American Tower (NYSE:AMT) shares surged more than 8% Thursday after the company reported earnings and announced a new CEO.
Before the open, American Tower reported Q3 EPS of $1.26, $0.13 better than the analysts' estimate of $1.13, while revenue for the quarter increased 5.5% to $2.82 billion, above the consensus estimate of $2.76B.
The company said property revenue rose by 7% to $2.79B. However, net income fell by 29.6% to $577 million. Revenue growth in the company's U.S. data center business was over 9%
Tom Bartlett, American Tower’s Chief Executive Officer, stated: “We had a strong quarter, as our global portfolio of communications assets continued to demonstrate resiliency in an increasingly challenging macroeconomic environment."
Looking ahead, American Tower sees FY2023 revenue from $10.895B to $10.985B, versus the consensus of $11.055B.
Following the release, AMT announced that Bartlett will retire from his positions as President, Chief Executive Officer, and director of the Board of Directors, effective February 1, 2024. He will be succeeded by Steve Vondran. Vondran will first take up the role of Executive Vice President and Global Chief Operating Officer from November 1 to February 1 before moving into the top job.
Vondran has been American Tower’s Executive Vice President and President of U.S. Tower Division, which includes the U.S. data center business, since August 2018 and has held various leadership positions since joining the company in 2000.
"Supported through Tom’s vision and execution, our global portfolio of communications assets has us well positioned to drive sustained growth and shareholder returns as the networks of the future evolve in support of insatiable data consumption and low latency performance demand," said Vondran.