What OUTFRONT Media Inc. told the SEC could break it.

OUTFRONT's growth depends on converting static billboards to digital and on programmatic ad-platform technology, but it does not make this hardware or software itself — it relies on third parties to manufacture, transport and install its digital displays and to provide and support its programmatic, direct-sale and other advertising-platform technologies (including AI-assisted tools) for its digital display inventory. Disruption, capacity constraints or delays at these third-party electronics suppliers and platform vendors would slow digital conversion and constrain its highest-growth, highest-yield inventory.

“We rely on third parties to manufacture, transport and install our digital displays, and provide and support programmatic, direct sale and other advertising platform technologies (including artificial intelligence-assisted tools) for our digital display inventory.”

As OUTFRONT shifts toward digital out-of-home, electricity to power digital billboard displays and to light traditional static displays at night becomes a growing commodity input cost. The company is exposed to electricity price volatility and manages part of it through fixed-rate electricity purchase agreements (in Illinois, Missouri, Ohio and Texas); for 2025 such commodity contracts covered 10.7% of its total utility costs, leaving the balance exposed to power-price swings.

“However, we do enter into contracts with commodity providers to limit our exposure to commodity price fluctuations. For the year ended December 31, 2025, such contracts accounted for 10.7% of our total utility costs.”