SBA Communications Corporation (NASDAQ::SBAC) late yesterday reported results for the quarter ended September 30, 2025. President and Chief Executive Officer, Brendan Cavanagh, announced a “positive quarter” of financial and operating results.
“Our carrier customers continued to invest meaningfully in the third quarter,” Cavanagh said, “leasing space on our sites as they expand and densify their networks. The results in our services business also reflected significant network investment, primarily from construction projects focused on network expansion. Internationally, we benefited from solid leasing demand, inflation-linked escalators and stronger foreign currency rates than previously assumed.”
Cavanagh said the company closed its Canadian tower sale in October, earlier than expected, and it completed the final closings of all of the remaining Central American sites purchased from Millicom, also in October. The timing of these events negatively impacted SBA’s updated full year outlook, according to Cavanagh, but said it represented a meaningful step in their portfolio review.
SBA reported it will be officially revising its stated target leverage range to 6.0x to 7.0x net debt to LQA Adjusted EBITDA, although they have been operating within this range for nearly three years. “This new target range,” Cavanagh said, “will allow SBA to transition into an investment-grade Company, unlock access to the deepest debt market available, strengthen our balance sheet even further, and reduce borrowing costs over the long term, all while maintaining our ability to deploy capital towards acquisitions and share repurchases.”
“Speaking of share repurchases, we were active during and subsequent to the third quarter, spending $194 million to repurchase and retire nearly a million shares,” the CEO said. “And lastly, we are very excited to announce our newly signed long-term master lease agreement with Verizon. We look forward to partnering with Verizon over the next decade to accelerate the rollout of next generation wireless services to their customers through their use of SBA’s vast portfolio to achieve their network advancement goals.” (see top story)
In addition, the company announced that its Board of Directors has declared a quarterly cash dividend of $1.11 per share of the Company’s Class A Common Stock.
Highlights of the third quarter include:
- Net income of $240.4 million or $2.20 per share
- Industry-leading AFFO per share of $3.30
- Closed on the remaining sites from our previously announced deal with Millicom
- Completed the sale of our towers held in Canada subsequent to quarter end
- Repurchased 958 thousand shares throughout the quarter and subsequent to quarter end
- Entered into a long-term master-lease agreement with Verizon