0001034054-19-000011.txt : 20191107 0001034054-19-000011.hdr.sgml : 20191107 20191107160537 ACCESSION NUMBER: 0001034054-19-000011 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 97 CONFORMED PERIOD OF REPORT: 20190930 FILED AS OF DATE: 20191107 DATE AS OF CHANGE: 20191107 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SBA COMMUNICATIONS CORP CENTRAL INDEX KEY: 0001034054 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 650716501 STATE OF INCORPORATION: FL FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-16853 FILM NUMBER: 191200267 BUSINESS ADDRESS: STREET 1: 8051 CONGRESS AVENUE CITY: BOCA RATON STATE: FL ZIP: 33487 BUSINESS PHONE: 5612269345 MAIL ADDRESS: STREET 1: 8051 CONGRESS AVENUE CITY: BOCA RATON STATE: FL ZIP: 33487 10-Q 1 sbac-20190930x10q.htm 10-Q sbac-20190930x10q
false--12-31Q3201900010340546507165010001034054us-gaap:CommonClassAMemberus-gaap:SubsequentEventMember2019-11-070001034054sbac:StockRepurchaseProgramOneMemberus-gaap:CommonClassAMember2019-09-300001034054sbac:StockRepurchaseProgramTwoMemberus-gaap:CommonClassAMember2019-07-290001034054us-gaap:CommonClassAMember2019-07-012019-09-300001034054us-gaap:CommonClassAMember2019-01-012019-09-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2019-07-012019-09-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2019-04-012019-06-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2018-07-012018-09-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2018-04-012018-06-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2018-01-012018-03-310001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2019-01-012019-03-310001034054us-gaap:RetainedEarningsMember2019-09-300001034054us-gaap:AdditionalPaidInCapitalMember2019-09-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-09-300001034054us-gaap:RetainedEarningsMember2019-06-300001034054us-gaap:AdditionalPaidInCapitalMember2019-06-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-06-300001034054us-gaap:AdditionalPaidInCapitalMember2019-03-310001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-03-310001034054us-gaap:RetainedEarningsMember2018-12-310001034054us-gaap:AdditionalPaidInCapitalMember2018-12-310001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-12-310001034054us-gaap:RetainedEarningsMember2018-09-300001034054us-gaap:AdditionalPaidInCapitalMember2018-09-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-09-300001034054us-gaap:RetainedEarningsMember2018-06-300001034054us-gaap:AdditionalPaidInCapitalMember2018-06-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-06-3000010340542018-06-300001034054us-gaap:RetainedEarningsMember2018-03-310001034054us-gaap:AdditionalPaidInCapitalMember2018-03-310001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-03-3100010340542018-03-310001034054us-gaap:RetainedEarningsMember2017-12-310001034054us-gaap:AdditionalPaidInCapitalMember2017-12-310001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2017-12-310001034054us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-07-012019-09-300001034054us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-01-012019-09-300001034054us-gaap:SellingGeneralAndAdministrativeExpensesMember2018-07-012018-09-300001034054us-gaap:SellingGeneralAndAdministrativeExpensesMember2018-01-012018-09-300001034054us-gaap:OtherNoncurrentAssetsMembersbac:SuretyBondsAndWorkersCompensationMember2019-09-300001034054us-gaap:OtherNoncurrentAssetsMembersbac:SuretyBondsAndWorkersCompensationMember2018-12-310001034054sbac:RestrictedCashCurrentAssetMembersbac:SecuritizationEscrowAccountsMember2019-09-300001034054sbac:RestrictedCashCurrentAssetMembersbac:PaymentAndPerformanceBondsMember