SBA Communications (SBAC) 28 Oct 192019 Q3 Earnings call transcript

Ladies and gentlemen, thank you for standing by and welcome to the SBA Third Quarter Earnings Results Call. At this time all participants are in a listen-only mode and later you will have an opportunity to ask questions. [Operator Instructions] And as a reminder, this conference is being recorded.

I would now like to turn the conference over to our host, Chief Financial Officer, Brendan Cavanagh, please go ahead.

Good evening and thank you for joining us for SBA's Third Quarter 2019 Earnings Conference Call.

is our today Executive and me Officer. with Jeff President Stoops, Chief Here President a this Finance, weather DeRussy of Mark Vice is thus not today will little be call. on afternoon's and the under

follow-up be will the address have. subsequent However questions Mark may available you call to to any

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

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

In financial landing page operating can is these our and items the will reconciliation data measures located found on information financial other metrics. our in website. package, regarding addition, be key Relations which supplemental include of comments of non-GAAP The and Investor our other

our third site now $XXX.X were With strong cash our for We the and in in GAAP Services results to that Leasing quarter third million. the revenues had revenues will site million, quarter both and third $XXX.X businesses. I quarter and leasing quarter financial Total solid results. leasing turn operating were with another

million. for $X.X weaker average were leasing earnings quarter rates provided exchange Foreign with second by quarter, than the our on which estimates third our previously impacting we release, revenues negatively

basis, impact leasing growth slight revenue also of the X.X% On were constant which was a quarter the was on of recurring a headwind the tower gross growth calculated churn. of for XXXX, over X.X%. a Same third cash basis rates a currency FX on comparisons. X.X% same is year-ago tower including third quarter,

net third last Metro to cash of including consolidation related on terminations. growth basis, and which portion Leap, over was quarter a continues X.X% and basis same tower X.X% leasing X.X% churn, of Clearwire large revenue on iDEN Domestic a of recurring a gross be year the to

operational increased growth solid placed our contract delays third the leasing leasing quarter, new the the cash down from the operational resolution recurring domestic during tower Sprint, due again activity T-Mobile very revenue activity during was strong Domestic merger. to to quarter revenue quarter-over-quarter, same second in sequentially again in Domestic leasing months. representing due of quarter XX the the although under last

Amendment was revenue domestic XX% the signed high, and XX% carriers quarter. revenue total from amendments, saw during with very X big activity of new contributions carriers, We signed leases. again of up with each up newly representing from from big XX% leasing domestic leasing X the incremental the coming

as networks. backlog domestic continues significant be customers Our XG our of to investment and strong application amount XG well, future indicating a into

solid a Internationally, cash of leasing X.X% X Brazil largest quarter another Brazil, from major currency contributions gross continue constant there. a the on basis. have or a leasing same We including growth was had on with tower was XX.X% carriers XX% basis we internationally all Gross and to contributor. churn in same tower growth constant revenue currency basis, X.X% organic on

dollars. US consolidated third leasing revenue XX.X% cash the in denominated During site of quarter, was

cash The revenues excluding dollar-denominated leasing revenues non-US pass-through of majority XX.X% representing the from during from Brazil was expenses. and site revenue of all site of revenue cash X.X% with Brazil, quarter leasing

churn. third now Moving to quarter

leases from We continue consistent to with Clearwire see Leap our churn expectations. with Metro and

leases next from to the roughly million churn off we Clearwire approximately $X we As ultimately of of years. with that recurring and Metro have expect Leap annual quarter-end, run-rate two revenue over

quarter affect of results. tower is approximately churn Also, the legacy incurred $X the tower churn the same this fourth iDEN include our of annualized million impact iDEN This related same of churn that to quarter will numbers certain our XXXX last churn in continue from reported leases.

the and same quarter. expenses. XX.X% was flow an margin on impact pass-through Domestic the cash industry all was XX% Tower X.X%, tower flow from third of domestic the cash quarter was quarter cash annual in $XXX.X margin our tower third as leading was excluding churn tenants was million, reimbursable last the other XX.X% the basis quarter. in flow tower for same International

Adjusted services EBITDA million, million, than XX.X% driven the the third quarter EBITDA in were of third about $XXX.X year Services strong million again the in our quarter our driving by adjusted revenues in were Leasing the XXXX and third the over ago gross quarter quarter was profit up $X in results more performances period. Services both $XX businesses.

