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American Tower Corp. Increases Revenue by 7.1% in Q2

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Boston-based American Tower Corp. recently reported results for the quarter ended June 30, 2018 and according to Jim Taiclet, the firm’s CEO, “The rapid adoption of unlimited data plans in the U.S. wireless market has elevated aggregate year-over-year mobile data usage growth to roughly 40%. This is in turn fueling record levels of U.S. commenced new business for American Tower, resulting in Organic Tenant Billings Growth of 7.4% in the second quarter.”

Furthermore, Taiclet continues, “given this robust data growth, deployment of new spectrum and the introduction of advanced technology across our U.S. tenant base, we are increasing our full year 2018 expectations for U.S. Organic Tenant Billings Growth to approximately 7%. We also anticipate a multiyear period of elevated demand in the U.S. as our tenants invest in 4G capacity and quality while launching mobile 5G networks, enhanced Internet of Things services and other initiatives that we expect will sustain demand for our comprehensive telecommunications real estate portfolio.”

He explains that the REIT’s Latin America segment posted second quarter Organic Tenant Billings Growth in excess of 12%, reflecting especially strong trends in Mexico and Brazil, and he says the firm also saw consistent, steady results in EMEA.

“In India, where we recently added approximately 20,000 Vodafone and Idea Cellular sites, the carrier consolidation process is progressing as we anticipated. We fully expect the reordered India mobile industry to invest significantly to bring 4G to its subscriber base once the carrier mergers that are underway are completed. Taken together, we expect our highly diversified international business to deliver strong, sustainable growth for many years to come.”