Item 1. UNAUDITED CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

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Item 1. UNAUDITED CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(in millions, except share count and per share data)


	March 31, 2025		December 31, 2024
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	2,103.7	$	1,999.6
Restricted cash	135.5		108.6

Accounts receivable, net	683.3		540.0
Prepaid and other current assets	583.6		530.6


Total current assets	3,506.1		3,178.8
PROPERTY AND EQUIPMENT, net	19,266.0		19,056.8
GOODWILL	11,921.5		11,768.1
OTHER INTANGIBLE ASSETS, net	14,642.5		14,474.3
DEFERRED TAX ASSET	133.0		122.7
DEFERRED RENT ASSET	3,728.1		3,710.2
RIGHT-OF-USE ASSET	8,166.6		8,089.6
NOTES RECEIVABLE AND OTHER NON-CURRENT ASSETS	691.8		676.9

TOTAL	$	62,055.6	$	61,077.4
LIABILITIES
CURRENT LIABILITIES:
Accounts payable	$	199.6	$	240.8
Accrued expenses	1,121.1		1,082.0
Distributions payable	816.2		780.3
Accrued interest	325.2		373.6
Current portion of operating lease liability	592.5		576.7
Current portion of long-term obligations	2,816.9		3,693.0
Unearned revenue	450.5		329.2

Total current liabilities	6,322.0		7,075.6
LONG-TERM OBLIGATIONS	34,045.4		32,808.8
OPERATING LEASE LIABILITY	6,928.8		6,875.6
ASSET RETIREMENT OBLIGATIONS	2,445.3		2,393.8
DEFERRED TAX LIABILITY	1,357.9		1,262.0
OTHER NON-CURRENT LIABILITIES	1,019.9		1,012.9

Total liabilities	52,119.3		51,428.7
COMMITMENTS AND CONTINGENCIES

EQUITY (shares in thousands):



Common stock: $0.01 par value; 1,000,000 shares authorized; 479,131 and 478,388 shares issued; and 468,127 and 467,384 shares outstanding, respectively	4.8		4.8
Additional paid-in capital	15,077.7		15,057.3
Distributions in excess of earnings	(4,732.5)		(4,424.1)
Accumulated other comprehensive loss	(5,514.0)		(5,954.6)
Treasury stock (11,004 shares at cost)	(1,301.2)		(1,301.2)
Total American Tower Corporation equity	3,534.8		3,382.2
Noncontrolling interests	6,401.5		6,266.5
Total equity	9,936.3		9,648.7
TOTAL	$	62,055.6	$	61,077.4

See accompanying notes to unaudited consolidated and condensed consolidated financial statements.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(in millions, except share and per share data)


	Three Months Ended March 31,
		2025		2024
REVENUES:
Property		$	2,488.2	$	2,482.4
Services		74.6		30.2
Total operating revenues		2,562.8		2,512.6
OPERATING EXPENSES:
Costs of operations (exclusive of items shown separately below):
Property		599.6		605.0
Services		34.9		13.9
Depreciation, amortization and accretion		492.5		508.8
Selling, general, administrative and development expense		237.5		244.3
Other operating income		(55.8)		(0.4)

Total operating expenses		1,308.7		1,371.6
OPERATING INCOME		1,254.1		1,141.0
OTHER INCOME (EXPENSE):
Interest income		26.9		31.0
Interest expense		(325.3)		(363.8)

Other (expense) income (including foreign currency (losses) gains of $(345.7) and $127.7 respectively)		(338.2)		113.1
Total other expense		(636.6)		(219.7)
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES		617.5		921.3
Income tax provision		(118.9)		(91.3)

NET INCOME FROM CONTINUING OPERATIONS		498.6		830.0
INCOME FROM DISCONTINUED OPERATIONS, NET OF TAXES		—		91.7
NET INCOME		498.6		921.7
Net income attributable to noncontrolling interests		(9.9)		(4.3)


NET INCOME ATTRIBUTABLE TO AMERICAN TOWER CORPORATION COMMON STOCKHOLDERS		$	488.7	$	917.4
NET INCOME FROM CONTINUING OPERATIONS ATTRIBUTABLE TO AMERICAN TOWER CORPORATION COMMON STOCKHOLDERS		$	488.7	$	825.7
NET INCOME FROM DISCONTINUED OPERATIONS ATTRIBUTABLE TO AMERICAN TOWER CORPORATION COMMON STOCKHOLDERS		$	—	$	91.7
NET INCOME PER COMMON SHARE AMOUNTS:
Basic net income from continuing operations attributable to American Tower Corporation common stockholders		$	1.05	$	1.77
Basic net income from discontinued operations attributable to American Tower Corporation common stockholders		—		0.20
Basic net income attributable to American Tower Corporation common stockholders		$	1.05	$	1.97
Diluted net income from continuing operations attributable to American Tower Corporation common stockholders		$	1.04	$	1.77
Diluted net income from discontinued operations attributable to American Tower Corporation common stockholders		—		0.20
Diluted net income attributable to American Tower Corporation common stockholders		$	1.04	$	1.96
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING (in thousands):
BASIC		467,640		466,519
DILUTED		468,519		467,660

See accompanying notes to unaudited consolidated and condensed consolidated financial statements.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(in millions)


	Three Months Ended March 31,
		2025		2024
Net income		$	498.6	$	921.7
Other comprehensive income (loss):
Foreign currency translation adjustments, net of tax benefit of $(0.0) and $(0.2), respectively		593.6		(431.2)
Other comprehensive income (loss)		593.6		(431.2)
Comprehensive income		1,092.2		490.5
Comprehensive (income) loss attributable to noncontrolling interests		(162.9)		88.4
Comprehensive income attributable to American Tower Corporation stockholders		$	929.3	$	578.9

See accompanying notes to unaudited consolidated and condensed consolidated financial statements.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in millions)


	Three Months Ended March 31,
	2025		2024
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	498.6	$	921.7
Adjustments to reconcile net income to cash provided by operating activities
Depreciation, amortization and accretion	492.5		549.4
Stock-based compensation expense	53.4		64.9


Other non-cash items reflected in statements of operations	351.3		(41.8)
Increase in net deferred rent balances	(17.1)		(79.0)
Right-of-use asset and Operating lease liability, net	15.6		8.8
Changes in unearned revenue	109.8		130.4
Increase in assets	(155.8)		(99.3)
Decrease in liabilities	(53.3)		(171.5)
Cash provided by operating activities	1,295.0		1,283.6
CASH FLOWS FROM INVESTING ACTIVITIES
Payments for purchase of property and equipment and construction activities	(331.1)		(396.7)
Payments for acquisitions, net of cash acquired	(147.6)		(44.7)

Proceeds from sale of short-term investments and other non-current assets	137.7		6.0

Deposits and other	(9.1)		(0.7)
Cash used for investing activities	(350.1)		(436.1)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from short-term borrowings, net	—		8.7
Borrowings under credit facilities	850.0		2,790.5
Proceeds from issuance of senior notes, net	998.0		1,293.0

Proceeds from other borrowings	1.2		—

Repayments of notes payable, credit facilities, senior notes, secured debt, term loans and finance leases	(1,840.7)		(3,568.4)
Distributions to noncontrolling interest holders	(29.0)		(160.6)

Contributions from noncontrolling interest holders	0.8		101.4

Proceeds from stock options	19.2		13.9
Distributions paid on common stock	(768.5)		(802.1)




Deferred financing costs and other financing activities	(74.8)		(66.6)


Cash used for financing activities	(843.8)		(390.2)
Net effect of changes in foreign currency exchange rates on cash and cash equivalents, and restricted cash	29.9		(34.0)
NET INCREASE IN CASH AND CASH EQUIVALENTS, AND RESTRICTED CASH	131.0		423.3
CASH AND CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF PERIOD	2,108.2		2,093.4
CASH AND CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD	$	2,239.2	$	2,516.7
CASH PAID FOR INCOME TAXES (NET OF REFUNDS OF $1.6 AND $3.4, RESPECTIVELY)	$	32.9	$	66.5
CASH PAID FOR INTEREST	$	370.1	$	442.3
NON-CASH INVESTING AND FINANCING ACTIVITIES:
Purchases of property and equipment under finance leases and perpetual easements	$	1.4	$	3.6
Decrease in accounts payable and accrued expenses for purchases of property and equipment and construction activities	$	(41.1)	$	(54.6)
Distributions to noncontrolling interest holders	$	—	$	(37.5)
Contributions from noncontrolling interest holders	$	—	$	37.5

See accompanying notes to unaudited consolidated and condensed consolidated financial statements.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF EQUITY

(in millions, share counts in thousands)










































	Common Stock	Treasury Stock			Additional Paid-in Capital	Accumulated Other Comprehensive Loss		Distributions in Excess of Earnings		Noncontrolling Interests		Total Equity
Three Months Ended March 31, 2025 and 2024		Issued Shares	Amount		Shares	Amount
BALANCE, JANUARY 1, 2024		477,300	$	4.8	(11,004)	$	(1,301.2)	$	14,872.9	$	(5,739.5)	$	(3,638.8)	$	6,667.2	$	10,865.4
Stock-based compensation related activity		668	0.0		—	—		30.5		—		—		—		30.5






Foreign currency translation adjustment, net of tax		—	—		—	—		—		(338.5)		—		(92.7)		(431.2)

Contributions from noncontrolling interest		—	—		—	—		—		—		—		138.9		138.9
Distributions to noncontrolling interest holders		—	—		—	—		—		—		—		(103.8)		(103.8)


Common stock distributions declared		—	—		—	—		—		—		(759.8)		—		(759.8)

Net income		—	—		—	—		—		—		917.4		4.3		921.7
BALANCE, MARCH 31, 2024		477,968	$	4.8	(11,004)	$	(1,301.2)	$	14,903.4	$	(6,078.0)	$	(3,481.2)	$	6,613.9	$	10,661.7