EBITDA the XX.X% business. contribution down in adjusted from to due was larger our margin Our partially Services the quarter, slightly year-over-year,

revenues margin EBITDA adjusted of our approximately XX% quarter. in impact third tower the to EBITDA of the expenses, from business was was attributable total XX%, adjusted pass-through Excluding our leasing

third was the increase quarter XXXX. per share of quarter the $XXX.X in million, over XX% AFFO an $X.XX, was third of AFFO

Africa, quarter, the tower on Atlas expanding closed a but joint unconsolidated XX, we to During our all third On we August invest South to X% of in venture. continue previously our portfolio. acquire Tower option

XXX towers in with more development, the including completed Africa, built to of XXX closing, had Atlas operation South in a September closing at At many sites post total XX in sites in quarter, XX.

in acquired In million communication for Africa. sites other the during and quarter we sites of the built excluding those total $XX.X quarter, XX addition, in South XX built a we

to located acquired $X.X end of X internationally. the Most were we million. the of the for additional sites sites added quarter, Subsequent

by of we price aggregate end contract closing today, $XX.X of and additional the at acquisition onXXX anticipate for XXXX have an of first million. As the sites of under quarter

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

terms. extend easements During we the land $XX.X million ground and spent quarter, of to aggregate an and lease buy to

controlled approximately is ground At our underneath the life remaining or our of more average the land XX% the leases, we under years, towers owned than end options renewal years. our and approximately XX under the XX for including of quarter control

full-year press included earnings we In updated our for release, today's outlook XXXX.

AFFO have and to expense largely interest AFFO same, the our our ranges outlook minor net share. midpoints the of revenue. services per left We cash with for guidance improvements

rates, by foreign Our previously Brazil. outlook particularly negatively impacted been has weaker in exchange anticipated than

actual revenue, have XXXX our quarter rates the FX well full-year versus the approximately FX outlook as prior by changes our for impacted in our as in negatively third Variances $X.X fourth million assumptions for $X assumptions, cash quarter meaning for solid have leasing million our third guidance in AFFO, across that performance the and site otherwise tower strong resulted increases flow adjusted would full-year $X.X and EBITDA quarter million board. for

fact for We by site million. domestic our did in increase $X outlook leasing revenue

imply though does in for outlook quarter our business. Our a the fourth moderation Services

future first reported been of the and half the been has since Dish outcome widely the the as certainty As their some Sprint merger of of T-Mobile, around there activity slowdown T-Mobile, and year they await the has Sprint paths. and

given be and logical to the is expected circumstances. This

escalation of outcome decisions becomes merger and immediate an in activity with expect can clear made the once We be certainty. the network long-term

third ended we debt Moving now position liquidity of and our of net billion total quarter balance billion $X.X and with to debt. $X.X sheet, the

times. Our was net debt leverage to annualized X.X ratio adjusted EBITDA

net cash ratio to EBITDA net of expense Our interest third coverage X.X adjusted was quarter interest times. cash

have XX, unpaid XXXX $XXX repayment January credit Securities, repay offering final securities September as The rate of of were we well accrued On and $X.XXX interest these maturity billion on January Securities, date amounts The revolving interest one and an net and our facility. our full issued in to proceeds is under Revenue of Tower all of outstanding anticipated million of Tower date per this X.XXX% XXXX-XC used as which Secured XXXX. fixed annum.

weighted X.X% debt the our Pro maturity coupon this outstanding years. weighted and average X is for issuance, of is forma our average approximately

revolver. today, of no As outstanding committed under have $X.XX our we amounts billion

per During $XXX.XX for the third All share. quarter, an of were our shares purchased we over $XXX.X for of average XXX,XXX retired. price million repurchased just common stock shares

under remaining XXXX. from we repurchase XXX.X of repurchase XX, $X As outstanding stock have company's XX, X.X% down today, shares $XXX.X dollars authorization The September our XXXX are million plan. at September billion of million,

quarter, $XX.X during first million paid and cash $X.XX declared we the or share. of third our addition, In per dividend

