Lamar's Q4 AFFO Beats Estimates, Revenues Increase Y/Y

Lamar Advertising Company LAMR reported fourth-quarter 2025 adjusted funds from operations (AFFO) per share of $2.24, which outpaced the Zacks Consensus Estimate of $2.18. The figure also compared favorably with the prior-year quarter's tally of $2.21.

Results reflect year-over-year growth in the top line and an uptick in local and national sales. LAMR also issued its full-year 2026 AFFO per share guidance range.

Quarterly net revenues of $595.9 million increased 2.8% on a year-over-year basis. However, the figure missed the consensus mark by just 0.24%.

LAMR’s Q4 in Detail

Operating income of $196.1 million rose significantly from the year-ago period’s $36.7 million, while adjusted EBITDA increased 3.7% to $288.9 million. Acquisition-adjusted net revenues for the fourth quarter climbed 2.2% year over year to $595.9. Acquisition-adjusted EBITDA grew 2.1% to $288.9 million.

The company’s free cash flow of $187.1 million decreased 4.3% year over year in the quarter.

LAMR’s Balance Sheet Position

The cash flow provided by operating activities for the three months ended Dec. 31, 2025, was $271.2 million, down from $279.3 million recorded in the previous year quarter.

As of Dec. 31, 2025, Lamar Advertising had total liquidity of $807 million. This comprised $742.2 million available for borrowing under its revolving senior credit facility and $64.8 million in cash and cash equivalents.

LAMR’s 2026 Outlook

LAMR issued full-year 2026 AFFO between $8.50 and $8.70 per diluted share. The Zacks Consensus Estimate presently stands at $8.83.

LAMR’s Zacks Rank

Lamar currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Lamar Advertising Company Price, Consensus and EPS Surprise

Lamar Advertising Company price-consensus-eps-surprise-chart | Lamar Advertising Company Quote

Performance of Other REITs

Crown Castle Inc. CCI reported fourth-quarter 2025 AFFO per share of $1.12, which topped the Zacks Consensus Estimate of $1.07 per share. However, the figure declined nearly 6.7% year over year.

CCI results reflected a rise in services and other revenues year over year. A decrease in site rental revenues affected the results to some extent.

Prologis, Inc. PLD reported fourth-quarter 2025 core FFO per share of $1.44, meeting the Zacks Consensus Estimate. This compares unfavorably with the year-ago quarter’s figure of $1.50.

PLD’s results reflected a rise in rental revenues and healthy leasing activity. However, high interest expenses are an undermining factor.

Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.

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This article originally published on Zacks Investment Research (zacks.com).

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