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Total revenues rose 2.5% year over year to $2.79 billion, outpacing the consensus mark of $2.77 billion. The company raised its 2026 FFO outlook.
Results benefited from consistent global tower leasing demand and strong data center growth, partially offset by DISH-related churn. Organic tenant billings grew 1.1%, or approximately 4%, excluding DISH churn.
AMT's Property Portfolio Supports Revenue Growth
Total property revenues increased 4.5% year over year to $2.73 billion from $2.62 billion, reflecting steady demand across the communications infrastructure portfolio.
Total tenant billings increased 1.7%, or $34 million, while organic tenant billings rose by $22 million. Property gross margin expanded 2.5% to $2.01 billion, with the gross margin standing at 73.5%.
However, property operating expenses climbed 10.3% to $724.9 million, outpacing revenue growth and putting pressure on property-level profitability.
American Tower Benefits From Strong Data Center Demand
Data center revenues increased 17.4% year over year to $313 million from $266.6 million. Cash revenues advanced 16.3%, reflecting continued demand for CoreSite's interconnection-focused data center platform.
The segment's operating profit increased to $165.1 million from $140 million, while its operating profit margin stood at 52.7%. Strong performance reflected sustained demand for digital infrastructure supporting hybrid cloud adoption and artificial intelligence applications.
Management highlighted CoreSite's continued outperformance as a major factor behind the improved full-year property revenue outlook.
AMT Witnesses Mixed Regional Leasing Trends
U.S. & Canada property revenues declined 3.3% year over year to $1.28 billion. Organic tenant billings remained flat on a reported basis but increased approximately 4%, excluding DISH churn. Regional operating profit declined to $1.01 billion from $1.06 billion.
Latin America revenues grew 10.4% to $460 million, although organic tenant billings declined 2.1%. Africa & APAC revenues increased 15.4% to $428 million, supported by 8.2% organic tenant billings growth.
Europe revenues improved 5.9% to $258 million, with organic tenant billings increasing 4.2%. The international businesses helped offset weaker reported performance in the company's largest geographic segment.
AMT Generates Stable Cash Flow, Expands Buybacks
Cash provided by operating activities declined 4.6% year over year to $1.39 billion. However, total cash capital expenditures decreased 14.6% to $407 million, allowing free cash flow to increase marginally to $986 million.
American Tower repurchased approximately 1.8 million shares for $315 million during the quarter. Following the quarter-end, through Oct. 20, 2026, AMT repurchased approximately 0.4 million shares for $68 million, including fees and commissions.
American Tower Maintains Financial Flexibility
AMT ended September with net debt of $35.71 billion and a net leverage ratio of 4.9 times annualized adjusted EBITDA, unchanged from the preceding quarter.
Total liquidity increased to approximately $10.6 billion from $9.9 billion at June-end, comprising $1.9 billion in cash and $8.7 billion available under revolving credit facilities.
During the quarter, the company issued $1.6 billion of senior unsecured notes. It also entered into an agreement to divest its Canadian subsidiaries for approximately $202 million, with closing expected in the fourth quarter.
AMT Raises Its 2026 Property Revenue and AFFO Outlook
American Tower raised the midpoint of its 2026 property revenue outlook. Property revenues are now projected between $10.79 billion and $10.87 billion, reflecting approximately 5% year-over-year growth at the midpoint.
The company increased its AFFO per share guidance to $11.04-$11.16, raising the midpoint by 2 cents.
Crown Castle Inc. (CCI - Free Report) reported third-quarter 2026 adjusted FFO per share of $1.24, up 10.7% year over year. The metric surpassed the Zacks Consensus Estimate of $1.20 by 3.3%. Results benefited from lower interest expenses.
Prologis (PLD - Free Report) reported third-quarter 2026 core FFO per share of $1.60, outpacing the Zacks Consensus Estimate of $1.58. Results benefited from higher rental revenues, steady leasing demand and improved occupancy levels.
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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AMT Q3 AFFO & Revenues Rise on Steady Demand, 2026 Outlook Raised
Key Takeaways
American Tower Corporation (AMT - Free Report) reported third-quarter 2026 adjusted funds from operations (AFFO) per share of $2.87, surpassing the Zacks Consensus Estimate of $2.84. The metric increased 3.2% from the year-ago quarter.
