SBA Communications misses Q3 revenue estimates, lowers 2026 revenue outlook

SBA Communications (SBAC) reported third-quarter revenue of $713.92 million, below the $739.14 million consensus estimate compiled by Finnhub, according to its results release on Nov. 2. Revenue was $732.33 million a year earlier.

The company also lowered its full-year 2026 revenue forecast to a range of $2.83 billion to $2.86 billion. At the midpoint, that is $18.0 million below its Aug. 3 outlook.

Net income attributable to SBA was $231.31 million, or $2.19 per diluted share, compared with $236.82 million, or $2.20 per diluted share, a year earlier.

SBA is an owner and operator of wireless communications infrastructure, with more than 45,000 sites in the Americas and Africa, according to the company’s press release.

Here's how the company did:

• Revenue: $713.92 million vs. $732.33 million a year earlier
• Net income attributable to SBA: $231.31 million vs. $236.82 million a year earlier
• Diluted EPS: $2.19 vs. $2.20 a year earlier
• AFFO per share: $3.19 vs. $3.30 a year earlier

Site leasing revenue rose 1.4% to $665.35 million, while site development revenue fell 36.0% to $48.57 million.

Domestic site leasing revenue fell 3.4% to $454.38 million. International site leasing revenue rose 13.3% to $210.97 million, or 9.8% excluding currency effects.

President and Chief Executive Officer Brendan Cavanagh said: “Demand for our tower assets remains strong as wireless carriers continue to expand and upgrade their networks.”

2026 outlook

The company now expects 2026 total revenue of $2.83 billion to $2.86 billion, Tower Cash Flow of $2.08 billion to $2.10 billion, and Adjusted EBITDA of $1.92 billion to $1.93 billion. At the midpoint, Tower Cash Flow is $10.5 million lower and Adjusted EBITDA is $7.0 million lower than the Aug. 3 outlook.

AFFO per share is forecast at $12.15 to $12.37, up 8 cents from the August outlook at the midpoint.

The company said it sold all of its towers in Chile and Ecuador on Sept. 10 and agreed to sell its Peru towers. The Peru sale is subject to regulatory approval and is expected to close in the fourth quarter. The outlook makes no adjustment for it.

The company said the Chile and Ecuador sale reduced its 2026 outlook by approximately $10.0 million for site leasing revenue.

Capital returns

During the third quarter, SBA repurchased 1.7 million shares for $300.0 million, at an average of $179.68 per share, under a $1.5 billion plan. As of the release date, $0.8 billion of authorization remained.

The board declared a quarterly cash dividend of $1.25 per share, payable Dec. 10 to holders of record on Nov. 12.