Core Points - Crown Castle Inc. will have its CFO, Sunit Patel, present at the 2025 RBC Capital Markets Global Communications Infrastructure Conference on September 17, 2025 [1] - The presentation will be available for live streaming and will last approximately 20 minutes [1] - Crown Castle operates a significant portfolio, including around 40,000 cell towers and approximately 90,000 route miles of fiber [2] Company Overview - Crown Castle's infrastructure connects major U.S. markets, providing essential data, technology, and wireless services [2] - The company plays a crucial role in delivering information and innovations to communities and businesses [2]

Core Insights - Crown Castle (CCI) is well-positioned to benefit from the anticipated increase in wireless data consumption, which is expected to drive demand for its wireless communication infrastructure assets [1][3] - The company has a strong balance sheet, with sufficient liquidity to support its growth initiatives [10] Industry Overview - The wireless communication industry is experiencing exponential growth in mobile data usage, driven by advancements in technologies such as 5G, edge computing, and the Internet of Things [3] - Service providers are expected to continue expanding and densifying their networks to meet the increasing demand for wireless data [1][3] Company Performance - Crown Castle reported a 4.7% organic growth in Q2 2025, excluding the impact of Sprint cancellations, driven by increased demand across its tower portfolio [4] - The Zacks Consensus Estimate for CCI's 2025 funds from operations (FFO) per share has increased by 3 cents to $4.21 over the past two months [2] Asset Portfolio - The company owns approximately 40,000 towers across the top 100 basic trading areas in the United States, positioning it favorably to capitalize on rising data demand [4][7] - Long-term lease agreements with major U.S. carriers provide recurring rental revenue and embedded rent growth, contributing to the stability of the company's cash flows [5][9] Financial Strength - As of Q2 2025, Crown Castle had $94 million in cash and $6.6 billion available under its credit facility, indicating a strong liquidity position [10] - The company plans to use cash proceeds from the closure of its fiber segment business to repay debt, further strengthening its balance sheet [10]

Company Overview - Crown Castle Inc. owns, operates, and leases approximately 40,000 cell towers and around 90,000 route miles of fiber, supporting small cells and fiber solutions across every major U.S. market [2] - The company's nationwide portfolio of communications infrastructure connects cities and communities to essential data, technology, and wireless service [2] Upcoming Event - Sunit Patel, Crown Castle's Executive Vice President and Chief Financial Officer, is scheduled to present at the Goldman Sachs 2025 Communacopia & Technology Conference on September 11, 2025, at 12:30 p.m. Eastern Time [1] - The presentation will be broadcast live over the Internet and is expected to last approximately 40 minutes [1] - The live audio webcast link and presentation will be available on Crown Castle's website and archived for replay [1]

Group 1 - Crown Castle (CCI) is currently outperforming its peers in the Finance sector with a year-to-date return of approximately 10.8%, compared to the sector average of 10.7% [4] - The Zacks Rank for Crown Castle is 2 (Buy), indicating a positive outlook based on earnings estimate revisions and improving earnings outlooks [3] - The Zacks Consensus Estimate for CCI's full-year earnings has increased by 2.2% over the past quarter, reflecting improved analyst sentiment [4] Group 2 - Crown Castle belongs to the REIT and Equity Trust - Other industry, which has seen a year-to-date gain of about 0.8%, indicating that CCI is performing better than its industry peers [6] - Another notable stock in the Finance sector is Credicorp (BAP), which has achieved a year-to-date increase of 38.1% and also holds a Zacks Rank of 2 (Buy) [5] - The Banks - Foreign industry, to which Credicorp belongs, has performed significantly well with a year-to-date increase of 34.9% [6]

Group 1 - Crown Castle is undergoing significant changes, including divesting their small cells and fiber solutions businesses, changing the CEO, and cutting their dividend to focus on improving the balance sheet [1] - The divestiture and strategic changes may open new opportunities for the company moving forward [1] Group 2 - The analyst has over 10 years of experience researching various companies across different sectors, including commodities and technology [1] - The analyst has transitioned from writing a blog to creating a value investing-focused YouTube channel, researching hundreds of companies [1]

