Boston-based American Tower Corp. said in a recent report that significant network investment initiatives revealed by the major US wireless carriers, coupled with aggressive network deployments in key markets such as Mexico and Brazil, enabled the company to drive Consolidated AFFO per Share growth of nearly 10% in the first quarter while growing its common stock dividend by approximately 21%.
Jim Taiclet, American Tower’s CEO, stated, “The strong demand we experienced in late 2017 for our telecommunications real estate further accelerated in the US as well as in our Latin America and EMEA regions in the first quarter of 2018.”
Notably, Taiclet explained, record levels of new business commencements, along with a robust pipeline of applications for both amendments and new colocations “resulted in our increase in expectations for full year US Organic Tenant Billings Growth to approximately 6.5% in 2018.”
According to Taiclet, he remains confident that the “US macro tower business, complemented by our franchise small cell installations, extensive international portfolio and emerging innovation initiatives will continue to drive strong growth and attractive total returns for many years to come.”
The company’s Q1 report said that it was raising the midpoint of its full year 2018 outlook for consolidated AFFO by $20 million. The company’s outlook reflects estimated unfavorable impacts from foreign currency exchange rate fluctuations to property revenue, Adjusted EBITDA and Consolidated AFFO, of approximately $24 million, $10 million and $7 million, respectively, as compared to the company’s prior 2018 outlook.
According to the Q1 report, the impact of foreign currency rate fluctuations on net income is not provided, as the impact on all components of the net income measure cannot be calculated without unreasonable effort.