shareholders Last record on our of of Directors $X.XX week, December XXXX on we of XX, per close payable as that business announced XX, to declared dividend the XXXX. another of Board November of share

to I that now turn call With over Jeff. will the

and Thanks, everyone. evening, good Brendan

was and another result, assets, as healthy deliver capital both good and and AFFO The very to SBA. dividend. our a in Leasing strong continue delivered first share growth repurchases one Services allocated third We share. for our into segments financial quarter cash per results in We very new

the low coming of we rate interest quarter, the bulk All closely financing of we are US, customers advantage to our investment X continue majority on spending densification. with environment with were the and to their a continuing with plans. wireless amendments. the major carriers of In the successful new during active see work from took We investment XG US around network

for through These capacity. our We spectrum at to the of addition amendments activity customers years. improvements, several and to this type anticipate deployment technological represent next existing continue of the new upgrades networks bands least of the

In XG redeployment low customers involve and underway we of is sites addition, networks the to future at XG will XG plans. the very of long mid-band we In network solidifying cycle. beginning or a deployment the macro our investment initial importance further of believe spectrum are deployment and the

opportunities As a investment will on remain future well-positioned growth macro-focused this primarily to organic company, the network capitalize create. we

steps XG take well spent SBA world. upcoming position to in We ecosystem participants by continue build. to meaningful continue important to XG the Time the and energy for all and

aggressive mentioned have active and concrete earlier, both explodes, T-Mobile requirements. activity Sprint, clarity planning once all continue the and Brendan we of discussions coverage impacted XG Dish to resolution merger As parties is there believe and the as around T-Mobile committed

just will the as with iPhone, new we actively and it believe to will wireless building prior be in facilities of catalyst. are generational unleash trials, era demand carriers has a for with think of prove based macro Cable availability and We CBRS of the and companies CBRS both a analysis XG auctions upgrades and upcoming decisive deployments. engaged

a the building, users have of previously as a such that economic. number of host we new from DAS will on open up test the of found one been traditional new trialing license in properties, the particularly think solutions FCC, first As CBRS we whole initiatives of a and recipients

in our we third sites to to own. a in quarter, commercialization minority growing of manage of expertise anticipation properties building CBRS. close materially premier addition opportunities portfolio in properties the investment in quite company under Further, nation's XX,XXX now these development and been to made area this then and Wireless, our use Federated the to we enriching the We've contract the related

the FCC excitement traditional spectrum It of large will the The importance this be its build C-band the the X-G of of auction to hands into deployed around evidence the by to increasingly focus our also on placed is macro wireless is anticipation that moving the on in clear and clear sites. community spectrum spectrum continues future. and part

to the center various connecting test we to to West in models, when Finally, and ready downtown Chicago platform the over becomes on SBA's capitalize XX,XXX business further edge third Chicago ahead. that a provide loop fiber to a purchased us readiness we standalone with with we expertise together computing will own sites mobile exciting data best in our reality globally, times are computing a edge to on so quarter opportunities. will There be maximize that perfect mobile truly best the

another once signed contributor amendments. Brazil from major up contributions solid Internationally, and our XX% had contributions upgrading largest leases has we been across in our all carriers again have during all solid and internationally including to sites new markets our this wireless quarter markets. to revenue their was XG. from also Oi, from four who international Brazil, with we investing came of contractual and in leasing The XX% steady quarter continue

and the operations. removes impact country's The on its telecom in congressional concession those XX wireless overall and should Law wireline invest of have ability Vivo which the in a Bill approval positive companies on to the the situation further many their improving Brazil, recent restrictions Oi of providers, of

a ahead are in constant Our currency continue basis core well of and operations on to Brazil plan. do

that XX%. of to other ownership on smoothly the South Africa quarter total The added went Our purchase additional bringing and news equity internationally, big during high-quality team. in joint the very in closing sites interest class African operational was and venture, we the first we our South closed XXX around interest a

about growth in the opportunities market. We're for portfolio new and very this organic excited

again once and With South consolidation we portfolio growth growth. we in the annual our investment achieve greater Africa, of our we'll or X% closing of expect

both addition quarter, we and growth, to third capital in the repurchases During capital shareholder share and value through to enhancing dividends. also continued to portfolio cash our increase structure allocating

