SBA Communications Raises AFFO Outlook as Third-Quarter Revenue Falls

SBA Communications raised its 2026 adjusted funds from operations (AFFO) forecast even as revenue fell in the third quarter, with a decline in site development revenue outweighing growth in site leasing. Revenue for the quarter ended Sept. 30 totaled $713.924 million, down about 2.5% from $732.327 million a year earlier.

AFFO was $3.19 per share, compared with $3.30 in the third quarter of 2025. Net income attributable to SBA was $231.3 million, or $2.19 per share.

Site leasing revenue increased to $665.354 million from $656.427 million. Site development revenue dropped to $48.570 million from $75.900 million, a decline of about 36% that pulled down the total.

SBA’s updated 2026 forecast puts AFFO per share between $12.15 and $12.37. That range raises the midpoint by $0.08 from the company’s Aug. 3 outlook. The company lowered its full-year revenue forecast to $2.833 billion to $2.858 billion, reducing the midpoint by $18 million.

Sales of SBA’s towers in Chile and Ecuador account for about $10 million of the reduction in projected site leasing revenue and $4 million in adjusted EBITDA.

“Demand for our tower assets remains strong as wireless carriers continue to expand and upgrade their networks,” said Brendan Cavanagh, SBA’s president and CEO.

SBA owned or operated 45,252 wireless communication sites at Sept. 30. Of those, 17,340 were in the United States and its territories, while 27,912 were international sites.