Crown Castle reported third quarter 2026 results that fell short of analyst estimates for revenue and EPS, reflecting the company's first full quarter as a pure-play U.S. tower operator following the $8.4 billion divestiture of its fiber and small cell businesses. While top-line figures missed expectations, the company benefited from reduced interest expenses and a lower share count funded by sale proceeds.
Key Highlights
- Site rental revenues of $966 million declined 5% year-over-year, heavily impacted by $61 million in DISH terminations and $5 million in Sprint cancellations.
- Core organic site rental growth was 3.8% when excluding DISH revenue, failing to meet the 4.5% estimate and declining from 4.1% in the prior-year period.
- Adjusted Funds From Operations (AFFO) per share grew 11% to $1.24, driven by a significant reduction in interest expense following debt repayment from divestiture proceeds.
- Management raised full-year 2026 Adjusted EBITDA guidance by $25 million to $2.715 billion at the midpoint, citing increased ground lease buyouts and operational efficiencies.