BALANCE, JANUARY 1, 2025		478,388	$	4.8	(11,004)	$	(1,301.2)	$	15,057.3	$	(5,954.6)	$	(4,424.1)	$	6,266.5	$	9,648.7
Stock-based compensation related activity		743	0.0		—	—		20.4		—		—		—		20.4






Foreign currency translation adjustment, net of tax		—	—		—	—		—		440.6		—		153.0		593.6

Contributions from noncontrolling interest holders		—	—		—	—		—		—		—		0.8		0.8
Distributions to noncontrolling interest holders		—	—		—	—		—		—		—		(28.7)		(28.7)


Common stock distributions declared		—	—		—	—		—		—		(797.1)		—		(797.1)

Net income		—	—		—	—		—		—		488.7		9.9		498.6
BALANCE, MARCH 31, 2025		479,131	$	4.8	(11,004)	$	(1,301.2)	$	15,077.7	$	(5,514.0)	$	(4,732.5)	$	6,401.5	$	9,936.3

See accompanying notes to unaudited consolidated and condensed consolidated financial statements.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

1. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

The accompanying consolidated and condensed consolidated financial statements have been prepared by American Tower Corporation (together with its subsidiaries, “ATC” or the “Company”) pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). The financial information included herein is unaudited. However, the Company believes that all adjustments, which are of a normal and recurring nature, considered necessary for a fair presentation of its financial position and results of operations for such periods have been included. The consolidated and condensed consolidated financial statements and related notes should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 (the “2024 Form 10-K”). The results of operations for the three months ended March 31, 2025 are not necessarily indicative of the results that may be expected for the entire year.

Principles of Consolidation and Basis of Presentation—The accompanying consolidated and condensed consolidated financial statements include the accounts of the Company and those entities in which it has a controlling interest. Investments in entities that the Company does not control are accounted for using the equity method or as investments in equity securities, depending upon the Company’s ability to exercise significant influence over operating and financial policies. All intercompany accounts and transactions have been eliminated.

As of March 31, 2025, the Company holds (i) a 52% controlling interest in subsidiaries whose holdings consist of the Company’s operations in France, Germany and Spain (such subsidiaries collectively, “ATC Europe”) (Allianz and CDPQ (each as defined in note 11) hold the noncontrolling interests), (ii) a 51% controlling interest in a joint venture whose holdings consist of the Company’s operations in Bangladesh (Confidence Tower Holdings Ltd. (“Confidence Group”) holds the noncontrolling interest) and (iii) a controlling common equity interest of approximately 71% in the Company’s U.S. data center business (Stonepeak (as defined and further discussed in note 11) holds approximately 29% of the outstanding common equity and 100% of the outstanding mandatorily convertible preferred equity). As of March 31, 2025, ATC Europe holds an 87% and an 83% controlling interest in subsidiaries that consist of the Company’s operations in Germany and Spain, respectively (PGGM holds the noncontrolling interests). See note 11 for a discussion of changes to the Company’s noncontrolling interests during the three months ended March 31, 2025 and 2024.

Change in Reportable Segments— During the fourth quarter of 2024, following recent divestitures, including the ATC TIPL Transaction (as defined in note 15), and changes to its organizational structure, the Company’s Asia-Pacific (“APAC”) property segment and its Africa property segment were combined into the Africa & APAC property segment. As a result, the Company has six reportable segments: U.S. & Canada property (which includes all assets in the United States and Canada, other than the Company’s data center facilities and related assets), Africa & APAC property, Europe property, Latin America property, Data Centers and Services, which are discussed further in note 14. The change in reportable segments had no impact on the Company’s consolidated financial statements for any periods. Historical financial information included in this Quarterly Report on Form 10-Q (this “Quarterly Report”) has been adjusted to reflect the change in reportable segments.

Sale of South Africa Fiber—On March 6, 2025, the Company, through its subsidiary ATC South Africa Wireless Infrastructure Proprietary Limited, completed the sale of its fiber assets in South Africa (“South Africa Fiber”) for total consideration of 2.5 billion South African Rand (approximately $137.7 million at the date of closing), resulting in a gain on the sale of approximately $53.6 million, which was included in Other operating income in the accompanying consolidated statements of operations. As a result of the transaction, the Company disposed of $6.1 million of goodwill based on the relative fair value of South Africa Fiber and the portion of the applicable goodwill reporting unit that was expected to be retained. Prior to the divestiture, South Africa Fiber’s operating results were included within the Africa & APAC property segment.


Proceeds received at closing	$	137.7
Net assets at closing	(84.1)


Total gain on sale included in Other operating expenses (1)	$	53.6

(1)Excludes an estimated $20.8 million of taxes payable.

Significant Accounting Policies—The Company’s significant accounting policies are described in note 1 to the Company’s consolidated financial statements included in the 2024 Form 10-K. There have been no material changes to

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

the Company’s significant accounting policies during the three months ended March 31, 2025, other than those noted below.

Cash and Cash Equivalents and Restricted Cash—The reconciliation of cash and cash equivalents and restricted cash reported within the applicable balance sheet that sum to the total of the same such amounts shown in the statements of cash flows is as follows:


	Three Months Ended March 31,
	2025		2024
Cash and cash equivalents	$	2,103.7	$	2,217.0
Restricted cash	135.5		127.3
Cash and cash equivalents included in assets of discontinued operations	—		172.1
Restricted cash included in assets of discontinued operations	—		0.3
Total cash, cash equivalents and restricted cash	$	2,239.2	$	2,516.7

Revenue—The Company’s revenue is derived from leasing the right to use its communications sites, the land on which the sites are located, the land underlying its customers’ sites and the space in its data center facilities (the “lease component”) and from the reimbursement of costs incurred by the Company in operating the communications sites and data center facilities and supporting its customers’ equipment as well as other services and contractual rights (the “non-lease component”). Most of the Company’s revenue is derived from leasing arrangements and is accounted for as lease revenue unless the timing and pattern of revenue recognition of the non-lease component differs from the lease component. If the timing and pattern of the non-lease component revenue recognition differs from that of the lease component, the Company separately determines the stand-alone selling prices and pattern of revenue recognition for each performance obligation. Revenue related to distributed antenna system (“DAS”) networks and fiber and other related assets results from agreements with customers that are generally not accounted for as leases.

Non-lease property revenue—Non-lease property revenue consists primarily of revenue generated from DAS networks, fiber and other property related revenue. DAS networks and fiber arrangements generally require that the Company provide the tenant the right to use available capacity on the applicable communications infrastructure. Performance obligations are satisfied over time for the duration of the arrangements. Non-lease property revenue also includes revenue generated from interconnection offerings in the Company’s data center facilities. Interconnection offerings are generally contracted on a month-to-month basis and are cancellable by the Company or the data center customer at any time. Performance obligations are satisfied over time for the duration of the arrangements. Other property related revenue streams, which include site inspections, are not material on either an individual or consolidated basis. There were no material changes in the receivables, contract assets and contract liabilities from contracts with customers for the three months ended March 31, 2025.

Services revenue—The Company offers tower-related services in the United States. These services include site application, zoning and permitting (“AZP”), structural and mount analyses, and construction management. There is a single performance obligation related to AZP and construction management, and revenue is recognized over time based on milestones achieved, which are determined based on costs expected to be incurred. Structural and mount analyses services may have more than one performance obligation, contingent upon the number of contracted services. Revenue is recognized at the point in time the services are completed.

A summary of revenue disaggregated by source and geography is as follows:


Three Months Ended March 31, 2025	U.S. & Canada		Africa & APAC		Europe		Latin America		Data Centers		Total
Non-lease property revenue	$	74.7	$	12.0	$	2.8	$	26.0	$	35.9	$	151.4
Services revenue	74.6		—		—		—		—		74.6
Total non-lease revenue	$	149.3	$	12.0	$	2.8	$	26.0	$	35.9	$	226.0
Property lease revenue	1,223.6		321.6		210.2		373.2		208.2		2,336.8
Total revenue	$	1,372.9	$	333.6	$	213.0	$	399.2	$	244.1	$	2,562.8

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)


Three Months Ended March 31, 2024	U.S. & Canada		Africa & APAC (1)		Europe		Latin America		Data Centers		Total
Non-lease property revenue	$	72.9	$	6.1	$	3.5	$	28.7	$	31.6	$	142.8
Services revenue	30.2		—		—		—		—		30.2
Total non-lease revenue	$	103.1	$	6.1	$	3.5	$	28.7	$	31.6	$	173.0
Property lease revenue	1,237.8		291.0		201.0		416.8		193.0		2,339.6
Total revenue	$	1,340.9	$	297.1	$	204.5	$	445.5	$	224.6	$	2,512.6

(1)Excludes the operating results of ATC TIPL (as defined in note 15), which are reported as discontinued operations. See note 15 for further discussion.

Property revenue for the three months ended March 31, 2025 and 2024 includes straight-line revenue of $17.1 million and $79.1 million, respectively.

The Company actively monitors the creditworthiness of its customers. In recognizing customer revenue, the Company assesses the collectibility of both the amounts billed and the portion recognized in advance of billing on a straight-line basis. This assessment takes customer credit risk and business and industry conditions into consideration to ultimately determine the collectibility of the amounts billed. To the extent the amounts, based on management’s estimates, may not be collectible, revenue recognition is deferred until such point as collectibility is determined to be reasonably assured.

