American Tower Corp (NYSE: AMT) has released its Q3 2024 results for the quarter ending on 30 September 2024, showing a mixed performance across key metrics. Adjusted EBITDA declined by approximately 1% year on year, although growth excluding non-cash straight-line items was just over 2%. The company’s Adjusted Funds from Operations (AFFO) attributable to common stockholders grew 2.6%, reflecting solid financial stability.
Property revenue fell 1% year on year but showed a slight increase of nearly 1% when excluding non-cash revenue. Organic tenant billings saw robust growth, rising over 5% overall, with 5% growth in the U.S. and Canada, and 5.7% internationally.
The data centre segment was a bright spot, reporting more than 10% revenue growth. Meanwhile, over 100 new sites were constructed in Europe, contributing to a total of 500 new sites globally. Despite facing foreign exchange headwinds, which impacted adjusted EBITDA by 3%, and a US$13 mn reserve due to bankruptcy provisions in Colombia, American Tower's outlook remains positive. S&P upgraded the company’s credit rating to BBB flat, and full-year forecasts for property revenue and adjusted EBITDA were revised upwards.
A dividend of US$6.48 per share is planned, with growth expected to resume in 2025. The successful sale of ATC India has also helped reduce debt and improve portfolio quality.