deal raising billion the pleased rate company's approximately front, of On the a structure we interest ABS at largest outcome completed that are capital an tranche X.X%, single history, our $X.XXX fixed very with. we in

evaluate actively and of advantage current improve for to our look will to environment We in capital interest structure take low the continue debt. of order existing rate our opportunities to cost

million to of effectively return and $XX repurchases. distribute our to We value third quarter, dividends shareholders our some and use directly were incremental through dividend During with in on the and tower first-ever repurchases. approximately capital cash quarter. we through to our primary in capital able builds also share both of $XXX areas were the approximately new to we creation three acquisitions during our Combined value million and our spent of shareholder share we allocate to able investments all

able develop also increase We quarter, were we'll which plans our be during pay annual on an we announce the also quarterly evaluate pleased second dividend, an our to fourth will when we consider to next quarter guidance dividend our full-year to basis.

slightly that continue the comfortable the expect share. continue we are at or for approach quarter We into year We to leverage to believe ended we operating year. allocation grow the and us meaningfully that at perhaps will next AFFO even X.X with capital help level higher the balanced next per times

members our to customers team of not we be we what each do successfully our our without them, thank people. and contributions to like success, their I'd do connecting able to for would Lastly,

have excited finish the XXXX we a We year. had to thus far great for and a are strong

And with that, to Caroline, we some take questions. are ready

Thank Street Please Research. you. the go we ahead. a line from question And have [Operator from of Kurn do Spencer New Instructions]

Hey, guys. Thanks my question. taking for

get the of bit So of activity level understanding I'm better trying you're seeing. a to little

a with have didn't you slowdown following agreement You seem that. but previously really talked for to about an network expectation in services Sprint, your

the or occur? out slowdown case by was the full a it you've actually was or you others So as and did from -- Act T-Mobile never that that see replaced did just Sprint but called

result there is because slowdown merger. the any a in-decisions by that has a around pending, -- the and Sprint, and of, we been I Well, T-Mobile all as and have of suggested uncertainty Dish, uncertainty the think around that of

little was it I the a confused didn't it. bit Services seem that in got Okay, business. to really just manifest

continued a towards the seen The the of first quarter we've end pace the results of to of quarter, only the slowdown It in first similar of started third the just the be year. to. Jeff during half at to some see half quarter we what to was the referred

then million essentially And QX assuming guide year get a you you help Thanks. if the the of just growth it. to for organic To in QX? similar you for that Got the your could us are guide US. saw on in $XX quarter

We activity QX, incremental and growth contributions would but it probably slightly was not in to expect in terms be of different. the year-over-year less levels than that

you. Thank Awesome.

Batya Please a question We go Levi ahead. UBS. have from the of from line

trying case Thank how leasing plan next Sprint, deal think should closes? about the you. levels to from you. was just And next current churn for that if help ramp that expect Can would activity year. think you for if I us you understand about any we Thank new to base you year? the the T-Mobile,

late Attorney allow will the because Yeah, be to next I time State's Generals that don't we'll by think the in us the scheduled that be to certainty, will will to the I believe given of December, issue think degree year's start February, into giving going to guidance resolution be get I quarter. we clarity we're next our And with there with that lawsuit do Batya. is and from fully that expect that we speak report in pending

is term I X.X% that and in today Sprint Sprint revenue and is of they're cash a Sprint years of leasing leases But T-Mobile X.X a X.X% much and leases you term can and and remaining T are of tenants, tell sites have years. both both T-Mobile terms of neck where pretty have mobile the remaining neck X.X

quarter any the their ramping increased we one guidance follow-up. And T-Mobile pickup that sooner had activity All they you they're as into XXX in anticipated. exit year-end? coverage maybe seeing saying than just the just Are right.

don't out combined as Sprint, the comments of Our want to and other. T-Mobile or to and one as magnitude I Dish were really any the call variances amongst