Core Viewpoint - Crown Castle (CCI) shares have increased by 16.3% over the past six months, contrasting with a 2.5% decline in the industry, indicating strong performance amid rising wireless connectivity demands [1][11]. Company Summary - The company is well-positioned for growth due to the increasing usage of wireless data, which is expected to rise significantly in the coming years, prompting service providers to expand and densify their networks [2][6]. - Crown Castle's portfolio includes approximately 40,000 towers in the United States, which allows it to capitalize on the growing demand for mobile data and 5G network deployment [6][11]. - The company reported a 4.7% organic growth in the second quarter of 2025, driven by increased demand across its tower business [6]. - Long-term lease agreements with major U.S. carriers provide stable and recurring revenues, contributing to the company's financial stability [7][11]. - As of the end of the second quarter of 2025, Crown Castle had cash and cash equivalents of $94 million, an increase from $60 million in the previous quarter, indicating strong liquidity [8]. - The company has $6.6 billion of undrawn available under its senior unsecured revolving credit facility, enhancing its financial flexibility [9]. Industry Summary - The wireless industry is experiencing significant network investments driven by exponential growth in mobile data usage and the rollout of 5G networks [6]. - Analysts maintain a positive outlook on Crown Castle, with the Zacks Consensus Estimate for 2025 funds from operations (FFO) per share revised upward to $4.19 [3].

Company Overview - Crown Castle Inc. is represented by Sunit S. Patel, who serves as the Executive Vice President and Chief Financial Officer [1][2] - Sunit Patel has extensive experience in the telecommunications industry, particularly in wireline and wireless sectors [3] Leadership Background - Sunit Patel has a notable history, having worked with companies such as MFS, MCI Level 3, and T-Mobile, where he held significant financial leadership roles [3] - He was instrumental in growing MCI Level 3's revenues from $1 billion to $8 billion through various acquisitions and mergers [3] - Patel joined Crown Castle's Board in January of the previous year and transitioned to the CFO role in March of this year [3]

Summary of Crown Castle (CCI) Conference Call - August 12, 2025 Company Overview - **Company**: Crown Castle (CCI) - **Industry**: Telecommunications Infrastructure - **Business Model**: REIT focused on tower operations, with a portfolio of 40,000 towers across the U.S. [6][8] Key Points and Arguments Leadership and Management - **CFO Background**: Sunit Patel, new CFO, has extensive experience in the telecommunications sector, previously serving as CFO at MCI and T-Mobile, and involved in significant mergers and acquisitions [2][3][4][10]. - **New CEO**: Christian Hildenbrand, expected to join in September, has a strong operational background from Vantage Towers and T-Mobile, aligning with Crown's strategy of being a U.S. tower-only company [12][14]. Strategic Focus - **Divestiture**: Crown Castle is selling its fiber small cell business for $8.5 billion, expected to close in the first half of 2026, transitioning to a pure tower business model [6][22]. - **Operational Efficiency**: The company aims to enhance focus, efficiency, and agility by concentrating solely on tower operations, which is anticipated to improve investment in technology and systems [8][10]. Financial Performance and Guidance - **Earnings Guidance**: The company raised its guidance for tower leasing revenue from $110 million to $115 million at the midpoint, driven by increased activity levels and improved internal cycle times [24]. - **AFFO Projections**: Post-transaction, Crown expects an AFFO of approximately $2.3 billion from July 1, 2025, to June 2027, with plans to use $6 billion of the proceeds to pay down debt and the remainder for share buybacks [22][42]. Market Dynamics - **Wireless Data Demand**: Wireless data demand has consistently grown by 20% to 30% annually over the past decade, with projections indicating continued growth driven by advancements in AI and data center infrastructure [28][29]. - **Spectrum Auctions**: Upcoming spectrum auctions are expected to benefit the industry, although the impact on Crown's business will take time to materialize [26][27]. Customer Relationships - **Long-term Agreements**: Crown Castle prefers long-term agreements with clients, which provide stability and predictability in revenue [30][32]. - **Churn Management**: The company has managed Sprint-related churn effectively, projecting a sustainable churn rate of approximately $20 million annually moving forward [35][36]. Cost Efficiency Initiatives - **Cost Savings**: The company is focusing on three main areas for cost efficiencies: benefits from operating a single business, automation and system improvements, and tactical reductions in cycle times [44][48]. - **Debt Management**: Post-transaction, Crown aims to maintain a net debt leverage ratio of 6% to 6.5%, ensuring investment-grade status while managing discretionary cash flow effectively [51][52]. Additional Important Insights - **Dividend Policy**: Crown Castle plans to maintain a dividend payout ratio of 75% to 80% of its FFO, which is expected to grow alongside revenue, providing a stable return to shareholders [50]. - **Market Position**: As the second-largest tower operator in the U.S., Crown Castle's unique focus on tower operations positions it favorably within the telecommunications infrastructure sector [6][8].