2019-09-300001034054sbac:RestrictedCashCurrentAssetMembersbac:SecuritizationEscrowAccountsMember2018-12-310001034054sbac:RestrictedCashCurrentAssetMembersbac:PaymentAndPerformanceBondsMember2018-12-310001034054sbac:TermLoans2014And2015Member2018-04-112018-04-110001034054sbac:TwoThousandFourteenTermLoanMember2018-01-012018-03-310001034054sbac:TwoThousandFifteenTermLoanMember2018-01-012018-03-310001034054sbac:TwoThousandFourteenHyphenOneCTowerSecuritiesMember2019-09-132019-09-1300010340542019-08-310001034054us-gaap:LandBuildingsAndImprovementsMember2019-09-300001034054us-gaap:ConstructionInProgressMember2019-09-300001034054sbac:TowersAndRelatedComponentsMember2019-09-300001034054sbac:FurnitureEquipmentAndVehiclesMember2019-09-300001034054us-gaap:LandBuildingsAndImprovementsMember2018-12-310001034054us-gaap:ConstructionInProgressMember2018-12-310001034054sbac:TowersAndRelatedComponentsMember2018-12-310001034054sbac:FurnitureEquipmentAndVehiclesMember2018-12-310001034054us-gaap:RevolvingCreditFacilityMember2019-07-012019-09-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-07-012018-09-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-04-012018-06-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-01-012018-03-310001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-07-012019-09-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-04-012019-06-300001034054us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-01-012019-03-310001034054country:BR2019-01-012019-09-300001034054country:BR2018-01-012018-09-300001034054sbac:BusinessCombinationMember2019-01-012019-09-300001034054us-gaap:RetainedEarningsMember2019-04-012019-06-300001034054us-gaap:RetainedEarningsMember2019-01-012019-03-310001034054us-gaap:RetainedEarningsMember2018-07-012018-09-300001034054us-gaap:RetainedEarningsMember2018-04-012018-06-300001034054us-gaap:RetainedEarningsMember2018-01-012018-03-310001034054sbac:AtlasTowerSouthAfricaMember2019-08-310001034054srt:MinimumMember2019-09-300001034054srt:MaximumMember2019-09-300001034054sbac:SouthAfricanSubsidiaryMember2019-09-300001034054sbac:BrazilianSubsidiaryMember2019-09-300001034054sbac:BrazilianSubsidiaryMember2018-12-310001034054sbac:DecommissionedTowersMember2019-07-012019-09-300001034054sbac:DecommissionedTowersMember2019-01-012019-09-300001034054sbac:DecommissionedTowersMember2018-07-012018-09-300001034054sbac:DecommissionedTowersMember2018-01-012018-09-3000010340542019-06-300001034054sbac:NetworkLocationIntangiblesMember2019-09-300001034054sbac:CurrentContractIntangiblesMember2019-09-300001034054sbac:NetworkLocationIntangiblesMember2018-12-310001034054sbac:CurrentContractIntangiblesMember2018-12-310001034054sbac:WorkersCompensationPolicyMember2019-09-300001034054sbac:WorkersCompensationPolicyMember2018-12-310001034054us-gaap:SubsequentEventMember2019-10-2500010340542019-09-250001034054us-gaap:RetainedEarningsMember2019-07-012019-09-300001034054us-gaap:SubsequentEventMember2019-10-252019-10-2500010340542019-09-252019-09-250001034054sbac:TwoThousandEighteenTermLoanMemberus-gaap:InterestRateSwapMember2019-05-230001034054sbac:TwoThousandEighteenTermLoanMemberus-gaap:InterestRateSwapMember2019-02-010001034054us-gaap:CorporateNonSegmentMember2019-07-012019-09-300001034054us-gaap:CorporateNonSegmentMember2019-01-012019-09-300001034054us-gaap:CorporateNonSegmentMember2018-07-012018-09-300001034054us-gaap:CorporateNonSegmentMember2018-01-012018-09-300001034054us-gaap:RevolvingCreditFacilityMember2019-01-012019-09-300001034054sbac:TwoThousandThirteenHyphenTwoCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandFourteenTermLoanMember2019-01-012019-09-300001034054sbac:TwoThousandFourteenHyphenTwoCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandFourteenHyphenOneCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandFifteenTermLoanMember2019-01-012019-09-300001034054sbac:SeniorNotesFiveMember2017-10-130001034054sbac:SeniorNotesFourMember2016-08-150001034054sbac:SeniorNotesThreeMember2014-07-010001034054sbac:MortgageLoanMember2019-09-132019-09-130001034054sbac:SbaGuarantorLlcMembersbac:TwoThousandNineteenHyphenOneRTowerSecuritiesMember2019-09-130001034054sbac:TwoThousandNineteenHyphenOneCTowerSecuritiesMember2019-09-130001034054sbac:TwoThousandEighteenTermLoanMember2018-04-110001034054sbac:TwoThousandEighteenHyphenOneRTowerSecuritiesMember2018-03-090001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2018-03-090001034054sbac:TwoThousandSeventeenHyphenOneRTowerSecuritiesMember2017-04-170001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2017-04-170001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2016-07-070001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2015-10-140001034054sbac:TwoThousandFourteenSecuredTowerRevenueSecuritiesMember2014-10-150001034054sbac:TwoThousandFourteenHyphenTwoCTowerSecuritiesMember2014-10-150001034054sbac:TwoThousandFourteenHyphenOneCTowerSecuritiesMember2014-10-150001034054sbac:TwoThousandThirteenSecuredTowerRevenueSecuritiesMember2013-04-180001034054sbac:TwoThousandThirteenHyphenTwoCTowerSecuritiesMember2013-04-180001034054sbac:TwoThousandThirteenHyphenOneDTowerSecuritiesMember2013-04-180001034054sbac:TwoThousandThirteenHyphenOneCTowerSecuritiesMember2013-04-180001034054us-gaap:RevolvingCreditFacilityMember2019-09-300001034054sbac:TwoThousandThirteenHyphenTwoCTowerSecuritiesMember2019-09-300001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2019-09-300001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2019-09-300001034054sbac:TwoThousandNineteenHyphenOneCTowerSecuritiesMember2019-09-300001034054sbac:TwoThousandFourteenHyphenTwoCTowerSecuritiesMember2019-09-300001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2019-09-300001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2019-09-300001034054sbac:SeniorNotesThreeMember2019-09-300001034054sbac:SeniorNotesFourMember2019-09-300001034054sbac:SeniorNotesFiveMember2019-09-300001034054us-gaap:RevolvingCreditFacilityMember2018-12-310001034054sbac:TwoThousandThirteenHyphenTwoCTowerSecuritiesMember2018-12-310001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2018-12-310001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2018-12-310001034054sbac:TwoThousandFourteenHyphenTwoCTowerSecuritiesMember2018-12-310001034054sbac:TwoThousandFourteenHyphenOneCTowerSecuritiesMember2018-12-310001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2018-12-310001034054sbac:TwoThousandEighteenTermLoanMember2018-12-310001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2018-12-310001034054sbac:SeniorNotesThreeMember2018-12-310001034054sbac:SeniorNotesFourMember2018-12-310001034054sbac:SeniorNotesFiveMember2018-12-310001034054srt:MinimumMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054srt:MinimumMembersbac:TwoThousandFourteenTermLoanMemberus-gaap:EurodollarMember2019-01-012019-09-300001034054srt:MinimumMembersbac:TwoThousandFourteenTermLoanMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054srt:MinimumMembersbac:TwoThousandFifteenTermLoanMemberus-gaap:EurodollarMember2019-01-012019-09-300001034054srt:MinimumMembersbac:TwoThousandFifteenTermLoanMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054srt:MinimumMembersbac:TwoThousandEighteenTermLoanMemberus-gaap:EurodollarMember2019-01-012019-09-300001034054srt:MinimumMembersbac:TwoThousandEighteenTermLoanMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054srt:MaximumMemberus-gaap:RevolvingCreditFacilityMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054srt:MinimumMemberus-gaap:RevolvingCreditFacilityMember2019-01-012019-09-300001034054srt:MaximumMemberus-gaap:RevolvingCreditFacilityMember2019-01-012019-09-300001034054sbac:TwoThousandFourteenTermLoanMemberus-gaap:EurodollarMember2019-01-012019-09-300001034054sbac:TwoThousandFourteenTermLoanMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054sbac:TwoThousandFifteenTermLoanMemberus-gaap:EurodollarMember2019-01-012019-09-300001034054sbac:TwoThousandFifteenTermLoanMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054sbac:TwoThousandEighteenTermLoanMemberus-gaap:EurodollarMember2019-01-012019-09-300001034054sbac:TwoThousandEighteenTermLoanMemberus-gaap:BaseRateMember2019-01-012019-09-300001034054us-gaap:RetainedEarningsMember2019-03-3100010340542019-03-310001034054sbac:SiteDevelopmentConstructionMember2019-07-012019-09-300001034054sbac:SiteDevelopmentConstructionMember2019-01-012019-09-300001034054sbac:SiteDevelopmentConstructionMember2018-07-012018-09-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2019-09-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2019-06-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2019-03-310001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2018-12-310001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2018-09-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2018-06-300001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2018-03-310001034054us-gaap:CommonClassAMemberus-gaap:CommonStockMember2017-12-310001034054sbac:TwoThousandEighteenTermLoanMemberus-gaap:InterestRateSwapMember2019-09-3000010340542018-09-3000010340542017-12-310001034054sbac:AdditionalInterestInUnconsolidatedJointVentureMember2019-07-012019-09-300001034054sbac:AdditionalInterestInUnconsolidatedJointVentureMember2019-01-012019-09-300001034054sbac:BusinessCombinationMember2019-01-012019-03-310001034054us-gaap:CorporateNonSegmentMember2019-09-300001034054sbac:SiteDevelopmentConstructionMember2019-09-300001034054sbac:InternationalSiteLeasingRevenueMember2019-09-300001034054sbac:DomesticSiteLeasingRevenueMember2019-09-300001034054country:BR2019-09-300001034054us-gaap:CorporateNonSegmentMember2018-12-310001034054sbac:SiteDevelopmentConstructionMember2018-12-310001034054sbac:InternationalSiteLeasingRevenueMember2018-12-310001034054sbac:DomesticSiteLeasingRevenueMember2018-12-310001034054country:BR2018-12-310001034054us-gaap:EmployeeStockOptionMember2019-07-012019-09-300001034054us-gaap:EmployeeStockOptionMember2019-01-012019-09-300001034054us-gaap:EmployeeStockOptionMember2018-07-012018-09-300001034054us-gaap:RestrictedStockMember2018-01-012018-09-300001034054us-gaap:EmployeeStockOptionMember2018-01-012018-09-300001034054sbac:TwoThousandFourteenTermLoanMember2018-04-112018-04-110001034054sbac:TwoThousandFifteenTermLoanMember2018-04-112018-04-110001034054us-gaap:AdditionalPaidInCapitalMember2019-07-012019-09-300001034054us-gaap:AdditionalPaidInCapitalMember2019-04-012019-06-3000010340542019-04-012019-06-300001034054us-gaap:AdditionalPaidInCapitalMember2019-01-012019-03-310001034054us-gaap:AdditionalPaidInCapitalMember2018-07-012018-09-300001034054us-gaap:AdditionalPaidInCapitalMember2018-04-012018-06-3000010340542018-04-012018-06-300001034054us-gaap:AdditionalPaidInCapitalMember2018-01-012018-03-3100010340542018-01-012018-03-3100010340542019-01-012019-03-310001034054sbac:SeniorNotesFourMember2016-08-152016-08-150001034054sbac:SeniorNotesThreeMember2014-07-012014-07-0100010340542019-08-012019-08-310001034054