Flannery We go from have a ahead. Stanley. question from the Simon line of Please Morgan

some of seeing we Thank are shaping front the that for anything anything just you. you're if And about I'm talk of or that next How This on is out on, can or any as there's on maybe discussions Park up you shed Simon. front? either progressing year? if on how light do the companies see your Landon if internationally? into cable can wondering you you head domestically M&A

right? questions, separate two That's

Yes, questions. two separate

Well, of a there CBRS. is around number discussions

our think as or additional are for Tests to existing activity auctioned. do in there. I may so interest uses far and positive sector. may available not active some there to of gets So which further sign a interest and ultimately CBRS And as lead that's potential what --

at. M&A looking looking always we're currently opportunities of there a terms In activity, which something are and of we're always there at, is out that number there

will for hit we least we portfolio goal So it X% optimistic we growth of that year to are believe that at again a again. once once continue have next and we'll

Thank pull what you. you activity follow-up, how and around And one were the your any looks quarter, year-over-year related maybe sequential earlier numbers that the to leasing like? trended in the comments to or decrease just on able specific

I quarter. think gave the for we the year-over-year you

just I we and in was bit not would quarter, domestically business get here, third was into Yeah, that in activity, quarter terms get into the was a second new dollars. it parsing of specifics meaning really it's signed little talking in we in on. individual leasing but I'm specifics of The can't the the quarter mean than something operational lower up, terms the

much. very you Thank Great.

ahead. a line have Jonathan from question we Next from Atkins RBC. the of Please go

your a participation that much. do in acquisition forward, to you are anticipate kind core towers Thanks you I little segment? be going of topic And drill the talked on wanted made going in you the mobile about that and New macro bit compute of Continuum of your down the very to Chicago. that edge West

mobile your would following necessarily more activity be buying that data into on sites, think New that investment in initial an centers, get you infrastructure tied might do to the not smaller Continuum? directly Or you

related research come that understand the development John. on thinking New real No, models have to our point, as at the about really a this around macro business be cell that the that variety may former investment by Continuum the existing and would maximizing to the the investment and focus At opportunity estate the it we we're site. us in presented gives of opportunities pass the sites

Okay.

any thoughts you've sounds Africa nature the that of further kind Africa then set in what addition of for -- Africa in broadly it further to So like South or in in opportunity near-term, already just done? And M&A? nothing on the more

South opportunity different. rest is the will Africa as look. discussed we've Africa But of We very

We we capabilities should imminent. handle we have the and price operational future and it, expertise that from to like a find opportunity but opportunities perspective, a nothing

Thanks you much.

Nick we of a question Deo Next have ahead. from line go the MoffettNathanson. Please Del from

Hi. taking Thanks questions. my for

with First there puts on both should we how have in remaining been and potentially business? entrants. and regarding lease some and your an existing your players established at for update M&A Oi carrier to if somehow, takes about new from think merger Oi up carved be Can you were us rumblings or market the terms Oi the

Well, picture Nick. perspective, big for a

discussed think many we in by three if necessarily the that went Brazil, As sector because be four it would of to improved many, be times players wouldn't wireless the Brazilian bad we've overall health telecommunications that.

if would how see amongst that and would that issues how played and carved out. get on be consolidation, look at be and decommissioning tower things players will specific participants we'd specific existing they which to Depending some have to there are up,

in thing. were definitely outside new coming there that from positive Brazil be if a of Obviously, players would

but to the the sector beneficiary haul long-term the for we fact a four very there ultimately if a of going over very wireless health long all positive intra-country event and Brazilian great short-term where of that's that. we even think specific, were be would think there it's three, So we was

very after leasebacks have have call average that I'll on them them number, sale to varying because to it's the you on from and get but of with Nick lease were we with terms. as long-term exact the commitments the years. pretty double-digit But schedules. extensive of most Yeah the we back leases had part are

based number how you the by let gone offline. So get to on me time we'll exact and that much get has

think the systems you building Jeff, and grow on. rights managed Sure. to I up can XX,XXX so for first, in material you guess a it had And then install I was properties, made you materially. that said two you of these how in Okay. get ago, -- year sense we what or say snapping terms been aggressive you rights. a where number that

revenue? Or can today? how And reasonable us revenue we be few out the what you think second, years, a percentage for that share generate many a tell generate might if might

was want CBRS, of the a probably to where unfettered we in wouldn't is, a -- a casino economic like more premier there those it revenue them whatever year like pays to ago, participation there have on as unless XX% with proposition. a why higher venue participation, issue we're you Yeah, because a those over area venues why that that's real rights to generate about who properties. building do I in part excited time say and or mean and more get of really I percentage stadium, value revenue it's we we what a half where maybe found and isn't is the just is of

believe that so And going so to economics it's just CBRS be a more DAS open much better up to solution we venues. going many than is

that. gets to heart optimism the of around So the that really

Okay.

