HOUSTON, July 17, 2024 (GLOBE NEWSWIRE) -- Crown Castle Inc. (NYSE:CCI) ("Crown Castle") today reported results for the second quarter ended June 30, 2024 and maintained its full year 2024 outlook, as reflected in the table below. (dollars in millions, except per share amounts) Current Full Year 2024 Outlook(a) Full Year 2023 Actual Change % Change Site rental revenues $6,340 $6,532 $(192) (3)% Net income (loss) $1,158 $1,502 $(344) (23)% Net income (loss) per share—diluted $2.67 $3.46 $(0.79) (23)% Adjusted EBITDA(b) $4,168 $4,415 $(247) (6)% AFFO(b) $3,030 $3,277 $(247) (8)% AFFO per share(b) $6.97 $7.55 $(0.58) (8)%           (a)   Reflects midpoint of full year 2024 Outlook as issued on July 17, 2024.(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. "Our second quarter results demonstrated the durability and consistency of Crown Castle's business, and we remain on track to deliver our full year outlook for organic revenue growth of 4.5% in towers, 2% in fiber solutions, and double digits in small cells, adjusted for the impact of Sprint Cancellations," said Steven Moskowitz, Crown Castle's Chief Executive Officer. "In the Fiber segment, we announced and implemented changes in the second quarter to improve the investment outcomes on capital being spent on small cell anchor builds and fiber solutions opportunities. Through a comprehensive review of customer needs, we are finding solutions that utilize more of our existing fiber network, enabling us to limit new greenfield investments. In response to this change in our operating plans, we reduced our staffing levels and field office locations, which is expected to result in approximately $100 million of annualized run-rate operating cost savings. Moving forward, we are focused on continuing to progress the Fiber segment strategic review, which remains active and ongoing, while delivering solid financial and operating results across our tower, small cell, and fiber solutions businesses." RESULTS FOR THE QUARTERThe table below sets forth select financial results for the quarters ended June 30, 2024 and June 30, 2023.     (dollars in millions, except per share amounts) Q2 2024 Q2 2023 Change % Change Site rental revenues $1,580 $1,728 $(148) (9)% Net income (loss) $251 $455 $(204) (45)% Net income (loss) per share—diluted $0.58 $1.05 $(0.47) (45)% Adjusted EBITDA(a) $1,006 $1,188 $(182) (15)% AFFO(a) $704 $891 $(187) (21)% AFFO per share(a) $1.62 $2.05 $(0.43) (21)%           (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. HIGHLIGHTS FROM THE QUARTER Site rental revenues. Organic Contribution to Site Rental Billings was $63 million, or 4.7% growth from second quarter 2023, excluding an unfavorable $106 million impact from Sprint Cancellations. Site rental revenues were also negatively impacted by an $81 million decrease in amortization of prepaid rent and a $24 million decrease in straight-lined revenues, resulting in a decline in site rental revenues of $148 million, or 9%, from second quarter 2023 to second quarter 2024. Net income. Net income for the second quarter 2024 was $251 million compared to $455 million for the second quarter 2023, and included $45 million of charges incurred in the quarter related to the restructuring plan announced in June 2024. Adjusted EBITDA. Second quarter 2024 Adjusted EBITDA was $1.0 billion compared to $1.2 billion for the second quarter 2023. The decrease in the quarter was primarily a result of the lower contribution from site rental revenues, $22 million of lower services contribution, and $20 million of advisory fees primarily related to the recent proxy contest. AFFO and AFFO per share. Second quarter 2024 AFFO was $704 million, or $1.62 per share, each representing a decrease from the second quarter 2023 of 21%. The decrease in the quarter was primarily a result of the lower contribution from Adjusted EBITDA and higher interest expense compared to second quarter 2023. Capital expenditures. Capital expenditures during the quarter were $329 million, comprised of $302 million of discretionary capital expenditures and $27 million of sustaining capital expenditures. Discretionary capital expenditures included approximately $271 million attributable to Fiber and $26 million attributable to Towers. Common stock dividend. During the quarter, Crown Castle paid common stock dividends of approximately $680 million in the aggregate, or $1.565 per common share, unchanged on a per share basis compared to the same period a year ago. "Having implemented the operational changes announced in June, we delivered second quarter results in line with expectations and remain on track to meet our full year guidance," said Dan Schlanger, Crown Castle's Chief Financial Officer. "The business continues to perform well as we focus on delivering for our customers and shareholders. The resilience of our top-line growth is complemented by our strong balance sheet, which is well-positioned to provide stability and flexibility as we continue to evaluate strategic paths forward. We finished the second quarter with 89% fixed rate debt, a weighted average maturity of 7 years, only 8% of our debt maturing through 2025, and approximately $5.5 billion of liquidity under our revolving credit facility." 