Crown Castle Inc. · NYSE:CCI
Crown Castle — Q2 2013 Earnings Presentation
9 slides from Crown Castle's earnings presentation, Jul 25, 2013
Slide 1: Second Quarter 2013 Earnings Conference Call
Second Quarter 2013 Earnings Conference Call July 25, 2013
Slide 2: Cautionary Information
Cautionary Information This presentation contains forward-looking statements and information that are based on management’s current expectations. Such statements may include projections, Outlook and estimates regarding (i) carrier network strategies, (ii) demand for mobile technology and our sites a
Slide 3: Executive Summary
Executive Summary Exceeded Q2 2013 Outlook for site rental gross margin, Adjusted EBITDA, AFFO and AFFO per share Raised full-year 2013 Outlook for site rental gross margin, Adjusted EBITDA and AFFO T-Mobile towers integration substantially completed 3
Slide 4: Q2 2013 Highlights
Q2 2013 Highlights ($ in millions, except per share amounts) Site Rental Revenues $617 AFFO per share increased 41% from Q2 2012 $518 $457 $377 $410 AFFO outperformance driven by higher than expected $349 ↑19% services margin contribution, $2 million benefit from non-recurring revenue items and
Slide 5: Capital Expenditure Summary
Capital Expenditure Summary Q2 2013 Capital Deployment Land purchase program ($ in millions) – 77% of site rental gross margin is generated on Acquisitions $14.5 land owned or controlled for 20+ years – 36% of site rental gross margin generated from Share Purchases $75.3 towers on owned land – Ave
Slide 6: Full Year 2013 Outlook
Full Year 2013 Outlook ($ in millions, except per share amounts) Site Rental Revenues $2,471 Site Rental Gross Margin to $2,481 $2,471 $2,124 to $1,854 $2,481 $1,701 $1,585 $1,403 $1,543 ↑17% $1,234 $1,372 $946 $1,087 ↑11% 12% CAGR 13% CAGR 2008 2009 2010 2011 2012 2013E 2008 2009 2010 2011 2012 201
Slide 7: Full Year 2013 Outlook (cont'd)
Full Year 2013 Outlook (cont’d) ($ in millions) AFFO 2013 Investment Capacity Available for investments, including: – Share purchases – Small cell builds – Acquisitions ~$500 – Land purchases $1,187 $1,187 to to $1,197 $1,197 $886 $737 ~$700 2011 2012 2013E AFFO Guidance Projected Remaining Capex
Slide 8: Illustrative Lease Example
Illustrative Lease Example Tower (pictured) located near Phoenix, AZ One of the Big 4 carriers installed during Q2 ’13 Carrier signed 10-year lease with fixed annual escalation provision and a prepaid rent component $60,000 Prepaid rent is amortized and recognized as revenue over the life of t
Slide 9: Existing U.S. Tenant Leases
Existing U.S. Tenant Leases ($ in millions) $3,000 $2,500 Graph assumes 100% of leases are renewed at the term end dates $2,000 Graph does not assume any additional amendment activity, new $1,500 tenant activity, or receipt of prepaid rent $1,000 For leases escalating at CPI, graph assumes 3%