NEW YORK--(BUSINESS WIRE)--Radius Global Infrastructure, Inc. (NASDAQ:RADI), one of the largest global owners and acquirors of primarily triple net real property interests and contractual rights underlying wireless communications cell sites and other essential digital infrastructure in 19 countries, today reported results for the third quarter of 2020.
“Our business continues to thrive, despite the broader challenges presented by the global health care crisis. Revenue and gross profit increased to $17.9 million and $17.7 million, respectively, for the third quarter, bringing our Annualized In Place Rents to $68.9 million as of September 30, 2020. Our stable portfolio of cash flow streams provides a compelling balance of yield and growth generated by leases for essential telecom infrastructure, and we are well positioned to continue our global growth with significant cash availability,” commented Bill Berkman, Co-Chairman and Chief Executive Officer.
As this represents the initial quarterly reporting cycle for Radius as a Nasdaq-listed company, we refer you to the GAAP financial disclosure and reconciliations to non-GAAP financial measurement set forth below and in the Company’s Form 10-Q. The Company pays for its acquisitions of real property interests either with a one-time payment at the time of acquisition or, in a limited number of instances, with a combination of upfront payments and future contractually committed payments over a period of time, in each case pursuant to the individual acquisition agreement. In our consolidated statements of cash flows, the one-time and upfront cash payments are reported as Investments in Real Property Interests and related Intangible Assets. The total cash spent and the commitment for future payments in any given period for the acquisition of real property interests adjusted for changes in foreign currency is our Acquisition Capex. Acquisition Capex is a non-GAAP metric, albeit one the Company believes is valuable to readers of the Company’s financial statements. Please refer to the table below for a full reconciliation of Acquisition Capex.
QUARTERLY RESULTS
Revenue increased 28% to $17.9 million for the three months ended September 30, 2020 compared to revenue of $14.0 million for the three months ended September 30, 2019.
Gross Profit increased 26% to $17.7 million in the 2020 three-month period when compared to revenue of $14.0 million in the corresponding 2019 three month period.
YEAR TO DATE RESULTS
Revenue increased 21% to $49.6 million for the nine months ended September 30, 2020 compared to revenue of $40.9 million for the nine months ended September 30, 2019.
Gross Profit increased 20% to $49.2 million in the 2020 nine-month period when compared to revenue of $40.8 million in the corresponding 2019 nine-month period.
Annualized in Place Rents increased to $68.9 million as of September 30, 2020, an increase of 21% over the September 30, 2019 Annualized In Place Rents of $57.0 million.
Investments in Real Property Interests and related intangibles was $77.9 million for the nine months ended September 30, 2020, an increase of 59% over the prior period.
Acquisition Capex deployed by the company was $102.3 million for the nine months ended September 30, 2020 compared to $60.7 million for the nine months ended September 30, 2019, an increase of 69%.
FINANCING TRANSACTIONS
The Company added approximately $157 million of USD equivalents in the quarter through the issuance of 10-year, fixed rate, interest only secured notes under its existing international debt facility. Approximately $75 million of the debt was issued in Euros at a fixed rate of 3%, and 55 million of the debt was issued in GPB at a fixed rate of 3.9%.
Attachment: Financial statement tables and non-GAAP reconciliations
About the Company
Radius Global Infrastructure, Inc., through its subsidiary AP Wireless ("APW"), is a multinational owner of a growing, diversified portfolio of triple-net ground, rooftop and other critical communications properties leased to wireless carriers and tower companies underlying their mission critical cell site antenna infrastructure. APW's proven lease origination engine drives highly attractive yields on capital invested. The Company is also expanding into other digital infrastructure segments and has a broad pipeline of proprietary and non-proprietary acquisitions, investments, and build-to-suit opportunities.
AP Wireless, previously a portfolio company of Associated Partners, LP, was acquired on February 10, 2020 by Landscape Acquisition Holdings Limited, a special purpose acquisition company (“SPAC”), then domiciled in the British Virgin Islands and publicly listed on the London Stock Exchange. At the time of the transaction, the Company changed its name to Digital Landscape Group, Inc., and was subsequently relisted on the London Stock Exchange on April 1, 2020. On October 2, 2020, the Company re-domiciled in Delaware and changed its name to Radius Global Infrastructure, Inc., and on October 5, 2020 the Company’s Class A Common Stock commenced trading on the NASDAQ Global Market under the ticker symbol RADI.
For further information see https://www.radiusglobal.com.
