American Tower releases solid financials

American Tower Corp., one of the big three in the wireless tower industry, showed positive growth in its financial results for the first quarter of 2007. The company’s total revenue increased 10% year-over-year to $352.5 million, with net income of $22.2 million.
“Wireless communications continue to increase in importance for customers and business users alike. As a result, our major customers in both the United States and Latin America are enjoying sustained growth in revenue and profitability,” American Tower Corp. CEO Jim Taiclet said. “The profitable growth of the wireless industry and its focus on high quality existing and new services, drive strong demand for tower space that we believe is sustainable over time.”
The company said it built 22 towers, installed four in-building systems and spent around $9.9 million on ground-lease purchases during the quarter. The company also received net proceeds of around $80 million in connection with a “refund claim with the Internal Revenue Service related to the carry back of certain federal net operating losses.”
American Tower spent $496 million on a stock-repurchase program of 12.6 million shares while free cash flow for the company increased to $139.9 million.
Company stock was up 2.5%, or nearly $1, on the news.