NASDAQ$SBAC

SBA Communications Corporation · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

SBA reported mixed results for Q2 2023, with revenue growth offset by increased operating expenses.

SBA Communications Corporation reported revenue growth in Q2 2023, driven by domestic and international site leasing. However, increased operating expenses impacted profitability, resulting in a decrease in net income compared to the previous year.

  • Total revenue increased by 2.7% year-over-year to $671.4 million.
  • Domestic site leasing revenue grew by 4.4% year-over-year.
  • International site leasing revenue increased by 10.4% year-over-year.
  • Net income decreased to $56.5 million, compared to $103.7 million in the prior year.

Headline financials

Total Revenue

$679M

Previous: $652M+4.1%
EPS (adj)

$1.87

Previous: $0.64+192.2%
AFFO per Share

$2.63

Previous: $3.07-14.3%
Tower Cash Flow Margin

63.8%

Previous: 80.6%-20.8%
Adjusted EBITDA Margin

61.2%

Previous: 68.2%-10.3%
Capital Expenditures

-$113M

Previous: -$91M-23.8%
Free Cash Flow

$91.1M

Previous: -$21.5M+524.4%
Net Income

$204M

Previous: $69.5M+193.0%
Operating Income

$241M

Previous: $231M+4.4%
Gross Profit

$524M

Previous: $486M+7.9%
Cash & Equivalents

$179M

Previous: $183M-2.1%
Total Assets

$10.6B

Previous: $10B+5.9%
Stock-Based Comp

$18.3M

Previous: $23.9M-23.6%

Revenue & EPS history

SBA · Revenue · Quarterly

$679M

Q2 2023+4.1%vs Q2 2022
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

SBA · $25.9M total across 1 segment · Q2 2023

  • Site Development
    $25.9M-63.9%

Forward guidance

SBA Communications provided guidance for the full year 2023, expecting continued growth in site leasing revenue, driven by 5G deployments and increased demand for wireless infrastructure. However, they anticipate higher operating expenses due to inflation and increased investment in international markets.

Tailwinds

  • Continued growth in site leasing revenue.
  • Strong demand for wireless infrastructure driven by 5G deployments.
  • Expansion in international markets.
  • Focus on operational efficiency.
  • Strategic investments in key growth areas.

Headwinds

  • Higher operating expenses due to inflation.
  • Increased investment in international markets impacting profitability.
  • Potential delays in 5G deployments.
  • Competition in the wireless infrastructure market.
  • Uncertainty in the global economic outlook.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

-0.1%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+0.7%

Avg return

30 days after

50%

32 / 64 earnings

Positive

+9.4%

Q3 2023

Best reaction

-9.6%

Q2 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.7%+0.1%-6.6%
Q4 2025+4.7%+2.2%-13.1%
Q3 2025+1.3%+2.0%-1.8%
Q1 2025+6.8%+8.4%+3.1%
Q4 2024+3.0%+2.4%+1.7%
Q3 2024-4.2%-6.7%-5.5%
Q2 2024+1.5%+7.0%+6.0%
Q1 2024-5.2%-1.6%-5.0%
Q4 2023-6.1%-2.2%+2.4%
Q3 2023+9.4%+5.8%+20.7%
Q2 2023-2.4%-3.5%-2.8%
Q1 2023-5.3%-8.2%-15.0%
Q4 2022-7.9%-8.3%-12.2%
Q3 2022+2.1%+0.9%+10.8%
Q2 2022+0.7%+2.9%-3.1%
Q1 2022-4.1%-5.3%-5.5%
Q4 2021+3.2%+7.8%+11.8%
Q3 2021+3.8%-0.3%-1.7%
Q2 2021+1.5%+1.8%+7.4%
Q1 2021-0.6%+1.1%+0.7%
Q4 2020-5.0%-2.5%+4.1%
Q3 2020+0.2%+5.6%-2.0%
Q2 2020-0.4%-0.1%+0.8%
Q1 2020-0.1%+1.2%+4.2%
Q4 2019+2.0%+0.4%-20.9%
Q3 2019-2.2%-1.6%-2.7%
Q2 2019+4.9%+5.0%+11.1%
Q1 2019+1.3%+2.9%+1.3%
Q4 2018-0.2%-1.1%+7.7%
Q3 2018+0.8%+4.0%+3.0%
Q2 2018-1.1%-1.0%-1.6%
Q1 2018-0.9%+0.1%+0.0%
Q4 2017-5.6%-11.6%-1.4%
Q3 2017+7.1%+5.3%+15.7%
Q2 2017-0.2%+1.7%+11.2%
Q1 2017+2.0%+2.5%+9.2%
Q4 2016+4.1%+3.4%+7.8%
Q3 2016-5.2%-6.4%-15.2%
Q2 2016+2.0%+0.5%+1.0%
Q1 2016-3.9%
Q4 2015-1.1%
Q3 2015-8.6%
Q2 2015+1.0%
Q1 2015-1.2%
Q4 2014+4.1%
Q3 2014-1.7%
Q2 2014-1.2%
Q1 2014+5.7%
Q4 2013-3.2%
Q3 2013+4.0%
Q2 2013-1.0%
Q1 2013+1.1%
Q4 2012+1.0%
Q3 2012+0.4%
Q2 2012+0.1%
Q1 2012-0.4%
Q4 2011+1.6%
Q3 2011-1.7%
Q2 2011-9.6%
Q1 2011+2.1%
Q4 2010-0.8%
Q3 2010-2.1%
Q2 2010+1.6%
Q1 2010+3.0%

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