us-gaap:SubsequentEventMember2019-10-012019-10-310001034054sbac:OtherAcquisitionsMember2019-01-012019-09-3000010340542018-01-012018-12-3100010340542019-01-010001034054srt:MinimumMember2019-01-012019-09-300001034054srt:MaximumMember2019-01-012019-09-300001034054sbac:SbaGuarantorLlcMembersbac:TwoThousandNineteenHyphenOneRTowerSecuritiesMember2019-09-132019-09-130001034054sbac:TwoThousandNineteenHyphenOneCTowerSecuritiesMember2019-09-132019-09-130001034054sbac:TwoThousandEighteenHyphenOneRTowerSecuritiesMember2018-03-092018-03-090001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2018-03-092018-03-090001034054sbac:TwoThousandSeventeenHyphenOneRTowerSecuritiesMember2017-04-172017-04-170001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2017-04-172017-04-170001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2016-07-072016-07-070001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2015-10-142015-10-140001034054sbac:TwoThousandFourteenHyphenTwoCTowerSecuritiesMember2014-10-152014-10-150001034054sbac:TwoThousandFourteenHyphenOneCTowerSecuritiesMember2014-10-152014-10-150001034054sbac:TwoThousandThirteenHyphenTwoCTowerSecuritiesMember2013-04-182013-04-180001034054sbac:TwoThousandThirteenHyphenOneDTowerSecuritiesMember2013-04-182013-04-180001034054sbac:TwoThousandThirteenHyphenOneCTowerSecuritiesMember2013-04-182013-04-180001034054sbac:SeniorNotesThreeMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMember2019-01-012019-09-300001034054sbac:SeniorNotesThreeMemberus-gaap:DebtInstrumentRedemptionPeriodOneMember2019-01-012019-09-300001034054sbac:SeniorNotesFourMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMember2019-01-012019-09-300001034054sbac:SeniorNotesFourMemberus-gaap:DebtInstrumentRedemptionPeriodThreeMember2019-01-012019-09-300001034054sbac:SeniorNotesFourMemberus-gaap:DebtInstrumentRedemptionPeriodOneMember2019-01-012019-09-300001034054sbac:SeniorNotesFourMemberus-gaap:DebtInstrumentRedemptionPeriodFourMember2019-01-012019-09-300001034054sbac:SeniorNotesFiveMemberus-gaap:DebtInstrumentRedemptionPeriodTwoMember2019-01-012019-09-300001034054sbac:SeniorNotesFiveMemberus-gaap:DebtInstrumentRedemptionPeriodThreeMember2019-01-012019-09-300001034054sbac:SeniorNotesFiveMemberus-gaap:DebtInstrumentRedemptionPeriodOneMember2019-01-012019-09-300001034054sbac:TwoThousandFourteenTermLoanMember2019-09-300001034054sbac:TwoThousandFifteenTermLoanMember2019-09-300001034054sbac:TwoThousandEighteenTermLoanMember2019-09-300001034054sbac:TwoThousandEighteenTermLoanMemberus-gaap:InterestRateSwapMember2019-05-232019-05-230001034054sbac:TwoThousandEighteenTermLoanMemberus-gaap:InterestRateSwapMember2019-02-012019-02-010001034054srt:MaximumMembersbac:SeniorNotesFiveMember2019-01-012019-09-300001034054us-gaap:RevolvingCreditFacilityMembersbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2019-07-012019-09-300001034054sbac:TwoThousandThirteenSecuredTowerRevenueSecuritiesMember2019-07-012019-09-300001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2019-07-012019-09-300001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2019-07-012019-09-300001034054sbac:TwoThousandNineteenHyphenOneCTowerSecuritiesMember2019-07-012019-09-300001034054sbac:TwoThousandFourteenSecuredTowerRevenueSecuritiesMember2019-07-012019-09-300001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2019-07-012019-09-300001034054sbac:TwoThousandEighteenTermLoanMember2019-07-012019-09-300001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2019-07-012019-09-300001034054sbac:SeniorNotesThreeMember2019-07-012019-09-300001034054sbac:SeniorNotesFourMember2019-07-012019-09-300001034054sbac:SeniorNotesFiveMember2019-07-012019