SBAC
SBA Communications
Is SBAC Halal?
Wireless infrastructure REIT with interest-based model.
What You Should Know
SBA Communications owns cell towers globally. REIT structure and high debt create multiple Sharia violations. Its March 31, 2026 Form 10-Q reports $11,720.844 million of assets, $12,959.731 million of interest-bearing debt, $269.064 million of cash, $161.474 million of receivables and $703.438 million of quarterly revenue. Debt/assets is 110.57%, liquidity/assets is 2.30%, receivables-plus-cash/assets is 3.67% and disclosed interest income is 0.74% of revenue; debt fails the examined asset-based screens.
⚠️ Concerns
- •Debt/assets 110.57% exceeds examined limits
- •REIT operating model
- •Very high interest-bearing debt
- •Interest income
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.
12,959.731 / 11,720.844
269.064 / 11,720.844
430.538 / 11,720.844
5.207 / 703.438
- Financial
- Fails
- Overall
- Fails
Debt/assets is 110.57%, liquidity/assets is 2.30%, receivables-plus-cash/assets is 3.67% and disclosed interest income is 0.74% of revenue; debt exceeds the examined FTSE limit.
- Financial
- Fails
- Overall
- Fails
Debt/assets is 110.57%, above the examined MSCI 33.33% limit; liquidity/assets and receivables-plus-cash/assets are 2.30% and 3.67%.
- Financial
- Fails
- Overall
- Fails
Debt/assets is 110.57%, above the examined Malaysia limit; this is a calculation against SAC ratios, not an official classification.
- Financial
- Not calculated
- Overall
- Incomplete
A properly licensed and reproducible historical market-cap series is not stored; filing-based asset ratios remain documented.
Business-activity disclosure
SBA leases wireless-tower space and provides site-development services. Infrastructure leasing is generally permissible, while tenant uses, REIT structure and financing require qualitative review.
Limitation: The filing does not provide a universal prohibited-activity revenue numerator across tenants, tower leases and site-development contracts.
Purification
SBA discloses $5.207 million of interest income, but does not provide a complete prohibited-activity numerator or scholar-approved purification percentage.
Inputs, assumptions and primary sources
- Amounts are USD millions converted from SBA's March 31, 2026 Form 10-Q values reported in thousands.
- Interest-bearing debt is $2,683.531 million of current maturities plus $10,276.200 million of long-term debt; lease liabilities are excluded from this debt ratio.
- Cash and cash equivalents are $269.064 million; restricted cash and no separate interest-bearing securities balance are excluded from the cash screen.
- Accounts receivable are $161.474 million, quarterly revenue is $703.438 million and disclosed interest income is $5.207 million.
- Tower leasing and site development are generally permissible infrastructure services, while REIT structure, tenant uses and financing require qualitative review.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
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