, are, has it the where throughout expect higher look full implies, the to And

numbers then Sprint/T-Mobile mean And that approved, does lower? those so that guidance, or your in had you higher Jeff, it's mentioned approved, not deal assumes are if that the is

I don't mean, to mean, what comes. one. we I plan is hard there if the B we’ll it's Well, – know know. see is to have what really don't we

you. Got

possible if be than it's B lower could it is… So Plan

– guidance else nothing from assumes I don’t that no. no, think our now I Because basically, right there's don't Sprint. so. no,

it. got Okay,

I might the assume in happen, is impact that, think year's don't we're of too be an the really didn’t where you And would second deal I going it doesn’t very year not the The we happen, be from that to case, the really at Sprint. question look lower deal or half services probably whether about impact might pieces, mean, that if – it's that little because and it's lower. side, higher this in there's there's the really leasing could occur there's occur, two two not that's much. slowdown nothing impact the if either numbers because any on sure that. increase its

should X% your question. Got stock, to buy is don't speaking, up willing but buying an put if yield, if not be I guess why stock I last mean, it. right you're dividend generally now? planning on I know you're investors like And

Well, our since it's earnings only been months last call. two

understand that but I the message…

I and to buy year, said say towers stock. didn't to I going not the in our invest we're I'm move we through stock. we're willing confident our capital as

you. level seemed That stock, like I accretion. I that but was Phil's a just – words, Phil’s what… sure dividends the you're I’m are Got the yours, but mean, think not mean, to getting response not preferential, stock you the I just question is whatever. I those like not were to at take

Those are Phil's phone want words. a you you – Do call. him number, have Phil's give

Absolutely. thanks. All right,

And Del Please to Nick MoffettNathanson. we'll go go ahead. Deo with

for your run between now thanks it a rejigger my to was a in start a and leverage consider recurring Hey, question. Would one? or a one-time you dividend dividend your if when NOL taking you out would only pay and

benefit Nick, us the but in don't see I’m something, any I a one-timer, out. missing of if wisdom see help figure it But that. don't I

fair. totally that's No,

higher think easement between much current top control lease? perpetual it XX% to push you or out what's and back of versus where long-term own you that does issue under lands, land can the you from do that how split Going the the the

or a of Yeah, perpetual ownership. land, easement we own roughly form outright the either in of the long-term XX%, XX%

In as continue kind interesting of least controlling so international numbers, it we have with the about it that, resets sometimes higher comes it moved for it move higher stuff, it is that of to thing you it going the the over XX can at certainly lower years. some in terms and statistic of bring years. higher in But and

on border of every that year that funny those. the those a some you goes year by it's that for have less are always thing is So of the

So they, some of them fall below it.

out it. So of extend your having kind you're of constantly way to

saying when move long it's of bit hard But a way to a higher. you So, can number sites. got it go that's XX,XXX little materially that

purchase be it Brazil dynamic find that to you know pasture less land you appealing. the overseas typically I have interesting? in Do makes

every other or in nest an of real or more as case because type, do some are longer the applies It's are concept in a still term or a estate purchase an interesting little We extension and do it's the laws and difficult whether they we The entitlement. clear as U.S. not it easement not a beneficial. and find

guys. Got It. Thanks

America. with go we'll to Bank go David ahead. And Please of next Barden

appears kind in and normalize bit little the, could to me Hey the non- shape this is X.X%. and it looks right, reading time? the the the such quarter, domestic question XX kind guys, costs, know $XX for improvement talked please. last you I going, but margins, is squeezing some a but other ask was to and guide to another the like like kind churn last helping a And at is detailed a bps. was up I if of of if wondering this it's it And drivers Thanks. non-iDEN, speak thanks kind Clear I'm you Metro/Leap in. questions, have speak about where of question, at sorry year. wonder of kind I line Brendan that which I one of of like was the Two the just core about then does of double almost can I'm it, income you it over the in point to if second drive million That's it just think

little a which is the has bit. the increased churn, one, On first it

that of is Some four non-big related.

think, historically in It's to also of longer expectation it that the We're then later customers And middle will certain about down we've is is churn. thereafter. but will that's range term kind be in come But right number. slightly have that number. My I XX-months churn-off. higher year, talked slightly for of sort the it of think base it a that We had we've probably now. probably X% as that for X.X% right trailing the right range our I

which you're I'm referring sure second $XX million I'm bit, not the On a afraid David. XXX% question, little to. I'm

sorry. you specific a too. there's So mean we're to can afterwards we We on the if happy get, phone get I with number can,

It to million to you. offline. went the Appreciate from to just that XX XX X but can talk question, X it it. Thank we million was

Okay.