Thanks, Sounds great. guys.

question line Instructions] from Please go the Michael do [Operator ahead. have of a from We Rollins Citi.

structures they you customers? technology time updates the at kind available? percentage age capability, X, on based curious these putting over on antenna from tell from of new as based X-year the just period, I'm that tenants that's your it's deduce type be structures, of your on or upgrades are able terms thanks. antennas Hi, how done of and of as X are become cycle MIMO the carrier Thanks. customers and of from Curious, a to all inspections terms you might you of information what upgraded that the of antenna your antennas at are to look their that are work in of, MIMO, where towers, upon advanced they're able your look are you ahead in carrier domestic that technologically your and

do able we the to primarily are and of We to are XG that of mid-band are which MIMO And necessary if need which will the urban terms of in that markets believe at offer general you massive if belief. XG type Mike. you're dense antennas, that, in outside driving effectively be where you spectrum you service,

carrier that any only the has not remaining The if small I done a Sprint, today with large. to so X.XG degree that trying of certainly -- a the it's to gauge but very degree, large spectrum, you're is say to won't opportunity set there

you And that? those come is for for are early starting the to some applications structures into pipeline? it Or amended of see too

Sprint For around amount a we greater think continue are Sprint, others the while, fair of that there see of from much we deal and clarity were we I see from a dramatically -- amount an greater even will will greater once seeing to that follow. to that and is and going

Or applications to do And that think for you on appear there? expect that's experience more spectrum to spectrum up one be macro on CBRS,X outdoor end towers? other with of being a indoor deployed Federated question. and your you and do your Based going

looks more going more petitions are its it change use. outdoor use, regulations that be because a to it's that would could it limitations the make are around afoot now but power viable that spectrum like there on there Right power indoor

Thanks.

of line the from question a have James. we from Raymond Prentiss Please ahead. go Ric Next

afternoon, Good guys. Thanks.

Good Ric. afternoon,

is Mark the Services feeling in guidance. Hope on better. Question the business

then you're yet a get leasing look we giving 'XX? business a seen into activity should Services we as until guidance you've fourth sometime half Dish February Sprint, I Services T-Mobile, trying pacing. of into into Just issue the total pacing of the obviously, but know of you business. maybe that XXXX slowdown of seen if a quarter? the going assume you've the in little could a Maybe XXXX, first slowdown think don't mentioned in not kind have you in to think I decision

you network. a right? you Well, of nor do Charlie a anything don't have So you mean kind clarity, don't until if you're were deploying has free do why whether would Ergen, band gotten they you narrow -- I anything, pass, know Dish or have you since to broadband a

think these the your of vast of folks Ric. think I up of or I that are So logic in yes you think through difference merger on that answers kind the the no, where down, or some when question, roads

we Thanks, on pacing? was yes, Jeff. in explosion -- as could what going see coming And happen that think That's good. the then and to [Indecipherable]? if we're is of But the no, answer what the how no, it's think applications if could we the do might what you merger an help through a, a, or a,

You're see really road good, really the happen of two is one because stuff road a for really to other overlap. going ton is the The good don't activity. problem is

Yes.

Just so they decision, need are they a way know which going?

best the example. is Dish

have vice-versa. spend band and it can't broadband You work on money on narrow and

it towers the systems, role indoor play and providing petitions come through, Okay. type compare macro To capital, would situation say once you would SBAC it Michael's and Would question for the versus but cells? CBRS in an how on CBRS providing host look to and does like? sound the are what what of CBRS economics neutral small role be like seems more now indoor those

of and a provider, everybody. sense us. revenue And would made network off would point take to the we attractive then be we for a capital will owner, basically find it recurring be that be basically offer at the owners they the building appealing that for -- solution price We a a model them would to burden a upgrade will

everybody you individually? we'll And everybody, so again, probably the don't building, pestering tell get you to significant the co-location for of owner trying