Accounting Standards Updates—In December 2023, the FASB issued guidance which requires public entities to provide enhanced income tax disclosures on an annual basis. The new guidance requires an expanded rate reconciliation and the disaggregation of cash taxes paid by U.S. federal, U.S. state and foreign jurisdictions. The updated guidance is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

In November 2024, the FASB issued guidance which is intended to improve the disclosures about a public business entity’s expenses, primarily through additional disclosures about the types of expenses (including purchases of inventory, employee compensation, depreciation, amortization, and depletion) included in each relevant expense caption presented on the face of the income statement within continuing operations. The guidance is effective on a prospective basis, with the option for retrospective application, for annual periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027, with early adoption permitted. The Company is currently evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

2. PREPAID AND OTHER CURRENT ASSETS

Prepaid and other current assets consisted of the following:


	As of
	March 31, 2025		December 31, 2024
Prepaid assets	$	93.6	$	82.6
Prepaid income tax	85.8		77.2

Unbilled receivables	243.1		189.3
Value added tax and other consumption tax receivables	41.9		55.5
Other miscellaneous current assets	119.2		126.0
Prepaid and other current assets	$	583.6	$	530.6

3. LEASES

The Company determines if an arrangement is a lease at the inception of the agreement. The Company considers an arrangement to be a lease if it conveys the right to control the use of the communications infrastructure or ground space underneath communications infrastructure for a period of time in exchange for consideration. The Company is both a lessor and a lessee.

During the three months ended March 31, 2025, the Company made no changes to the methods described in note 4 to its consolidated financial statements included in the 2024 Form 10-K. As of March 31, 2025, the Company does not have any material related party leases as either a lessor or a lessee. To the extent there are any intercompany leases, these are eliminated in consolidation.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

Lessor— Historically, the Company has been able to successfully renew its applicable leases as needed to ensure continuation of its revenue. Accordingly, the Company assumes that it will have access to the communications infrastructure or ground space underlying its sites when calculating future minimum rental receipts through the end of the respective terms. Future minimum rental receipts expected under non-cancellable operating lease agreements as of March 31, 2025 were as follows:


Fiscal Year	Amount (1) (2)
Remainder of 2025	$	6,102.5
2026	7,922.6
2027	7,759.7
2028	6,441.4
2029	6,094.8
Thereafter	20,768.3
Total	$	55,089.3

(1)Balances are translated at the applicable period-end exchange rate, which may impact comparability between periods.

(2)Balances represent contractual amounts owed with no adjustments made for expected collectibility.

If incentives are present in the Company’s leases, they are evaluated to determine proper treatment and, to the extent present, are recorded in Other current assets and Other non-current assets in the consolidated balance sheets and amortized on a straight line basis over the corresponding lease term as a non-cash reduction to revenue. As of March 31, 2025, the remaining weighted average amortization period of the Company’s lease incentives was 9 years. As of March 31, 2025, Other current assets and Other non-current assets include $38.3 million and $334.6 million, respectively, for lease incentives.

Lessee—The Company assesses its right-of-use asset and other lease-related assets for impairment, as described in note 1 to the Company’s consolidated financial statements included in the 2024 Form 10-K. There were no material impairments recorded related to these assets during the three months ended March 31, 2025 and 2024.

The Company leases certain land, buildings, equipment and office space under operating leases and land and improvements, towers, equipment and vehicles under finance leases. As of March 31, 2025, operating lease assets were included in Right-of-use asset and finance lease assets were included in Property and equipment, net in the consolidated balance sheet. During the three months ended March 31, 2025, there were no material changes in the terms and provisions of the Company’s operating leases in which the Company is a lessee. There were no material changes in finance lease assets and liabilities during the three months ended March 31, 2025.

Information about other lease-related balances is as follows:


	As of
	March 31, 2025		December 31, 2024
Operating leases:
Right-of-use asset	$	8,166.6	$	8,089.6

Current portion of lease liability	$	592.5	$	576.7
Lease liability	6,928.8		6,875.6
Total operating lease liability	$	7,521.3	$	7,452.3

The weighted-average remaining lease terms and incremental borrowing rates are as follows:


	As of
	March 31, 2025		December 31, 2024
Operating leases:
Weighted-average remaining lease term (years)	13.7		14.3
Weighted-average incremental borrowing rate	6.5	%	6.5	%

The following table sets forth the components of lease cost:

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)


	Three Months Ended March 31,
		2025		2024
Operating lease cost		$	273.2	$	283.2
Variable lease costs not included in lease liability (1)		86.3		87.1

(1)Primarily includes property tax paid on behalf of the landlord.

Supplemental cash flow information is as follows:


	Three Months Ended March 31,
	2025		2024 (3)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	(310.7)	$	(365.9)



Non-cash items:
New operating leases (1)	$	60.0	$	39.1
Operating lease modifications and reassessments (2)	$	77.4	$	593.9

(1)Amount includes new operating leases and leases acquired in connection with acquisitions.

(2)For the three months ended March 31, 2024, reflects a $515 million increase as a result of the Company’s change in estimated useful lives on January 1, 2024, as additional renewal options may be included.

(3)Cash flows related to discontinued operations for the three months ended March 31, 2024 have not been segregated and are included in the consolidated balances for cash flow purposes.

As of March 31, 2025, the Company does not have material operating or financing leases that have not yet commenced.

Maturities of operating lease liabilities as of March 31, 2025 were as follows:


Fiscal Year	Operating Lease (1)
Remainder of 2025	$	727.9
2026	955.6
2027	915.9
2028	872.3
2029	829.5
Thereafter	7,336.9
Total lease payments	11,638.1
Less amounts representing interest	(4,116.8)
Total lease liability	7,521.3
Less current portion of lease liability	592.5
Non-current lease liability	$	6,928.8

(1)Balances are translated at the applicable period-end exchange rate, which may impact comparability between periods.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

4. GOODWILL AND OTHER INTANGIBLE ASSETS

The changes in the carrying value of goodwill for each of the Company’s business segments were as follows:


	Property										Services		Total (1)
	U.S. & Canada		Africa & APAC		Europe		Latin America		Data Centers
Balance as of January 1, 2025	$	4,634.7	$	516.5	$	2,862.3	$	832.6	$	2,920.0	$	2.0	$	11,768.1
Other (1)	—		(6.1)		—		—		—		—		(6.1)


Effect of foreign currency translation	(0.0)		5.0		128.2		26.3		—		—		159.5
Balance as of March 31, 2025	$	4,634.7	$	515.4	$	2,990.5	$	858.9	$	2,920.0	$	2.0	$	11,921.5

(1)Other represents the goodwill associated with the sale of South Africa Fiber, which was sold during the three months ended March 31, 2025.

The Company’s other intangible assets subject to amortization consisted of the following:


		As of March 31, 2025						As of December 31, 2024
	Estimated Useful Lives (years)	Gross Carrying Value		Accumulated Amortization		Net Book Value		Gross Carrying Value		Accumulated Amortization		Net Book Value
Acquired network location intangibles (1)	Up to 30	$	5,452.5	$	(2,696.7)	$	2,755.8	$	5,365.4	$	(2,659.8)	$	2,705.6
Acquired tenant-related intangibles	Up to 30	17,987.1		(6,989.9)		10,997.2		17,666.0		(6,823.7)		10,842.3
Acquired licenses and other intangibles	2-30	1,389.3		(499.8)		889.5		1,406.8		(480.4)		926.4
Total other intangible assets		$	24,828.9	$	(10,186.4)	$	14,642.5	$	24,438.2	$	(9,963.9)	$	14,474.3

(1)Acquired network location intangibles are amortized over the remaining estimated useful life of the tower, taking into account residual value, generally up to 30 years, as the Company considers these intangibles to be directly related to the tower assets.

The acquired network location intangibles represent the value to the Company of the incremental revenue growth that could potentially be obtained from leasing the excess capacity on acquired tower communications infrastructure. The acquired tenant-related intangibles typically represent the value to the Company of tenant contracts and relationships in place at the time of an acquisition or similar transaction, including assumptions regarding estimated renewals. Other intangibles represent the value of acquired licenses, trade name and in place leases. In place lease value represents the fair value of costs avoided in securing data center customers, including vacancy periods, legal costs and commissions. In place lease value also includes assumptions on similar costs avoided upon the renewal or extension of existing leases on a basis consistent with occupancy assumptions used in the fair value of other assets.

The Company amortizes its acquired intangible assets on a straight-line basis over their estimated useful lives. As of March 31, 2025, the remaining weighted average amortization period of the Company’s intangible assets was 20 years. Amortization of intangible assets for the three months ended March 31, 2025 and 2024 was $214.1 million and $229.4 million, respectively. Based on current exchange rates, the Company expects to record amortization expense as follows over the remainder of the current year and the five subsequent years:


Fiscal Year	Amount
Remainder of 2025	$	647.2
2026	828.2
2027	812.7
2028	803.6
2029	787.0
2030	775.4

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

5. ACCRUED EXPENSES

Accrued expenses consisted of the following:


	As of
	March 31, 2025		December 31, 2024
Accrued construction costs	$	158.1	$	166.7
Accrued income tax payable	47.9		20.6
Accrued pass-through costs	60.4		56.8
Amounts payable for acquisitions (1)	101.9		106.4
Amounts payable to tenants	67.8		74.7
Accrued property and real estate taxes	197.8		199.3
Accrued rent	54.8		54.7

Payroll and related withholdings	90.1		129.6
Other accrued expenses	342.3		273.2
Total accrued expenses	$	1,121.1	$	1,082.0

(1)As of March 31, 2025 and December 31, 2024 includes $100.6 million and $94.9 million, respectively, of deferred payments, including post-closing adjustments, associated with the Company’s acquisition of the European and Latin American tower divisions from Telxius Telecom, S.A. in 2021 (the “Telxius Acquisition”) due in 2025.

