0001051470-24-000030.txt : 20240124 0001051470-24-000030.hdr.sgml : 20240124 20240124161732 ACCESSION NUMBER: 0001051470-24-000030 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 23 CONFORMED PERIOD OF REPORT: 20240123 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20240124 DATE AS OF CHANGE: 20240124 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CROWN CASTLE INC. CENTRAL INDEX KEY: 0001051470 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] ORGANIZATION NAME: 05 Real Estate & Construction IRS NUMBER: 760470458 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-16441 FILM NUMBER: 24556657 BUSINESS ADDRESS: STREET 1: 8020 KATY FREEWAY CITY: HOUSTON STATE: TX ZIP: 77024 BUSINESS PHONE: 7135703000 MAIL ADDRESS: STREET 1: 8020 KATY FREEWAY CITY: HOUSTON STATE: TX ZIP: 77024 FORMER COMPANY: FORMER CONFORMED NAME: CROWN CASTLE INTERNATIONAL CORP DATE OF NAME CHANGE: 19971215 8-K 1 cci-20240123.htm 8-K cci-20240123
0001051470false00010514702024-01-232024-01-230001051470exch:XNYS2024-01-232024-01-23


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): January 23, 2024
Crown Castle Inc.
(Exact name of registrant as specified in its charter)
     
Delaware 001-16441 76-0470458
(State or other jurisdiction
of incorporation)
 (Commission File Number) (IRS Employer Identification No.)

8020 Katy Freeway, Houston, Texas 77024
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (713) 570-3000
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
 Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
 Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, $0.01 par valueCCINew York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
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.




ITEM 2.02 — RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On January 24, 2024, Crown Castle Inc. ("Company") issued a press release disclosing its financial results for the fourth quarter and full year ended December 31, 2023. A copy of the press release is furnished herewith as Exhibit 99.1.

ITEM 5.02 — DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS

(c) On January 23, 2024, the Company's board of directors ("Board") appointed Michael J. Kavanagh, age 55, as the Company's Executive Vice President ("EVP") and Chief Operating Officer ("COO")–Towers and appointed Christopher D. Levendos, age 56, as the Company's EVP and COO–Fiber, each effective immediately.

Mr. Kavanagh served as the Company's EVP and Chief Commercial Officer since January 2017. Previously, Mr. Kavanagh served as the Company's President–Small Cell Sales from September 2010 to January 2017.

Mr. Levendos served as the Company's EVP and COO, overseeing both operating segments, since November 2023. Mr. Levendos also served as the Company's EVP and COO–Fiber from December 2020 to November 2023 and acted as the interim EVP and COO–Towers from October 2023 to November 2023. Previously, Mr. Levendos served as the Company's Vice President of Fiber Operations from June 2018 to December 2020.

There are no arrangements or undertakings pursuant to which Mr. Levendos and Mr. Kavanagh were selected as EVP and COO–Fiber and EVP and COO–Towers, respectively. There are no family relationships among any of the Company's directors or executive officers and either appointee. There are no related party transactions involving Mr. Levendos and Mr. Kavanagh that are reportable under Item 404(a) of Regulation S-K. There are no plans, contracts or arrangements that are entered into or amended and no grants or awards have been made or modified in connection with the appointments of Mr. Levendos and Mr. Kavanagh.

(e) Effective January 23, 2024, the Board determined to retain and continue the appointment of Daniel K. Schlanger in his current role as the Company's EVP and Chief Financial Officer beyond the previously announced termination date of March 31, 2024 ("Termination Date"). In connection with the retention decision, the Company entered into an agreement with Mr. Schlanger, dated January 23, 2024, pursuant to which the Company granted to Mr. Schlanger time based restricted stock units relating to 21,085 shares of underlying Company common stock ("RSUs"), with terms providing for 11,486 of such RSUs to vest on September 30, 2024, and 9,599 of such RSUs scheduled to vest on December 31, 2024 subject to Mr. Schlanger's continued employment with the Company on such date (collectively, "Retention Awards"). The RSUs were granted under the Company's 2022 Long-Term Incentive Plan, as amended. The Retention Awards were based on the Board's evaluation of market benchmarks, potential incentives Mr. Schlanger could have received if he were to accept an external offer, and the costs associated with attracting a highly qualified new CFO. At this time, no further adjustments have been made to Mr. Schlanger's compensation, benefits or outstanding equity grants.

ITEM 7.01 — REGULATION FD DISCLOSURE

The press release referenced in Item 2.02 above refers to certain supplemental information that was posted as a supplemental information package on the Company's website on January 24, 2024. The supplemental information package is furnished herewith as Exhibit 99.2.
ITEM 9.01 — FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits
Exhibit Index
Exhibit No.Description
99.1
99.2
104Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document



The information in Items 2.02 and 7.01 of this Current Report on Form 8-K ("Form 8-K") and Exhibits 99.1 and 99.2 attached hereto are furnished as part of this Form 8-K and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended ("Exchange Act"), or otherwise subject to the liabilities of that section, nor shall such information or exhibits be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.





SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
CROWN CASTLE INC.
By: /s/ Edward B. Adams, Jr.
Name:Edward B. Adams, Jr.
Title:Executive Vice President and General Counsel
Date: January 24, 2024

EX-99.1 2 q42023earningsrelease.htm EX-99.1 Document
Exhibit 99.1
logoa61.jpg
NEWS RELEASE
January 24, 2024


Contacts: Dan Schlanger, CFO
Kris Hinson, VP Corp Finance & Treasurer
FOR IMMEDIATE RELEASE
Crown Castle Inc.
713-570-3050

CROWN CASTLE REPORTS FOURTH QUARTER 2023 AND FULL YEAR 2023 RESULTS, MAINTAINS OUTLOOK FOR FULL YEAR 2024
January 24, 2024 - HOUSTON, TEXAS - Crown Castle Inc. (NYSE: CCI) ("Crown Castle") today reported results for the fourth quarter and full year ended December 31, 2023 and maintained its full year 2024 outlook, as reflected in the table below.
Full Year 2024
Full Year 2023
(dollars in millions, except per share amounts)
Current Outlook Midpoint(a)
Midpoint Growth Rate Compared to Full Year 2023 Actual
Actual
Actual Growth Rate Compared to Full Year 2022 Actual
Site rental revenues$6,370(2)%$6,5324%
Net income (loss)$1,253(17)%$1,502(10)%
Net income (loss) per share—diluted$2.88(17)%$3.46(10)%
Adjusted EBITDA(b)
$4,163(6)%$4,4152%
AFFO(b)
$3,005(8)%$3,2772%
AFFO per share(b)
$6.91(8)%$7.552%
(a)As issued on January 24, 2024 and unchanged from the previous full year 2024 Outlook issued on October 18, 2023.
(b)See "Non-GAAP Measures and Other Information" for further information and reconciliation of non-GAAP financial measures to net income (loss), including on a per share basis.

"Crown Castle delivered 2023 results in line with our expectations, including site rental billings, Adjusted EBITDA, and AFFO. We generated full-year tower organic revenue growth of 5%, achieved 8,000 new small cell nodes for the year, with 2,000 additional nodes completed that are expected to begin billing in first quarter 2024, and returned to year-over-year fiber solutions revenue growth of approximately 3% in the fourth quarter," said Tony Melone, Crown Castle's Interim Chief Executive Officer ("CEO"). "Looking forward, my focus is on delivering on our 2024 Outlook and continuing to serve our customers with excellence, while at the same time supporting the ongoing strategic review of our Fiber business and providing stability through our CEO transition period."
RESULTS FOR THE YEAR
The table below sets forth select financial results for the year ended December 31, 2023 and December 31, 2022.
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Actual
Previous 2023 Outlook Midpoint(b)
Actual Compared to Previous Outlook Midpoint
(dollars in millions, except per share amounts)
2023
2022
Change% Change
Site rental revenues$6,532$6,289$2434%$6,511$21
Net income (loss)$1,502$1,675$(173)(10)%$1,469$33
Net income (loss) per share—diluted$3.46$3.86$(0.40)(10)%$3.38$0.08
Adjusted EBITDA(a)
$4,415$4,340$752%$4,422$(7)
AFFO(a)
$3,277$3,200$772%$3,279$(2)
AFFO per share(a)
$7.55$7.38$0.172%$7.54$0.01
(a)See "Non-GAAP Measures and Other Information" for further information and reconciliation of non-GAAP financial measures to net income (loss), including on a per share basis.
(b)As issued October 18, 2023.

