Crown Castle's Q3 AFFO Top Estimates, Site-Rental Revenues Rise

Crown Castle Inc.’s CCI third-quarter 2024 adjusted funds from operations (AFFO) per share of $1.84 surpassed the Zacks Consensus Estimate of $1.80. Net revenues of $1.65 billion outpaced the Zacks Consensus Estimate of $1.64 billion.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.AFFO per share reported a 4% increase year over year. However, net revenues fell marginally year over year. Crown Castle Inc. Price, Consensus and EPS Surprise Crown Castle Inc. price-consensus-eps-surprise-chart | Crown Castle Inc. Quote Site-Rental Revenues IncreaseCCI’s total site-rental revenues rose 1% year over year to $1.59 billion in the third quarter of 2024. The figure was higher than our estimate of $1.58 billion. The upside was driven by an increase in fiber segment site rental revenues.Site-rental revenues in the towers segment declined 1% year over year to $1.06 billion. It was also lower than our estimate of $1.08 billion. The year-over-year decrease was due to lower amortization of prepaid rent and straight-lined revenues.Site-rental revenues in the fiber segment increased 5.4% year over year to $530 million. It was higher than our estimate of $503.3 million. The rise was mainly due to the increase in site rental billings.However, services and other revenues came in at $59 million, which plunged 34.4% from the prior-year quarter. However, it was higher than our estimate of $52.8 million.Cost of Operations FallCCI’s quarterly site-rental cost of operations increased 2.4% year over year to $430 million. The figure was higher than our estimate of $421.1 million.The company reported services and other cost of operations of $30 million in the quarter. It decreased 54.5% from the prior-year quarter. It was slightly lower than our estimate of $30.5 million.Financial PositionCrown Castle exited the third quarter of 2024 with cash and cash equivalents of $194 million, up from $155 million reported as of June 30, 2024. Moreover, debt and other long-term obligations aggregated $23.45 billion as of Sept. 30, 2024, increasing 2.6% sequentially.2024 GuidanceCrown Castle maintained its guidance for 2024 AFFO per share in the range of $6.91-$7.02. The Zacks Consensus Estimate is pegged at $6.98, which is within the guided range.Site rental revenues are expected to be between $6.317-$6.362 billion, while the adjusted EBITDA is estimated to be in the band of $4.143-$4.193 billion.Crown Castle currently carries a Zacks Rank #2 (Buy).Upcoming Earnings ReleasesWe now look forward to the earnings releases of other REITs like Alexandria Real Estate Equities ARE and Highwoods Properties HIW, slated to report on Oct. 21 and Oct. 22, respectively. Meanwhile, Cousins Properties CUZ is scheduled to report on Oct. 24.The Zacks Consensus Estimate for Alexandria’s third-quarter 2024 FFO per share stands at $2.38, indicating a 5.3% rise year over year. ARE currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The Zacks Consensus Estimate for Highwoods’ third-quarter 2024 FFO per share is pegged at 88 cents, implying a 5.4% year-over-year decrease. HIW currently carries a Zacks Rank #3.The Zacks Consensus Estimate for Cousins Properties’ third-quarter 2024 FFO per share is pegged at 67 cents, which suggests a year-over-year increase of 3.1%. CUZ currently carries a Zacks Rank #3.Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Highwoods Properties, Inc. (HIW): Free Stock Analysis Report Crown Castle Inc. (CCI): Free Stock Analysis Report Cousins Properties Incorporated (CUZ): Free Stock Analysis Report Alexandria Real Estate Equities, Inc. (ARE): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks