Financial Data and Key Metrics Changes - The company ended Q4 2025 with a diluted AFFO per share of $2.24, an increase of 1.4% from $2.21 in Q4 2024 [10] - Full-year AFFO guidance for 2026 is projected to be between $8.50 and $8.70 per share, indicating a year-over-year growth of 4.1% at the midpoint [5][16] - Adjusted EBITDA for Q4 was $288.9 million, up 3.7% from $278.5 million in Q4 2024, with an adjusted EBITDA margin of 48.5%, expanding by 40 basis points year-over-year [10][12] Business Line Data and Key Metrics Changes - Local revenue increased by 1.7% in Q4, while national programmatic revenue grew by 3.3%, marking the third consecutive quarter of growth for national [6] - Digital revenue on a same-store basis increased by 3.7% in Q4, with digital billboards representing 33.7% of the company's business [20] - The company added 111 digital units in Q4, ending the year with 5,553 operating units [7] Market Data and Key Metrics Changes - The Atlantic and Southwest regions showed relative strength in Q4, while the Northeast region exhibited weakness [19] - Political advertising was a headwind in Q4, down approximately $11 million compared to 2024, but is expected to reverse in 2026 [6][58] Company Strategy and Development Direction - The company plans to remain aggressive in digital deployments, targeting a similar number of internal digital deployments as in the previous year [8] - The integration of recent acquisitions is progressing well, with expectations for another active M&A year in 2026 [8] - The company anticipates a cash acquisition spend of at least $200 million in 2026, maintaining a strong ad spend climate [27] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the macro environment for the U.S. ad market in 2026, citing political tailwinds and increased spending around World Cup venues [28] - The company expects to see a gradual increase in growth throughout 2026, with Q1 potentially coming in slightly below guidance [40] Other Important Information - The company has a well-laddered debt maturity schedule with no maturities until October 2027, and total consolidated debt stands at approximately $3.4 billion [14][15] - The proposed cash dividend for Q1 2026 is $1.60 per share, reflecting a yield of 4.8% at the previous closing stock price [18] Q&A Session Summary Question: What is the state of the macro in the U.S. ad market? - Management indicated a strong start to 2026, with expectations for at least $200 million in cash acquisitions and a favorable ad spend climate [27][28] Question: What are the implications of Clear Channel's acquisition? - Management believes there will be no significant changes in the industry structure and does not anticipate asset sales from Clear Channel [32] Question: How should acquisition-adjusted growth be viewed for Q1? - Management expects Q1 growth to be slightly below guidance, with momentum picking up as the year progresses [40] Question: What are the expectations for local versus national growth? - Management anticipates $3 million-$4 million in incremental World Cup business, with positive trends in national advertising [44]

Financial Data and Key Metrics Changes - The company ended Q4 2025 with diluted AFFO per share increasing 1.4% to $2.24 compared to $2.21 in Q4 2024 [9] - Full-year AFFO guidance is projected to be between $8.50 and $8.70 per share, reflecting a year-over-year growth of 4.1% at the midpoint [4][14] - Adjusted EBITDA for Q4 was $288.9 million, an increase of 3.7% from $278.5 million in Q4 2024 [9] Business Line Data and Key Metrics Changes - Local revenue increased by 1.7% while national programmatic revenue grew by 3.3% in Q4, marking the third consecutive quarter of growth for national [5] - Digital revenue on a same-store basis increased by 3.7% in Q4, with digital billboards representing 33.7% of total business [18][19] - The company added 111 digital units in Q4, ending the year with 5,553 operating units [5][19] Market Data and Key Metrics Changes - The Atlantic and Southwest regions showed relative strength in Q4, while the Northeast region exhibited weakness [18] - Political advertising was a headwind in Q4, down about $11 million compared to 2024, but is expected to reverse in 2026 [5][56] Company Strategy and Development Direction - The company plans to remain aggressive in digital deployments, targeting a similar number of internal digital deployments as last year [6] - The integration of acquired assets, including the Verde deal, is progressing well, with expectations for another active M&A year in 2026 [6][14] - The company has an investment capacity exceeding $1 billion while maintaining a target leverage range of 3.5-4 times net debt to EBITDA [14] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the advertising climate for 2026, citing political tailwinds and increased spending around World Cup venues [27] - The company anticipates a conservative growth pace in Q1, with expectations for momentum to build throughout the year [38] - Management highlighted the positive impact of changes in FDA rules on pharmaceutical advertising, which could enhance revenue from this vertical [51] Other Important Information - The company plans to declare a regular cash dividend of $1.60 per share for Q1, with an expected total of $6.40 per share for 2026 [17] - Total consolidated debt stands at approximately $3.4 billion, with a weighted average interest rate of 4.5% [13] Q&A Session Summary Question: What is the state of the macro U.S. ad market as we enter 2026? - Management expects to maintain acquisition spending close to $200 million, with a positive ad spend climate anticipated for 2026 [26][27] Question: What are the implications of Clear Channel's acquisition for Lamar? - Management does not foresee significant changes in the industry structure and believes Clear Channel may not need to sell assets to deleverage [31][32] Question: How should acquisition-adjusted growth be viewed for Q1? - Management indicated that Q1 growth may be slightly below guidance but expects momentum to increase as the year progresses [38] Question: What are the expectations for local versus national growth and the impact of the World Cup? - Management anticipates $3 million-$4 million in incremental World Cup business, with positive trends in national advertising [42] Question: What is the expected benefit from political advertising in 2026? - Management estimates a conservative increase of around $12 million to $14 million in political advertising revenue compared to the previous year [56]

Core Insights - Lamar Advertising (LAMR) shares have increased by 8.8% over the past three months, significantly outperforming the outdoor advertising industry's growth of 1.4% [1][7] - The company holds a substantial market share in the U.S. outdoor advertising sector, supported by a diversified tenant base and strategic acquisitions [3][8] Company Performance - Analysts have a positive outlook on Lamar, with the Zacks Consensus Estimate for its 2025 FFO per share rising to $8.19 and the 2026 estimate increasing by 1% to $8.83 [2] - Lamar's revenue is bolstered by a well-diversified tenant mix, which includes sectors such as services, healthcare, and retail, helping to mitigate revenue volatility [3] Growth Drivers - The company's focus on enhancing its digital capabilities is expected to drive long-term growth, with over 5,400 digital billboards in operation as of Q3 2025 [4][7] - The Out of Home (OOH) advertising sector is experiencing rapid growth, with technological advancements and increased investments expected to further support this trend [5] Expansion Activities - In 2025, Lamar completed over 30 acquisitions totaling approximately $133.9 million, which is indicative of its aggressive expansion strategy [5][7] Competitive Advantage - The outdoor advertising industry has high barriers to entry due to permitting restrictions, providing Lamar with a competitive edge [8] Dividend Performance - Lamar has consistently raised its dividend, with a five-year annualized growth rate of 13.94%, which enhances investor confidence [9]

Core Insights - Clear Channel Outdoor has secured a new 10-year contract with the Metropolitan Washington Airports Authority, starting March 1, 2026, to enhance advertising at Washington Reagan National Airport and Washington Dulles International Airport [1][4] - The agreement aims to evolve the existing advertising program, which has already seen significant revenue growth, and to integrate digital media advancements to improve passenger experiences [2][3][4] Advertising Strategy - The new contract emphasizes a commitment to achieving 85% digital advertising coverage within two years, introducing innovative digital formats such as LumiGlass and Prism360 digital columns [5] - Clear Channel Outdoor's advertising program has attracted major global brands, including Meta, Samsung, and Barclaycard, indicating its effectiveness in the airport advertising space [4] Market Trends - Recent research by Clear Channel Outdoor, conducted by Nielsen, highlights the effectiveness of airport advertising in driving actions among frequent flyers, particularly as air travel continues to surge [6][7] - The study underscores the unique position of airport media in delivering brand awareness and conversion, especially in a landscape characterized by increased traveler mobility and digital connectivity [7] Company Overview - Clear Channel Outdoor Holdings, Inc. is a leader in the out-of-home advertising industry, focusing on innovation through digital billboards and data analytics to enhance advertising effectiveness [8]

Core Insights - Lamar Advertising Company (LAMR) holds a significant market share in the U.S. outdoor advertising business, driven by a diversified tenant base, opportunistic acquisitions, and portfolio upgrades [1][5][6] - The company reported second-quarter 2025 adjusted funds from operations (AFFO) per share of $2.22, exceeding the Zacks Consensus Estimate of $2.15 and showing growth from $2.08 in the prior year [2] - Despite a 9.9% increase in shares over the past three months, competition and a high debt burden of approximately $3.38 billion pose challenges [3][12] Company Performance - In Q2 2025, local and regional sales accounted for 79% of billboard revenues, marking the 17th consecutive quarter of growth in this segment [5][6] - The company operates over 5,200 digital billboards and invested $87.1 million in acquisitions in the first half of 2025 [6][8] - Lamar has raised its dividend eight times in the past five years, with a five-year annualized dividend growth rate of 21.49% [10] Industry Context - The out-of-home (OOH) advertising sector is experiencing rapid growth, with expectations for increased market share compared to other media forms [8] - High barriers to entry in the industry due to permitting restrictions help support advertising rates [9] - Competition from other outdoor advertisers and various media platforms, along with cautious advertiser sentiment amid macroeconomic uncertainty, may hinder growth [11][12]

Core Viewpoint - Lamar Advertising Company has acquired Premier Outdoor Media's assets, enhancing its presence in the Northeast Corridor and expanding its digital out-of-home (OOH) advertising capabilities [1][3][4]. Company Overview - Lamar Advertising Company is a leader in the OOH advertising industry, operating over 360,000 displays across North America, including approximately 5,000 digital billboards, making it the largest digital OOH network in the United States [4]. - Premier Outdoor Media, founded in 2018, became the largest independent digital OOH network in the Philadelphia Designated Market Area, growing its digital display count by over 500% under the leadership of Dominick Vastino and Sean Corbett [2][4]. Strategic Acquisition - The acquisition adds nearly 200 billboard faces, including 45 digital units, in key markets such as New Jersey, Delaware, Maryland, Pennsylvania, and New York, reinforcing Lamar's competitive edge in densely populated areas [1][3]. - Sean Reilly, CEO of Lamar, emphasized that this acquisition aligns with the company's strategy of adding high-quality, REIT-qualified assets to its portfolio [3]. Market Position and Growth Strategy - The transaction reflects Lamar's focus on scaling its digital OOH capabilities and acquiring regionally dominant networks that align with its REIT structure [4]. - As digital OOH continues to grow faster than traditional media, Lamar's expanded presence in the Northeast positions it to capture increasing advertiser demand [5]. Financial Outlook - Lamar is scheduled to report its first-quarter 2025 results on May 8, 2025, with the Zacks Consensus Estimate for funds from operations (FFO) per share at $1.54 on revenues of $508.9 million [5].