HIGHLIGHTS FROM THE YEAR
Site rental revenues. Site rental revenues grew 4%, or $243 million, from full year 2022 to full year 2023, inclusive of approximately $361 million in Organic Contribution to Site Rental Billings, a $136 million decrease in straight-lined revenues, and a $15 million increase in amortization of prepaid rent. The $361 million in Organic Contribution to Site Rental Billings, which includes $170 million net contribution from Sprint Cancellations, represents 6.8% growth, or 4.0% when adjusted for the impact of Sprint Cancellations.
Net income. Net income for the full year 2023 was $1.5 billion compared to $1.7 billion for the full year 2022, and included $85 million of charges incurred during the year related to our restructuring plan announced in July 2023.
Adjusted EBITDA. Full year 2023 Adjusted EBITDA was $4.4 billion compared to $4.3 billion for the full year 2022, representing 2% growth.
AFFO and AFFO per share. Full year 2023 AFFO was $3.3 billion, or $7.55 per share, representing growth from the full year 2022 of 2%.
Capital expenditures. Capital expenditures during the year were $1.4 billion, comprised of $1.3 billion of discretionary capital expenditures and $83 million of sustaining capital expenditures. Discretionary capital expenditures included approximately $1.1 billion attributable to Fiber and $186 million attributable to Towers.
Common stock dividend. During the year, Crown Castle paid common stock dividends of approximately $2.7 billion in the aggregate, or $6.26 per common share, an increase of 4.7% on a per share basis compared to the same period a year ago.
Financing activity. In December 2023, Crown Castle issued $1.5 billion in aggregate principal amount of senior unsecured notes in a combination of 5-year and 10-year maturities with a weighted average maturity and coupon of approximately 8 years and 5.7%, respectively. Net proceeds from the senior notes offering were used to repay outstanding indebtedness under its commercial paper program and pay related fees and expenses.
"The growth delivered in 2023 across towers, small cells, and fiber solutions demonstrates our customers' continued demand for our assets, and we are well positioned to execute on our expectations for 2024," stated Dan Schlanger, Crown Castle's Chief Financial Officer. "In December, we issued $1.5 billion of long-term fixed rate debt at a weighted average interest rate of 5.7%, allowing us to end the year with more than 90% fixed rate debt, a weighted average debt maturity of 8 years, limited maturities through 2024, and more than $6 billion of available liquidity under our revolving credit facility."
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FIBER STRATEGIC REVIEW AND CEO SEARCH
The Fiber Review Committee of Crown Castle's Board of Directors ("Board") is progressing the strategic and operating review of the fiber business with the goal of enhancing stockholder value. Concurrently, the Board's CEO Search Committee is conducting a thorough search to identify Crown Castle's next CEO. The Company will provide updates as developments warrant.
MANAGEMENT CHANGES
Crown Castle announced today that Dan Schlanger will remain in his role as Executive Vice President and Chief Financial Officer. The Company previously announced Mr. Schlanger would depart on March 31, 2024.
"The Board and I, together with Dan, agreed it would be best for him to continue serving as Crown Castle’s CFO," said Mr. Melone. "Dan has been a valuable member of our executive leadership team and has made significant contributions over the past seven years. His expertise and leadership are important as we position the Company for success in 2024 and beyond, in addition to providing continuity during our CEO search process. We are thankful for Dan’s ongoing service and commitment to Crown Castle."
Crown Castle also announced that Mike Kavanagh, currently its Executive Vice President and Chief Commercial Officer, has been appointed Executive Vice President and Chief Operating Officer ("COO") for Towers, and Chris Levendos will serve as Executive Vice President and COO for Fiber, the position he held for several years. Operations and sales responsibilities will be consolidated under each COO by respective segment.
"I believe this leadership structure provides an enhanced focus on generating the highest returns in each business segment and will best enable us to maximize value across our portfolio. I am confident that Mike and Chris will help us execute our strategy and drive stockholder value," stated Mr. Melone.
OUTLOOK
This Outlook section contains forward-looking statements, and actual results may differ materially. Information regarding potential risks which could cause actual results to differ from the forward-looking statements herein is set forth below and in Crown Castle's filings with the SEC.
The following table sets forth Crown Castle's current full year 2024 Outlook, which remains unchanged from the previous full year 2024 Outlook.



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(in millions, except per share amounts)
Full Year 2024
Site rental billings(a)
$5,740to$5,780
Amortization of prepaid rent$410to$435
Straight-lined revenues$175to$200
Site rental revenues$6,347to$6,392
Site rental costs of operations(b)
$1,686to$1,731
Services and other gross margin$65to$95
Net income (loss)$1,213to$1,293
Net income (loss) per share—diluted$2.79to$2.97
Adjusted EBITDA(c)
$4,138to$4,188
Depreciation, amortization and accretion$1,680to$1,775
Interest expense and amortization of deferred financing costs, net(d)
$933to$978
FFO(c)
$2,951to$2,996
AFFO(c)
$2,980to$3,030
AFFO per share(c)
$6.85to$6.97
(a)See "Non-GAAP Measures and Other Information" for our definition of site rental billings.
(b)Exclusive of depreciation, amortization and accretion.
(c)See "Non-GAAP Measures and Other Information" for further information and reconciliation of non-GAAP financial measures to net income (loss), including on a per share basis.
(d)See "Non-GAAP Measures and Other Information" for the reconciliation of "Outlook for Components of Interest Expense."

Full year 2023 site rental revenues were $21 million above the 2023 Outlook at the midpoint, inclusive of approximately $5 million of higher-than-expected Towers revenue in the fourth quarter not expected to recur in 2024. Our 2024 Outlook remains unchanged and year-over-year core leasing activity is expected to be within the growth ranges below.
The chart below reconciles the components contributing to expected 2024 growth in site rental revenues. Full year consolidated site rental billings growth, excluding the impact of Sprint Cancellations, is expected to be 5%, inclusive of 4.5% from towers, 13% from small cells, and 3% from fiber solutions.
revenuegrowth4q202301181245.jpg
The chart below reconciles the components contributing to the year over year change to 2024 AFFO.
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affogrowth4q202301181245.jpg

