Crown Castle Inc. operates as a leading provider of shared communications infrastructure across the United States. The company’s portfolio comprises over 40,000 cell towers, approximately 105,000 small cells, and around 90,000 route miles of fiber, servicing major networks and increasing demand for data. Through a strategic move, Crown Castle intends to sell its fiber segment to EQT Active Core Infrastructure Fund and Zayo Group Holdings for a total of $8.5 billion, aiming to solidify its operations as a pure-play tower company.

For the fourth quarter of 2024, Crown Castle reported revenue of $1.649 billion, a decrease from $1.674 billion the previous year. The full-year site rental revenue was $6.358 billion, down from $6.532 billion in 2023, marking a 2.7% decline. Net income for 2024 was ($3.903) billion, impacted primarily by a goodwill impairment charge of approximately $5 billion. The company’s adjusted EBITDA for 2024 was $4.161 billion, decreased from $4.415 billion in 2023. Additionally, adjusted funds from operations (AFFO) for the full year totaled $3.040 billion, an 8% drop compared to the previous year.

Crown Castle achieved a consolidated organic growth rate of 4.5% for the quarter, driven by strong demand across its tower and small cell segments. In particular, the small cell segment’s organic growth was notable at 12%, attributed to over 12,500 revenue-generating nodes added during the year, a record for the company. Capital expenditures reached $1.222 billion for the year, consisting of $1.1 billion for fiber improvements and $100 million for tower investments.

The company’s 2025 financial guidance has adjusted expectations for site rental revenues to between $3.987 billion and $4.032 billion, factoring in the anticipated impact of ongoing Sprint cancellations, expected to result in approximately $205 million in churn. Adjusted EBITDA for 2025 is projected between $2.755 billion and $2.805 billion, while AFFO is estimated to range from $1.770 billion to $1.820 billion. Furthermore, Crown Castle plans to reduce its annual dividend to approximately $4.25 per share starting in the second quarter of 2025.

Following the planned sale of the fiber segment, Crown Castle anticipates using the generated cash proceeds to alleviate debt, thereby enhancing financial stability. The firm aims to maintain an investment-grade rating, targeting leverage between 6.0x and 6.5x after closing the transaction, expected in early 2026. Notably, the company has announced a share repurchase program of approximately $3 billion post-transaction, reinforcing its commitment to returning capital to shareholders.