[PART I—FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%E2%80%94FINANCIAL%20INFORMATION) This section presents Crown Castle Inc.'s unaudited condensed consolidated financial statements and management's discussion and analysis [ITEM 1. FINANCIAL STATEMENTS](index=4&type=section&id=ITEM%201.%20FINANCIAL%20STATEMENTS) This section presents the unaudited condensed consolidated financial statements for Crown Castle Inc. as of June 30, 2025, highlighting the reclassification of the Fiber Business as discontinued operations and its impact on financial results [Condensed Consolidated Balance Sheet](index=4&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEET) This section provides the condensed consolidated balance sheet, highlighting changes in assets, liabilities, and equity, particularly due to the reclassification of the Fiber Business Balance Sheet Summary (as of June 30, 2025 vs. Dec 31, 2024, in millions) | Metric | June 30, 2025 (in millions) | Dec 31, 2024 (in millions) | Change | | :--- | :--- | :--- | :--- | | Total Assets | $31,636 | $32,736 | -3.4% | | Total Liabilities | $33,018 | $32,869 | +0.5% | | Total Equity (Deficit) | $(1,382) | $(133) | -939.1% | - Total assets decreased primarily due to the reclassification and valuation of the Fiber Business as discontinued operations. Total liabilities increased slightly, while the total equity turned into a larger deficit, driven by dividends in excess of earnings and the net loss for the period - Current assets of discontinued operations were **$420 million**, and non-current assets were **$10,182 million** as of June 30, 2025, reflecting the pending sale of the Fiber Business[17](index=17&type=chunk) [Condensed Consolidated Statement of Operations](index=5&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENT%20OF%20OPERATIONS) This section presents the condensed consolidated statement of operations, detailing revenues, income from continuing and discontinued operations, and net income or loss Statement of Operations Summary (in millions, except per share data) | Metric | Q2 2025 | Q2 2024 | 6 Months 2025 | 6 Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Net Revenues | $1,060 | $1,107 | $2,121 | $2,221 | | Income from Continuing Operations | $265 | $265 | $549 | $559 | | Income (Loss) from Discontinued Operations | $26 | $(14) | $(722) | $3 | | Net Income (Loss) | $291 | $251 | $(173) | $562 | | Diluted EPS | $0.67 | $0.58 | $(0.40) | $1.29 | - For the six months ended June 30, 2025, the company reported a net loss of **$173 million**, primarily driven by a **$1.082 billion** loss from the disposal of discontinued operations (the Fiber Business)[19](index=19&type=chunk) - Site rental revenue, the main source of income, decreased to **$1.008 billion** in Q2 2025 from **$1.064 billion** in Q2 2024[19](index=19&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=6&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENT%20OF%20CASH%20FLOWS) This section outlines the condensed consolidated statement of cash flows, showing cash generated from operations, investing, and financing activities Cash Flow Summary (Six Months Ended June 30, in millions) | Metric | 2025 (in millions) | 2024 (in millions) | | :--- | :--- | :--- | | Net cash from operating activities | $1,473 | $1,367 | | Net cash used for investing activities | $(523) | $(650) | | Net cash used for financing activities | $(971) | $(666) | - Operating cash flow increased to **$1.47 billion** for the first six months of 2025. The largest uses of cash were for dividends (**$1.15 billion**) and debt redemptions (**$700 million**)[23](index=23&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=NOTES%20TO%20CONDENSED%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) This section provides detailed notes to the condensed consolidated financial statements, including significant events like the Fiber Business sale and segment reporting - On March 13, 2025, the company signed a definitive agreement to sell its Fiber Business for **$8.5 billion** in cash proceeds to Zayo Group and EQT. The transaction is expected to close in the first half of 2026[32](index=32&type=chunk)[44](index=44&type=chunk) - Due to the pending sale, the Fiber Business is presented as discontinued operations. A loss from disposal of **$1.1 billion** was recognized for the six months ended June 30, 2025[33](index=33&type=chunk)[44](index=44&type=chunk) - Following the reclassification, the company has one reportable segment consisting of its towers operations, which includes approximately **40,000 towers**[38](index=38&type=chunk)[79](index=79&type=chunk)[80](index=80&type=chunk) Future