6. LONG-TERM OBLIGATIONS

Outstanding amounts under the Company’s long-term obligations, reflecting discounts, premiums and debt issuance costs, consisted of the following:


	As of
	March 31, 2025		December 31, 2024		Maturity Date
2021 Multicurrency Credit Facility (1)	$	50.0	$	—	January 28, 2028
2021 Term Loan (1)	997.5		997.9		January 28, 2028
2021 Credit Facility (1)	360.0		—		January 28, 2030
2.950% senior notes (2)	—		650.0		January 15, 2025
2.400% senior notes (3)	—		749.7		March 15, 2025
1.375% senior notes (4) (5)	540.8		517.3		April 4, 2025
4.000% senior notes	749.8		749.4		June 1, 2025
1.300% senior notes	499.5		499.3		September 15, 2025
4.400% senior notes	499.5		499.3		February 15, 2026
1.600% senior notes	698.8		698.5		April 15, 2026
1.950% senior notes (5)	539.7		516.4		May 22, 2026
1.450% senior notes	597.8		597.4		September 15, 2026
3.375% senior notes	997.0		996.6		October 15, 2026
3.125% senior notes	399.4		399.3		January 15, 2027
2.750% senior notes	748.2		748.0		January 15, 2027
0.450% senior notes (5)	809.1		774.1		January 15, 2027
0.400% senior notes (5)	538.5		515.0		February 15, 2027
3.650% senior notes	646.8		646.4		March 15, 2027
4.125% senior notes (5)	646.6		618.5		May 16, 2027
3.55% senior notes	748.1		747.9		July 15, 2027
3.600% senior notes	697.2		697.0		January 15, 2028
0.500% senior notes (5)	807.7		772.6		January 15, 2028
1.500% senior notes	648.0		647.8		January 31, 2028
5.500% senior notes	695.4		695.0		March 15, 2028
5.250% senior notes	645.5		645.2		July 15, 2028
5.800% senior notes	744.9		744.6		November 15, 2028
5.200% senior notes	644.1		643.7		February 15, 2029
3.950% senior notes	595.1		594.8		March 15, 2029

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)


0.875% senior notes (5)	808.0		773.0		May 21, 2029
3.800% senior notes	1,641.0		1,640.5		August 15, 2029
2.900% senior notes	745.4		745.1		January 15, 2030
5.000% senior notes	593.5		593.2		January 31, 2030
4.900% senior notes	643.9		—		March 15, 2030
3.900% senior notes (5)	536.2		512.9		May 16, 2030
2.100% senior notes	744.4		744.1		June 15, 2030
0.950% senior notes (5)	536.0		512.6		October 5, 2030
1.875% senior notes	794.5		794.3		October 15, 2030
2.700% senior notes	695.8		695.6		April 15, 2031
4.625% senior notes (5)	535.0		511.7		May 16, 2031
2.300% senior notes	693.8		693.6		September 15, 2031
1.000% senior notes (5)	697.9		667.6		January 15, 2032
4.050% senior notes	643.9		643.7		March 15, 2032
5.650% senior notes	791.6		791.4		March 15, 2033
1.250% senior notes (5)	535.4		512.1		May 21, 2033
5.550% senior notes	841.6		841.4		July 15, 2033
5.900% senior notes	742.3		742.2		November 15, 2033
5.450% senior notes	640.8		640.6		February 15, 2034
4.100% senior notes (5)	533.8		510.5		May 16, 2034
5.400% senior notes	592.0		591.9		January 31, 2035
5.350% senior notes	346.1		—		March 15, 2035
3.700% senior notes	592.6		592.6		October 15, 2049
3.100% senior notes	1,038.9		1,038.8		June 15, 2050
2.950% senior notes	1,024.0		1,023.8		January 15, 2051
Total American Tower Corporation debt	34,533.4		34,174.9

Series 2015-2 notes (6)	524.9		524.7		June 16, 2025
Series 2018-1A securities (7)	497.8		497.6		March 15, 2028
Series 2023-1A securities (8)	1,288.9		1,288.0		March 15, 2028
Other subsidiary debt (9)	1.2		—		March 24, 2033
Total American Tower subsidiary debt	2,312.8		2,310.3
Finance lease obligations	16.1		16.6
Total	36,862.3		36,501.8
Less current portion of long-term obligations	(2,816.9)		(3,693.0)
Long-term obligations	$	34,045.4	$	32,808.8

(1)Accrues interest at a variable rate.

(2)Repaid in full on January 14, 2025 using cash on hand and borrowings under the 2021 Multicurrency Credit Facility (as defined below).

(3)Repaid in full on March 14, 2025 using proceeds from the issuance of the 4.900% Notes and 5.350% Notes (each as defined below).

(4)Repaid in full on April 3, 2025 using borrowings under the 2021 Multicurrency Credit Facility and cash on hand.

(5)Notes are denominated in EUR.

(6)Maturity date reflects the anticipated repayment date; final legal maturity is June 15, 2050.

(7)Maturity date reflects the anticipated repayment date; final legal maturity is March 15, 2048.

(8)Maturity date reflects the anticipated repayment date; final legal maturity is March 15, 2053.

(9)As of March 31, 2025, includes the Bangladesh Term Loan (as defined below).

*Current portion of long-term obligations—*The Company’s current portion of long-term obligations primarily includes (i) 500.0 million EUR aggregate principal amount of the Company’s 1.375% senior unsecured notes due April 4, 2025 (the “1.375% Notes”), (ii) $750.0 million aggregate principal amount of the Company’s 4.000% senior unsecured notes due June 1, 2025, (iii) $500.0 million aggregate principal amount of the Company’s 1.300% senior unsecured notes due September 15, 2025, (iv) $500.0 million aggregate principal amount of the Company’s 4.400% senior unsecured notes due February 15, 2026 and (v) $525.0 million aggregate principal amount of the Company’s Secured Tower Revenue Notes, Series 2015-2, Class A due June 16, 2025.

*Securitized Debt—*Cash flows generated by the communications sites that secure the securitized debt of the Company are only available for payment of such debt and are not available to pay the Company’s other obligations or the claims of its

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

creditors. However, subject to certain restrictions, the Company holds the right to receive the excess cash flows not needed to service the securitized debt and other obligations arising out of the securitizations. The securitized debt is the obligation of the issuers thereof or borrowers thereunder, as applicable, and their subsidiaries, and not of the Company or its other subsidiaries.

Repayments of Senior Notes

Repayment of 2.950% Senior Notes—On January 14, 2025, the Company repaid $650.0 million aggregate principal amount of the Company’s 2.950% senior unsecured notes due 2025 (the “2.950% Notes”) upon their maturity. The 2.950% Notes were repaid using cash on hand and borrowings under the 2021 Multicurrency Credit Facility. Upon completion of the repayment, none of the 2.950% Notes remained outstanding.

Repayment of 2.400% Senior Notes—On March 14, 2025, the Company repaid $750.0 million aggregate principal amount of the Company’s 2.400% senior unsecured notes due 2025 (the “2.400% Notes”) upon their maturity. The 2.400% Notes were repaid using proceeds from the issuance of the 4.900% Notes and the 5.350% Notes. Upon completion of the repayment, none of the 2.400% Notes remained outstanding.

Offerings of Senior Notes

*4.900% Senior Notes and 5.350% Senior Notes Offering—*On March 14, 2025, the Company completed a registered public offering of $650.0 million aggregate principal amount of 4.900% senior unsecured notes due 2030 (the “4.900% Notes”) and $350.0 million aggregate principal amount of 5.350% senior unsecured notes due 2035 (the “5.350% Notes,” and, together with the 4.900% Notes, the “Notes”). The net proceeds from this offering were approximately $988.9 million, after deducting commissions and estimated expenses. The Company used the net proceeds to repay the 2.400% Notes, to repay existing indebtedness under the 2021 Multicurrency Credit Facility and for general corporate purposes.

The key terms of the Notes are as follows:


Senior Notes	Aggregate Principal Amount (in millions)		Issue Date and Interest Accrual Date	Maturity Date	Contractual Interest Rate	First Interest Payment	Interest Payments Due (1)	Par Call Date (2)
4.900% Notes	$	650.0	March 14, 2025	March 15, 2030	4.900%	September 15, 2025	March 15 and September 15	February 15, 2030
5.350% Notes	$	350.0	March 14, 2025	March 15, 2035	5.350%	September 15, 2025	March 15 and September 15	December 15, 2034

(1)Accrued and unpaid interest on U.S. Dollar (“USD”) denominated notes is payable in USD semi-annually in arrears and will be computed from the issue date on the basis of a 360-day year comprised of twelve 30-day months.

(2)The Company may redeem the Notes at any time, in whole or in part, at a redemption price equal to 100% of the principal amount of the Notes plus a make-whole premium, together with accrued interest to the redemption date. If the Company redeems the Notes on or after the par call date, the Company will not be required to pay a make-whole premium.

If the Company undergoes a change of control and corresponding ratings decline, each as defined in the supplemental indenture for the Notes, the Company may be required to repurchase all of the Notes at a purchase price equal to 101% of the aggregate principal amount of the Notes repurchased, plus accrued and unpaid interest (including additional interest, if any), up to but not including the repurchase date. The Notes rank equally in right of payment with all of the Company’s other senior unsecured debt obligations and are structurally subordinated to all existing and future indebtedness and other obligations of its subsidiaries.

The supplemental indenture contains certain covenants that restrict the Company’s ability to merge, consolidate or sell assets and its (together with its subsidiaries’) ability to incur liens. These covenants are subject to a number of exceptions, including that the Company and its subsidiaries may incur certain liens on assets, mortgages or other liens securing indebtedness if the aggregate amount of indebtedness secured by such liens does not exceed 3.5x Adjusted EBITDA, as defined in the supplemental indenture.

Bank Facilities

*Amendments to Bank Facilities—*On January 28, 2025, the Company amended its (i) $6.0 billion senior unsecured multicurrency revolving credit facility, as amended and restated in December 2021, as further amended (the “2021 Multicurrency Credit Facility”) (ii) $4.0 billion senior unsecured revolving credit facility, as amended and restated in

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

December 2021, as further amended (the “2021 Credit Facility”) and (iii) $1.0 billion unsecured term loan, as amended and restated in December 2021, as further amended (the “2021 Term Loan”).