New Research. We’ll go to Spencer Kurn with Street

Your line is open.

thanks. guys, Hey

implied sounds like rest guidance. the to you increase fourth I bit but accelerating posted provide quarter the know color more your expected the XXXX question every cadence. the throughout to got, wanted little in on as growth organic of on a growth just follow-up you've growth high also the domestically, you of really the just year. for around it you So in quarter Could year,

provide really helpful. So, be would can you any color on that

I move based that's the you number assumptions timing. what the Yeah, up, to know been what there's uncertainties we around year, signed the I certain can't most certain the be each And signed timing. quarter but we've mean, up to-date already exactly expect the and will stuff we make up, because of backlog, say through sign as we on obviously what

an look to that pretty as those move So, the year. confident increase out when have what's we're we scheduled we in at through numbers will commence

year, number that's year full should bridge you the the the the at on suggests noted, say As end or X.X%. for year the I of the full sort of that number a

to So quarter XX in first up the an it's if XX, X.X% average. to as to here we're basis it's get each close got to, quarter at X.X% points roughly to obviously average, step got on

each On average, not necessarily one.

Right

like the of curve, or overall we are like you year question. actually Are a my Well sort you’ll get – that sort that's higher will the the of a should Right. we bell end trend rate there expect. some is at than average at thinking of

expect of would I above the the average, year. Yeah, the end but at we’ll be

one if quick then just And Awesome. I may. follow-up

you expecting FirstNet work quarter? is is what Are a seeing? any they progress the and by on expecting be the XX% a or you're being of similar Thanks. of from difference XX% around done your seeing or done company be, perspective to to lag, over sort of sites there third your is

that's AT&T they're cases and some do kinds And back different FirstNet in not comes amendment then work their of FirstNet, of hard is variety Spencer, of all kinds doing coming No, pieces to another involving spectrum. work all doing of and that of different every because answer, a out work.

So, that doubt its setting a about could I sounds mean right. than It little would that. I more bit less, be

Thanks It. so much. Got

Please We'll Brett with Feldman to go Sachs. ahead. go Goldman

questions. Two

and that The but among you leasing received The why didn't reasons year XX% activity into just, your of big you domestic the maybe first more the is the factored right, was then for hear quick. it one your recovery increased original outlook or pretty said is you was that in your oil four. outlook and I I quarter, think

it in interesting there XX% heard which big story four, more or would that I like correctly that, number. a a seems So, mean if that was curious there? non-big predominantly is I I'm if And guess was DISH driven

recovery first Yeah, on original was Oi not outlook. our the one, the in

didn't EBITDA the AFFO. part DISH. a of non-big was It was that So piece specifically increase to biggest of that and four and the the lines above affect the XX%, component the

non-DISH the or about gotten same you've Is you’ve eclectic part it ramping? where normally ask else mix is there in of know sort of that's past non-traditional had? anything the I there in

as Same eclectic call. quarter the that and was mix same last story

it. Okay. Thank you. Appreciate

We from Company. go Cowen Colby and Please with question a have Synesael ahead.

predominant slowed four thanks. FirstNet still build the for Sprint part really And of for Two carriers, of material with a Brendan. growth. curious And U.S. just think from When it. more just the big also, I view has question agree guess coming great with been may. and I the of secondly, I modeling AT&T as has just how for Right, characterized you most I'm has but been the has part amount although T-Mobile, And SBA, for then of contributing both it's not Verizon pacing, that the in if to growth the you I XXX that of out. if think gone terms then that away. sector

is thought just higher an by, I'm And might and the that. I high-end? on impact. take the of just what your stock Thanks. curious on and raised to call about allow You up how the the something the having guidance it low to mentioned think you on $X.XX that high-end heard try the AFFO it I I we being didn't it what amount? you same about, $X.XX that end the by guess is on price

taxes. the On because affects But diluted more ends count. assumed about as will share the count the number because our higher thoughts moved both it the one, same overall we same taxes It's a that's second number negatively impacted really just more about our our where piece we end. The assumption of range. own on The the low shares just of it's really, the taxes. be kind we we're where of range using about share

So only that's the difference.