Yes, one. that's

also example, LTE residential attractive complex proposition. the complex, for system, to or any want there their if pay a might models to way an there they Although be private one just a commercial provide people they for and need to they whether are fee, if it'd that's be where want -- not co-location to Internet, it be for

you experts, me us Brazil. for know, with in the as is one rate, a or other at think at the in a least happening I you look Brazilian are Last things at none past a revenues, being you'd but leasing do FX hazard FX standpoint? the of How from fairly it where amount on in economy or sizable elections book of headed you be Brazil guess look might your the that

are what Ric, I say, Unfortunately, and and there at we of that some look institutions last improvement modest mean, banks are but years, thing. sort financial has study the, "experts" few Yes. the from be been nobody I'll that mean, will all where economists we say. quite expectations right the over I various that today.

so. of reform improvement, now in over provide of are kind the that seen sort question will rates or through some settled, stability get Brazil getting exchange But the hopefully big week is other last actually that will just as that to go think marks the overhangs addressed well. pension some of more it some We've and I the

I revenues wise mean, down offset of and what it when to We try perspective, expenses have to by there. expenses local have the BRL-based, we with we being dollar-based choice we can, we timing address in in our money, of to we that try put our we US between repatriate have from terms extent currency. the a that

terms down options there of now pricing. financing particularly found be to we Although, attractive in

of we down. we of it. terms stage, on watch options this So and limited timing to it mitigate to and our repatriation try But, manage one go in it's little the the closely at no, a bit funds funds

Yes. And a point. Brendan, raises good in his comments

years put including haven't dollars two now. US fresh probably We into any Brazil

at coming cash, timing use being a money everything is a is -- that's really of cash. Brazil considered is of source So not the of that

a reporting frustrating seeing issue what is and realized real that. a It's or what's as economic So loss. perspective to gain from -- opposed reporting you're just

the things issue that's dollar relative have Brazil. happening world to the a US -- continues lot the a well currencies in issue, good if also other It's there. Yes. -- a of relative But to you strengthen as around mean are I as relativity

Right.

Although do some on you side, as go happened.. what's benefit you probably through get escalator then the

of of on more but the strength We inflator inflator, real currency its there and That's relative to a the logical how with tracks Brazilian much wild-card. necessarily absolute US way the do. lot that's tracks some not I a dollar. to tie mean, own more the tie basis is a

Yes.

color. Okay. And thanks for the extra

Walter Piecyk of Please line from the from go question LightShed. a have ahead. we Next

up the Thanks. go I'm time this and Jeff, as time to this going opposed after dividend the repurchase. on mix share you to it

there you that in a and growth had a thinking are rate couple rate of or appealing to having XXXX? investors. you quarters You growth about being about talked How

of this terms I Have to thoughts of it's going dividend increasing some new the think dividend? or maybe and Cogent basis it? in investors? Just on a on same kind finding you something, of well for the up investing quarters that's increase sequential be four put Is considered worked you that

one about respect but investors American have move to companies Good we We it. who investors done Cogent seem a really it I done bit, to talked question, both other offense the quite we concept, very and Walt. to know and number a know or of because actually, way has has didn't those that actually it no about the

comments So we at I we clear look and my have decided to in once tried year. make will this that this a

nice for a one four and So at then jump. times look number

got Okay, it.

did happens we our next looking like to release. year, so the the be to through halfway revisit guidance, just at give dividend, we'll starting out we of basically be case time this year, the and look which every in Or

maybe T-Mobile Understood. Also, look first I kind plan things for trying just by sense going hit was and the new half of a major there spending like on been of has low that a telecom about and to are now XXXX there XXXX? of on in of get any a some is the increase planning whatever. delayed, was to X.X your towers operators

this as maybe say, in really until on far this we're and it to you okay so spectrum towers some we're know other gone putting Or if is deal these towers? now don't the say they at for get using? literally bands other here's you orders have now well, happen looking But doesn't

a is plan. and merger there non-merger No, plan there a is

of My non-merger non-merger plan in something plan. Got always a weeks, it. is or has months, been of that the emerged that's of new the couple kind And case lot whatever?

a at practical any what which that, they'd going. and discussions these but companies I No know they're know don't don't way I about to that details that's know is. like that know I

right. Understood. All it. Jeff. Got Thanks,

from Please of from go question the David a Barden have Bank of we ahead. Next line America.

