HOUSTON - Crown Castle Inc. (NYSE: NYSE:CCI) announced its second-quarter earnings, slightly surpassing analyst expectations with an EPS of $0.58, a cent higher than the estimated $0.57.
The company's revenue reached $1.63 billion, also exceeding the consensus estimate of $1.62 billion. Despite the earnings beat, the company's stock experienced a marginal decline of 0.59%.
The communications infrastructure provider maintained its full-year 2024 outlook, signaling confidence in its business strategy and future performance. Crown Castle's CEO, Steven Moskowitz, highlighted the company's consistent business results and the successful implementation of operational changes aimed at improving investment outcomes, particularly in the small cell and fiber solutions segments. These changes, which included a reduction in staffing levels and field office locations, are expected to yield approximately $100 million in annualized operating cost savings.
Crown Castle's results for the quarter showed a 9% decrease in site rental revenues compared to the same period last year, primarily due to the impact of Sprint Cancellations. Net income for the quarter was $251 million, a significant drop from $455 million in the second quarter of 2023. The company attributed the decrease to lower site rental revenues and higher interest expenses.
Dan Schlanger, Crown Castle's CFO, emphasized the resilience of the company's top-line growth and the strength of its balance sheet. With 89% fixed-rate debt and a weighted average maturity of 7 years, Crown Castle appears well-positioned to navigate the market while continuing to serve its customers and shareholders effectively.
Looking ahead, Crown Castle expects organic revenue growth of 4.5% in towers, 2% in fiber solutions, and double digits in small cells for the full year of 2024, adjusted for the impact of Sprint Cancellations. The company's full-year 2024 outlook remains unchanged, with site rental billings projected between $5.74 billion and $5.78 billion.
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