McGrath RentCorp

111.19-1.85 (-1.64%)

Oct 29, 4:00:02 PM EDT · NasdaqGS · MGRC · USD

Upcoming Earnings

Report date

EPS

1.15 (1.10 ~ 1.21)

Revenue

199.30M (195.60M ~ 203.00M)

Key Stats

Market Cap

2.74B

P/E (TTM)

18.85

Basic EPS (TTM)

5.90

Dividend Yield

0.02%

Recent Filings

8-K

Q3 revenues down 4%

10/23/25Oct 23, 2025

McGrath RentCorp reported Q3 2025 revenues of $256.4 million, down 4% from last year, with net income at $42.3 million or $1.72 per diluted share—excluding the prior year's $180 million merger termination gain and $39.4 million costs, core net income fell 8%. Rental revenues rose 4% to $178.1 million across segments, while sales dropped 18%; Adjusted EBITDA dipped 7% to $96.5 million. Rental growth persists. Updated 2025 guidance projects $935-955 million in revenue and $350-357 million in Adjusted EBITDA, amid stabilizing markets but soft construction demand.

10-Q

Q3 FY2025 results

10/23/25Oct 23, 2025

McGrath RentCorp posted Q3 FY2025 revenues of $256.4M, down 4% y/y yet up 3% YTD to $687.5M, as rental operations grew modestly while sales dipped amid softer demand. Gross profit held at $119.3M with margins steady around 46%, but operating income fell 11% y/y to $66.7M on higher administrative costs; diluted EPS landed at $1.72, down from $6.08 but up 1% YTD excluding last year's merger windfall. TRS-RenTelco shone with 9% rental growth and 20% gross profit gains, while Mobile Modular's utilization slipped to 71.9%. Cash from operations reached $174.8M YTD, funding $91.5M in equipment buys and two acquisitions totaling $23.8M cash (recognizing $9.2M goodwill and $2.8M intangibles amortized over 6-11 years). Total debt sits at $551.8M including $75M new 5.30% notes due 2032, with $348.2M revolver availability and no covenant breaches. Free cash flow hit $83.3M YTD (derived). Yet tariff uncertainties could squeeze supplier costs.

8-K

Issues $75M senior notes

9/8/25Sep 8, 2025

McGrath RentCorp issued $75 million in 5.30% Series G Senior Notes to Prudential affiliates on September 8, 2025, maturing in 2032 with semi-annual interest starting March 2026. The unsecured notes, guaranteed by key U.S. subsidiaries, carry standard covenants like leverage limits and trigger defaults on breaches exceeding $10 million in debt or judgments. Prepayments require a make-whole premium. This bolsters liquidity while binding the company to tighter financial discipline.

10-Q

Q2 FY2025 results

7/24/25Jul 24, 2025

McGrath RentCorp posted solid Q2 results, with total revenues climbing 11% year-over-year to $235.6 million, driven by stronger rental operations and sales across Mobile Modular and TRS-RenTelco segments, while Enviroplex sales surged. Gross profit rose 7% to $110.7 million, lifting operating income 5% to $57.2 million despite higher administrative costs; diluted EPS jumped 74% to $1.46, reconciling neatly with 24.6 million shares and no material anti-dilution. Interest expense dropped 40% to $7.8 million on lower debt, bolstering net income to $36.0 million. Two acquisitions closed in Q2 for $23.8 million total (cash with holdbacks), adding $9.2 million goodwill and $2.8 million finite-lived intangibles amortized over 6-11 years, enhancing modular and container offerings. Cash stood at $1.5 million with $325.3 million revolver availability under covenants met comfortably, while free cash flow hit $58.1 million (derived). Yet Portable Storage slipped on softer utilization. Tariffs and trade tensions could squeeze customer budgets.

8-K

Q2 revenues up 11%, net income doubles

7/24/25Jul 24, 2025

McGrath RentCorp reported Q2 2025 revenues of $235.6 million, up 11% from last year, with net income hitting $36.0 million or $1.46 per diluted share—more than double the prior quarter's figure. Rental operations grew 5% to $163.5 million, boosted by Mobile Modular and TRS-RenTelco, while sales surged 28% to $69.8 million; Portable Storage lagged with a 5% rental drop amid weak construction. Adjusted EBITDA rose 3% to $86.5 million. Revenues beat expectations. Full-year outlook now sees $925–$960 million in revenue and $347–$356 million in Adjusted EBITDA, but economic uncertainty lingers.

About

McGrath RentCorp operates as a business-to-business rental company in the United States and internationally. It rents and sells relocatable modular buildings, portable storage containers, and electronic test equipment. The company operates through four segments: Mobile Modular, Portable Storage, TRS-RenTelco, and Enviroplex. The Mobile Modular segment rents and sells modular buildings designed for use as classrooms, temporary offices adjacent to existing facilities, sales offices, construction field offices, restroom buildings, health care clinics, child care facilities, office spaces, and various other purposes. The Portable Storage segment offers steel containers, such as storage and office containers to provide a temporary storage solution to construction, retail, commercial and industrial, energy and petrochemical, manufacturing, education, and healthcare markets. The TRS-RenTelco segment rents and sells general purpose electronic test equipment, such as oscilloscopes, amplifiers, analyzers, signal source, and power source test equipment primarily to aerospace, defense, electronics, industrial, research, and semiconductor industries. This segment also provides communications test equipment, including network and transmission test equipment for various fiber, copper, and wireless networks to the manufacturers of communications equipment and products, electrical and communications installation contractors, field technicians, and service providers. The Enviroplex segment manufactures and sells portable classrooms directly to public school districts and other educational institutions in California. The company was incorporated in 1979 and is based in Livermore, California.

CEO

Mr. Joseph F. Hanna

IPO

11/13/1984

Website

https://www.mgrc.com

Employees

1,219

Sector

Industrials

Industry

Rental & Leasing Services