The full year 2024 Outlook for discretionary capital expenditures and prepaid rent additions remains unchanged. Expected discretionary capital expenditures are $1.5 billion to $1.6 billion, including approximately $1.4 billion in the Fiber segment and $180 million in the Towers segment, and prepaid rent additions are expected to be approximately $430 million in 2024, including $350 million from Fiber and $80 million from Towers.
Additional information is available in Crown Castle's quarterly Supplemental Information Package posted in the Investors section of our website.
CONFERENCE CALL DETAILS
Crown Castle has scheduled a conference call for Thursday, January 25, 2024, at 10:30 a.m. Eastern time to discuss its full year 2023 results. A listen only live audio webcast of the conference call, along with supplemental materials for the call, can be accessed on the Crown Castle website at https://investor.crowncastle.com. Participants may join the conference call by dialing 833-816-1115 (Toll Free) or 412-317-0694 (International) at least 30 minutes prior to the start time. All dial-in participants should ask to join the Crown Castle call.
A replay of the webcast will be available on the Investor page of Crown Castle's website until end of day, Saturday, January 25, 2025.
ABOUT CROWN CASTLE
Crown Castle owns, operates and leases more than 40,000 cell towers and approximately 90,000 route miles of fiber supporting small cells and fiber solutions across every major U.S. market. This nationwide portfolio of communications infrastructure connects cities and communities to essential data, technology and wireless service - bringing information, ideas and innovations to the people and businesses that need them. For more information on Crown Castle, please visit www.crowncastle.com.
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Non-GAAP Measures and Other Information
This press release includes presentations of Adjusted EBITDA, Adjusted Funds from Operations ("AFFO"), including per share amounts, Funds from Operations ("FFO"), including per share amounts, Organic Contribution to Site Rental Billings, including as Adjusted for Impact of Sprint Cancellations, and Net Debt, which are non-GAAP financial measures. These non-GAAP financial measures are not intended as alternative measures of operating results or cash flow from operations (as determined in accordance with Generally Accepted Accounting Principles ("GAAP")).
Our non-GAAP financial measures may not be comparable to similarly titled measures of other companies, including other companies in the communications infrastructure sector or other real estate investment trusts ("REITs").
In addition to the non-GAAP financial measures used herein, we also provide segment site rental gross margin, segment services and other gross margin and segment operating profit, which are key measures used by management to evaluate our operating segments. These segment measures are provided pursuant to GAAP requirements related to segment reporting. In addition, we provide the components of certain GAAP measures, such as site rental revenues and capital expenditures.
Our non-GAAP financial measures are presented as additional information because management believes these measures are useful indicators of the financial performance of our business. Among other things, management believes that:
Adjusted EBITDA is useful to investors or other interested parties in evaluating our financial performance. Adjusted EBITDA is the primary measure used by management (1) to evaluate the economic productivity of our operations and (2) for purposes of making decisions about allocating resources to, and assessing the performance of, our operations. Management believes that Adjusted EBITDA helps investors or other interested parties meaningfully evaluate and compare the results of our operations (1) from period to period and (2) to our competitors, by removing the impact of our capital structure (primarily interest charges from our outstanding debt) and asset base (primarily depreciation, amortization and accretion) from our financial results. Management also believes Adjusted EBITDA is frequently used by investors or other interested parties in the evaluation of the communications infrastructure sector and other REITs to measure financial performance without regard to items such as depreciation, amortization and accretion, which can vary depending upon accounting methods and the book value of assets. In addition, Adjusted EBITDA is similar to the measure of current financial performance generally used in our debt covenant calculations. Adjusted EBITDA should be considered only as a supplement to net income (loss) computed in accordance with GAAP as a measure of our performance.
AFFO, including per share amounts, is useful to investors or other interested parties in evaluating our financial performance. Management believes that AFFO helps investors or other interested parties meaningfully evaluate our financial performance as it includes (1) the impact of our capital structure (primarily interest expense on our outstanding debt and dividends on our preferred stock (in periods where applicable)) and (2) sustaining capital expenditures, and excludes the impact of our (1) asset base (primarily depreciation, amortization and accretion) and (2) certain non-cash items, including straight-lined revenues and expenses related to fixed escalations and rent free periods. GAAP requires rental revenues and expenses related to leases that contain specified rental increases over the life of the lease to be recognized evenly over the life of the lease. In accordance with GAAP, if payment terms call for fixed escalations or rent free periods, the revenues or expenses are recognized on a straight-lined basis over the fixed, non-cancelable term of the contract. Management notes that Crown Castle uses AFFO only as a performance measure. AFFO should be considered only as a supplement to net income (loss) computed in accordance with GAAP as a measure of our performance and should not be considered as an alternative to cash flow from operations or as residual cash flow available for discretionary investment.
FFO, including per share amounts, is useful to investors or other interested parties in evaluating our financial performance. Management believes that FFO may be used by investors or other interested parties as a basis to compare our financial performance with that of other REITs. FFO helps investors or other interested parties meaningfully evaluate financial performance by excluding the impact of our asset base (primarily real estate depreciation, amortization and accretion). FFO is not a key performance indicator used by Crown Castle. FFO should be considered only as a supplement to net income (loss) computed in accordance with GAAP as a measure of our performance and should not be considered as an alternative to cash flow from operations.
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Organic Contribution to Site Rental Billings is useful to investors or other interested parties in understanding the components of the year-over-year changes in our site rental revenues computed in accordance with GAAP. Management uses Organic Contribution to Site Rental Billings to assess year-over-year growth rates for our rental activities, to evaluate current performance, to capture trends in rental rates, core leasing activities and tenant non-renewals in our core business, as well as to forecast future results. Separately, we are also disclosing Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations, which is outside of ordinary course, to provide further insight into our results of operations and underlying trends. Management believes that identifying the impact for Sprint Cancellations provides increased transparency and comparability across periods. Organic Contribution to Site Rental Billings (including as Adjusted for Impact of Sprint Cancellations) is not meant as an alternative measure of revenue and should be considered only as a supplement in understanding and assessing the performance of our site rental revenues computed in accordance with GAAP.
Net Debt is useful to investors or other interested parties in evaluating our overall debt position and future debt capacity. Management uses Net Debt in assessing our leverage. Net Debt is not meant as an alternative measure of debt and should be considered only as a supplement in understanding and assessing our leverage.
Non-GAAP Financial Measures
Adjusted EBITDA. We define Adjusted EBITDA as net income (loss) plus restructuring charges (credits), asset write-down charges, acquisition and integration costs, depreciation, amortization and accretion, amortization of prepaid lease purchase price adjustments, interest expense and amortization of deferred financing costs, net, (gains) losses on retirement of long-term obligations, net (gain) loss on interest rate swaps, (gains) losses on foreign currency swaps, impairment of available-for-sale securities, interest income, other (income) expense, (benefit) provision for income taxes, net (income) loss from discontinued operations, (gain) loss on sale of discontinued operations, cumulative effect of a change in accounting principle and stock-based compensation expense, net.
AFFO. We define AFFO as FFO before straight-lined revenues, straight-lined expenses, stock-based compensation expense, net, non-cash portion of tax provision, non-real estate related depreciation, amortization and accretion, amortization of non-cash interest expense, other (income) expense, (gains) losses on retirement of long-term obligations, net (gain) loss on interest rate swaps, (gains) losses on foreign currency swaps, impairment of available-for-sale securities, acquisition and integration costs, restructuring charges (credits), net (income) loss from discontinued operations, (gain) loss on sale of discontinued operations, cumulative effect of a change in accounting principle and adjustments for noncontrolling interests, less sustaining capital expenditures.
AFFO per share. We define AFFO per share as AFFO divided by diluted weighted-average common shares outstanding.
FFO. We define FFO as net income (loss) plus real estate related depreciation, amortization and accretion and asset write-down charges, less noncontrolling interest and cash paid for preferred stock dividends (in periods where applicable), and is a measure of funds from operations attributable to common stockholders.
FFO per share. We define FFO per share as FFO divided by diluted weighted-average common shares outstanding.
Organic Contribution to Site Rental Billings. We define Organic Contribution to Site Rental Billings as the sum of the change in site rental revenues related to core leasing activity, escalators and payments for Sprint Cancellations, less non-renewals of tenant contracts and non-renewals associated with Sprint Cancellations. Additionally, Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations reflects Organic Contribution to Site Rental Billings less payments for Sprint Cancellations, plus non-renewals associated with Sprint Cancellations.
Net Debt. We define Net Debt as (1) debt and other long-term obligations and (2) current maturities of debt and other obligations, excluding unamortized adjustments, net; less cash, cash equivalents and restricted cash.
Segment Measures
Segment site rental gross margin. We define segment site rental gross margin as segment site rental revenues less segment site rental costs of operations, excluding stock-based compensation expense, net and amortization of prepaid lease purchase price adjustments recorded in consolidated site rental costs of operations.
Segment services and other gross margin. We define segment services and other gross margin as segment services and other revenues less segment services and other costs of operations, excluding stock-based compensation expense, net recorded in consolidated services and other costs of operations.
Segment operating profit. We define segment operating profit as segment site rental gross margin plus segment services and other gross margin, less segment selling, general and administrative expenses.
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All of these measurements of profit or loss are exclusive of depreciation, amortization and accretion, which are shown separately. Additionally, certain costs are shared across segments and are reflected in our segment measures through allocations that management believes to be reasonable.
Other Definitions
Site rental billings. We define site rental billings as site rental revenues exclusive of the impacts from (1) straight-lined revenues, (2) amortization of prepaid rent in accordance with GAAP and (3) contribution from recent acquisitions until the one-year anniversary of such acquisitions.
Core leasing activity. We define core leasing activity as site rental revenues growth from tenant additions across our entire portfolio and renewals or extensions of tenant contracts, exclusive of (1) the impacts from both straight-lined revenues and amortization of prepaid rent in accordance with GAAP and (2) payments for Sprint Cancellations, where applicable.
Non-renewals. We define non-renewals of tenant contracts as the reduction in site rental revenues as a result of tenant churn, terminations and, in limited circumstances, reductions of existing lease rates, exclusive of non-renewals associated with Sprint Cancellations, where applicable.
Discretionary capital expenditures. We define discretionary capital expenditures as those capital expenditures made with respect to activities which we believe exhibit sufficient potential to enhance long-term stockholder value. They primarily consist of expansion or development of communications infrastructure (including capital expenditures related to (1) enhancing communications infrastructure in order to add new tenants for the first time or support subsequent tenant equipment augmentations or (2) modifying the structure of a communications infrastructure asset to accommodate additional tenants) and construction of new communications infrastructure. Discretionary capital expenditures also include purchases of land interests (which primarily relates to land assets under towers as we seek to manage our interests in the land beneath our towers), certain technology-related investments necessary to support and scale future customer demand for our communications infrastructure, and other capital projects.
Sustaining capital expenditures. We define sustaining capital expenditures as those capital expenditures not otherwise categorized as discretionary capital expenditures, such as (1) maintenance capital expenditures on our communications infrastructure assets that enable our tenants' ongoing quiet enjoyment of the communications infrastructure and (2) ordinary corporate capital expenditures.
Sprint Cancellations. We define Sprint Cancellations as lease cancellations related to the previously disclosed T-Mobile US, Inc. and Sprint network consolidation as described in our press release dated April 19, 2023.
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Reconciliation of Historical Adjusted EBITDA:
For the Three Months Ended
For the Twelve Months Ended
(in millions; totals may not sum due to rounding)
December 31, 2023December 31, 2022December 31, 2023December 31, 2022
Net income (loss)$361 $413 $1,502 $1,675 
Adjustments to increase (decrease) net income (loss):
Asset write-down charges33 34 
Acquisition and integration costs— 
Depreciation, amortization and accretion439 431 1,754 1,707 
Restructuring charges
13 — 85 — 
Amortization of prepaid lease purchase price adjustments16 16 
Interest expense and amortization of deferred financing costs, net(a)
223 192 850 699 
(Gains) losses on retirement of long-term obligations— — — 28 
Interest income(5)(2)(15)(3)
Other (income) expense10 
(Benefit) provision for income taxes26 16 
Stock-based compensation expense, net31 36 157 156 
Adjusted EBITDA(b)(c)
$1,076 $1,090 $4,415 $4,340 
Reconciliation of Current Outlook for Adjusted EBITDA:
Full Year 2024
(in millions; totals may not sum due to rounding)
Outlook(e)
Net income (loss)$1,213to$1,293
Adjustments to increase (decrease) net income (loss):
Asset write-down charges$42to$52
Acquisition and integration costs$0to$6
Depreciation, amortization and accretion$1,680to$1,775
Restructuring charges
$0to$15
Amortization of prepaid lease purchase price adjustments$15to$17
Interest expense and amortization of deferred financing costs, net(d)
$933to$978
(Gains) losses on retirement of long-term obligations$0to$0
Interest income$(12)to$(11)
Other (income) expense$0to$9
(Benefit) provision for income taxes$20to$28
Stock-based compensation expense, net$142to$146
Adjusted EBITDA(b)(c)
$4,138to$4,188
(a)See the reconciliation of "Components of Interest Expense" for a discussion of non-cash interest expense.
(b)See discussion and our definition of Adjusted EBITDA in this "Non-GAAP Measures and Other Information."
(c)The above reconciliation excludes line items included in our definition which are not applicable for the periods shown.
(d)See the reconciliation of "Outlook for Components of Interest Expense" for a discussion of non-cash interest expense.
(e)As issued on January 24, 2024.

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News Release continued:
Page 10
Reconciliation of Historical FFO and AFFO:
For the Three Months Ended
For the Twelve Months Ended
(in millions; totals may not sum due to rounding)
December 31, 2023December 31, 2022December 31, 2023December 31, 2022
Net income (loss) $361 $413 $1,502 $1,675 
Real estate related depreciation, amortization and accretion426 417 1,692 1,653 
Asset write-down charges33 34 
FFO(a)(b)
$790 $838 $3,227 $3,362 
Weighted-average common shares outstanding—diluted434 434 434 434 
FFO (from above)$790 $838 $3,227 $3,362 
Adjustments to increase (decrease) FFO:
Straight-lined revenues(51)(85)(274)(410)
Straight-lined expenses17 18 73 73 
Stock-based compensation expense, net31 36 157 156 
Non-cash portion of tax provision— 
Non-real estate related depreciation, amortization and accretion13 14 62 54 
Amortization of non-cash interest expense14 14 
Other (income) expense10 
(Gains) losses on retirement of long-term obligations— — — 28 
Acquisition and integration costs— 
Restructuring charges
13 — 85 — 
Sustaining capital expenditures(28)(30)(83)(95)
AFFO(a)(b)
$790 $802 $3,277 $3,200 
Weighted-average common shares outstanding—diluted434 434 434 434 
(a)See discussion and our definitions of FFO and AFFO in this "Non-GAAP Measures and Other Information."
(b)The above reconciliation excludes line items included in our definition which are not applicable for the periods shown.














