Wireless communications towers operator Crown Castle International Corp. (CCI) reported a 43% jump in earnings during the third quarter as acquisitions and straight-lined revenues growth drove site rental revenues higher. The top and bottom line came in ahead of analysts’ expectations.
Net income climbed 43% to $164 million, or $0.33 per share, while adjusted funds from operations increased to $579 million from $459 million a year ago. The adjusted FFO benefited from certain sustaining capital expenditures that did not occur during the third quarter and is now expected to occur during the fourth quarter.
Net revenue grew 29% to $1.38 billion.
The company’s board of directors declared a quarterly cash dividend of $1.125 per common share, representing an increase of 7% over the previous dividend of $1.05 per share. The dividend will be payable on December 31, 2018, to stockholders of record at the close of business on December 14, 2018.
Looking ahead into the fourth quarter, the company expects site rental revenues in the range of $1.189 billion to $1.199 billion and net income of $201 million to $226 million. Adjusted funds from operations are anticipated to be in the range of $591 million to $601 million.
For the full year 2018, Crown Castle raised site rental revenues outlook to the range of $4.696 billion to $4.706 billion from the prior estimate of $4.673 billion to $4.703 billion, and net income guidance to the range of $659 million to $684 million from previous range of $603 million to $663 million. Adjusted funds from operations are now anticipated to be $2.273 billion to $2.283 billion.
The company issued guidance for the full year 2019, with the site rental revenues is estimated to be $4.898 billion to $4.943 billion. Net income is expected to be between $738 million and $818 million, while adjusted FFO is predicted to be $2.413 billion to $2.458 billion.
Shares of Crown Castle ended Wednesday’s regular session down 0.10% at $106.79 on the NYSE. The stock has fallen over 3% in the year so far, while it has risen over 5% in the past year.