Contracted Revenue (as of June 30, 2025, in millions) | Period | Contracted Amounts (in millions) | | :--- | :--- | | Six Months Ending Dec 31, 2025 | $1,981 | | Year 2026 | $3,981 | | Year 2027 | $4,054 | | Year 2028 | $3,931 | | Year 2029 | $3,231 | | Thereafter | $11,594 | | **Total** | **$28,772** | - Total debt and other obligations stood at **$24.29 billion** as of June 30, 2025. In May 2025, the company repaid the **$700 million** Tower Revenue Notes, Series 2015-2[62](index=62&type=chunk)[67](index=67&type=chunk) - The company declared dividends of **$1.565 per share** for Q1 2025 and **$1.063 per share** for Q2 2025[76](index=76&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=20&type=section&id=ITEM%202.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) This section details the company's financial performance, strategic direction, and liquidity, focusing on the impact of the Fiber Business sale and the performance of the remaining towers segment [General Overview](index=20&type=section&id=General%20Overview) This section provides a general overview of the company's core business, strategic focus, and the reclassification of the Fiber Business as discontinued operations - The company's core business is owning, operating, and leasing approximately **40,000 towers** in the U.S. Site rental revenues constitute **95%** of consolidated net revenues for Q2 2025[96](index=96&type=chunk)[101](index=101&type=chunk) - A definitive agreement was signed on March 13, 2025, to sell the Fiber Business for **$8.5 billion**. Consequently, this business is now reported as discontinued operations[98](index=98&type=chunk)[99](index=99&type=chunk) - The company's strategy focuses on growing cash flows from existing towers, returning cash to stockholders through dividends and share repurchases, and investing capital efficiently[102](index=102&type=chunk) - As of June 30, 2025, the company has approximately **$28.8 billion** of expected future cash inflows from tenant contracts, with a weighted-average remaining term of about **six years**[107](index=107&type=chunk) [Results of Operations](index=23&type=section&id=Results%20of%20Operations) This section analyzes the company's operational performance, including revenue trends, expense changes, and the impact of discontinued operations on net income Q2 2025 vs Q2 2024 Performance (in millions) | Metric | Q2 2025 | Q2 2024 | $ Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Site rental revenues | $1,008 | $1,064 | $(56) | -5% | | Net income (loss) | $291 | $251 | $40 | 16% | | Adjusted EBITDA | $705 | $727 | $(22) | -3% | - The **5%** decrease in Q2 site rental revenues was primarily driven by higher tower non-renewals, including **$51 million** related to Sprint Cancellations, and a decrease in prepaid rent amortization[115](index=115&type=chunk)[117](index=117&type=chunk)[118](index=118&type=chunk) - Selling, general and administrative (SG&A) expenses decreased by **27%** in Q2 2025 compared to Q2 2024, mainly due to the absence of advisory fees from a 2024 proxy contest and cost savings from restructuring[120](index=120&type=chunk) - For the first six months of 2025, the company reported a net loss of **$173 million**, compared to a net income of **$562 million** in the prior year, due to a **$1.1 billion** loss on the disposal of the Fiber Business[130](index=130&type=chunk)[143](index=143&type=chunk)[144](index=144&type=chunk) [Liquidity and Capital Resources](index=27&type=section&id=Liquidity%20and%20Capital%20Resources) This section discusses the company's liquidity position, cash flow generation, capital expenditures, and plans for the proceeds from the Fiber Business sale Liquidity Position (as of June 30, 2025, in millions) | Item | Amount (in millions) | | :--- | :--- | | Cash and cash equivalents | $260 | | Undrawn 2016 Revolver availability | $6,560 | | Total Debt and other obligations | $24,290 | - Net cash provided by operating activities for the first six months of 2025 was **$1.5 billion**, an **8%** increase from the same period in 2024[153](index=153&type=chunk)[154](index=154&type=chunk) - Total capital expenditures for continuing operations were **$80 million** for the first six months of 2025, down from **$86 million** in the prior year period. Sustaining capital expenditures were minimal at **$13 million**[157](index=157&type=chunk) - Upon closing the Fiber Business sale, the company expects to use proceeds to repay debt and fund share repurchases[152](index=152&type=chunk) [Non-GAAP Financial Measures](index=31&type=section&id=Non-GAAP%20Financial%20Measures) This