SBA Communications (NASDAQ: SBAC) reported Q1 EPS of $0.23, $0.01 better than the analyst estimate of $0.22. Revenue for the quarter came in at $493.3 million versus the consensus estimate of $481.89 million.

• Strong leasing and services results
• Net income of $26.0 million or $0.23 per share
• AFFO per share growth of 14.6% over the year earlier period on a constant currency basis
• Increased 2019 Outlook for Revenue, Adjusted EBITDA and AFFO

“We had a great start to 2019,” commented Jeffrey A. Stoops, President and CEO. “Our customers rolled into the new year with the continued strong levels of activity we saw in the second half of 2018, and that level of activity continues. In the U.S., both our leasing and our services results in the first quarter were ahead of expectations, contributing to the increase in our full year Outlook. Internationally, leasing activity remains strong as well, with changes in the International Outlook driven entirely by foreign currency movements. Against this favorable demand environment, we executed very well and produced material growth in AFFO per share. We believe 2019 is shaping up to be another strong year for SBA.”

GUIDANCE:

SBA Communications sees FY2019 revenue of $1.943-1.983 million, versus the consensus of $1.95 million.

Outlook

The Company is updating its full year 2019 Outlook for anticipated results. The Outlook provided is based on a number of assumptions that the Company believes are reasonable at the time of this press release. Information regarding potential risks that could cause the actual results to differ from these forward-looking statements is set forth below and in the Company’s filings with the Securities and Exchange Commission.

The Company’s full year 2019 Outlook assumes the acquisitions of only those communication sites under contract and anticipated to close at the time of this press release. The Company may spend additional capital in 2019 on acquiring revenue producing assets not yet identified or under contract, the impact of which is not reflected in the 2019 guidance. The Outlook also does not contemplate any repurchases of the Company’s stock during 2019. The Outlook contemplates one new financing during the third quarter of 2019 to refinance the Company’s 2014-1C Tower Securities. The assumed interest rate of this new financing is 4.25%. There are no additional new financings contemplated in our 2019 Outlook.

The Company’s Outlook assumes an average foreign currency exchange rate of 3.90 Brazilian Reais to 1.0 U.S. Dollar and 1.33 Canadian Dollars to 1.0 U.S. Dollar throughout the last three quarters of 2019. When compared to the Company’s initial full year 2019 Outlook provided February 21, 2019, the variances in the actual first quarter foreign currency exchange rates versus the Company’s assumptions, and the changes in the Company’s foreign currency rate assumptions for the remainder of the year negatively impacted the full year 2019 Outlook by approximately $4.5 million for Site Lease Revenue, $3.0 million for Tower Cash Flow, and $2.7 million for Adjusted EBITDA and AFFO.

For earnings history and earnings-related data on SBA Communications (SBAC) click here.