Core Insights - Turning Rock Partners announced the sale of South Reach Networks, a leading provider of hybrid fiber, colocation, and transport services, through a control buyout transaction by Blue Owl Capital's Digital Infrastructure strategy [1][2] - South Reach Networks has experienced growth in its colocation and fiber footprint through both organic expansion and strategic acquisitions, led by its existing management team [2] - Blue Owl Capital expressed excitement about supporting South Reach Networks' expansion in Florida, highlighting the Southeast as a priority region for hyperscale customers [3] Company Overview - South Reach Networks is a Florida-based telecommunications infrastructure provider that constructs, owns, and operates a Metro & Long-Haul Fiber Optic Network spanning 370 miles along the East Coast of Florida [5] - The company provides global and domestic reach to a diverse ecosystem of carriers, subsea, enterprise, and wireless operators [5] Investment Context - Turning Rock Partners focuses on debt, equity, and hybrid investments in lower-middle market businesses in North America, offering bespoke financing solutions [4] - Blue Owl Capital manages over $273 billion in assets as of March 31, 2025, and invests across multiple strategies including Credit, Real Assets, and GP Strategic Capital [6]

Company Overview - The company focuses on maximizing shareholder value by growing long-term, high-quality dividends[12] - The company aims for a long-term annual dividend per share growth target of 7-8%[14,19] - The company offers an attractive dividend yield of over 6%[19] Infrastructure Assets - The company has over 40,000 towers[11,14] - The company has approximately 115,000 small cells[11] - The company has around 85,000 route miles of fiber[11,14] Financial Stability and Growth - The company has $39 billion in remaining contracted tenant receivables with a weighted average of 6 years of remaining contracted lease payments[20] - As of September 30, 2023, the weighted average coupon was 3.8% and the weighted average life was 7.6 years[39] - As of September 30, 2023, 86% of the debt was fixed and 93% was unsecured[39] - The company's cash site rental revenues have grown from $238 million in 2000 to $3,814 million in 2023[43] - The company's yield has increased from 3.3% in 2000 to 12.7% in 2023[43]

Company Announcement - Crown Castle Inc. will have a presentation at Nareit's REITweek: 2025 Investor Conference on June 4, 2025, at 2:45 p.m. Eastern Time [1] - The presentation will be led by Dan Schlanger, Interim President and CEO, and Sunit Patel, Executive Vice President and CFO, and is expected to last approximately 30 minutes [1] - The live audio webcast will be available on Crown Castle's website and archived for 30 days for replay [1] Company Overview - Crown Castle owns, operates, and leases over 40,000 cell towers and approximately 90,000 route miles of fiber across major U.S. markets [2] - The company's infrastructure connects cities and communities to essential data, technology, and wireless services [2] - Crown Castle's portfolio supports small cells and fiber solutions, facilitating the flow of information, ideas, and innovations [2]

Group 1 - Crown Castle Inc. will have a presentation at Nareit's REITweek: 2025 Investor Conference on June 4, 2025, at 2:45 p.m. Eastern Time [1] - The presentation will be led by Dan Schlanger, Interim President and CEO, and Sunit Patel, Executive Vice President and CFO, and is expected to last approximately 30 minutes [1] - The live audio webcast of the presentation will be available on Crown Castle's website and archived for replay for 30 days [1] Group 2 - Crown Castle owns and operates over 40,000 cell towers and approximately 90,000 route miles of fiber across major U.S. markets [2] - The company's infrastructure supports small cells and fiber solutions, connecting cities and communities to essential data and wireless services [2] - Crown Castle's portfolio plays a crucial role in delivering information, ideas, and innovations to businesses and individuals [2]

