Two tower companies, SpectraSite Inc. and Crown Castle International Corp., reported improved quarterly financials.
SpectraSite reported improved second-quarter financial results and announced the search is on for a new chief financial officer.
The company said revenues reached $87.4 million, up from $77.6 million from the second quarter last year. Operating income was $22.3 million, up from $14.4 million a year ago. Net income came in at $6.3 million, or 13 cents per share, compared with a net loss of $7.6 million, or 16 cents per share, in the year-ago period.
EBITDA, which SpectraSite defines as net income before depreciation, amortization and accretion expenses, interest, and income tax expenses, reached $47.3 million, also up from $37.9 million last year. Net cash totaled $43.7 million vs. $20.6 million last year, and free cash flow, defined as net cash provided by operating activities less purchases of property and equipment, was $32.9 million compared with $16.7 million last year.
Same site year-over-year revenue growth was 10 percent. SpectraSite ended the quarter with 7,604 towers and in-building systems.
Along with its earnings, SpectraSite announced David Tomick, chief financial officer, executive vice president and assistant secretary, has left the company. Gabriela Gonzalez, senior vice president and chief accounting officer, and Steven Lilly, vice president of finance and treasurer, will serve as interim co-CFOs while the company conducts a search to fill the position.
SpectraSite continues to fulfill its agreement with SBC Communications Inc., under which it agreed to lease up to 600 SBC towers between May 2003 and August 2004. SpectraSite leased seven towers during the second quarter and said it is committed to leasing an additional 467 during 2004.
Not including possible SBC tower acquisitions, SpectraSite raised its full-year 2004 revenue guidance to between $345 million and $349 million as opposed to previous predictions of $342 million to $348 million.
Crown Castle International’s second-quarter 2004 earnings are the first set to reflect the company’s U.K. business as discontinued operations, pending the closing of that previously announced sale.
Revenue from site rental came in at $130.2 million, up 11.6 percent from a year ago. U.S. site rental revenue alone increased 8.3 percent to $119.7 million.
Meanwhile, operating income reached $3.5 million, improved from a loss of $10 million a year ago. Net loss was $39.6 million, or 22 cents per share, improved from a loss of $80.8 million, or 47 cents per share, last year. Net cash from operating activities was $35.2 million, and free cash flow was $22.6 million.
The company increased its 2004 site rental revenue guidance from between $524 million and $528 million to between $525 million and $530 million. For 2005, the company expects site rental revenue to be between $565 million and $575 million.