Total revenues rose 2.5% year over year to $2.79 billion, outpacing the consensus mark of $2.77 billion. The company raised its 2026 FFO outlook.
Results benefited from consistent global tower leasing demand and strong data center growth, partially offset by DISH-related churn. Organic tenant billings grew 1.1%, or approximately 4%, excluding DISH churn.
AMT's Property Portfolio Supports Revenue Growth
Total property revenues increased 4.5% year over year to $2.73 billion from $2.62 billion, reflecting steady demand across the communications infrastructure portfolio.
Total tenant billings increased 1.7%, or $34 million, while organic tenant billings rose by $22 million. Property gross margin expanded 2.5% to $2.01 billion, with the gross margin standing at 73.5%.
However, property operating expenses climbed 10.3% to $724.9 million, outpacing revenue growth and putting pressure on property-level profitability.
American Tower Benefits From Strong Data Center Demand
Data center revenues increased 17.4% year over year to $313 million from $266.6 million. Cash revenues advanced 16.3%, reflecting continued demand for CoreSite's interconnection-focused data center platform.
The segment's operating profit increased to $165.1 million from $140 million, while its operating profit margin stood at 52.7%. Strong performance reflected sustained demand for digital infrastructure supporting hybrid cloud adoption and artificial intelligence applications.
Management highlighted CoreSite's continued outperformance as a major factor behind the improved full-year property revenue outlook.
AMT Witnesses Mixed Regional Leasing Trends
U.S. & Canada property revenues declined 3.3% year over year to $1.28 billion. Organic tenant billings remained flat on a reported basis but increased approximately 4%, excluding DISH churn. Regional operating profit declined to $1.01 billion from $1.06 billion.
Latin America revenues grew 10.4% to $460 million, although organic tenant billings declined 2.1%. Africa & APAC revenues increased 15.4% to $428 million, supported by 8.2% organic tenant billings growth.
Europe revenues improved 5.9% to $258 million, with organic tenant billings increasing 4.2%. The international businesses helped offset weaker reported performance in the company's largest geographic segment.
AMT Generates Stable Cash Flow, Expands Buybacks
Cash provided by operating activities declined 4.6% year over year to $1.39 billion. However, total cash capital expenditures decreased 14.6% to $407 million, allowing free cash flow to increase marginally to $986 million.
American Tower repurchased approximately 1.8 million shares for $315 million during the quarter. Following the quarter-end, through Oct. 20, 2026, AMT repurchased approximately 0.4 million shares for $68 million, including fees and commissions.
American Tower Maintains Financial Flexibility
AMT ended September with net debt of $35.71 billion and a net leverage ratio of 4.9 times annualized adjusted EBITDA, unchanged from the preceding quarter.
Total liquidity increased to approximately $10.6 billion from $9.9 billion at June-end, comprising $1.9 billion in cash and $8.7 billion available under revolving credit facilities.
During the quarter, the company issued $1.6 billion of senior unsecured notes. It also entered into an agreement to divest its Canadian subsidiaries for approximately $202 million, with closing expected in the fourth quarter.
AMT Raises Its 2026 Property Revenue and AFFO Outlook
American Tower raised the midpoint of its 2026 property revenue outlook. Property revenues are now projected between $10.79 billion and $10.87 billion, reflecting approximately 5% year-over-year growth at the midpoint.
The company increased its AFFO per share guidance to $11.04-$11.16, raising the midpoint by 2 cents.
AMT’s Zacks Rank
American Tower currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
American Tower Corporation Price, Consensus and EPS Surprise
American Tower Corporation price-consensus-eps-surprise-chart | American Tower Corporation Quote
Performance of Other REITs
Crown Castle Inc. (CCI - Free Report) reported third-quarter 2026 adjusted FFO per share of $1.24, up 10.7% year over year. The metric surpassed the Zacks Consensus Estimate of $1.20 by 3.3%. Results benefited from lower interest expenses.
Prologis (PLD - Free Report) reported third-quarter 2026 core FFO per share of $1.60, outpacing the Zacks Consensus Estimate of $1.58. Results benefited from higher rental revenues, steady leasing demand and improved occupancy levels.
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.