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Sep 30, 2023

WillScot Mobile Mini Q3 2023 Earnings Report

WillScot Mobile Mini's Q3 2023 earnings reflected increased revenue and Adjusted EBITDA, driven by pricing and Value-Added Products (VAPS) penetration.

Key Takeaways

WillScot Mobile Mini reported a 5% increase in revenue to $605 million and an 11% increase in Adjusted EBITDA to $266 million. The company generated $148 million in Free Cash Flow, up 77% year-over-year, and invested $333 million in two acquisitions. They also returned $220 million to shareholders through share repurchases.

Revenue increased by 5% to $605 million, and income from continuing operations increased by 17% to $92 million.

Adjusted EBITDA Margin from continuing operations increased by 250 basis points year-over-year to 43.9%.

Free Cash Flow surged by 77% year-over-year to $148 million, with a Free Cash Flow Margin of 24%.

The company reinvested in acquisitions, including expanding into cold storage and clearspan structures.

Total Revenue
$605M
Previous year: $604M
+0.1%
EPS
$0.46
Previous year: $0.39
+17.9%
Avg Modular Rental Rate
$1.14K
Previous year: $991
+15.2%
Modular Utilization Rate
65.4%
Previous year: 67.8%
-3.5%
Gross Profit
$322M
Previous year: $298M
+8.0%
Cash and Equivalents
$5.79M
Previous year: $15.4M
-62.5%
Free Cash Flow
$148M
Previous year: $83.4M
+77.2%
Total Assets
$6.08B
Previous year: $5.81B
+4.6%

WillScot Mobile Mini

WillScot Mobile Mini

WillScot Mobile Mini Revenue by Segment

Forward Guidance

WillScot Mobile Mini expects to generate approximately $1,058 million of Adjusted EBITDA in 2023 and has high confidence in its $1 billion of idiosyncratic growth levers, as well as incremental opportunities from recent product line additions.

Positive Outlook

  • Continued strength in pricing across the portfolio
  • Growing Value-Added Products (VAPS) penetration
  • Outstanding margin performance across all revenue streams
  • Continued cost discipline
  • Scaling of recent product line additions

Revenue & Expenses

Visualization of income flow from segment revenue to net income