Financial Data and Key Metrics Changes - The company reported first quarter revenue of $1,259,000,000, a 10.2% increase over Q1 2025 [5][19] - Adjusted EBITDA was $150,400,000, representing 11.9% of revenues and an increase of 14.9% over Q1 2025 [5][19] - Net income was $61,000,000, with diluted EPS of $2.90 per share, exceeding expectations [20] - The company increased its revenue expectations for the year to a range of $5,290,000,000 to $5,425,000,000, representing a growth of 12.5% to 15.4% over the prior year [6][23] Business Line Data and Key Metrics Changes - The service and maintenance business has grown significantly, providing a stable base of recurring revenue [8][9] - The company has diversified its customer base and services within telecommunications and digital infrastructure, which buffers against the impact of any single customer [7][9] - The backlog at the end of Q1 was $8,127,000,000, including $4,685,000,000 expected to be completed in the next twelve months [21] Market Data and Key Metrics Changes - The company noted robust demand drivers, particularly in fiber to the home programs and hyperscaler infrastructure [12][13] - Recent awards include significant contracts with Verizon and Windstream for fiber to the home and maintenance work [13] - The company is seeing increased opportunities related to AI infrastructure and middle mile networks [13][14] Company Strategy and Development Direction - The company aims to build on its service and maintenance business while capitalizing on fiber to the home deployments and other growth drivers [9][16] - The strategy includes expanding services inside the fence with hyperscalers, which opens new opportunities [17] - The company is focused on improving free cash flow and maintaining a balanced risk-return profile in its backlog [15][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to capitalize on market opportunities despite macroeconomic uncertainties [6][11] - The impact of tariffs and international trade actions is expected to be negligible, with most components produced in the U.S. [11][23] - Management remains optimistic about the growth prospects, with ongoing opportunities in fiber infrastructure and service maintenance [12][16] Other Important Information - The company repurchased 200,000 shares for $30,200,000 during the quarter [6][22] - Operating cash flows used in the quarter were $54,000,000, reflecting seasonal uses of cash [22] - The company is closely monitoring the impact of tariffs and trade actions on its operations [23] Q&A Session Summary Question: Performance of Black and Veatch - Management noted that the performance is a mix of pull forward and ramping quicker than expected, with strong integration into operations [26][27] Question: Second Quarter Guidance - The guidance reflects continued strength from fiber to the home builds and wireless business, with expectations for ongoing growth [32][33] Question: CapEx and Tariff Impact - Management feels confident about managing equipment costs and has been proactive in planning to mitigate tariff impacts [34][36] Question: Margin Improvement - Operating leverage is a key factor in margin improvement, with expectations for continued growth in margins [39][41] Question: BEAD Program Importance - While the BEAD program is significant, it is not essential for current growth, with other drivers providing robust opportunities [42][44] Question: Backlog and Organic Growth - The backlog is diversified, and organic growth is slightly positive, with long-term opportunities expected [48][52] Question: Government Layoffs and Deregulation - Management is monitoring the potential easing of permitting and other regulatory changes that could positively impact the industry [80]

