SBA Communications

SBA Communications (SBAC) Q2 2025 Earnings

Reported Aug 4, 2025 at 4:08 PM ET · SEC Source

Q2 25 EPS

$2.09

MISS 7.52%

Est. $2.26

Q2 25 Revenue

$699.0M

BEAT +3.87%

Est. $672.9M

vs S&P Since Q2 25

-37.5%

TRAILING MARKET

SBAC -19.5% vs S&P +18.0%

Market Reaction

Did SBAC Beat Earnings? Q2 2025 Results

SBA Communications posted a mixed second quarter, with revenue clearing Wall Street's bar while earnings fell short. The tower REIT generated $698.98 million in total revenue, up 5.8% year-over-year and ahead of the $672.94 million consensus, driven … Read more SBA Communications posted a mixed second quarter, with revenue clearing Wall Street's bar while earnings fell short. The tower REIT generated $698.98 million in total revenue, up 5.8% year-over-year and ahead of the $672.94 million consensus, driven in large part by a near-doubling of site development revenue to $67.19 million as wireless network construction activity accelerated. But earnings per diluted share of $2.09 missed the $2.26 estimate by 7.52%, weighed down by a 23.2% jump in net interest expense to $111.50 million reflecting debt taken on for acquisitions. The most significant strategic development was the early closing of 4,323 towers from the Millicom acquisition for $562.90 million, completing the transaction months ahead of schedule, while SBA also announced a deal to sell its 369 Canadian towers for CAD $446 million, exiting a market it entered in 2009 but deemed subscale. Management raised its full-year outlook, now guiding for total revenue of $2.78 billion to $2.83 billion and AFFO per share of $12.65 to $13.02, citing strong U.S. Leasing demand and favorable currency movements.

Key Takeaways

  • Strong domestic carrier investment in wireless networks driving new leasing activity
  • High levels of new colocations, highest in nearly three years company-wide
  • Site development/construction volumes growing sequentially over Q1 2025
  • Early closing of 4,323 Millicom sites, several months ahead of schedule
  • Favorable foreign currency movements
  • $30.4 million FX gain on intercompany loan remeasurement vs $66.2 million loss in Q2 2024
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SBAC YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

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SBAC Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q1 26
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SBAC Revenue by Geography

Regional revenue distribution

“Today we announce another very positive quarter of financial and operating results. Domestic activity remained very strong in the second quarter as our carrier customers continued to invest meaningfully in their wireless networks. New U.S. leasing business signed up during the quarter was ahead of our expectations and benefitted from continued high levels of new colocations.”

— Brendan Cavanagh, Q2 2025 Earnings Press Release