These amendments, among other things,

i.extend the maturity dates of the 2021 Multicurrency Credit Facility and the 2021 Credit Facility to January 28, 2028 and January 28, 2030, respectively;

ii.extend the maturity date of the 2021 Term Loan to January 28, 2028; and

iii.update the Applicable Margins (as defined in the loan agreements).

*2021 Multicurrency Credit Facility—*During the three months ended March 31, 2025, the Company borrowed an aggregate of $240.0 million and repaid an aggregate of $190.0 million of revolving indebtedness under the 2021 Multicurrency Credit Facility. The Company used the borrowings to repay outstanding indebtedness, including the 2.950% Notes.

*2021 Credit Facility—*During the three months ended March 31, 2025, the Company borrowed an aggregate of $610.0 million and repaid an aggregate of $250.0 million of revolving indebtedness under the 2021 Credit Facility. The Company used the borrowings for general corporate purposes.

As of March 31, 2025, the key terms under the 2021 Multicurrency Credit Facility, the 2021 Credit Facility and the 2021 Term Loan were as follows:


	Outstanding Principal Balance (in millions)		Undrawn letters of credit (in millions)		Maturity Date		Current margin over SOFR or EURIBOR (1)		Current commitment fee (2)
2021 Multicurrency Credit Facility	$	50.0	$	5.2	January 28, 2028	(3)	1.000	%	0.110	%
2021 Credit Facility	360.0		30.3		January 28, 2030	(3)	1.000	%	0.110	%
2021 Term Loan	1,000.0		N/A		January 28, 2028		1.000	%	N/A

(1)Secured Overnight Financing Rate (“SOFR”) applies to the USD denominated borrowings under the 2021 Multicurrency Credit Facility, the 2021 Credit Facility and the 2021 Term Loan. Euro Interbank Offer Rate (“EURIBOR”) applies for EURIBOR based borrowings.

(2)Fee on undrawn portion of each credit facility.

(3)Subject to two optional renewal periods.

*Bangladesh Term Loan—*In March 2025, the Company entered into a 400.0 million Bangladeshi Taka (“BDT”) (approximately $3.3 million) term loan with a maturity date that is eight years from the date of the first draw thereunder (the “Bangladesh Term Loan”). On March 24, 2025, the Company borrowed 150.0 million BDT (approximately $1.2 million) under the Bangladesh Term Loan. The Bangladesh Term Loan bears interest at 13.50% per annum, subject to quarterly resets. Interest is payable quarterly. Any outstanding principal and accrued but unpaid interest will be due and payable in full at maturity. The Bangladesh Term Loan does not require amortization of principal and may be paid prior to maturity in whole or in part at the Company’s option without penalty or premium.

7. FAIR VALUE MEASUREMENTS

The Company determines the fair value of its financial instruments based on the fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Below are the three levels of inputs that may be used to measure fair value:


			Level 1			Quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.

			Level 2			Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

			Level 3			Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

Items Measured at Fair Value on a Recurring Basis—The fair values of the Company’s financial assets and liabilities that are required to be measured on a recurring basis at fair value were as follows:


	March 31, 2025					December 31, 2024
	Fair Value Measurements Using					Fair Value Measurements Using
	Level 1		Level 2		Level 3	Level 1		Level 2		Level 3
Assets:

Investments in equity securities (1)	$	106.2	$	5.3	—	$	98.6	$	5.3	—

(1)Investments in equity securities are recorded in Notes receivable and other non-current assets in the consolidated balance sheets at fair value. Unrealized holding gains and losses for equity securities are recorded in Other income (expense) in the consolidated statements of operations in the current period. During the three months ended March 31, 2025 and 2024, the Company recognized unrealized gains (losses) of $7.6 million and $(14.7) million, respectively, for equity securities held as of March 31, 2025.

Items Measured at Fair Value on a Nonrecurring Basis

Assets Held and Used—The Company’s long-lived assets are recorded at amortized cost and, if impaired, are adjusted to fair value using Level 3 inputs. There were no material long-lived asset impairments during the three months ended March 31, 2025 or 2024 and there were no significant unobservable inputs used to determine the fair value of long-lived assets during the three months ended March 31, 2025 or 2024.

There were no other items measured at fair value on a nonrecurring basis during the three months ended March 31, 2025 or 2024.

Fair Value of Financial Instruments—The Company’s financial instruments for which the carrying value reasonably approximates fair value at March 31, 2025 and December 31, 2024 include cash and cash equivalents, restricted cash, accounts receivable and accounts payable. The Company’s estimates of fair value of its long-term obligations, including the current portion, are based primarily upon reported market values. For long-term debt not actively traded, fair value is estimated using either indicative price quotes or a discounted cash flow analysis using rates for debt with similar terms and maturities. As of March 31, 2025 and December 31, 2024, the carrying value of long-term obligations, including the current portion, was $36.9 billion and $36.5 billion, respectively. As of March 31, 2025, the fair value of long-term obligations, including the current portion, was $35.2 billion, of which $31.5 billion was measured using Level 1 inputs and $3.7 billion was measured using Level 2 inputs. As of December 31, 2024, the fair value of long-term obligations, including the current portion, was $34.6 billion, of which $31.3 billion was measured using Level 1 inputs and $3.3 billion was measured using Level 2 inputs.

8. INCOME TAXES

The Company provides for income taxes at the end of each interim period based on the estimated effective tax rate (“ETR”) for the full fiscal year. Cumulative adjustments to the Company’s estimate are recorded in the interim period in which a change in the estimated annual ETR is determined. Under the provisions of the Internal Revenue Code of 1986, as amended, the Company may deduct earnings distributed to stockholders against the income generated by its real estate investment trust (“REIT”) operations. The Company continues to be subject to income taxes on the income of its domestic taxable REIT subsidiaries and income taxes in foreign jurisdictions where it conducts operations.

The Company provides valuation allowances if, based on the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. Management assesses the available evidence to estimate if sufficient future taxable income will be generated to use the existing deferred tax assets. Valuation allowances may be reversed if, based on changes in facts and circumstances, the net deferred tax assets have been determined to be realizable.

The increase in the income tax provision during the three months ended March 31, 2025 was primarily attributable to taxes incurred as a result of the sale of South Africa Fiber.

As of March 31, 2025 and December 31, 2024, the total unrecognized tax benefits that would impact the ETR, if recognized, were approximately $105.4 million and $101.3 million, respectively. The amount of unrecognized tax benefits during the three months ended March 31, 2025 includes (i) additions to the Company’s existing tax positions of $14.3 million, (ii) additions due to foreign currency exchange rate fluctuations of $2.2 million, (iii) reductions due to the expiration of statutes of limitation of $10.8 million, and (iv) reductions to the Company’s prior year tax positions and settlements of $1.6 million. Unrecognized tax benefits are expected to change over the next 12 months if certain tax matters ultimately settle with the applicable taxing jurisdiction during this time frame, as described in note 12 to the

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

Company’s consolidated financial statements included in the 2024 Form 10-K. The impact of the amount of these changes to previously recorded uncertain tax positions could range from zero to $7.0 million.

The Company recorded the following penalties and income tax-related interest expense during the three months ended March 31, 2025 and 2024:


	Three Months Ended March 31,
		2025		2024
Penalties and income tax-related interest expense		$	5.5	$	4.4

As of March 31, 2025 and December 31, 2024, the total amount of accrued income tax related interest and penalties included in the consolidated balance sheets were $62.0 million and $58.5 million, respectively.

9. STOCK-BASED COMPENSATION

Summary of Stock-Based Compensation Plans—The Company maintains equity incentive plans that provide for the grant of stock-based awards to its directors, officers and employees. The Company’s 2007 Equity Incentive Plan, as amended (the “2007 Plan”), provides for the grant of non-qualified and incentive stock options, as well as restricted stock units, restricted stock and other stock-based awards. Exercise prices for non-qualified and incentive stock options are not less than the fair value of the underlying common stock on the date of grant. Equity awards typically vest ratably. Awards granted prior to March 10, 2023 generally vest over four years for time-based restricted stock units (“RSUs”) and stock options. In December 2022, the Company’s Compensation Committee changed the terms of its awards to generally vest over three years. The change in vesting terms is applicable for new awards granted beginning on March 10, 2023 and does not change the vesting terms applicable to grants awarded prior to March 10, 2023. Performance-based restricted stock units (“PSUs”) generally vest over three years. Stock options generally expire ten years from the date of grant. As of March 31, 2025, the Company had the ability to grant stock-based awards with respect to an aggregate of 2.7 million shares of common stock under the 2007 Plan. In addition, the Company maintains an employee stock purchase plan (the “ESPP”) pursuant to which eligible employees may purchase shares of the Company’s common stock on the last day of each bi-annual offering period at a 15% discount from the lower of the closing market value on the first or last day of such offering period. The offering periods run from June 1 through November 30 and from December 1 through May 31 of each year.

During the three months ended March 31, 2025 and 2024, the Company recorded the following stock-based compensation expense in selling, general, administrative and development expense:


	Three Months Ended March 31,
		2025		2024
Stock-based compensation expense (1)		$	53.4	$	62.8

(1)For the three months ended March 31, 2025, includes the reversal of $7.1 million of previously recognized stock-based compensation expense associated with awards forfeited in connection with the departure of the Company’s former Executive Vice President and President, APAC due to such role being eliminated. For the three months ended March, 31 2024, excludes $2.1 million of stock-based compensation expense related to ATC TIPL, which is included in Income from discontinued operations, net of taxes in the accompanying consolidated statements of operations.

Stock Options—As of March 31, 2025, there was no unrecognized compensation expense related to unvested stock options.

The Company’s option activity for the three months ended March 31, 2025 was as follows (shares disclosed in full amounts):


						Number of Options
Outstanding as of January 1, 2025						416,672

Exercised						(203,339)
Forfeited						—
Expired						—
Outstanding as of March 31, 2025						213,333

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

*Restricted Stock Units—*As of March 31, 2025, total unrecognized compensation expense related to unvested RSUs granted under the 2007 Plan was $211.6 million and is expected to be recognized over a weighted average period of approximately two years. Vesting of RSUs is subject generally to the employee’s continued employment or death, disability or qualified retirement (each as defined in the applicable RSU award agreement).