-09-300001034054sbac:OtherDebtMember2019-07-012019-09-300001034054us-gaap:RevolvingCreditFacilityMembersbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandThirteenSecuredTowerRevenueSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandNineteenHyphenOneCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandFourteenSecuredTowerRevenueSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:TwoThousandEighteenTermLoanMember2019-01-012019-09-300001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2019-01-012019-09-300001034054sbac:SeniorNotesThreeMember2019-01-012019-09-300001034054sbac:SeniorNotesFourMember2019-01-012019-09-300001034054sbac:SeniorNotesFiveMember2019-01-012019-09-300001034054sbac:OtherDebtMember2019-01-012019-09-300001034054us-gaap:RevolvingCreditFacilityMembersbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2018-07-012018-09-300001034054sbac:TwoThousandThirteenSecuredTowerRevenueSecuritiesMember2018-07-012018-09-300001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2018-07-012018-09-300001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2018-07-012018-09-300001034054sbac:TwoThousandFourteenSecuredTowerRevenueSecuritiesMember2018-07-012018-09-300001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2018-07-012018-09-300001034054sbac:TwoThousandEighteenTermLoanMember2018-07-012018-09-300001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2018-07-012018-09-300001034054sbac:SeniorNotesThreeMember2018-07-012018-09-300001034054sbac:SeniorNotesFourMember2018-07-012018-09-300001034054sbac:SeniorNotesFiveMember2018-07-012018-09-300001034054sbac:OtherDebtMember2018-07-012018-09-300001034054us-gaap:RevolvingCreditFacilityMembersbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2018-01-012018-09-300001034054sbac:TwoThousandThirteenSecuredTowerRevenueSecuritiesMember2018-01-012018-09-300001034054sbac:TwoThousandSixteenHyphenOneCTowerSecuritiesMember2018-01-012018-09-300001034054sbac:TwoThousandSeventeenHyphenOneCTowerSecuritiesMember2018-01-012018-09-300001034054sbac:TwoThousandFourteenTermLoanMember2018-01-012018-09-300001034054sbac:TwoThousandFourteenSecuredTowerRevenueSecuritiesMember2018-01-012018-09-300001034054sbac:TwoThousandFifteenTermLoanMember2018-01-012018-09-300001034054sbac:TwoThousandFifteenHyphenOneCTowerSecuritiesMember2018-01-012018-09-300001034054sbac:TwoThousandEighteenTermLoanMember2018-01-012018-09-300001034054sbac:TwoThousandEighteenHyphenOneCTowerSecuritiesMember2018-01-012018-09-300001034054sbac:SeniorNotesThreeMember2018-01-012018-09-300001034054sbac:SeniorNotesFourMember2018-01-012018-09-300001034054sbac:SeniorNotesFiveMember2018-01-012018-09-300001034054sbac:OtherDebtMember2018-01-012018-09-300001034054sbac:OtherAcquisitionsMember2019-09-3000010340542019-09-3000010340542018-12-310001034054sbac:InternationalSiteLeasingRevenueMember2019-07-012019-09-300001034054sbac:DomesticSiteLeasingRevenueMember2019-07-012019-09-3000010340542019-07-012019-09-300001034054sbac:InternationalSiteLeasingRevenueMember2019-01-012019-09-300001034054sbac:DomesticSiteLeasingRevenueMember2019-01-012019-09-300001034054sbac:InternationalSiteLeasingRevenueMember2018-07-012018-09-300001034054sbac:DomesticSiteLeasingRevenueMember2018-07-012018-09-3000010340542018-07-012018-09-300001034054sbac:SiteDevelopmentConstructionMember2018-01-012018-09-300001034054sbac:InternationalSiteLeasingRevenueMember2018-01-012018-09-300001034054sbac:DomesticSiteLeasingRevenueMember2018-01-012018-09-3000010340542018-01-012018-09-3000010340542019-10-3100010340542019-01-012019-09-30sbac:segmentsbac:entityiso4217:USDxbrli:sharessbac:itemsbac:customerxbrli:pureiso4217:USDxbrli:shares

