Lamar Advertising Co., the Baton Rouge-based outdoor advertising giant, reported its adjusted funds from operations swelled to $92.3 million, or 95 cents per share, compared to $78.9 million, or 82 cents per share, a year ago.
Lamar is a Real Estate Investment Trust and doesn’t pay corporate income taxes on profits if at least 90 percent of profits go to shareholders. The trusts also use different performance measures. Adjusted funds from operations indicates a trust’s ability to pay dividends.
Lamar handily outperformed Wall Street’s expectations. Stock analysts surveyed by Zacks Investment Research had forecast AFFO of 87 cents per share.
“We are pleased with the strength of our core business, particularly on the local sales side, and our continued discipline on expenses,” Lamar Chief Executive Officer Sean Reilly said in a news release.
In February, Lamar reported it expected adjusted funds from operation for 2016 between $4.85 and $5 per share.
Reilly said the company is on track to reach the upper end of that guidance.