*Performance-Based Restricted Stock Units—*During the three months ended March 31, 2025, the Company’s Compensation Committee (the “Compensation Committee”) granted an aggregate of 84,575 PSUs (the “2025 PSUs”) to its executive officers and established the performance and market metrics for these awards. During the years ended December 31, 2024 and 2023, the Compensation Committee granted an aggregate of 87,550 PSUs (the “2024 PSUs”) and 118,684 PSUs (the “2023 PSUs”) respectively, to its executive officers and established the performance metrics for these awards. Threshold, target and maximum parameters were established for the metrics for a three-year performance period with respect to each of the 2025 PSUs, the 2024 PSUs and the 2023 PSUs and will be used to calculate the number of shares that will be issuable when each award vests, which may range from zero to 200% of the target amounts. At the end of each three-year performance period, the number of shares that vest will depend on the degree of achievement against the pre-established goals. PSUs will be paid out in common stock at the end of each performance period, subject generally to the executive’s continued employment or death, disability or qualified retirement (each as defined in the applicable PSU award agreement). PSUs will accrue dividend equivalents prior to vesting, which will be paid out only in respect of shares that actually vest.

The 2025 PSUs and the 2024 PSUs include a market condition component based on relative total shareholder return as measured against the REIT constituents included in the S&P 500 Index. For the component of the 2025 PSUs and the 2024 PSUs subject to a market condition, fair value is determined using a Monte Carlo simulation model, which uses multiple input variables to determine the probability of satisfying the market condition requirements. The grant date fair value of the market condition component of the 2025 PSUs and the 2024 PSUs is $286.21 and $216.11, respectively.

Key assumptions used to apply this pricing model were as follows:


	2025		2024

Expected term (years)	2.81		2.81
Risk-free interest rate	3.91	%	4.31	%
Annualized volatility	27.91	%	26.75	%

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

Restricted Stock Units and Performance-Based Restricted Stock Units—The Company’s RSU and PSU activity for the three months ended March 31, 2025 was as follows (shares disclosed in full amounts):


	RSUs	PSUs
Outstanding as of January 1, 2025 (1)	1,460,702	339,268
Granted (2)	616,012	84,575
Vested and Released (3)	(655,877)	(55,326)
Forfeited (4)	(20,833)	(21,138)
Outstanding as of March 31, 2025	1,400,004	347,379
Vested and deferred as of March 31, 2025 (5)	14,233	77,708

(1)PSUs consist of the target number of shares issuable at the end of the three-year performance period for the 2024 PSUs and the 2023 PSUs, or 87,550 shares and 118,684 shares, respectively, and the shares issuable at the end of the three-year performance period for the PSUs granted in 2022 (the “2022 PSUs”) based on achievement against the performance metrics for the three-year performance period, or 133,034 shares.

(2)PSUs consist of the target number of shares issuable at the end of the three-year performance period for the 2025 PSUs, or 84,575 shares.

(3)PSUs consist of shares vested pursuant to the 2022 PSUs. There are no additional shares to be earned related to the 2022 PSUs.

(4)PSUs consist of shares forfeited in connection with the departure of the Company’s former Executive Vice President and President, APAC due to such role being eliminated, which includes the target number of shares issuable at the end of the three-year performance period for the 2024 PSUs and the 2023 PSUs pursuant to the terms of the award agreements.

(5)Vested and deferred RSUs and PSUs are related to deferred compensation for certain former employees.

During the three months ended March 31, 2025, the Company’s Executive Vice President and President, APAC left the Company due to such role being eliminated. As the conditions for vesting pursuant to the terms of the award agreements for such executive’s 2024 PSUs and 2023 PSUs were not met, the awards were forfeited. Accordingly, the Company reversed $5.3 million of previously recognized stock-based compensation expense associated with these awards.

During the three months ended March 31, 2025, the Company recorded $3.9 million in stock-based compensation expense for equity awards in which the performance goals have been established and were probable of being achieved. The remaining unrecognized compensation expense related to these awards at March 31, 2025 was $19.9 million based on the Company’s current assessment of the probability of achieving the performance goals. The weighted average period over which the cost will be recognized is less than one year.

10. EQUITY

Sales of Equity Securities—The Company receives proceeds from sales of its equity securities pursuant to the ESPP and upon exercise of stock options granted under the 2007 Plan. During the three months ended March 31, 2025, the Company received an aggregate of $19.2 million in proceeds upon exercises of stock options.

Stock Repurchase Programs—In March 2011, the Company’s Board of Directors approved a stock repurchase program, pursuant to which the Company is authorized to repurchase up to $1.5 billion of its common stock (the “2011 Buyback”). In December 2017, the Board of Directors approved an additional stock repurchase program, pursuant to which the Company is authorized to repurchase up to $2.0 billion of its common stock (the “2017 Buyback,” and, together with the 2011 Buyback, the “Buyback Programs”).

Under the Buyback Programs, the Company is authorized to purchase shares from time to time through open market purchases, in privately negotiated transactions not to exceed market prices, and (with respect to such open market purchases) pursuant to plans adopted in accordance with Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), in accordance with securities laws and other legal requirements and subject to market conditions and other factors.

During the three months ended March 31, 2025, there were no repurchases under either of the Buyback Programs. As of March 31, 2025, the Company has repurchased a total of 14,451,325 shares of its common stock under the 2011 Buyback for an aggregate of $1.5 billion, including commissions and fees. As of March 31, 2025, the Company has not made any repurchases under the 2017 Buyback.

The Company expects to fund any further repurchases of its common stock through a combination of cash on hand, cash generated by operations and borrowings under its credit facilities. Repurchases under the Buyback Programs are subject to, among other things, the Company having available cash to fund the repurchases.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

Distributions—During the three months ended March 31, 2025, the Company declared or paid the following cash distributions (per share data reflects actual amounts):


Declaration Date	Payment Date	Record Date	Distribution per share		Aggregate Payment Amount (1)
Common Stock


March 6, 2025	April 28, 2025	April 11, 2025	$	1.70	$	795.8
December 5, 2024	February 3, 2025	December 27, 2024	$	1.62	$	757.1

(1)Does not include amounts accrued for distributions payable related to unvested restricted stock units.

During the three months ended March 31, 2024, the Company declared or paid the following cash distributions (per share data reflects actual amounts):


Declaration Date	Payment Date	Record Date	Distribution per share		Aggregate Payment Amount (1)
Common Stock


March 14, 2024	April 26, 2024	April 12, 2024	$	1.62	$	756.5
December 13, 2023	February 1, 2024	December 28, 2023	$	1.70	$	792.7

(1)Does not include amounts accrued for distributions payable related to unvested restricted stock units.

The Company accrues distributions on unvested restricted stock units, which are payable upon vesting. As of March 31, 2025, the amount accrued for distributions payable related to unvested restricted stock units was $12.4 million. During the three months ended March 31, 2025 and 2024, the Company paid $11.4 million and $9.4 million of distributions upon the vesting of restricted stock units, respectively. To maintain its qualification for taxation as a REIT, the Company expects to continue paying distributions, the amount, timing and frequency of which will be determined, and subject to adjustment, by the Company’s Board of Directors.

11. NONCONTROLLING INTERESTS

*European Interests—*As of March 31, 2025, ATC Europe consists of the Company’s operations in France, Germany and Spain. The Company currently holds a 52% controlling interest in ATC Europe, with Caisse de dépôt et placement du Québec (“CDPQ”) and Allianz insurance companies and funds managed by Allianz Capital Partners GmbH, including the Allianz European Infrastructure Fund (collectively, “Allianz”) holding 30% and 18% noncontrolling interests, respectively. ATC Europe holds a 100% interest in the subsidiaries that consist of the Company’s operations in France and an 87% and an 83% controlling interest in the subsidiaries that consist of the Company’s operations in Germany and Spain, respectively, with PGGM holding a 13% and a 17% noncontrolling interest in each respective subsidiary.

Bangladesh Partnership—In 2021, the Company acquired a 51% controlling interest in Kirtonkhola Tower Bangladesh Limited (“KTBL”). Confidence Group holds a 49% noncontrolling interest in KTBL.

Stonepeak Transaction—In 2022, the Company entered into agreements pursuant to which certain investment vehicles affiliated with Stonepeak Partners LP (such investment vehicles, collectively, “Stonepeak”) acquired a noncontrolling ownership interest in the Company’s U.S. data center business, through an investment in common equity and mandatorily convertible preferred equity (the “Stonepeak Transaction”).

As of March 31, 2025, the Company holds a common equity interest of approximately 71% in its U.S. data center business, with Stonepeak holding approximately 29% of the outstanding common equity and 100% of the outstanding mandatorily convertible preferred equity. On a fully converted basis, which is expected to occur four years from August 2022, and on the basis of the currently outstanding equity, the Company will hold a controlling ownership interest of approximately 64%, with Stonepeak holding approximately 36%. The mandatorily convertible preferred equity, which accrues dividends at 5.0%, will convert into common equity on a one for one basis, subject to adjustment that will be measured upon conversion.

*Dividends to noncontrolling interests—*Certain of the Company’s subsidiaries may, from time to time, declare dividends. During the three months ended March 31, 2025, the Company’s U.S. data center business declared distributions of $11.4 million related to the outstanding Stonepeak mandatorily convertible preferred equity (the “Stonepeak Preferred Distributions”). As of March 31, 2025, the amount accrued for Stonepeak Preferred Distributions was $11.4 million.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

Beginning in January 2024, pursuant to the terms of the ownership agreement with Stonepeak, on a quarterly basis, the Company’s U.S. data center business will distribute common dividends to the Company and to Stonepeak in proportion to their respective equity interests in the Company’s U.S. data center business (the “Stonepeak Common Dividend”). During the three months ended March 31, 2025, the Company’s U.S. data center business declared and paid distributions of $17.3 million, related to the Stonepeak Common Dividend.