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News Release continued:
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Reconciliation of Historical FFO and AFFO per share:
For the Three Months Ended
For the Twelve Months Ended
(in millions, except per share amounts; totals may not sum due to rounding)
December 31, 2023December 31, 2022December 31, 2023December 31, 2022
Net income (loss) $0.83 $0.95 $3.46 $3.86 
Real estate related depreciation, amortization and accretion0.98 0.96 3.90 3.81 
Asset write-down charges0.01 0.02 0.08 0.08 
FFO(a)(b)
$1.82 $1.93 $7.43 $7.75 
Weighted-average common shares outstanding—diluted434 434 434 434 
FFO (from above)$1.82 $1.93 $7.43 $7.75 
Adjustments to increase (decrease) FFO:
Straight-lined revenues(0.12)(0.20)(0.63)(0.94)
Straight-lined expenses0.04 0.04 0.17 0.17 
Stock-based compensation expense, net0.07 0.08 0.36 0.36 
Non-cash portion of tax provision— — 0.02 0.01 
Non-real estate related depreciation, amortization and accretion0.03 0.03 0.14 0.12 
Amortization of non-cash interest expense0.01 0.01 0.03 0.03 
Other (income) expense— 0.01 0.01 0.02 
(Gains) losses on retirement of long-term obligations— — — 0.06 
Acquisition and integration costs— — — 0.01 
Restructuring charges
0.03 — 0.20 — 
Sustaining capital expenditures(0.06)(0.07)(0.19)(0.22)
AFFO(a)(b)
$1.82 $1.85 $7.55 $7.38 
Weighted-average common shares outstanding—diluted434 434 434 434 
(a)See discussion and our definitions of FFO and AFFO, including per share amounts, in this "Non-GAAP Measures and Other Information."
(b)The above reconciliation excludes line items included in our definition which are not applicable for the periods shown.
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News Release continued:
Page 12

Reconciliation of Current Outlook for FFO and AFFO:
Full Year 2024
(in millions; totals may not sum due to rounding)
Outlook(a)
Net income (loss)$1,213to$1,293
Real estate related depreciation, amortization and accretion$1,634to$1,714
Asset write-down charges$42to$52
FFO(b)(c)
$2,951to$2,996
Weighted-average common shares outstanding—diluted435
FFO (from above) $2,951to$2,996
Adjustments to increase (decrease) FFO:
Straight-lined revenues$(197)to$(177)
Straight-lined expenses$55to$75
Stock-based compensation expense, net $142to$146
Non-cash portion of tax provision$2to$17
Non-real estate related depreciation, amortization and accretion$46to$61
Amortization of non-cash interest expense$9to$19
Other (income) expense$0to$9
(Gains) losses on retirement of long-term obligations$0to$0
Acquisition and integration costs $0to$6
Restructuring charges
$0to$15
Sustaining capital expenditures$(85)to$(65)
AFFO(b)(c)
$2,980to$3,030
Weighted-average common shares outstanding—diluted435
Reconciliation of Current Outlook for FFO and AFFO per share:
Full Year 2024
(in millions, except per share amounts; totals may not sum due to rounding)
Outlook per share(a)
Net income (loss)$2.79to$2.97
Real estate related depreciation, amortization and accretion$3.76to$3.94
Asset write-down charges$0.10to$0.12
FFO(b)(c)
$6.78to$6.89
Weighted-average common shares outstanding—diluted435
FFO (from above) $6.78to$6.89
Adjustments to increase (decrease) FFO:
Straight-lined revenues$(0.45)to$(0.41)
Straight-lined expenses$0.13to$0.17
Stock-based compensation expense, net $0.33to$0.34
Non-cash portion of tax provision$0.00to$0.04
Non-real estate related depreciation, amortization and accretion$0.11to$0.14
Amortization of non-cash interest expense$0.02to$0.04
Other (income) expense$0.00to$0.02
(Gains) losses on retirement of long-term obligations$0.00to$0.00
Acquisition and integration costs $0.00to$0.01
Restructuring charges
$0.00to$0.03
Sustaining capital expenditures$(0.20)to$(0.15)
AFFO(b)(c)
$6.85to$6.97
Weighted-average common shares outstanding—diluted435
(a)As issued on January 24, 2024.
(b)See discussion and our definitions of FFO and AFFO, including per share amounts, in this "Non-GAAP Measures and Other Information."
(c)The above reconciliation excludes line items included in our definition which are not applicable for the periods shown.
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News Release continued:
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Components of Changes in Site Rental Revenues for the Quarters Ended December 31, 2023 and 2022:
Three Months Ended December 31,
(dollars in millions; totals may not sum due to rounding)
20232022
Components of changes in site rental revenues:
Prior year site rental billings(a)
$1,348 $1,290 
Core leasing activity(a)
79 73 
Escalators24 27 
Non-renewals(a)
(36)(43)
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a)
67 57 
Payments for Sprint Cancellations(a)(b)
10 — 
Non-renewals associated with Sprint Cancellations(a)(b)
(7)— 
Organic Contribution to Site Rental Billings(a)
70 57 
Straight-lined revenues51 85 
Amortization of prepaid rent134 145 
Acquisitions(c)
Other— — 
Total site rental revenues$1,603 $1,578 
Year-over-year changes in revenues:
Site rental revenues as a percentage of prior year site rental revenues
1.6 %7.1 %
Changes in revenues as a percentage of prior year site rental billings:
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(a)
4.9 %4.3 %
Organic Contribution to Site Rental Billings(a)
5.2 %4.3 %
(a)See our definitions of site rental billings, core leasing activity, non-renewals, Sprint Cancellations, Organic Contribution to Site Rental Billings and Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations in this "Non-GAAP Measures and Other Information."
(b)In the fourth quarter 2023, we received $2 million and $8 million of payments for Sprint Cancellations that related to small cells and fiber solutions, respectively, and $5 million and $2 million of non-renewals associated with Sprint Cancellations that related to small cells and fiber solutions, respectively.
(c)Represents the contribution from recent acquisitions. The financial impact of recent acquisitions is excluded from Organic Contribution to Site Rental Billings, including as Adjusted for Impact of Sprint Cancellations, until the one-year anniversary of such acquisitions.





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News Release continued:
Page 14
Components of Changes in Site Rental Revenues for Full Year 2023 Actual and Current Outlook for Full Year 2024:
(dollars in millions; totals may not sum due to rounding)
Full Year 2023
Full Year 2024 Outlook(a)
Components of changes in site rental revenues:
Prior year site rental billings excluding payments for Sprint Cancellations(b)
$5,310 $5,505
Prior year payments for Sprint Cancellations(b)
— $170
Prior year site rental billings(b)
5,310 $5,675
Core leasing activity(b)
275 $305to$335
Escalators96 $95to$105
Non-renewals(b)
(158)$(165)to$(145)
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(b)
212 $245to$285
Payments for Sprint Cancellations(b)(c)
170 $(170)to$(160)
Non-renewals associated with Sprint Cancellations(b)(c)
(21)$(10)to$(10)
Organic Contribution to Site Rental Billings(b)
361 $70to$110
Straight-lined revenues274 $175to$200
Amortization of prepaid rent584 $410to$435
Acquisitions(d)
Other— 
Total site rental revenues$6,532 $6,347to$6,392
Year-over-year changes in revenues:(e)
Site rental revenues as a percentage of prior year site rental revenues
3.9 %(2.5)%
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations as a percentage of prior year site rental billings excluding payments for Sprint Cancellations(b)
4.0 %4.8%
Organic Contribution to Site Rental Billings as a percentage of prior year site rental billings(b)
6.8 %1.6%
(a)As issued on January 24, 2024 and unchanged from the previous full year 2024 Outlook issued on October 18, 2023.
(b)See our definitions of site rental billings, core leasing activity, non-renewals, Sprint Cancellations, Organic Contribution to Site Rental Billings, and Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations in this "Non-GAAP Measures and Other Information."
(c)In 2023, we received $104 million and $66 million of payments for Sprint Cancellations that related to small cells and fiber solutions, respectively, and $14 million and $7 million of non-renewals associated with Sprint Cancellations that related to small cells and fiber solutions, respectively. These payments are non-recurring and therefore reduce full year 2024 Organic Contribution to Site Rental Billings by the same amount.
(d)Represents the contribution from recent acquisitions. The financial impact of recent acquisitions is excluded from Organic Contribution to Site Rental Billings, including as Adjusted for Impact of Sprint Cancellations, until the one-year anniversary of such acquisitions.
(e)Calculated based on midpoint of respective full year Outlook, where applicable.

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News Release continued:
Page 15
Components of Capital Expenditures:(a)
For the Three Months Ended
December 31, 2023December 31, 2022
(in millions)TowersFiberOtherTotalTowersFiberOtherTotal
Discretionary capital expenditures:
Communications infrastructure improvements and other capital projects$21 $288 $$316 $29 $307 $$343 
Purchases of land interests13 — — 13 16 — — 16 
Sustaining capital expenditures— 15 13 28 21 30 
Total capital expenditures$34 $303 $20 $357 $48 $313 $28 $389 
For the Twelve Months Ended
December 31, 2023December 31, 2022
(in millions)TowersFiberOtherTotalTowersFiberOtherTotal
Discretionary capital expenditures:
Communications infrastructure improvements and other capital projects$122 $1,131 $24 $1,277 $121 $1,017 $24 $1,162 
Purchases of land interests64 — — 64 53 — — 53 
Sustaining capital expenditures44 31 83 11 41 43 95 
Total capital expenditures$194 $1,175 $55 $1,424 $185 $1,058 $67 $1,310 
Outlook for Discretionary Capital Expenditures Less Prepaid Rent Additions:(a)(d)
(in millions)
Full Year 2024 Outlook(b)
Discretionary capital expenditures
$1,530to$1,630
Less: Prepaid rent additions(c)
~$430
Discretionary capital expenditures less prepaid rent additions
$1,100to$1,200
Components of Interest Expense:
For the Three Months Ended
(in millions)December 31, 2023December 31, 2022
Interest expense on debt obligations$220 $189 
Amortization of deferred financing costs and adjustments on long-term debt
Capitalized interest(4)(3)
Interest expense and amortization of deferred financing costs, net$223 $192 
Outlook for Components of Interest Expense:
(in millions)
Full Year 2024 Outlook(b)
Interest expense on debt obligations$922to$962
Amortization of deferred financing costs and adjustments on long-term debt$20to$30
Capitalized interest$(17)to$(7)
Interest expense and amortization of deferred financing costs, net$933to$978
(a)See our definitions of discretionary capital expenditures and sustaining capital expenditures in this "Non-GAAP Measures and Other Information."
(b)As issued on January 24, 2024 and unchanged from the previous full year 2024 Outlook issued on October 18, 2023.
(c)Reflects up-front consideration from long-term tenant contracts (commonly referred to as prepaid rent) that are amortized and recognized as revenue over the associated estimated lease term in accordance with GAAP.
(d)Outlook reflects discretionary capital expenditures, exclusive of sustaining capital expenditures. See "Non-GAAP Measures and Other Information" for our definitions of discretionary capital expenditures and sustaining capital expenditures.



