Crown Castle International Corp. (NYSE:CCI) Q2 2020 Earnings Conference Call - Final Transcript

Jul 30, 2020 • 10:30 am ET

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Crown Castle International Corp. (NYSE:CCI) Q2 2020 Earnings Conference Call - Final Transcript

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Presentation
Operator
Operator

Good day, everyone, and welcome to the Crown Castle Q2 2020 Earnings Call. Today's conference is being recorded. And at this time, I'd like to turn the conference over to Ben Lowe. Please go ahead.

Executive
Benjamin Raymond Lowe

Thank you, Vicki, and good morning, everyone. Thank you for joining us today as we review our second quarter 2020 results. With me on the call this morning are Jay Brown, Crown Castle's Chief Executive Officer; and Dan Schlanger, Crown Castle's Chief Financial Officer. To aid the discussion, we have posted supplemental materials in the Investors section of our website at crowncastle.com, which we will refer to throughout the call this morning. This conference call will contain forward-looking statements and discussions of hypothetical scenarios, which are subject to certain risks, uncertainties and assumptions, and actual results may vary materially from those projected or presented during this call. Information about potential factors which could affect our results is available in the press release and the Risk Factors sections of the company's SEC filings.

Our statements are made as of today, July 30, 2020, and we assume no obligation to update any forward-looking statements. In addition, today's call includes discussions of certain non-GAAP financial measures. Tables reconciling these non-GAAP financial measures are available in the supplemental information package in the Investors section of the company's website at crowncastle.com.

So with that, let me turn the call over to Jay. Thanks, Ben, and thank you, everyone, for joining us on the call this morning. As you saw from our results, we delivered another quarter of positive results that were in line with our expectations. And we maintained our guidance for 2020 growth and AFFO per share of 7% to 8%, consistent with our long-term growth expectations. I believe our strategy and unmatched portfolio of more than 40,000 towers and approximately 80,000 route miles of fiber, concentrated in the top U.S. markets, have positioned Crown Castle to generate growth in cash flows and dividends per share, both in the near term and for years to come. Following an industry slowdown in tower activity late last year, we were seeing activity on towers begin to increase, and we continue to anticipate a significant step-up in industry activity in the second half of this year as our carrier customers invest to improve their existing networks and as 5G starts to ramp. While the full rebound in activity on towers is occurring a little bit slower than we've previously expected, we remain on track to generate at least 7% growth in AFFO per share and see potential for our AFFO per share growth to be above our expected 7% to 8% target going into next year. Dan will discuss the results and our expectations for the balance of 2020 in a bit more detail. So I want to focus my comments this morning on our strategy to maximize long-term shareholder value while delivering attractive short-term returns. As many of you know, shareholder engagement has always been a priority as we continue to execute