I from big all activity four Yeah. levels. there's And activity Colby. mean the on

I'm with I not So doing just as I that's anything particularly not agree relates mean spread. don't description, true. right that think now. we it to

on it both As to leasing relates the and us, the services side.

Okay, thank you.

Please And next Deutsche with go to Bank. we Matthew go ahead. Niknam

thank to was and increase more this question. of Was sort to amendments, colo Thanks. amendments year just of entirety the guys, of commencement. core there being beyond underlying earlier of taking the guidance Hey Brendan an of terms increase guidance maybe the for and in I the mention a tied relative the timing? And sort for on think, you increase then that is that amendments. any can broader the or of color you pricing provide on these a just there sort

increased we the last On look is And to that in revenue organic it. the at best you at the the to provided the leasing to piece way the kind time at it. can look and guidance, package supplemental of the look it, relative Matt, that's of changes bridge

non-organic were million. was heavier as will two the went that that some contribute of sorry, of those changes. we've up due the some amendments. is other bit biggest lease that Most reasons help revenue though contract faster pieces. what and I'm about contributions to see was, our little couple But those to minor put sites of was a included You'll what concentration a up additional guidance which up one? went the second timing, under There are other $X due that number

of amendment. Just in pricing terms

to Amendment there. pricing hold very not in We're weakening seeing firmly. certainly continues any

Thank you.

ahead. Batya go Levi to We'll UBS. next Please with go

in and sites that related to back acquisitions some a to carrier of as you. you Can to have more on driving their build starts their to the all increase or own. discretionary opportunities sites your you finding of then? thank some do that also the lure think Great, Was you is you CapEx announced gradually are What portfolio? build incremental activity

On it's of really M&A things, new the been there's the around but related, the minor CapEx, overall it's year. little expectations built there's a for couple all no change in basically not,

Yeah.

in sites of On own, have limited the circumstances. their on some carrier that we building very seen

many funny able that what which actually terms, very as build explanation to build carriers to as we sites why we as back about of I the we new move that opposed I driven some U.S. is the for that capital be in chasing the to. think as that economic see towers given don't view very just used know as some ever and there's of strategic But we’ll because is capital you. don't plenty

Fine. Okay.

Yong from go Please And the Amy with question ahead. Macquarie.

customer with happening. activity update I'm auctions Brazil the wondering Thanks. if just you and spectrum us can on the in

in of Thank in think you. an year, acceleration activity increased the I or this an XXXX back the half region. we anticipate

with us certainly all customers the spectrum, there come are, story amendments will the of to varying similar Well U.S. And active for be as new but they're well. form degrees. co-locations new certainly to hopefully in new the opportunities and

millimeter has spectrum. much of be spectrum. oriented will different It's tower we welcome macro spectrum, which This course new a not So, a wave use. always

and planned it hope through expect, goes that. we as we So, would benefit certainly the from

you. Thank

ahead. with to Gutman Guggenheim. [Operator Instructions] Robert go go Please We'll

Hi. for question. Thanks the taking

the the but, does for only current bigger not you these of current next the leasing out think strong year's dry of a How acceleration at in looking far of that next in are where in in There's reason guidance, out terms picture early pace activity? what sort drivers of it carriers of carry, sort at are activity believe terms doing. terms the view, of a to Looking that underlying they're year? still it's do

even to believe a yet. started pondents and they're early for there's, kind and vibrant XG out Well, some building lot all the that hasn't product, it of truly going and XG seems architecture deploy the to a need do you if then still of the massive technicians in really there's terms to have everyone sense to the MiMo that a in

go. I So, think long to got way we've a

you. Thank Okay.

no time, continue. this have so questions additional we please at Well,

Thank want I we look listening and second to to our next forward to thank we call release quarter our you. for one in the results. when everyone

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