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News Release continued:
Page 16
Debt Balances and Maturity Dates as of December 31, 2023:
(in millions)
Face Value(a)
Final Maturity
Cash, cash equivalents and restricted cash$281 
Senior Secured Notes, Series 2009-1, Class A-2(b)
40 Aug. 2029
Senior Secured Tower Revenue Notes, Series 2015-2(c)
700 May 2045
Senior Secured Tower Revenue Notes, Series 2018-2(c)
750 July 2048
Finance leases and other obligations
271 Various
Total secured debt$1,761 
2016 Revolver(d)
670 July 2027
2016 Term Loan A(e)
1,162 July 2027
Commercial Paper Notes(f)
— N/A
3.200% Senior Notes
750 Sept. 2024
1.350% Senior Notes
500 July 2025
4.450% Senior Notes
900 Feb. 2026
3.700% Senior Notes
750 June 2026
1.050% Senior Notes1,000 July 2026
2.900% Senior Notes750 Mar. 2027
4.000% Senior Notes
500 Mar. 2027
3.650% Senior Notes
1,000 Sept. 2027
5.000% Senior Notes1,000 Jan. 2028
3.800% Senior Notes
1,000 Feb. 2028
4.800% Senior Notes600 Sept. 2028
4.300% Senior Notes
600 Feb. 2029
5.600% Senior Notes
750 June 2029
3.100% Senior Notes550 Nov. 2029
3.300% Senior Notes
750 July 2030
2.250% Senior Notes
1,100 Jan. 2031
2.100% Senior Notes1,000 Apr. 2031
2.500% Senior Notes750 July 2031
5.100% Senior Notes750 May 2033
5.800% Senior Notes
750 Mar. 2034
2.900% Senior Notes1,250 Apr. 2041
4.750% Senior Notes
350 May 2047
5.200% Senior Notes
400 Feb. 2049
4.000% Senior Notes350 Nov. 2049
4.150% Senior Notes500 July 2050
3.250% Senior Notes900 Jan. 2051
Total unsecured debt$21,332 
 Net Debt(g)
$22,812 
(a)Net of required principal amortizations.
(b)The Senior Secured Notes, 2009-1, Class A-2 principal amortizes over a period ending in August 2029.
(c)If the respective series of Tower Revenue Notes are not paid in full on or prior to an applicable anticipated repayment date, then the Excess Cash Flow (as defined in the indenture) of the issuers of such notes will be used to repay principal of the applicable series, and additional interest (of an additional approximately 5% per annum) will accrue on the respective series. The Senior Secured Tower Revenue Notes, 2015-2 and 2018-2 have anticipated repayment dates in 2025 and 2028, respectively. Notes are prepayable at par if voluntarily repaid within eighteen months of maturity; earlier prepayment may require additional consideration.
(d)As of December 31, 2023, the undrawn availability under the $7.0 billion 2016 Revolver was $6.3 billion. The Company pays a commitment fee on the undrawn available amount, which as of December 31, 2023 ranged from 0.080% to 0.300%, based on the Company's senior unsecured debt rating, per annum.
(e)The 2016 Term Loan A principal amortizes over a period ending in July 2027.
(f)As of December 31, 2023, the Company had $2.0 billion available for issuance under its $2.0 billion unsecured commercial paper program. The maturities of the Commercial Paper Notes, when outstanding, may vary but may not exceed 397 days from the date of issue.
(g)See further information on, and our definition and calculation of, Net Debt in this "Non-GAAP Measures and Other Information."

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News Release continued:
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Cautionary Language Regarding Forward-Looking Statements
This news release contains forward-looking statements and information that are based on our management's current expectations as of the date of this news release. Statements that are not historical facts are hereby identified as forward-looking statements. In addition, words such as "estimate," "see," "anticipate," "project," "plan," "intend," "believe," "expect," "likely," "predicted," "positioned," "continue," "target," "focus," and any variations of these words and similar expressions are intended to identify forward-looking statements. Such statements include our full year 2024 Outlook and plans, projections, expectations and estimates regarding (1) the value of our business model and strategy and the demand for our communications infrastructure, (2) revenue growth and its driving factors, (3) net income (loss) (including on a per share basis), (4) AFFO (including on a per share basis) and its components and growth, (5) Adjusted EBITDA and its components and growth, (6) Organic Contribution to Site Rental Billings (including as Adjusted for Impact of Sprint Cancellations) and its components and growth, (7) site rental revenues and its components and growth, (8) interest expense, (9) the impact of Sprint Cancellations on our operating and financial results, (10) services contribution, (11) the growth in our business and its driving factors, (12) discretionary capital expenditures, (13) prepaid rent additions and amortization, (14) core leasing activity, (15) site rental billings, (16) Fiber business review and the potential impacts and benefits therefrom, (17) small cell deployment, including timing and billing with respect thereto, and (18) leadership structure benefits. All future dividends are subject to declaration by our board of directors.
Such forward-looking statements are subject to certain risks, uncertainties and assumptions, including prevailing market conditions and the following:
Our business depends on the demand for our communications infrastructure (including towers, small cells and fiber), driven primarily by demand for data, and we may be adversely affected by any slowdown in such demand. Additionally, a reduction in the amount or change in the mix of network investment by our tenants may materially and adversely affect our business (including reducing demand for our communications infrastructure or services).
A substantial portion of our revenues is derived from a small number of tenants, and the loss, consolidation or financial instability of any of such tenants may materially decrease revenues, reduce demand for our communications infrastructure and services and impact our dividend per share growth.
The expansion or development of our business, including through acquisitions, increased product offerings or other strategic growth opportunities, may cause disruptions in our business, which may have an adverse effect on our business, operations or financial results.
Our Fiber segment has expanded rapidly, and the Fiber business model contains certain differences from our Towers business model, resulting in different operational risks. If we do not successfully operate our Fiber business model or identify or manage the related operational risks, such operations may produce results that are lower than anticipated.
Failure to timely, efficiently and safely execute on our construction projects could adversely affect our business.
New technologies may reduce demand for our communications infrastructure or negatively impact our revenues.
If we fail to retain rights to our communications infrastructure, including the rights to land under our towers and the right-of-way and other agreements related to our small cells and fiber, our business may be adversely affected.
Our services business has historically experienced significant volatility in demand, which reduces the predictability of our results.
If radio frequency emissions from wireless handsets or equipment on our communications infrastructure are demonstrated to cause negative health effects, potential future claims could adversely affect our operations, costs or revenues.
Cybersecurity breaches or other information technology disruptions could adversely affect our operations, business and reputation.
Our business may be adversely impacted by climate-related events, natural disasters, including wildfires, and other unforeseen events.
As a result of competition in our industry, we may find it more difficult to negotiate favorable rates on our new or renewing tenant contracts.
New wireless technologies may not deploy or be adopted by tenants as rapidly or in the manner projected.
Our focus on and disclosure of our Environmental, Social and Governance position, metrics, strategy, goals and initiatives expose us to potential litigation and other adverse effects to our business.
We operate in a challenging labor market and failure to attract, recruit and retain qualified and experienced employees could adversely affect our business, operations and costs.
Our substantial level of indebtedness could adversely affect our ability to react to changes in our business, and the terms of our debt instruments limit our ability to take a number of actions that our management might otherwise believe to be in our best interests. In addition, if we fail to comply with our covenants, our debt could be accelerated.
We have a substantial amount of indebtedness. In the event we do not repay or refinance such indebtedness, we could face substantial liquidity issues and might be required to issue equity securities or securities convertible into equity securities, or sell some of our assets, possibly on unfavorable terms, to meet our debt payment obligations.
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News Release continued:
Page 18
Sales or issuances of a substantial number of shares of our common stock or securities convertible into shares of our common stock may adversely affect the market price of our common stock.
Certain provisions of our restated certificate of incorporation, as amended, amended and restated by-laws and operative agreements, and domestic and international competition laws may make it more difficult for a third party to acquire control of us or for us to acquire control of a third party, even if such a change in control would be beneficial to our stockholders.
If we fail to comply with laws or regulations which regulate our business and which may change at any time, we may be fined or even lose our right to conduct some of our business.
Future dividend payments to our stockholders will reduce the availability of our cash on hand available to fund future discretionary investments, and may result in a need to incur indebtedness or issue equity securities to fund growth opportunities. In such event, the then current economic, credit market or equity market conditions will impact the availability or cost of such financing, which may hinder our ability to grow our per share results of operations.
Remaining qualified to be taxed as a Real Estate Investment Trust ("REIT") involves highly technical and complex provisions of the Code. Failure to remain qualified as a REIT would result in our inability to deduct dividends to stockholders when computing our taxable income, thereby increasing our tax obligations and reducing our available cash.
Complying with REIT requirements, including the 90% distribution requirement, may limit our flexibility or cause us to forgo otherwise attractive opportunities, including certain discretionary investments and potential financing alternatives.
REIT related ownership limitations and transfer restrictions may prevent or restrict certain transfers of our capital stock.
Should one or more of these or other risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expected. More information about potential risk factors which could affect our results is included in our filings with the SEC. Our filings with the SEC are available through the SEC website at www.sec.gov or through our investor relations website at investor.crowncastle.com. We use our investor relations website to disclose information about us that may be deemed to be material. We encourage investors, the media and others interested in us to visit our investor relations website from time to time to review up-to-date information or to sign up for e-mail alerts to be notified when new or updated information is posted on the site.
As used in this release, the term "including," and any variation thereof, means "including without limitation."