The changes in noncontrolling interests were as follows:


	Three Months Ended March 31,
	2025		2024
Balance as of January 1,	$	6,266.5	$	6,667.2





Net income attributable to noncontrolling interests	9.9		4.3
Foreign currency translation adjustment attributable to noncontrolling interests, net of tax	153.0		(92.7)
Contributions from noncontrolling interest holders (1)	0.8		138.9
Distributions to noncontrolling interest holders	(28.7)		(103.8)

Balance as of March 31,	$	6,401.5	$	6,613.9

(1)Three months ended March 31, 2024 includes contributions from Stonepeak of $137.3 million, including a noncash contribution of $37.5 million made in lieu of Stonepeak’s receipt of the Stonepeak Common Dividend.

12. EARNINGS PER COMMON SHARE

The following table sets forth basic and diluted net income per common share computational data (shares in thousands, except per share data):


	Three Months Ended March 31,
		2025		2024


Net income from continuing operations attributable to American Tower common stockholders		$	488.7	$	825.7
Net income from discontinued operations attributable to American Tower common stockholders		—		91.7
Net income attributable to American Tower Corporation common stockholders		$	488.7	$	917.4
Basic weighted average common shares outstanding		467,640		466,519
Dilutive securities		879		1,141
Diluted weighted average common shares outstanding		468,519		467,660
Basic net income from continuing operations attributable to American Tower Corporation common stockholders		$	1.05	$	1.77
Basic net income from discontinued operations attributable to American Tower Corporation common stockholders		—		0.20
Basic net income attributable to American Tower Corporation common stockholders per common share		$	1.05	$	1.97
Diluted net income from continuing operations attributable to American Tower Corporation common stockholders		$	1.04	$	1.77
Diluted net income from discontinued operations attributable to American Tower Corporation common stockholders		—		0.20
Diluted net income attributable to American Tower Corporation common stockholders		$	1.04	$	1.96

Shares Excluded From Dilutive Effect—The following shares were not included in the computation of diluted earnings per share because the effect would be anti-dilutive (in thousands, on a weighted average basis)


	Three Months Ended March 31,
		2025	2024
Restricted stock units		121	126

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

13. COMMITMENTS AND CONTINGENCIES

Litigation— The Company periodically becomes involved in various claims and lawsuits that are incidental to its business. While the Company’s management, after consultation with counsel, currently believes the ultimate outcome of these legal proceedings, individually and in the aggregate, will not have a material adverse impact on its consolidated financial position, results of operations or liquidity, litigation is subject to inherent uncertainties. Were an unfavorable ruling to occur, there exists the possibility of a material adverse impact on the Company’s financial condition and results of operations.

Verizon Transaction—In March 2015, the Company entered into an agreement with various operating entities of Verizon Communications Inc. (“Verizon”) that currently provides for the lease, sublease or management of approximately 11,100 wireless communications sites, which commenced on March 27, 2015. The average term of the lease or sublease for all communications sites at the inception of the agreement was approximately 28 years, assuming renewals or extensions of the underlying ground leases for the sites. The Company has the option to purchase the leased sites in tranches, subject to the applicable lease, sublease or management rights upon its scheduled expiration. Each tower is assigned to an annual tranche, ranging from 2034 to 2047, which represents the outside expiration date for the sublease rights to the towers in that tranche. The purchase price for each tranche is a fixed amount stated in the lease for such tranche plus the fair market value of certain alterations made to the related towers. The aggregate purchase option price for the towers leased and subleased is approximately $5.0 billion. Verizon occupied the sites as a tenant for an initial term of ten years and has exercised its first renewal option for a five-year term. Verizon has seven optional successive five-year terms remaining; each such term shall be governed by standard master lease agreement terms established as a part of the transaction.

AT&T Transaction—The Company has an agreement with SBC Communications Inc., a predecessor entity to AT&T Inc. (“AT&T”), that currently provides for the lease or sublease of approximately 1,700 towers, which commenced between December 2000 and August 2004. Substantially all of the towers are part of the Trust Securitizations. The average term of the lease or sublease for all sites at the inception of the agreement was approximately 27 years, assuming renewals or extensions of the underlying ground leases for the sites. The Company has the option to purchase the sites subject to the applicable lease or sublease upon its expiration. Each tower is assigned to an annual tranche, ranging from 2013 to 2032, which represents the outside expiration date for the sublease rights to that tower. The purchase price for each site is a fixed amount stated in the lease for that site plus the fair market value of certain alterations made to the related tower by AT&T. As of March 31, 2025, the Company has purchased an aggregate of approximately 700 of the subleased towers which are subject to the applicable agreement. The aggregate purchase option price for the remaining towers leased and subleased is $1.2 billion and includes per annum accretion through the applicable expiration of the lease or sublease of a site. For the applicable sites, AT&T has the right to continue to lease space subject to a monthly fee, which shall escalate in accordance with the standard master lease agreement for the remainder of AT&T’s tenancy. AT&T shall have the right to renew each lease for up to five successive five-year terms.

Other Contingencies—The Company is subject to income tax and other taxes in the geographic areas where it holds assets or operates, and periodically receives notifications of audits, assessments or other actions by taxing authorities. Taxing authorities may issue notices or assessments while audits are being conducted. In certain jurisdictions, taxing authorities may issue assessments with minimal examination. These notices and assessments do not represent amounts that the Company is obligated to pay and are often not reflective of the actual tax liability for which the Company will ultimately be liable. In the process of responding to assessments of taxes that the Company believes are not enforceable, the Company avails itself of both administrative and judicial remedies. The Company evaluates the circumstances of each notification or assessment based on the information available and, in those instances in which the Company does not anticipate a successful defense of positions taken in its tax filings, a liability is recorded in the appropriate amount based on the underlying assessment.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

14. BUSINESS SEGMENTS

During the fourth quarter of 2024, following recent divestitures, including the ATC TIPL Transaction, and changes to its organizational structure, the Company reviewed and changed its operating and reportable segments. The Company’s Asia-Pacific property segment and Africa property segment were combined into the Africa & APAC property segment. As a result, the Company now has six reportable segments: U.S. & Canada property (which includes all assets in the United States and Canada, other than the Company’s data center facilities and related assets), Africa & APAC property, Europe property, Latin America property, Data Centers and Services. The change in operating and reportable segments had no impact on the Company’s consolidated financial statements for any periods. Historical financial information included in this Quarterly Report has been adjusted to reflect the change in reportable segments.

Property

Communications Sites and Related Communications Infrastructure—The Company’s primary business is leasing space on multitenant communications sites to wireless service providers, radio and television broadcast companies, wireless data providers, government agencies and municipalities and tenants in a number of other industries. The Company has historically reported these operations on a geographic basis.

Data Centers—The Company’s Data Centers segment relates to data center facilities and related assets that the Company owns and operates in the United States. The Data Centers segment offers different types of leased infrastructure and related services from, and requires different resources, skill sets and marketing strategies than the existing property operating segment in the U.S. & Canada.

As of March 31, 2025, the Company’s property operations consisted of the following:

U.S. & Canada: property operations in Canada and the United States;
Africa & APAC: property operations in Bangladesh, Burkina Faso, Ghana, Kenya, Niger, Nigeria, the Philippines, South Africa and Uganda;
Europe: property operations in France, Germany and Spain;
Latin America: property operations in Argentina, Brazil, Chile, Colombia, Costa Rica, Mexico, Paraguay and Peru; and
Data Centers: data center property operations in the United States.

Services

The Company’s Services segment offers tower-related services in the United States, including AZP, structural and mount analyses, and construction management, which primarily support its site leasing business, including the addition of new tenants and equipment on its communications sites. The Services segment is a strategic business unit that offers different services from, and requires different resources, skill sets and marketing strategies than, the property operating segments.

The accounting policies applied in compiling segment information below are similar to those described in note 1. Among other factors, in evaluating financial performance in each business segment, management uses segment gross margin and segment operating profit. The Company defines segment gross margin as segment revenue less segment operating expenses excluding Depreciation, amortization and accretion; Selling, general, administrative and development expense; and Other operating expenses. The Company defines segment operating profit as segment gross margin less Selling, general, administrative and development expense attributable to the segment, excluding stock-based compensation expense and corporate expenses. These measures of segment gross margin and segment operating profit are also before Interest income, Interest expense, Gain (loss) on retirement of long-term obligations, Other income (expense), Net income (loss) attributable to noncontrolling interests and Income tax benefit (provision). The categories of expenses indicated above, such as depreciation, have been excluded from segment operating performance as they are not considered in the review of information or the evaluation of results by management. The Company’s definition of segment operating profit aligns with the Company’s definition of Adjusted EBITDA. Adjusted EBITDA is widely used in the telecommunications real estate sector to measure operating performance as depreciation, amortization and accretion may vary significantly among companies depending upon accounting methods and useful lives, particularly where acquisitions and non-operating factors are involved.

The Company’s chief operating decision maker (the “CODM”) is the Company’s chief executive officer. The CODM uses segment gross margin and segment operating profit to evaluate the segments’ operating performance, in making capital allocation decisions, and in establishing management’s compensation. Additionally, the CODM uses these metrics to monitor budget versus actual results. There are no significant revenues resulting from transactions between the

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

Company’s operating segments. All intercompany transactions are eliminated to reconcile segment results and assets to the consolidated statements of operations and consolidated balance sheets.

Summarized financial information concerning the Company’s reportable segments for the three months ended March 31, 2025 and 2024 is shown in the following tables. The “Other” column (i) represents amounts excluded from specific segments, such as business development operations, stock-based compensation expense and corporate expenses included in Selling, general, administrative and development expense; Other operating expenses; Interest income; Interest expense; Gain (loss) on retirement of long-term obligations; and Other income (expense), and (ii) reconciles segment operating profit to Income from continuing operations before income taxes.