Financial Data and Key Metrics Changes - The company reported first quarter revenue of $1,259,000,000, a 10.2% increase over Q1 2025 [4][21] - Adjusted EBITDA was $150,400,000, representing 11.9% of revenues, and an increase of 14.9% over Q1 2025 [4][22] - Net income was $61,000,000, with diluted EPS of $2.90 per share, exceeding expectations [22] - The company increased its revenue expectations for the year to a range of $5,290,000,000 to $5,425,000,000, representing a growth of 12.5% to 15.4% over the prior year [5][25] Business Line Data and Key Metrics Changes - The service and maintenance business has grown significantly, providing a stable base of recurring revenue [6][7] - The company has diversified its customer base and services within telecommunications and digital infrastructure, which buffers against the impact of any single customer [5][6] - The backlog at the end of Q1 was $8,127,000,000, including $4,685,000,000 expected to be completed in the next twelve months [23] Market Data and Key Metrics Changes - The company noted robust demand drivers, particularly in fiber to the home deployments and hyperscaler infrastructure projects [11][12] - Recent awards include significant contracts with Verizon and Windstream for fiber to the home and maintenance work [12] - The company is seeing increased opportunities related to AI infrastructure, with hyperscalers reiterating or increasing their CapEx budgets [12][15] Company Strategy and Development Direction - The company aims to build on its service and maintenance business while capitalizing on fiber to the home deployments and other growth drivers [7][18] - The strategy includes expanding services inside the fence with hyperscalers, which opens new opportunities [15][19] - The company is focused on improving free cash flow and maintaining a balanced risk and return profile in its backlog [17][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic uncertainties and tariff impacts, expecting negligible effects on current builds [10][25] - The demand for fiber to the home remains strong, with many customers reconfirming or increasing their targets [11][12] - Management believes that the company is well-positioned for continued growth, with a well-defined strategy and clear objectives [18][19] Other Important Information - The company repurchased 200,000 shares for $30,200,000 during the quarter, reflecting a commitment to returning capital to shareholders [5][24] - Operating cash flows used in the quarter were $54,000,000, reflecting seasonal uses of cash [24] Q&A Session Summary Question: Regarding the performance of Black and Veatch - Management indicated that the performance was a mix of pull forward and quicker ramp-up than expected, with strong integration into operations [28][29] Question: On the maintenance side, can you size that business? - Management noted that service and maintenance is a core part of the strategy, historically representing over 50% of the business [31] Question: Is the second quarter guidance a continuation of strength from the wireless side? - Management confirmed that both fiber to the home builds and the wireless business are contributing to the positive outlook for Q2 [34][35] Question: Any potential for pulling forward spending before tariffs hit? - Management stated that they are strategically managing equipment purchases and feel confident about their current position despite tariff impacts [36][38] Question: Was there anything unusual with costs this quarter? - Management attributed margin improvement to operating leverage and ongoing efficiency efforts [41][43] Question: What is the importance of the BEAD program for future growth? - Management believes that while BEAD is a significant opportunity, it is not necessary for current growth, with other drivers providing robust opportunities [46][47] Question: Is the pace of working through the backlog changing? - Management highlighted the diversification of the backlog and expressed confidence in the pace of business [50][51] Question: Does customer consolidation drive more business? - Management indicated that customer consolidation has historically been positive, leading to more opportunities for larger national players [80] Question: Have government layoffs affected the approval process? - Management noted that easing permitting could be a positive for the industry, and they are monitoring potential regulatory changes closely [86][87]

1st Quarter 2026 Results May 21, 2025 Important Information Caution Concerning Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the 1995 Private Securities Litigation Reform Act. These forward-looking statements include those related to the outlook for the fiscal year ending January 31, 2026 and the fiscal quarter ending July 26, 2025, including, but not limited to, those statements related to our recent acquisitions and those found under the "Outlook" s ...

Core Viewpoint - The stock market is experiencing volatility due to U.S. tariffs and global trade tensions, with the S&P 500 down over 8% for the year [1] Group 1: Market Conditions - U.S. tariffs on imports from major partners like China have reached as high as 145%, while China has imposed 84% duties on U.S. products [1] - Ongoing inflation pressures and concerns about a potential recession or stagflation are contributing to market uncertainty [1] Group 2: Investment Strategy - Investors are encouraged to focus on relative price strength, identifying stocks that outperform their peers even in volatile conditions [2] - Stocks that have shown better performance than the S&P 500 over the last 1 to 3 months, combined with solid fundamentals, indicate potential for growth [6] Group 3: Recommended Stocks - IHS Holding Limited (IHS) is highlighted for its strong growth potential, with a Zacks Consensus Estimate indicating 114.7% growth for 2025 earnings and a market cap of $1.6 billion [10][11] - Atlanticus Holdings Corporation (ATLC) is noted for a 29.4% growth estimate for 2025 earnings and a significant share price increase of 110.5% over the past year [12][13] - REX American Resources Corporation (REX) has a market cap of $676.4 million and a 15.7% upward revision in earnings estimates for fiscal 2026, despite a 31.3% decline in share price over the past year [14][15] - Fresenius Medical Care AG (FMS) is recognized for a 27.1% growth estimate for 2025 earnings and a share price increase of 31.8% in the last year [16][17] Group 4: Screening Parameters - Stocks are screened based on relative price changes over 12 weeks, 4 weeks, and 1 week, as well as positive current-quarter estimate revisions [8] - Only Zacks Rank 1 (Strong Buy) stocks are considered, which have historically outperformed the S&P 500 [9]