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CROWN CASTLE INC.
CONDENSED CONSOLIDATED BALANCE SHEET (UNAUDITED)
(Amounts in millions, except par values)
 December 31,
2023
December 31, 2022
ASSETS  
Current assets:
Cash and cash equivalents$105 $156 
Restricted cash171 166 
Receivables, net481 593 
Prepaid expenses103 102 
Deferred site rental receivables 116 127 
Other current assets56 73 
Total current assets1,032 1,217 
Deferred site rental receivables2,239 1,954 
Property and equipment, net15,666 15,407 
Operating lease right-of-use assets6,187 6,526 
Goodwill10,085 10,085 
Other intangible assets, net3,179 3,596 
Other assets, net139 136 
Total assets$38,527 $38,921 
LIABILITIES AND EQUITY  
Current liabilities:  
Accounts payable$252 $236 
Accrued interest219 183 
Deferred revenues605 736 
Other accrued liabilities342 407 
Current maturities of debt and other obligations835 819 
Current portion of operating lease liabilities332 350 
Total current liabilities2,585 2,731 
Debt and other long-term obligations22,086 20,910 
Operating lease liabilities5,561 5,881 
Other long-term liabilities1,914 1,950 
Total liabilities32,146 31,472 
Commitments and contingencies
Stockholders' equity:
Common stock, 0.01 par value; 1,200 shares authorized; shares issued and outstanding: December 31, 2023—434 and December 31, 2022—433
Additional paid-in capital18,270 18,116 
Accumulated other comprehensive income (loss)(4)(5)
Dividends/distributions in excess of earnings(11,889)(10,666)
Total equity6,381 7,449 
Total liabilities and equity$38,527 $38,921 
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News Release continued:
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CROWN CASTLE INC.
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (UNAUDITED)
(Amounts in millions, except per share amounts)
Three Months Ended December 31,Twelve Months Ended December 31,
2023202220232022
Net revenues:
Site rental$1,603 $1,578 $6,532 $6,289 
Services and other71 186 449 697 
Net revenues1,674 1,764 6,981 6,986 
Operating expenses:
Costs of operations:(a)
Site rental407 400 1,664 1,602 
Services and other48 122 316 466 
Selling, general and administrative178 192 759 750 
Asset write-down charges33 34 
Acquisition and integration costs— 
Depreciation, amortization and accretion439 431 1,754 1,707 
Restructuring charges13 — 85 — 
Total operating expenses1,088 1,154 4,612 4,561 
Operating income (loss)586 610 2,369 2,425 
Interest expense and amortization of deferred financing costs, net(223)(192)(850)(699)
Gains (losses) on retirement of long-term obligations— — — (28)
Interest income15 
Other income (expense)(2)(5)(6)(10)
Income (loss) before income taxes366 415 1,528 1,691 
Benefit (provision) for income taxes(5)(2)(26)(16)
Net income (loss) $361 $413 $1,502 $1,675 
Net income (loss), per common share:
Basic$0.84 $0.95 $3.46 $3.87 
Diluted$0.83 $0.95 $3.46 $3.86 
Weighted-average common shares outstanding:
Basic434 433 434 433 
Diluted434 434 434 434 
(a)Exclusive of depreciation, amortization and accretion shown separately.
    The pathway to possible.
     CrownCastle.com

News Release continued:
Page 21
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CROWN CASTLE INC.
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)
(In millions of dollars)
Twelve Months Ended December 31,
20232022
Cash flows from operating activities:
Net income (loss)$1,502 $1,675 
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities:
Depreciation, amortization and accretion1,754 1,707 
(Gains) losses on retirement of long-term obligations— 28 
Amortization of deferred financing costs and other non-cash interest29 17 
Stock-based compensation expense, net157 156 
Asset write-down charges33 34 
Deferred income tax (benefit) provision
Other non-cash adjustments, net14 
Changes in assets and liabilities, excluding the effects of acquisitions:
Increase (decrease) in liabilities(243)(286)
Decrease (increase) in assets(128)(461)
Net cash provided by (used for) operating activities3,126 2,878 
Cash flows from investing activities:
Capital expenditures(1,424)(1,310)
Payments for acquisitions, net of cash acquired(96)(35)
Other investing activities, net(7)
Net cash provided by (used for) investing activities(1,519)(1,352)
Cash flows from financing activities:
Proceeds from issuance of long-term debt3,843 748 
Principal payments on debt and other long-term obligations(79)(74)
Purchases and redemptions of long-term debt(750)(1,274)
Borrowings under revolving credit facility3,613 3,495 
Payments under revolving credit facility(4,248)(2,855)
Net borrowings (repayments) under commercial paper program(1,241)976 
Payments for financing costs(39)(14)
Purchases of common stock (30)(65)
Dividends/distributions paid on common stock(2,723)(2,602)
Net cash provided by (used for) financing activities(1,654)(1,665)
Net increase (decrease) in cash, cash equivalents and restricted cash(47)(139)
Effect of exchange rate changes on cash— 
Cash, cash equivalents and restricted cash at beginning of period327 466 
Cash, cash equivalents and restricted cash at end of period$281 $327 
Supplemental disclosure of cash flow information:
Interest paid800 684 
Income taxes paid (refunded)18 10 
    The pathway to possible.
     CrownCastle.com

News Release continued:
Page 22
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CROWN CASTLE INC.
SEGMENT OPERATING RESULTS (UNAUDITED)
(In millions of dollars)
SEGMENT OPERATING RESULTS
Three Months Ended December 31, 2023
Three Months Ended December 31, 2022
TowersFiberOther
Total
TowersFiberOther
Total
Segment site rental revenues$1,079 $524 $1,603 $1,086 $492 $1,578 
Segment services and other revenues65 71 183 186 
Segment revenues1,144 530 1,674 1,269 495 1,764 
Segment site rental costs of operations231 168 399 230 161 391 
Segment services and other costs of operations42 46 117 119 
Segment costs of operations(a)(b)
273 172 445 347 163 510 
Segment site rental gross margin(c)
848 356 1,204 856 331 1,187 
Segment services and other gross margin(c)
23 25 66 67 
Segment selling, general and administrative expenses(b)
19 47 66 30 50 80 
Segment operating profit(c)
852 311 1,163 892 282 1,174 
Other selling, general and administrative expenses(b)
$87 87 $84 84 
Stock-based compensation expense, net31 31 36 36 
Depreciation, amortization and accretion
439 439 431 431 
Restructuring charges
13 13 — — 
Interest expense and amortization of deferred financing costs, net223 223 192 192 
Other (income) expenses to reconcile to income (loss) before income taxes(d)
16 16 
Income (loss) before income taxes
$366 $415 
(a)Exclusive of depreciation, amortization and accretion shown separately.
(b)Segment costs of operations exclude (1) stock-based compensation expense, net of $6 million and $8 million for the three months ended December 31, 2023 and 2022, respectively and (2) prepaid lease purchase price adjustments of $4 million for each of the three months ended December 31, 2023 and 2022. Segment selling, general and administrative expenses and other selling, general and administrative expenses exclude stock-based compensation expense, net of $25 million and $28 million for the three months ended December 31, 2023 and 2022, respectively.
(c)See "Non-GAAP Measures and Other Information" for a discussion and our definitions of segment site rental gross margin, segment services and other gross margin and segment operating profit.
(d)See condensed consolidated statement of operations for further information.
    The pathway to possible.
     CrownCastle.com        

News Release continued:
Page 23
SEGMENT OPERATING RESULTS
Twelve Months Ended December 31, 2023
Twelve Months Ended December 31, 2022
TowersFiberOther
Total
TowersFiberOther
Total
Segment site rental revenues$4,313 $2,219 $6,532 $4,322 $1,967 $6,289 
Segment services and other revenues421 28 449 685 12 697 
Segment revenues4,734 2,247 6,981 5,007 1,979 6,986 
Segment site rental costs of operations943 686 1,629 918 650 1,568 
Segment services and other costs of operations294 12 306 447 456 
Segment costs of operations(a)(b)
1,237 698 1,935 1,365 659 2,024 
Segment site rental gross margin(c)
3,370 1,533 4,903 3,404 1,317 4,721 
Segment services and other gross margin(c)
127 16 143 238 241 
Segment selling, general and administrative expenses(b)
104 194 298 115 190 305 
Segment operating profit(c)
3,393 1,355 4,748 3,527 1,130 4,657 
Other selling, general and administrative expenses(b)
$333 333 $317 317 
Stock-based compensation expense, net157 157 156 156 
Depreciation, amortization and accretion
1,754 1,754 1,707 1,707 
Restructuring charges85 85 — — 
Interest expense and amortization of deferred financing costs, net850 850 699 699 
Other (income) expenses to reconcile to income (loss) before income taxes(d)
41 41 87 87 
Income (loss) before income taxes
$1,528 $1,691 
(a)Exclusive of depreciation, amortization and accretion shown separately.
(b)Segment costs of operations exclude (1) stock-based compensation expense, net of $29 million and $28 million for the twelve months ended December 31, 2023 and 2022, respectively, and (2) prepaid lease purchase price adjustments of $16 million for each of the twelve months ended December 31, 2023 and 2022. Segment selling, general and administrative expenses and other selling, general and administrative expenses exclude stock-based compensation expense, net of $128 million for each of the twelve months ended December 31, 2023 and 2022.
(c)See "Non-GAAP Measures and Other Information" for a discussion and our definitions of segment site rental gross margin, segment services and other gross margin and segment operating profit.
(d)See condensed consolidated statement of operations for further information.
    The pathway to possible.
     CrownCastle.com        
EX-99.2 3 q42023supplement.htm EX-99.2 Document
Exhibit 99.2