	Property										Total Property		Services		Other		Total
Three Months Ended March 31, 2025	U.S. & Canada		Africa & APAC		Europe		Latin America		Data Centers
Segment revenues	$	1,298.3	$	333.6	$	213.0	$	399.2	$	244.1	$	2,488.2	$	74.6			$	2,562.8
Segment operating expenses	202.3		99.3		76.0		122.7		99.3		599.6		34.9				634.5
Segment gross margin	1,096.0		234.3		137.0		276.5		144.8		1,888.6		39.7				1,928.3
Segment selling, general, administrative and development expense (1)	39.3		20.1		15.8		21.0		22.9		119.1		6.4				125.5
Segment operating profit	$	1,056.7	$	214.2	$	121.2	$	255.5	$	121.9	$	1,769.5	$	33.3			$	1,802.8
Stock-based compensation expense															$	53.4	53.4
Other selling, general, administrative and development expense															58.6		58.6
Depreciation, amortization and accretion															492.5		492.5
Other expense (2)															580.8		580.8
Income from continuing operations before income taxes																	$	617.5
Total assets	$	26,842.6	$	4,081.3	$	11,849.5	$	7,932.8	$	10,446.3	$	61,152.5	$	131.5	$	771.6	$	62,055.6
Capital expenditures	$	83.9	$	54.4	$	45.7	$	25.4	$	129.3	$	338.7	$	—	$	1.3	$	340.0

(1)Segment selling, general, administrative and development expenses exclude stock-based compensation expense of $53.4 million.

(2)Primarily includes interest expense and losses from foreign currency exchange rate fluctuations, partially offset by a gain on the sale of South Africa Fiber of $53.6 million.


	Property										Total Property		Services		Other		Total
Three Months Ended March 31, 2024	U.S. & Canada		Africa & APAC (1)		Europe		Latin America		Data Centers
Segment revenues	$	1,310.7	$	297.1	$	204.5	$	445.5	$	224.6	$	2,482.4	$	30.2			$	2,512.6
Segment operating expenses	204.3		94.0		73.5		140.3		92.9		605.0		13.9				618.9
Segment gross margin	1,106.4		203.1		131.0		305.2		131.7		1,877.4		16.3				1,893.7
Segment selling, general, administrative and development expense (2)	36.6		17.1		15.8		27.8		17.2		114.5		4.9				119.4
Segment operating profit	$	1,069.8	$	186.0	$	115.2	$	277.4	$	114.5	$	1,762.9	$	11.4			$	1,774.3
Stock-based compensation expense															$	62.8	62.8
Other selling, general, administrative and development expense															62.1		62.1
Depreciation, amortization and accretion															508.8		508.8
Other expense (3)															219.3		219.3
Income from continuing operations before income taxes																	$	921.3
Total assets (4)	$	26,879.0	$	4,277.7	$	11,676.0	$	9,097.7	$	10,455.1	$	62,385.5	$	67.4	$	4,226.1	$	66,679.0
Capital expenditures (5)	$	70.9	$	81.4	$	50.1	$	49.2	$	121.1	$	372.7	$	—	$	29.4	$	402.1

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

(1)Excludes the operating results of ATC TIPL, which are reported as discontinued operations. See note 15 for further discussion.

(2)Segment selling, general, administrative and development expenses exclude stock-based compensation expense of $62.8 million.

(3)Primarily includes interest expense, partially offset by gains from foreign currency exchange rate fluctuations.

(4)Other total assets includes $3.5 billion of total assets of discontinued operations.

(5)Other capital expenditures includes capital expenditures associated with discontinued operations.

15. DISCONTINUED OPERATIONS

On January 4, 2024, the Company, through its subsidiaries ATC Asia Pacific Pte. Ltd. and ATC Telecom Infrastructure Private Limited (“ATC TIPL”), entered into an agreement with Data Infrastructure Trust (“DIT”), an infrastructure investment trust sponsored by an affiliate of Brookfield Asset Management, pursuant to which DIT agreed to acquire a 100% ownership interest in ATC TIPL (the “ATC TIPL Transaction”). Per the terms of the agreement, total aggregate consideration represented up to approximately 210 billion Indian Rupees (“INR”) (approximately $2.5 billion), including the value of the VIL OCDs and the VIL Shares (each as defined and further discussed below), payments on certain existing customer receivables, the repayment of existing intercompany debt and the repayment, or assumption, of the Company’s existing term loan in India, by DIT.

During the year ended December 31, 2024, ATC TIPL distributed approximately 29.6 billion INR (approximately $354.1 million) to the Company, which included the value of the VIL Shares and the VIL OCDs and the satisfaction of the economic benefit associated with the rights to payments on certain existing customer receivables. The distributions were deducted from the total aggregate consideration received by the Company at closing.

The ATC TIPL Transaction received all government and regulatory approvals during the three months ended September 30, 2024, and on September 12, 2024, the Company completed the sale of ATC TIPL and received total consideration of 182 billion INR (approximately $2.2 billion). The Company used the proceeds from the ATC TIPL Transaction to repay existing indebtedness under the 2021 Multicurrency Credit Facility.

The Company recorded a loss on the sale of ATC TIPL of $1.2 billion during the three months ended September 30, 2024, which primarily included the reclassification of the Company’s cumulative translation adjustment in India upon exiting the market of $1.1 billion.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)


Proceeds received at closing	$	2,158.8
Net assets at closing	(2,257.6)

Loss on sale	$	(98.8)
Deal costs	(20.5)
Contingent liability for tax indemnification	(53.9)
Reclassification of cumulative translation adjustment	(1,072.3)
Total loss on sale included in loss from discontinued operations, net of taxes	$	(1,245.5)

The following table presents key components of Income from discontinued operations, net of taxes in the consolidated statements of operations:


	Three Months Ended March 31,
	2025		2024
Revenue	$	—	$	321.5
Cost of operations	—		(169.4)
Depreciation, amortization and accretion	—		(40.6)
Selling, general, administrative and development expense	—		(12.7)
Other operating expense	—		(3.2)


Operating income	—		95.6
Interest income	—		17.0
Interest expense	—		(2.9)
Other expense, net	—		(0.1)
Income from discontinued operations before taxes	$	—	$	109.6
Income tax provision	—		(17.9)
Income from discontinued operations, net of taxes	$	—	$	91.7

The cash flows related to discontinued operations have not been segregated and are included in the consolidated statements of cash flows. The following table presents key cash flow and non-cash information related to discontinued operations.


	Three Months Ended March 31,
	2025	2024



Capital expenditures	—	(26.2)

Significant non-cash items:
Depreciation, amortization and accretion	—	40.6
Stock-based compensation expense	—	2.1
Impairments, net loss on sale of long-lived assets, non-cash restructuring and merger related expenses	—	(1.6)
Loss (gain) on investments, unrealized foreign currency loss (gain) and other non-cash expense	—	0.5

VIL Optionally Convertible Debentures—In February 2023, and as amended in August 2023, one of the Company’s customers in India, Vodafone Idea Limited (“VIL”), issued optionally convertible debentures (the “VIL OCDs”) to the Company’s subsidiary, ATC TIPL, in exchange for VIL’s payment of certain amounts towards accounts receivables. The VIL OCDs were (a) to be repaid by VIL with interest or (b) convertible into equity of VIL. The VIL OCDs were issued for an aggregate face value of 16.0 billion INR (approximately $193.2 million on the date of issuance). The VIL OCDs were to mature in tranches with 8.0 billion INR (approximately $96.6 million on the date of issuance) maturing on August 27, 2023 and 8.0 billion INR (approximately $96.6 million on the date of issuance) maturing on August 27, 2024. In August 2023, the Company amended the agreements governing the VIL OCDs to, among other items, extend the maturity of the first tranche of the VIL OCDs to August 27, 2024. The fair value of the VIL OCDs at issuance was approximately $116.5 million. The VIL OCDs accrued interest at a rate of 11.2% annually. Interest was payable to ATC TIPL semi-annually, with the first payment received in September 2023.

AMERICAN TOWER CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED AND CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(tabular amounts in millions, unless otherwise noted)

On March 23, 2024, the Company converted an aggregate face value of 14.4 billion INR (approximately $172.7 million) of VIL OCDs into 1,440 million shares of equity of VIL (the “VIL Shares”).

On April 29, 2024, the Company completed the sale of 1,440 million VIL Shares at a price of 12.78 INR per share. The net proceeds for this transaction were approximately 18.0 billion INR (approximately $216.0 million at the date of settlement) after deducting commissions and fees.

On June 5, 2024, the Company completed the sale of the remaining aggregate face value of 1.6 billion INR (approximately $19.2 million) of the VIL OCDs. The net proceeds for this transaction, excluding accrued interest, were approximately 1.8 billion INR (approximately $22.0 million at the date of settlement) after deducting fees.

During the year ended December 31, 2024, the Company recognized a gain of $46.4 million on the sales of the VIL Shares and the VIL OCDs. None of the VIL Shares nor the VIL OCDs remained outstanding.

16. SUBSEQUENT EVENTS

*Data Center Acquisition—*On April 1, 2025, the Company completed the acquisition of a multi-tenant data center facility in Denver, Colorado, in which it previously leased space (“DE1”), for total consideration of approximately $180.0 million. The acquisition added incremental customer leases and operating spaces within DE1, and additional space and power capacity that the Company intends to develop within the data center. A preliminary purchase price allocation is not available due to the timing of the closing.

*Repayment of 1.375% Senior Notes—*On April 3, 2025, the Company repaid 500.0 million EUR aggregate principal amount of the 1.375% Notes upon their maturity. The 1.375% Notes were repaid using borrowings under the 2021 Multicurrency Credit Facility and cash on hand. Upon completion of the repayment, none of the 1.375% Notes remained outstanding.

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