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 issued on June 11, 2024. (in millions, except per share amounts) Full Year 2024(a) Site rental billings(b) $5,740 to $5,780 Amortization of prepaid rent $392 to $417 Straight-lined revenues $162 to $187 Site rental revenues $6,317 to $6,362 Site rental costs of operations(c) $1,686 to $1,731 Services and other gross margin $65 to $95 Net income (loss) $1,125 to $1,190 Net income (loss) per share—diluted $2.59 to $2.74 Adjusted EBITDA(d) $4,143 to $4,193 Depreciation, amortization and accretion $1,680 to $1,775 Interest expense and amortization of deferred financing costs, net(e) $926 to $971 FFO(d) $2,863 to $2,893 AFFO(d) $3,005 to $3,055 AFFO per share(d) $6.91 to $7.02 Towers Segment discretionary capital expenditures(d) $180 to $180 Fiber Segment discretionary capital expenditures(d) $1,050 to $1,150         (a)   As issued on July 17, 2024.(b)   See "Non-GAAP Measures and Other Information" for our definition of site rental billings.(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 including on a per share basis, and for definition of discretionary capital expenditures.(e)   See "Non-GAAP Measures and Other Information" for the reconciliation of "Outlook for Components of Interest Expense." 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, 15% from small cells, and 2% from fiber solutions. Core leasing activity for full year 2024 is expected to contribute $305 million to $335 million, consisting of $105 million to $115 million from towers (compared to $126 million in full year 2023), $65 million to $75 million from small cells (compared to $28 million in full year 2023), and $135 million to $145 million from fiber solutions (compared to $120 million in full year 2023). The expected 2024 small cell core leasing activity of $70 million at the midpoint includes $25 million of higher-than-expected non-recurring revenues primarily related to early termination payments. Excluding the impact of Sprint Cancellations and the increase in non-recurring revenues, small cell organic growth is expected to be 10% in 2024. The chart below reconciles the components contributing to the year over year change to 2024 AFFO. The expected increase in full year 2024 expenses includes $25 million of advisory fees related to the recent proxy contest, which is expected to be more than offset by an approximately $60 million decrease in costs related to the reduction in staffing levels and office closures announced in June 2024. Interest expense for full year 2024 is expected to be $78 million to $123 million higher than in full year 2023, primarily related to incremental debt financing to fund discretionary capital expenditures in 2024. The full year 2024 Outlook for discretionary capital expenditures, which is unchanged from the 2024 Outlook issued in June 2024 and reflects a $300 million reduction from our 2024 Outlook provided in April 2024, is $1.2 billion to $1.3 billion, including approximately $1.1 billion in the Fiber segment and $180 million in the Towers segment, and prepaid rent additions are expected to be approximately $355 million in 2024, including $275 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 Wednesday, July 17, 2024, at 5:00 p.m. Eastern time to discuss its second quarter 2024 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, Thursday, July 17, 2025. ABOUT CROWN CASTLECrown 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. 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. Organic Contribution to Site Rental Billings (also referred to as organic growth) 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 (including by line of business), 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 (also referred to as organic growth) 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 (including by line of business). 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 and cash equivalents and restricted cash and cash equivalents. 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. 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. Reconciliation of Historical Adjusted EBITDA:   For the Three Months Ended   For the Six Months Ended   For the Twelve Months Ended (in millions; totals may not sum due to rounding) June 30, 2024   June 30, 2023   June 30, 2024   June 30, 2023   December 31, 2023 Net income (loss) $ 251     $ 455     $ 562     $ 874     $ 1,502   Adjustments to increase (decrease) net income (loss):                   Asset write-down charges   3       22       9       22       33   Acquisition and integration costs   —       1       —       1       1   Depreciation, amortization and accretion   430       445       869       876       1,754   Restructuring charges(a)   45       —       56       —       85   Amortization of prepaid lease purchase price adjustments   4       4       8       8       16   Interest expense and amortization of deferred financing costs, net(b)   230       208       456       410       850   Interest income   (4 )     (5 )     (8 )     (7 )     (15 ) Other (income) expense   1       2       (1 )     4       6   (Benefit) provision for income taxes   7       7       14       14       26   Stock-based compensation expense, net   40       50       78       91       157        Adjusted EBITDA(c)(d) $ 1,006     $ 1,188     $ 2,043     $ 2,292     $ 4,415   Reconciliation of Current Outlook for Adjusted EBITDA:   Full Year 2024 (in millions; totals may not sum due to rounding) Outlook(f) Net income (loss) $1,125 to $1,190 Adjustments to increase (decrease) net income (loss):       Asset write-down charges $42 to $52 Acquisition and integration costs $0 to $6 Depreciation, amortization and accretion $1,680 to $1,775 Restructuring charges(a) $100 to $130 Amortization of prepaid lease purchase price adjustments $15 to $17 Interest