Hey, Dave. guys. taking Thanks the for It's question. Josh in for

any strengthening reform, week, real, Brazil positive. up there's which out the of your kind business that, potentially what on and in on in of seen the think the happen change Do on on like in on following outside you could basis comments mentioned. of based Just organic we've you past pension the the an fall

program And their of Amazon Sidewalk kind share? had then you secondly, it launched discussions any looks could you like product, and have and with them so Thanks.

Yeah.

seen in a increased which some I virtuous better the pension long-term the it's will you've austerity business, our spending Brazil should which circle more reform, of think our a on in or result historically lead moves the networks. it's there, a cycle side, situation where and been customers the in be economy, for carriers, other that of think a to healthier for the I On general --

I think concession earlier, some our down the happens be on think that an the change more a impact will which rules, direct the question bigger around impact there there, business is likely that in is combination? mentioned the to That's what Just stuff Jeff will with more is the we carriers discussed I of positive. way. But really have around a have positive that very

Okay. you've for like --okay, touch enough. of but kind fair with question, guys. sure the spectrum, Thanks this, It it's looks just them, in not XXX-megahertz taking been using

[Operator line Instructions] a Please KeyBanc. Brandon ahead. have go Nispel We the from do of from question

would just maybe leases could not Thanks. great? you have the Thanks broadly perspective? and for tower climbers commenced be on for backlog I the if but missed a of more year-over-year on taking question. of that the quarter-over-quarter but, market comment signed just Jeff, Then comment labor may also this, level could from you on

we'll a are getting similar a it back they the relatively that, focus ago, people are lot gets a will I when they But may really are okay on a case think the merger resources for And enough on as that being. are and ago time similar. tower quarter -- make were is and are trained where happens, year the there everybody to like There's the but tight to and think see. of lot underway the backlogs materially of that there climbers sure there situation The be is needed. once when I cooking probably lot prove initiatives of resolution

some some follow in in their carrier on CBRS couple in your of on done of with any think dual-band aggregation? topic, CBRS a with separate building CBRS customers a spectrum any with and sort of solution. now you existing of guess spectrum. guys had Have you a if band you be dual-band up using discussions I tests commented could Verizon to I has guess, dual-band, using I that's on going

We antenna may and configs the worked overall amendment of. uniquely aware leasing have I'm in group but some into and that not

Sounds good. Thank you.

ahead. from Colby Next line we Please have Cowen. a question go Synesael from the of

build Great. might those Two of just been to roaming questions you're companies cable I their may. something some some on with have There's the late their I'm networks that's effectively basis to from they to if on market-by-market a cable partners. reliance about? discussion look And by starting conversations curious companies wireless that if out reduce of

And this CapEx in guided XXXX. AT&T in from to morning then billion billion $XX secondly $XX

also on investment, you're start I'm pull investment you. part to that that expecting back is curious But they them seeing think pull Thank your the reduced seeing if acknowledge of business XXXX? did that that leasing the in of on for fiber. or back suggest you're would to their as they anything Now side -- about

-- going I middle is involved the is Yeah, is that. construed cyclical. or and temporal and very pacing specifically be merger-related for all are that and really pop. That's done, as this soon we to evidence are that we're what in right conversations purely uncertainty as everyone believe of one ongoing amongst to this This and of mean, I'll the take the temporal, last that all secular has nothing our comments no, are is and that first. even this about timing is should

is as of companies lot are AT&T, company-specific certain you They're far as specifics the as yes, with you concerned, pertains obviously than flexibility a any can't those certain than the And answer of those I have have But it had conversations. more partners, into cable Colby, have get So, less if and we really agreements that. no. some to roaming others.

opinion we your an in of terms kind in and manner? least for that it from than pop of could talking Do foreseeable you more more from could nature on in numbers the be having will year at future would now, anecdotal in, think we impact the actually outside looking happen be it just rapidly something in see or is not your and meaningful

companies? cable the About

Yes

I upcoming think to have think that you do how with see you to No, we'll and have wait year. a I they question these And ask then auctions. in

you. Thank Okay.

further in are queue. There the Instructions] questions [Operator question no

will we Great. to the next Well be call. and which and everyone look we joining Thank quarter us call appreciate our today fourth call, you. forward guidance our for full-year

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