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

xQUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2019

OR

¨TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                       to                     

Commission file number: 001-16853

SBA COMMUNICATIONS CORPORATION

(Exact name of Registrant as specified in its charter)

Florida

65-0716501

(State or other jurisdiction of

(I.R.S. Employer

incorporation or organization)

Identification No.)

8051 Congress Avenue

Boca Raton, Florida

33487

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code (561995-7670

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class

Trading Symbol(s)

Name of Each Exchange on Which Registered

Class A Common Stock, $0.01 par value per share

SBAC

The NASDAQ Stock Market LLC

(NASDAQ Global Select Market)

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     Yes  x    No  ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  x   No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer

x

Accelerated filer

¨

Non-Accelerated filer

¨

Smaller reporting company

¨

Emerging growth company

¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act)    Yes  ¨    No  x

Indicate the number of shares outstanding of each issuer’s classes of common stock, as of the latest practicable date: 112,601,008 shares of Class A common stock as of October 31, 2019.

Table of Contents

 

 

Page

PART I – FINANCIAL INFORMATION 

Item 1.

Financial Statements

 

Consolidated Balance Sheets as of September 30, 2019 (unaudited) and December 31, 2018

1 

Consolidated Statements of Operations (unaudited) for the three and nine months ended September 30, 2019 and 2018

2 

Consolidated Statements of Comprehensive Loss (unaudited) for the three and nine months ended September 30, 2019 and 2018

3 

Consolidated Statement of Shareholders’ Deficit (unaudited) for the nine months ended September 30, 2019 and 2018

4 

Consolidated Statements of Cash Flows (unaudited) for the nine months ended September 30, 2019 and 2018

6 

Condensed Notes to Consolidated Financial Statements (unaudited)

8 

Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

29

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

48

Item 4.

Controls and Procedures

51 

PART II – OTHER INFORMATION 

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

52 

Item 6.

Exhibits

52 

SIGNATURES

53 

PART I – FINANCIAL INFORMATION

ITEM 1: FINANCIAL STATEMENTS

SBA COMMUNICATIONS CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS (in thousands, except par values)

September 30,

December 31,

2019

2018

ASSETS

(unaudited)

Current assets:

Cash and cash equivalents

$

128,778 

$

143,444 

Restricted cash

27,502 

32,464 

Accounts receivable, net

122,725 

111,035 

Costs and estimated earnings in excess of billings on uncompleted contracts

28,303 

23,785 

Prepaid expenses and other current assets (1)

21,946 

63,126 

Total current assets

329,254 

373,854 

Property and equipment, net (1)

2,763,055 

2,786,355 

Intangible assets, net

3,261,885 

3,331,465 

Right-of-use assets, net (1)

2,449,933 

Other assets (1)

397,011 

722,033 

Total assets

$

9,201,138 

$

7,213,707 

LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST,

AND SHAREHOLDERS' DEFICIT

Current Liabilities:

Accounts payable

$

35,130 

$

34,308 

Accrued expenses

63,151 

63,665 

Current maturities of long-term debt

24,000 

941,728 

Deferred revenue

112,382 

108,054 

Accrued interest

34,493 

48,722 

Current lease liabilities (1)

230,197 

Other current liabilities (1)

10,799 

9,802 

Total current liabilities

510,152 

1,206,279 

Long-term liabilities:

Long-term debt, net

9,821,502 

8,996,825 

Long-term lease liabilities (1)

2,174,512 

Other long-term liabilities (1)

241,269 

387,426 

Total long-term liabilities

12,237,283 

9,384,251 

Redeemable noncontrolling interest

14,077 

Shareholders' deficit:

Preferred stock - par value $0.01, 30,000 shares authorized, no shares issued or outstanding

Common stock - Class A, par value $0.01, 400,000 shares authorized, 112,604 shares and 112,433

shares issued and outstanding at September 30, 2019 and December 31, 2018, respectively

1,126 

1,124 

Additional paid-in capital

2,446,369 

2,270,326 

Accumulated deficit

(5,387,091)

(5,136,368)

Accumulated other comprehensive loss, net

(620,778)

(511,905)

Total shareholders' deficit

(3,560,374)

(3,376,823)

Total liabilities, redeemable noncontrolling interests, and shareholders' deficit

$

9,201,138 

$

7,213,707 

(1)On January 1, 2019, the Company adopted ASU 2016-02 which requires lessees to recognize a right-of-use asset and a lease liability. Upon adoption, certain assets and liabilities were reclassified to Right-of-use assets, net and lease liabilities in accordance with provisions of ASU 2016-02. See Note 1 for further discussion.

The accompanying condensed notes are an integral part of these consolidated financial statements.

