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Operating Segments
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Operating Segments Operating Segments
The Company's operating segments consist of (1) Towers and (2) Fiber. The Towers segment provides access, including space or capacity, to the Company's more than 40,000 towers geographically dispersed throughout the U.S. The Towers segment also reflects certain ancillary services relating to the Company's towers, predominately consisting of site development services and installation services. See note 12 to the condensed consolidated financial statements for a discussion of the Company's 2023 Restructuring Plan, which included discontinuing installation services as a Towers product offering. The Fiber segment provides access, including space or capacity, to the Company's approximately (1) 115,000 small cells on air or under contract and (2) 90,000 route miles of fiber primarily supporting small cells and fiber solutions geographically dispersed throughout the U.S.
The measurement of profit or loss used by the Company's chief operating decision maker ("CODM") to evaluate the performance of its operating segments is segment operating profit (loss). Additionally, the Company CODM also reviews segment site rental gross margin and segment services and other gross margin. The Company defines segment operating profit (loss) as segment site rental gross margin plus segment services and other gross margin, and segment other operating (income) expense, less segment selling, general and administrative expenses. The Company defines segment site rental gross margin as segment site rental revenues less segment site rental costs of operations, excluding stock-based compensation expense, net and amortization of prepaid lease purchase price adjustments recorded in consolidated site rental costs of operations. The Company defines segment services and other gross margin as segment services and other revenues less segment services and other costs of operations, excluding stock-based compensation expense, net recorded in consolidated services and other costs of operations. All of these measurements are exclusive of depreciation, amortization and accretion, which are shown separately.
The following tables set forth the Company's segment operating results for the three and six months ended June 30, 2024 and 2023. Costs that are directly attributable to Towers and Fiber are assigned to those respective segments. Additionally, certain costs are shared across segments and are reflected in the Company's segment measures through allocations that management believes to be reasonable. The "Other" column (1) represents amounts excluded from specific segments, such as restructuring charges (credits), asset write-down charges, acquisition and integration costs, depreciation, amortization and accretion, amortization of prepaid lease purchase price adjustments, interest expense and amortization of deferred financing costs, net, gains (losses) on retirement of long-term obligations, interest income, other income (expense), stock-based compensation expense, net and certain selling, general and administrative expenses, and (2) reconciles segment operating profit (loss) to income (loss) before income taxes, as the amounts are not utilized in assessing each segment’s performance. The "Other" total assets balance includes corporate assets such as cash and cash equivalents and restricted cash and cash equivalents which have not been allocated to specific segments. There are no significant revenues resulting from transactions between the Company's operating segments.
Three Months Ended June 30, 2024
Three Months Ended June 30, 2023
TowersFiberOther

Total
TowersFiberOther

Total
Segment site rental revenues$1,064 $516 $1,580 $1,080 $648 $1,728 
Segment services and other revenues43 3 46 124 15 139 
Segment revenues1,107 519 1,626 1,204 663 1,867 
Segment site rental costs of operations245 178 423 243 171 414 
Segment services and other costs of operations23 2 25 92 3 95 
Segment costs of operations(a)(b)
268 180 448 335 174 509 
Segment site rental gross margin819 338 1,157 837 477 1,314 
Segment services and other gross margin20 1 21 32 12 44 
Segment selling, general and administrative expenses(b)
16 50 66 30 51 81 
Segment operating profit (loss)823 289 1,112 839 438 1,277 
Other selling, general and administrative expenses(b)
$105 105 $88 88 
Stock-based compensation expense, net40 40 50 50 
Depreciation, amortization and accretion430 430 445 445 
Restructuring charges
45 45 — — 
Interest expense and amortization of deferred financing costs, net230 230 208 208 
Other (income) expenses to reconcile to income (loss) before income taxes(c)
4 4 24 24 
Income (loss) before income taxes$258 $462 
Capital expenditures$29 $289 $11 $329 $61 $306 $12 $379 
Total assets (at period end)$21,177 $16,358 $711 $38,246 $21,973 $16,166 $903 $39,042 
(a)Exclusive of depreciation, amortization and accretion shown separately.
(b)Segment costs of operations excludes (1) stock-based compensation expense, net of $7 million and $9 million for the three months ended June 30, 2024 and 2023, respectively and (2) prepaid lease purchase price adjustments of $4 million for each of the three months ended June 30, 2024 and 2023. Segment selling, general and administrative expenses and other selling, general and administrative expenses exclude stock-based compensation expense, net of $33 million and $41 million for the three months ended June 30, 2024 and 2023, respectively.
(c)See condensed consolidated statement of operations and comprehensive income (loss) for further information.
Six Months Ended June 30, 2024
Six Months Ended June 30, 2023
TowersFiberOther

Total
TowersFiberOther

Total
Segment site rental revenues$2,132 $1,036 $3,168 $2,161 $1,191 $3,352 
Segment services and other revenues89 10 99 270 18 288 
Segment revenues2,221 1,046 3,267 2,431 1,209 3,640 
Segment site rental costs of operations483 360 843 477 343 820 
Segment services and other costs of operations51 7 58 191 5 196 
Segment costs of operations(a)(b)
534 367 901 668 348 1,016 
Segment site rental gross margin1,649 676 2,325 1,684 848 2,532 
Segment services and other gross margin38 3 41 79 13 92 
Segment selling, general and administrative expenses(b)
37 97 134 61 100 161 
Segment operating profit (loss)
1,650 582 2,232 1,702 761 2,463 
Other selling, general and administrative expenses(b)
$189 189 $170 170 
Stock-based compensation expense78 78 91 91 
Depreciation, amortization and accretion
869 869 876 876 
Restructuring charges
56 56 — — 
Interest expense and amortization of deferred financing costs, net456 456 410 410 
Other (income) expenses to reconcile to income (loss) before income taxes(c)
8 8 28 28 
Income (loss) before income taxes$576 $888 
Capital expenditures$64 $562 $23 $649 $111 $585 $24 $720 
(a)Exclusive of depreciation, amortization and accretion shown separately.
(b)Segment costs of operations excludes (1) stock-based compensation expense, net of $14 million and $17 million for the six months ended June 30, 2024 and 2023, respectively, and (2) prepaid lease purchase price adjustments of $8 million for each of the six months ended June 30, 2024 and 2023. Segment selling, general and administrative expenses and other selling, general and administrative expenses exclude stock-based compensation expense, net of $64 million and $74 million for the six months ended June 30, 2024 and 2023, respectively.
(c)See condensed consolidated statement of operations and comprehensive income (loss) for further information.