expense and amortization of deferred financing costs, net(e) $926 to $971 (Gains) losses on retirement of long-term obligations — to — Interest income $(12) to $(11) Other (income) expense $0 to $9 (Benefit) provision for income taxes $20 to $28 Stock-based compensation expense, net $142 to $146      Adjusted EBITDA(c)(d) $4,143 to $4,193 (a)  Represents restructuring charges recorded for the periods presented related to (1) the Company's restructuring plan announced in July 2023, as further discussed in the Annual Report on Form 10-K for the fiscal year ended December 31, 2023 ("2023 Restructuring Plan"), and (2) the Company's restructuring plan announced in June 2024, as further discussed in the Current Report on Form 8-K filed on June 11, 2024 ("2024 Restructuring Plan"), as applicable for the respective period. For the six-month period ended June 30, 2024, there were $13 million and $43 million of restructuring charges related to the July 2023 Restructuring Plan and the June 2024 Restructuring Plan, respectively.(b)  See the reconciliation of "Components of Interest Expense" for a discussion of non-cash interest expense.(c)  See discussion and our definition of Adjusted EBITDA in this "Non-GAAP Measures and Other Information." (d)  The above reconciliation excludes line items included in our definition which are not applicable for the periods shown.(e)  See the reconciliation of "Outlook for Components of Interest Expense" for a discussion of non-cash interest expense. (f)  As issued on July 17, 2024. Reconciliation of Historical FFO and AFFO:     For the Three Months Ended   For the Six Months Ended   For the Twelve Months Ended (in millions; totals may not sum due to rounding)   June 30, 2024   June 30, 2023   June 30, 2024   June 30, 2023   December 31, 2023 Net income (loss)   $ 251     $ 455     $ 562     $ 874     $ 1,502   Real estate related depreciation, amortization and accretion     415       424       841       841       1,692   Asset write-down charges     3       22       9       22       33     FFO(a)(b)   $ 669     $ 901     $ 1,412     $ 1,737     $ 3,227     Weighted-average common shares outstanding—diluted     435       434       435       434       434                         FFO (from above)   $ 669     $ 901     $ 1,412     $ 1,737     $ 3,227   Adjustments to increase (decrease) FFO:                     Straight-lined revenues     (56 )     (80 )     (116 )     (163 )     (274 ) Straight-lined expenses     17       18       33       39       73   Stock-based compensation expense, net     40       50       78       91       157   Non-cash portion of tax provision     (2 )     (6 )     5       4       8   Non-real estate related depreciation, amortization and accretion     15       21       28       35       62   Amortization of non-cash interest expense     3       4       6       7       14   Other (income) expense     1       2       (1 )     4       6   Acquisition and integration costs     —       1       —       1       1   Restructuring charges(c)     45       —       56       —       85   Sustaining capital expenditures     (27 )     (18 )     (49 )     (33 )     (83 )   AFFO(a)(b)   $ 704     $ 891     $ 1,453     $ 1,720     $ 3,277     Weighted-average common shares outstanding—diluted     435       434       435       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.(c)  Represents restructuring charges recorded for the periods presented related to the 2023 Restructuring Plan and the 2024 Restructuring Plan, as applicable for the respective period. For the six-month period ended June 30, 2024, there were $13 million and $43 million of restructuring charges related to the July 2023 Restructuring Plan and the June 2024 Restructuring Plan, respectively. Reconciliation of Historical FFO and AFFO per share:     For the Three Months Ended   For the Six Months Ended   For the Twelve Months Ended (in millions, except per share amounts; totals may not sum due to rounding)   June 30, 2024   June 30, 2023   June 30, 2024   June 30, 2023   December 31, 2023 Net income (loss)   $ 0.58     $ 1.05     $ 1.29     $ 2.01     $ 3.46   Real estate related depreciation, amortization and accretion     0.95       0.98       1.93       1.94       3.90   Asset write-down charges     0.01       0.05       0.02       0.05       0.08     FFO(a)(b)   $ 1.54     $ 2.08     $ 3.25     $ 4.00     $ 7.43     Weighted-average common shares outstanding—diluted     435       434       435       434       434                         FFO (from above)   $ 1.54     $ 2.08     $ 3.25     $ 4.00     $ 7.43   Adjustments to increase (decrease) FFO:                     Straight-lined revenues     (0.13 )     (0.18 )     (0.27 )     (0.38 )     (0.63 ) Straight-lined expenses     0.04       0.04       0.08       0.09       0.17   Stock-based compensation expense, net     0.09       0.12       0.18       0.21       0.36   Non-cash portion of tax provision     —       (0.01 )     0.01       0.01       0.02   Non-real estate related depreciation, amortization and accretion     0.03       0.05       0.06       0.08       0.14   Amortization of non-cash interest expense     0.01       0.01       0.01       0.02       0.03   Other (income) expense     —       —       —       0.01       0.01   Acquisition and integration costs     —       —       —       —       —   Restructuring charges(c)     0.10       —       0.13       —       0.20   Sustaining capital expenditures     (0.06 )     (0.04 )     (0.11 )     (0.08 )     (0.19 )   AFFO(a)(b)   $ 1.62     $ 2.05