Lamar Advertising Guides 2026 AFFO to $8.50–8.70, Adds 111 Digital Units
Lamar Advertising’s Q4 services, healthcare, financial and building verticals rose 12%–17% while telecom and beer/wine fell 10% and 20%, with programmatic revenue up 19%. The company added 111 digital billboards to reach 5,553 units, completed $191M of acquisitions and guided 2026 AFFO to $8.50–8.70 per share.
1. Q4 Advertising Performance
Lamar Advertising reported strong category gains in Q4 with services up 12%, healthcare up 13%, financial services up 17% and building and construction up 16%. Telecom and beer and wine fell 10% and 20% respectively, while programmatic advertising surged 19% year-over-year, contributing to national revenue growth of 3.3%.
2. Digital Expansion and Acquisitions
The company installed 111 new digital units in Q4, ending 2025 with 5,553 digital displays—up 559 year-over-year—and digital now represents 33.7% of quarterly revenue. Lamar completed 50 acquisitions totaling $191 million in 2025 and expects roughly $200 million in cash deals in 2026 to bolster market share and digital footprint.
3. 2026 Outlook and Financial Guidance
Management projects 2026 AFFO per share of $8.50–8.70, implying about 4.1% AFFO growth and consolidated operating margins above 47%. The outlook assumes flat SOFR, $154 million of cash interest, $64 million in maintenance capex and continued pricing and digital conversion initiatives to drive revenue and margin expansion.