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Lamar posted 8.1% AFFO-per-share growth as Q2 revenues rose 6.5% to $616.7 million.
Adjusted EBITDA climbed 9% to $303.4 million, while operating cash flow rose 10%.
Lamar raised 2026 AFFO-per-share guidance to $8.75-$8.90 after strong Q2 performance.
Lamar Advertising Company (LAMR - Free Report) posted second-quarter 2026 adjusted funds from operations (AFFO) per share of $2.40, up 8.1% year over year and above the Zacks Consensus Estimate of $2.30 by 4.3%. Net revenues of $616.7 million rose 6.5% and topped the consensus mark of $608 million by 1.4%.
Results reflected solid revenue growth and stronger profitability. With second-quarter performance exceeding its expectations and strong pacing for the balance of 2026, Lamar raised its full-year AFFO per-share guidance.
LAMR's Revenue Growth Supports Q2 Performance
On an acquisition-adjusted basis, revenues rose 6.1%, indicating that growth remained healthy after adjusting the prior-year period for acquisitions and divestitures.
Operating income advanced 5.2% year over year to $208 million from $197.7 million. Net income increased 6.2% to $164.6 million.
LAMR Delivers Stronger EBITDA Growth
Adjusted EBITDA climbed 9% to $303.4 million from $278.4 million in the year-ago period. Outdoor operating income increased 8.4% to $331.3 million, underscoring operating gains alongside the higher revenue base.
Reported direct advertising and general and administrative expenses rose 4.2% to $285.5 million. On an acquisition-adjusted basis, those expenses increased 5.3%. Corporate expenses were $27.9 million, up 3.1%, while acquisition-adjusted consolidated expenses increased 5.1% to $313.4 million.
LAMR's Cash Generation Improves
Cash flow provided by operating activities rose 10% to $252.4 million from $229.5 million. Free cash flow increased 9.9% to $218.7 million. Total capital expenditures were $42.7 million compared with $38.2 million a year ago, including $21.5 million directed toward digital billboards.
LAMR Maintains Ample Liquidity
Lamar ended the second quarter of 2026 with total liquidity of $720.2 million, comprising $68 million in cash and cash equivalents and $652.2 million available for borrowing under its revolving senior credit facility. The company had $90 million of borrowings outstanding under the revolving credit facility.
The accounts receivable securitization program had $250 million outstanding at quarter-end. As of June 30, 2026, total debt, net of deferred financing costs and including current maturities, was $3.51 billion compared with $3.42 billion at the end of 2025.
LAMR Raises Its 2026 AFFO Outlook
Management raised its 2026 AFFO per-share guidance to $8.75-$8.90. The Zacks Consensus Estimate for AFFO is presently pegged at $8.81 per share.
Cousins Properties Inc. (CUZ - Free Report) reported second-quarter 2026 FFO of 75 cents per share, beating the Zacks Consensus Estimate of 74 cents. The metric rose 7.1% from the year-ago quarter.
Rental property revenues increased 11.8% year over year to $265.7 million and surpassed the consensus mark of $263.6 million. The results reflected strong leasing momentum, higher rental revenues and solid same-property net operating income (NOI) growth.
BXP, Inc. (BXP - Free Report) reported second-quarter 2026 FFO of $1.78 per share, beating the Zacks Consensus Estimate of $1.71. FFO rose 4.1% from the year-ago period.
Lease revenues increased 3.2% year over year to $831.68 million and surpassed the consensus mark of $812.49 million. Results reflected higher occupancy and same-property NOI growth, which supported the FFO beat.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.
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Lamar's Q2 FFO Beat Estimates on Revenue Growth, '26 Guidance Raised
Key Takeaways
Lamar Advertising Company (LAMR - Free Report) posted second-quarter 2026 adjusted funds from operations (AFFO) per share of $2.40, up 8.1% year over year and above the Zacks Consensus Estimate of $2.30 by 4.3%. Net revenues of $616.7 million rose 6.5% and topped the consensus mark of $608 million by 1.4%.
Results reflected solid revenue growth and stronger profitability. With second-quarter performance exceeding its expectations and strong pacing for the balance of 2026, Lamar raised its full-year AFFO per-share guidance.
LAMR's Revenue Growth Supports Q2 Performance
On an acquisition-adjusted basis, revenues rose 6.1%, indicating that growth remained healthy after adjusting the prior-year period for acquisitions and divestitures.
Operating income advanced 5.2% year over year to $208 million from $197.7 million. Net income increased 6.2% to $164.6 million.
LAMR Delivers Stronger EBITDA Growth
Adjusted EBITDA climbed 9% to $303.4 million from $278.4 million in the year-ago period. Outdoor operating income increased 8.4% to $331.3 million, underscoring operating gains alongside the higher revenue base.
Reported direct advertising and general and administrative expenses rose 4.2% to $285.5 million. On an acquisition-adjusted basis, those expenses increased 5.3%. Corporate expenses were $27.9 million, up 3.1%, while acquisition-adjusted consolidated expenses increased 5.1% to $313.4 million.
LAMR's Cash Generation Improves
Cash flow provided by operating activities rose 10% to $252.4 million from $229.5 million. Free cash flow increased 9.9% to $218.7 million. Total capital expenditures were $42.7 million compared with $38.2 million a year ago, including $21.5 million directed toward digital billboards.
LAMR Maintains Ample Liquidity
Lamar ended the second quarter of 2026 with total liquidity of $720.2 million, comprising $68 million in cash and cash equivalents and $652.2 million available for borrowing under its revolving senior credit facility. The company had $90 million of borrowings outstanding under the revolving credit facility.
The accounts receivable securitization program had $250 million outstanding at quarter-end. As of June 30, 2026, total debt, net of deferred financing costs and including current maturities, was $3.51 billion compared with $3.42 billion at the end of 2025.
LAMR Raises Its 2026 AFFO Outlook
Management raised its 2026 AFFO per-share guidance to $8.75-$8.90. The Zacks Consensus Estimate for AFFO is presently pegged at $8.81 per share.
LAMR’s Zacks Rank
Lamar currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Lamar Advertising Company Price, Consensus and EPS Surprise
Lamar Advertising Company price-consensus-eps-surprise-chart | Lamar Advertising Company Quote
Performance of Other REITs
Cousins Properties Inc. (CUZ - Free Report) reported second-quarter 2026 FFO of 75 cents per share, beating the Zacks Consensus Estimate of 74 cents. The metric rose 7.1% from the year-ago quarter.
Rental property revenues increased 11.8% year over year to $265.7 million and surpassed the consensus mark of $263.6 million. The results reflected strong leasing momentum, higher rental revenues and solid same-property net operating income (NOI) growth.
BXP, Inc. (BXP - Free Report) reported second-quarter 2026 FFO of $1.78 per share, beating the Zacks Consensus Estimate of $1.71. FFO rose 4.1% from the year-ago period.
Lease revenues increased 3.2% year over year to $831.68 million and surpassed the consensus mark of $812.49 million. Results reflected higher occupancy and same-property NOI growth, which supported the FFO beat.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.