American Tower Corporation (NYSE: AMT) this morning reported its total first quarter revenue increased 19.4 percent to $1.29 billion during the first quarter that ended March 31, 2016. The global giant said its U.S. revenue grew 19 percent to $852 million while International revenue was up 21 percent to $416 million. The company saw its business in Latin America grow 5.7 percent, Europe, Middle East and Africa increase 71 percent respectively, and Asia business increased 11 percent. Its small services segment grew 24% to $21 million.
“The global proliferation of Smartphones is driving significant growth in subscriber demand for higher bandwidth applications,” said American Tower’s CEO Jim Taiclet. “As a result, during the first quarter, we continued to experience solid leasing demand across our served markets as mobile operators invest in their networks to manage key performance factors, including coverage, capacity and peak network speed.
Taiclet noted that the company closed on its deal to buy 51 percent and a controlling interest of India’s Viom which he described as “our latest step in our strategic initiative to diversify our operations and further establish the Company as a leading global provider of communications real estate in key free market democracies around the globe. We remain focused on pursuing disciplined investments like Viom as we aim to simultaneously increase return on invested capital and generate double digit growth in both our AFFO per Share and dividend. We believe this strategy will drive compelling returns for stockholders over the long term.”
For the current year, American Tower raised its revenue outlook and is expecting double-digit percentage growth in key revenue metrics to continue. The company has posted at least 10% growth in quarterly and annual revenue since 2010, reported Dow Jones Newswires.
The company expects total property revenue, which doesn’t include its small services segment, to be between $5.59 billion and $ 5.72 billion, or about 21% growth at the midpoint. It expected growth of between $5.54 billion and $5.68 billion. This morning, it reaffirmed net income expectations, calling for net income of between $1.01 billion and $1.12 billion.
In the quarter, the company posted a profit of $275.2 million, or 58 cents a share, up from $193.3 million, or 45 cents a share, a year prior.
Adjusted funds from operations rose to $1.41 a share from $1.25.
AMT shares closed up Friday 75 cents, to $104.88.