section explains the company's use of non-GAAP financial measures like Adjusted EBITDA and their reconciliation to GAAP measures - The company uses non-GAAP measures like Adjusted EBITDA, Adjusted Site Rental Gross Margin, and Adjusted Services and Other Gross Margin to evaluate financial performance[170](index=170&type=chunk)[175](index=175&type=chunk) Adjusted EBITDA Reconciliation Summary (in millions) | Period | Net Income (Loss) | Adjusted EBITDA | | :--- | :--- | :--- | | Q2 2025 | $291 | $705 | | Q2 2024 | $251 | $727 | | 6 Months 2025 | $(173) | $1,428 | | 6 Months 2024 | $562 | $1,481 | - Management uses Adjusted EBITDA for resource allocation, performance assessment, incentive compensation calculations, and in presentations to the board of directors[172](index=172&type=chunk) [ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](index=35&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) This section details the company's exposure to market risks, primarily interest rate risk on its floating-rate debt, and the potential impact of interest rate changes - The primary market risk is interest rate risk on the company's floating rate debt and potential future borrowings[181](index=181&type=chunk) - As of June 30, 2025, the company had **$3.4 billion** of floating rate debt, representing approximately **14%** of its total debt[185](index=185&type=chunk) - A hypothetical **0.25%** increase in market interest rates would increase the company's interest expense by approximately **$8 million** over a 12-month period[183](index=183&type=chunk) [ITEM 4. CONTROLS AND PROCEDURES](index=37&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) This section confirms the effectiveness of the company's disclosure controls and procedures and reports no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of June 30, 2025[190](index=190&type=chunk) - No material changes were made to the company's internal control over financial reporting during the second quarter of 2025[191](index=191&type=chunk) [PART II—OTHER INFORMATION](index=38&type=section&id=PART%20II%E2%80%94OTHER%20INFORMATION) This section covers other required disclosures, including legal proceedings, risk factors, and exhibits filed with the report [ITEM 1. LEGAL PROCEEDINGS](index=38&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS) This section refers to the notes to financial statements for details on legal proceedings, which management believes will not materially affect the company's financial position - For information on legal proceedings, the report refers to Note 9 of the condensed consolidated financial statements[193](index=193&type=chunk) - Management believes that the resolution of current legal matters will not have a material adverse effect on the company's financial condition[75](index=75&type=chunk) [ITEM 1A. RISK FACTORS](index=38&type=section&id=ITEM%201A.%20RISK%20FACTORS) This section states that there have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K - There are no material changes to the risk factors discussed in the 2024 Form 10-K[194](index=194&type=chunk) [ITEM 5. OTHER INFORMATION](index=38&type=section&id=ITEM%205.%20OTHER%20INFORMATION) This section indicates that no other information is reported under this item for the period - No information was reported under this item[195](index=195&type=chunk) [ITEM 6. EXHIBITS](index=38&type=section&id=ITEM%206.%20EXHIBITS) This section provides an index of the exhibits filed with the Form 10-Q, including the Stock Purchase Agreement for the Fiber Business sale, corporate governance documents, and certifications - The exhibit index lists documents filed with the report, including the Stock Purchase Agreement dated March 13, 2025, and Sarbanes-Oxley certifications[197](index=197&type=chunk)

Company Overview - Crown Castle Inc. owns, operates, and leases approximately 40,000 cell towers and around 90,000 route miles of fiber, supporting small cells and fiber solutions across every major U.S. market [2] - The company's nationwide portfolio of communications infrastructure connects cities and communities to essential data, technology, and wireless service [2] Upcoming Event - Sunit Patel, Crown Castle's Executive Vice President and Chief Financial Officer, is scheduled to present at the KBCM Technology Leadership Forum on August 12, 2025, at 11:00 a.m. Eastern Time [1] - The presentation will be broadcast live over the Internet and is expected to last approximately 25 minutes [1] - The live audio webcast link and presentation will be available on Crown Castle's website and archived for replay [1]