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coverpage.jpg



Supplemental Information Package
and Non-GAAP Reconciliations
Fourth Quarter • December 31, 2023
    The pathway to possible.
    CrownCastle.com

Crown Castle Inc.
Fourth Quarter 2023

TABLE OF CONTENTS
Page
Company Overview
Company Profile
Strategy
General Company Information
Asset Portfolio Footprint
Historical Common Stock Data
Annualized Fourth Quarter Dividends Per Share
Executive Management Team
Board of Directors
Research Coverage
Outlook
Outlook
Outlook for Components of Changes in Site Rental Revenues
Outlook for Components of Changes in Site Rental Revenues by Line of Business
Outlook for Capital Expenditures
Outlook for Components of Interest Expense
Consolidated Financials
Consolidated Summary Financial Highlights
Consolidated Components of Changes in Site Rental Revenues
Consolidated Summary of Capital Expenditures
Consolidated Return on Invested Capital
Consolidated Tenant Overview
Consolidated Annualized Rental Cash Payments at Time of Renewal
Consolidated Projected Revenues from Tenant Contracts
Consolidated Projected Expenses from Existing Ground Leases and Fiber Access Agreements
Capitalization Overview
Capitalization Overview
Debt Maturity Overview
Liquidity Overview
Summary of Maintenance and Financial Covenants
Interest Rate Exposure
Components of Interest Expense
Towers Segment
Towers Segment Summary Financial Highlights
Towers Segment Components of Changes in Site Rental Revenues
Towers Segment Summary of Capital Expenditures
Towers Segment Portfolio Highlights
Towers Segment Cash Yield on Invested Capital
Summary of Tower Portfolio by Vintage
Ground Interest Overview
Fiber Segment
Fiber Segment Summary Financial Highlights
Fiber Segment Components of Changes in Site Rental Revenues
Fiber Segment Summary of Capital Expenditures
Fiber Segment Revenue Detail by Line of Business
Fiber Segment Portfolio Highlights
Fiber Segment Cash Yield on Invested Capital
Fiber Solutions Revenue Mix
Appendix of Condensed Consolidated Financial Statements and Non-GAAP Reconciliations
1

Crown Castle Inc.
Fourth Quarter 2023

Cautionary Language Regarding Forward-Looking Statements
This supplemental information package ("Supplement") contains forward-looking statements and information that are based on our management's current expectations as of the date of this Supplement. Statements that are not historical facts are hereby identified as forward-looking statements. Words such as "Outlook," "guide," "forecast," "estimate," "anticipate," "project," "plan," "intend," "believe," "expect," "likely," "predicted," "positioned," and any variations of these words and similar expressions are intended to identify such forward looking statements. Such statements include plans, projections and estimates regarding (1) demand for data and our communications infrastructure, (2) cash flow growth and its driving factors, (3) our Outlook for full year 2024, (4) the value of our business model, strategy and product offerings, (5) strategic position of our assets, (6) revenues from tenant contracts, (7) expenses from existing ground leases and fiber access agreements, (8) the growth of the U.S. market for communications infrastructure ownership, (9) levels of commitments under our debt instruments and (10) the impact of Sprint Cancellations to our operating and financial results.
Such forward-looking statements are subject to certain risks, uncertainties and assumptions, including, but not limited to, prevailing market conditions. Should one or more of these or other risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expected. Crown Castle assumes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. More information about potential risk factors which could affect our results is included in our filings with the Securities and Exchange Commission ("SEC"). Our filings with the SEC are available through the SEC website at www.sec.gov or through our investor relations website at investor.crowncastle.com. We use our investor relations website to disclose information about us that may be deemed to be material. We encourage investors, the media and others interested in us to visit our investor relations website from time to time to review up-to-date information or to sign up for e-mail alerts to be notified when new or updated information is posted on the site.
This Supplement contains certain figures, projections and calculations based in part on management's underlying assumptions. Management believes these assumptions are reasonable; however, other reasonable assumptions could provide differing outputs.
The components of forward looking financial information presented herein may not sum due to rounding. In addition, the sum of quarterly historical information presented herein may not agree to year to date historical information provided herein due to rounding. Throughout this document, percentage calculations, which are based on non-rounded dollar values, may not be able to be recalculated using the dollar values included in this document due to the rounding of those dollar values.
Definitions and reconciliations of non-GAAP financial measures, information regarding segment measures and other information are provided in the Appendix to this Supplement.
As used herein, the term "including" and any variation thereof, means "including without limitation." The use of the word "or" herein is not exclusive.
2

Crown Castle Inc.
Fourth Quarter 2023
COMPANY
OVERVIEW
OUTLOOK CONSOLIDATED FINANCIALSCAPITALIZATION OVERVIEWTOWERS SEGMENTFIBER SEGMENTAPPENDIX
COMPANY PROFILE
Crown Castle Inc. (to which the terms "Crown Castle," "CCI," "we," "our," "the Company" or "us" as used herein refer) owns, operates and leases shared communications infrastructure that is geographically dispersed throughout the U.S., including (1) more than 40,000 towers and other structures, such as rooftops (collectively, "towers"), (2) approximately 115,000 small cells on air or under contract and (3) approximately 90,000 route miles of fiber primarily supporting small cells and fiber solutions. We refer to our towers, small cells and fiber assets collectively as "communications infrastructure," and to our customers on our communications infrastructure as "tenants." Our towers have a significant presence in each of the top 100 basic trading areas, and the majority of our small cells and fiber assets are located in major metropolitan areas, including a presence within every major U.S. market.
Our operating segments consist of (1) Towers and (2) Fiber, which includes both small cells and fiber solutions. Our core business is providing access, including space or capacity, to our shared communications infrastructure via long-term contracts in various forms, including lease, license, sublease and service agreements (collectively, "tenant contracts"). We seek to increase our site rental revenues by adding more tenants on our shared communications infrastructure, which we expect to result in significant incremental cash flows due to our low incremental operating costs.
We operate as a Real Estate Investment Trust ("REIT") for U.S. federal income tax purposes.
STRATEGY
As a leading provider of shared communications infrastructure in the U.S., our strategy is to create long-term stockholder value via a combination of (1) growing cash flows generated from our existing portfolio of communications infrastructure, (2) returning a meaningful portion of our cash generated by operating activities to our common stockholders in the form of dividends and (3) investing capital efficiently to grow cash flows and long-term dividends per share. Our strategy is based, in part, on our belief that the U.S. is the most attractive market for shared communications infrastructure investment with the greatest long-term growth potential. We measure our efforts to create "long-term stockholder value" by the combined payment of dividends to stockholders and growth in our per-share results. The key elements of our strategy are to:
Grow cash flows from our existing communications infrastructure. We are focused on maximizing the recurring site rental cash flows generated from providing our tenants with long-term access to our shared infrastructure assets, which we believe is the core driver of value for our stockholders. Tenant additions or modifications of existing tenant equipment (collectively, "tenant additions") enable our tenants to expand coverage and capacity in order to meet increasing demand for data while generating high incremental returns for our business. We believe our product offerings of towers and small cells provide a comprehensive solution to our wireless tenants' growing network needs through our shared communications infrastructure model, which is an efficient and cost-effective way to serve our tenants. Additionally, we believe our ability to share our fiber assets across multiple tenants to deploy both small cells and offer fiber solutions allows us to generate cash flows and increase stockholder return.
Return cash generated by operating activities to common stockholders in the form of dividends. We believe that distributing a meaningful portion of our cash generated by operating activities appropriately provides common stockholders with increased certainty for a portion of expected long-term stockholder value while still allowing us to retain sufficient flexibility to invest in our business and deliver growth. We believe this decision reflects the translation of the high-quality, long-term contractual cash flows of our business into stable capital returns to common stockholders.
Invest capital efficiently to grow cash flows and long-term dividends per share. In addition to adding tenants to existing communications infrastructure, we seek to invest our available capital, including the net cash generated by our operating activities and external financing sources, in a manner that will increase long-term stockholder value on a risk-adjusted basis. These investments include constructing and acquiring new communications infrastructure that we expect will generate future cash flow growth and attractive long-term returns by adding tenants to those assets over time. Our historical investments have included the following (in no particular order):
construction of towers, fiber and small cells;
acquisitions of towers, fiber and small cells;
acquisitions of land interests (which primarily relate to land assets under towers);
improvements and structural enhancements to our existing communications infrastructure;
purchases of shares of our common stock from time to time; and
purchases, repayments or redemptions of our debt.
Our strategy to create long-term stockholder value is based on our belief that there will be considerable future demand for our communications infrastructure based on the location of our assets and the rapid and continuing growth in the demand for data. We believe that such demand for our communications infrastructure will continue, will result in growth of our cash flows due to tenant additions on our existing communications infrastructure, and will create other growth opportunities for us, such as demand for newly constructed or acquired communications infrastructure, as described above. Further, we seek to augment the long-term value creation associated with growing our recurring site rental cash flows by offering certain ancillary site development services within our Towers segment.