SBA COMMUNICATIONS CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited) (in thousands, except per share amounts)

For the three months

For the nine months

ended September 30,

ended September 30,

2019

2018

2019

2018

Revenues:

Site leasing

$

468,572 

$

435,260 

$

1,379,758 

$

1,295,686 

Site development

38,975 

31,961 

121,229 

86,160 

Total revenues

507,547 

467,221 

1,500,987 

1,381,846 

Operating expenses:

Cost of revenues (exclusive of depreciation, accretion,

and amortization shown below):

Cost of site leasing

92,993 

92,294 

279,167 

278,800 

Cost of site development

30,516 

24,447 

92,606 

67,693 

Selling, general, and administrative (1)

42,272 

34,908 

148,755 

106,901 

Acquisition and new business initiatives related

adjustments and expenses

4,692 

2,995 

9,669 

9,171 

Asset impairment and decommission costs

8,240 

6,868 

23,631 

22,778 

Depreciation, accretion, and amortization

174,987 

167,703 

517,590 

502,659 

Total operating expenses

353,700 

329,215 

1,071,418 

988,002 

Operating income

153,847 

138,006 

429,569 

393,844 

Other income (expense):

Interest income

1,311 

2,006 

4,692 

4,972 

Interest expense

(96,567)

(95,717)

(292,681)

(278,278)

Non-cash interest expense

(662)

(632)

(1,954)

(2,002)

Amortization of deferred financing fees

(5,157)

(4,980)

(15,333)

(15,265)

Loss from extinguishment of debt, net

(457)

(457)

(14,443)

Other income (expense), net

(33,551)

(24,518)

(21,296)

(110,175)

Total other income (expense), net

(135,083)

(123,841)

(327,029)

(415,191)

Income (loss) before income taxes

18,764 

14,165 

102,540 

(21,347)

(Provision) benefit for income taxes

3,002 

1,979 

(22,813)

11,645 

Net income (loss)

21,766 

16,144 

79,727 

(9,702)

Net (income) attributable to the noncontrolling interest

(87)

(87)

Net income (loss) attributable to SBA Communications

Corporation

$

21,679 

$

16,144 

$

79,640 

$

(9,702)

Net income (loss) per common share attributable to SBA

Communications Corporation:

Basic

$

0.19 

$

0.14 

$

0.70 

$

(0.08)

Diluted

$

0.19 

$

0.14 

$

0.69 

$

(0.08)

Weighted average number of common shares

Basic

113,037 

114,597 

112,985 

115,378 

Diluted

115,184 

116,114 

114,824 

115,378 

(1)Includes non-cash compensation of $12,281 and $10,261 for the three months ended September 30, 2019 and 2018, respectively, and $59,017 and $31,188 for the nine months ended September 30, 2019 and 2018, respectively.

The accompanying condensed notes are an integral part of these consolidated financial statements.

SBA COMMUNICATIONS CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

(unaudited) (in thousands)

For the three months

For the nine months

ended September 30,

ended September 30,

2019

2018

2019

2018

Net income (loss)

$

21,766 

$

16,144 

$

79,727 

$

(9,702)

Change in fair value of cash flow hedge

(10,811)

(62,404)

Foreign currency translation adjustments

(55,047)

(27,598)

(46,469)

(149,057)

Comprehensive loss

(44,092)

(11,454)

(29,146)

(158,759)

Comprehensive income attributable to noncontrolling interest

(87)

(87)

Comprehensive loss attributable to SBA Communications

Corporation

$

(44,179)

$

(11,454)

$

(29,233)

$

(158,759)

The accompanying condensed notes are an integral part of these consolidated financial statements.


SBA COMMUNICATIONS CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ DEFICIT

(unaudited) (in thousands)

Accumulated

Class A

Additional

Other

Total

Common Stock

Paid-In

Accumulated

Comprehensive

Shareholders'

Shares

Amount

Capital

Deficit

Loss, Net

Deficit

BALANCE, December 31, 2018

112,433 

$

1,124 

$

2,270,326 

$

(5,136,368)

$

(511,905)

$

(3,376,823)

Net income attributable to SBA

Communications Corporation

25,989 

25,989 

Common stock issued in connection with

stock purchase/option plans

762 

8 

63,467