(Reuters) - Wireless-tower operator American Tower Corp AMT.N posted a better-than-expected quarterly profit, helped by higher revenue from contract extensions and lease renegotiations with its customers, and raised the full-year top-line forecast for its primary business.
The company forecast full-year revenue outlook for its rental and management segment -- the unit that contributes more than 95 percent to total revenue -- to $1.92-$1.93 billion, from its prior view of $1.85-$1.88 billion.
Analysts on average were expecting full-year total company revenue of $1.92 billion, according to Thomson Reuters I/B/E/S.
Separately, American Tower agreed to buy 1,400 existing towers and 1,800 more yet-to-be-constructed towers from South Africa’s Cell C (Pty) Ltd for about $430 million.
On October 21, Reuters reported quoting sources that American Tower had shown interest in Saudi Telecom's 7010.SE tower business.
American Tower, which competes with Crown Castle International Corp CCI.N and SBA Communications Corp SBAC.O, reported third-quarter net income attributable to common shareholders of $93.4 million, or 23 cents a share, compared with $67.4 million, or 17 cents a share.
Total revenue rose 15.6 percent to $513.3 million. Rental and management segment revenue was up 16 percent to $499.8 million.
Analysts had expected earnings of 20 cents a share, excluding exceptional items, on revenue of $488 million.
Shares of the Boston-based company, with a market value of $21 billion, closed at $52.41 Thursday on the New York Stock Exchange.
Reporting by Supantha Mukherjee in Bangalore; Editing by Unnikrishnan Nair
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