3

Crown Castle Inc.
Fourth Quarter 2023
COMPANY
OVERVIEW
OUTLOOK CONSOLIDATED FINANCIALSCAPITALIZATION OVERVIEWTOWERS SEGMENTFIBER SEGMENTAPPENDIX
GENERAL COMPANY INFORMATION
Principal executive offices8020 Katy Freeway, Houston, TX 77024
Common shares trading symbolCCI
Stock exchange listingNew York Stock Exchange
Fiscal year ending dateDecember 31
Fitch - Long-term Issuer Default RatingBBB+
Moody’s - Long-term Corporate Family RatingBaa3
Standard & Poor’s - Long-term Local Issuer Credit RatingBBB
Note: These credit ratings may not reflect the potential risks relating to the structure or trading of the Company’s securities and are provided solely for informational purposes. Credit ratings are not recommendations to buy, sell or hold any security, and may be revised or withdrawn at any time by the issuing organization in its sole discretion. The Company does not undertake any obligation to maintain the ratings or to advise of any change in the ratings. Each agency’s rating should be evaluated independently of any other agency’s rating. An explanation of the significances of the ratings can be obtained from each of the ratings agencies.
ASSET PORTFOLIO FOOTPRINT
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HISTORICAL COMMON STOCK DATA
Three Months Ended
(in millions, except per share amounts)12/31/223/31/236/30/239/30/2312/31/23
High price(b)
$143.06 $145.76 $130.62 $114.90 $117.92 
Low price(b)
$113.86 $117.26 $104.41 $87.57 $83.56 
Period end closing price(c)
$128.33 $128.17 $110.61 $90.80 $115.19 
Dividends paid per common share$1.57 $1.57 $1.57 $1.57 $1.57 
Volume weighted average price for the period(b)
$126.01 $130.90 $112.72 $100.32 $101.96 
Common shares outstanding, at period end433 434 434 434 434 
Market value of outstanding common shares, at period end(d)
$55,576 $55,582 $47,968 $39,377 $49,959 
(a)On air or under contract.
(b)Based on the sales price, adjusted for common stock dividends, as reported by Bloomberg.
(c)Based on the period end closing price, adjusted for common stock dividends, as reported by Bloomberg.
(d)Calculated as the product of (1) common shares outstanding, at period end and (2) period end closing price, adjusted for common stock dividends, as reported by Bloomberg.
4

Crown Castle Inc.
Fourth Quarter 2023
COMPANY
OVERVIEW
OUTLOOK CONSOLIDATED FINANCIALSCAPITALIZATION OVERVIEWTOWERS SEGMENTFIBER SEGMENTAPPENDIX
ANNUALIZED FOURTH QUARTER DIVIDENDS PER SHARE(a)
chart-5b1d4cafe12b454e8f6.jpg
EXECUTIVE MANAGEMENT TEAM
AgeYears with CompanyPosition
Anthony J. Melone
63
<1(b)
Interim President and Chief Executive Officer
Daniel K. Schlanger507Executive Vice President and Chief Financial Officer
Michael J. Kavanagh5513
Executive Vice President and Chief Operating Officer - Towers
Christopher D. Levendos565
Executive Vice President and Chief Operating Officer - Fiber
Philip M. Kelley5126Executive Vice President - Corporate Development and Strategy
Edward B. Adams, Jr. 557Executive Vice President and General Counsel
Edmond Chan
53
<1
Executive Vice President and Chief Information Officer
BOARD OF DIRECTORS
NamePositionCommitteesAgeYears as Director
P. Robert BartoloChair
Audit, Compensation, Strategy, Fiber Review, CEO Search
529
Cindy ChristyDirector
Compensation, NESG(c), Strategy
5716
Ari Q. FitzgeraldDirector
Compensation, NESG(c), Strategy
6121
Jason GenrichDirector
Fiber Review, CEO Search
36
<1
Andrea J. GoldsmithDirector
NESG(c), Strategy
595
Tammy K. JonesDirector
Audit, NESG(c), Strategy, CEO Search
583
Kevin T. KabatDirector
Compensation, NESG(c), CEO Search
66
<1
Anthony J. MeloneDirector
Strategy, Fiber Review
638
Sunit S. PatelDirector
Audit, Fiber Review
62
<1
Bradley E. Singer
Director
Audit
57
<1
Kevin A. Stephens
Director
Audit, Compensation, Strategy, Fiber Review
623
Matthew Thornton III
Director
Compensation, Strategy
653
(a)Based on the dividends declared during the fourth quarter of each of the respective years presented, annualized. All future dividends are subject to declaration by our board of directors.
(b)Anthony J. Melone has served on the Board of Directors since 2015.
(c)Nominating, Environmental, Social and Governance Committee.
5

Crown Castle Inc.
Fourth Quarter 2023
COMPANY
OVERVIEW
OUTLOOK CONSOLIDATED FINANCIALSCAPITALIZATION OVERVIEWTOWERS SEGMENTFIBER SEGMENTAPPENDIX
RESEARCH COVERAGE
Equity Research
Bank of America
David Barden
(646) 855-1320
Barclays
Brendan Lynch
(212) 526-9428
BMO Capital Markets
Ari Klein
(212) 885-4103
Citigroup
Michael Rollins
(212) 816-1116
Credit Suisse
Douglas Mitchelson
(212) 325-7542
Deutsche Bank
Matthew Niknam
(212) 250-4711
Green Street
David Guarino
(949) 640-8780
HSBC
Luigi Minerva
(207) 991-6928
Jefferies
Jonathan Petersen
(212) 284-1705
JPMorgan
Philip Cusick
(212) 622-1444
KeyBanc
Brandon Nispel
(503) 821-3871
LightShed Partners
Walter Piecyk
(646) 450-9258
MoffettNathanson
Nick Del Deo
(212) 519-0025
Morgan Stanley
Simon Flannery
(212) 761-6432
New Street Research
Jonathan Chaplin
(212) 921-9876
Raymond James
Ric Prentiss
(727) 567-2567
RBC Capital Markets
Jonathan Atkin
(415) 633-8589
Scotiabank
Maher Yaghi
(437) 995-5548
TD Cowen
Michael Elias
(646) 562-1358
UBS
Batya Levi
(212) 713-8824
Wells Fargo Securities, LLC
Eric Luebchow
(312) 630-2386
Wolfe Research
Andrew Rosivach
(646) 582-9350
Rating Agencies
Fitch
Salonie Sehgal
(312) 368-3137
Moody’s
Lori Marks
(212) 553-1098
Standard & Poor’s
Ryan Gilmore
(212) 438-0602

6

Crown Castle Inc.
Fourth Quarter 2023
COMPANY
OVERVIEW
OUTLOOK CONSOLIDATED FINANCIALSCAPITALIZATION OVERVIEWTOWERS SEGMENTFIBER SEGMENTAPPENDIX
OUTLOOK
(in millions, except per share amounts)
Full Year 2024 Outlook(a)
Site rental billings(b)
$5,740to$5,780
Amortization of prepaid rent$410to$435
Straight-lined revenues$175to$200
Site rental revenues$6,347to$6,392
Site rental costs of operations(c)
$1,686to$1,731
Services and other gross margin$65to$95
Net income (loss)$1,213to$1,293
Net income (loss) per share—diluted$2.79to$2.97
Adjusted EBITDA(d)
$4,138to$4,188
Depreciation, amortization and accretion$1,680to$1,775
Interest expense and amortization of deferred financing costs, net(e)
$933to$978
FFO(d)
$2,951to$2,996
AFFO(d)
$2,980to$3,030
AFFO per share(d)
$6.85to$6.97
OUTLOOK FOR COMPONENTS OF CHANGES IN SITE RENTAL REVENUES
(dollars in millions; totals may not sum due to rounding)
Full Year 2024 Outlook(a)
Components of changes in site rental revenues:
Prior year site rental billings excluding payments for Sprint Cancellations(b)
$5,505
Prior year payments for Sprint Cancellations(b)
$170
Prior year site rental billings(b)
$5,675
Core leasing activity(b)
$305to$335
Escalators$95to$105
Non-renewals(b)
$(165)to$(145)
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations(b)
$245to$285
Payments for Sprint Cancellations(b)(f)
$(170)to$(160)
Non-renewals associated with Sprint Cancellations(b)(f)
$(10)to$(10)
Organic Contribution to Site Rental Billings(b)
$70to$110
Straight-lined revenues$175to$200
Amortization of prepaid rent$410to$435
Acquisitions(g)
Other
Total site rental revenues$6,347to$6,392
Year-over-year changes in revenues:(h)
Site rental revenues as a percentage of prior year site rental revenues
(2.5)%
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations as a percentage of prior year site rental billings excluding payments for Sprint Cancellations(b)
4.8%
Organic Contribution to Site Rental Billings as a percentage of prior year site rental billings(b)
1.6%
(a)As issued on January 24, 2024 and unchanged from the previous full year 2024 Outlook issued on October 18, 2023.
(b)See "Non-GAAP Measures and Other Information" for our definitions of site rental billings, core leasing activity, non-renewals, Sprint Cancellations, Organic Contribution to Site Rental Billings and Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations.
(c)Exclusive of depreciation, amortization and accretion.
(d)See "Non-GAAP Measures and Other Information" for further information and reconciliation of non-GAAP financial measures to net income (loss), including on a per share basis.
(e)See our reconciliation of "Outlook for Components of Interest Expense" for a discussion of non-cash interest expense.
(f)In 2023, we received $104 million and $66 million of payments for Sprint Cancellations that related to small cells and fiber solutions, respectively, and there were $14 million and $7 million of non-renewals associated with Sprint Cancellations that related to small cells and fiber solutions, respectively. These payments are non-recurring and therefore reduce full year 2024 Organic Contribution to Site Rental Billings by the same amount.
(g)Represents the contribution from recent acquisitions. The financial impact of recent acquisitions is excluded from Organic Contribution to Site Rental Billings, including as Adjusted for Impact of Sprint Cancellations, until the one-year anniversary of such acquisitions.
(h)Calculated based on midpoint of full year 2024 Outlook where applicable.
7

Crown Castle Inc.
Fourth Quarter 2023
COMPANY
OVERVIEW
OUTLOOK CONSOLIDATED FINANCIALSCAPITALIZATION OVERVIEWTOWERS SEGMENTFIBER SEGMENTAPPENDIX
OUTLOOK FOR COMPONENTS OF CHANGES IN SITE RENTAL REVENUES BY LINE OF BUSINESS
Full Year 2024 Outlook(a)
Towers SegmentFiber Segment
(dollars in millions)Small CellsFiber Solutions
Core leasing activity(b)
$105to$115$55to$65$145to$155
Organic Contribution to Site Rental Billings as Adjusted for Impact of Sprint Cancellations as a percentage of prior year site rental billings excluding payments for Sprint Cancellations(b)(c)
4.5%13%3%