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Dec 31, 2023

WillScot Mobile Mini Q4 2023 Earnings Report

WillScot Mobile Mini's Q4 2023 earnings showcased revenue growth, improved profitability, and strategic capital allocation.

Key Takeaways

WillScot Mobile Mini reported a 4% increase in revenue to $612 million and a 7% increase in Adjusted EBITDA to $288 million in Q4 2023. The company's Adjusted EBITDA Margin expanded by 160 basis points year-over-year to 47.0%. Free cash flow generation was strong at $166 million, up 35% year-over-year.

Revenue increased by 4% to $612 million, demonstrating continued growth.

Adjusted EBITDA rose by 7% to $288 million, reflecting enhanced profitability.

Free Cash Flow increased significantly by 35% to $166 million.

The company returned $136 million to shareholders through share repurchases.

Total Revenue
$612M
Previous year: $591M
+3.7%
EPS
$0.44
Previous year: $0.46
-4.3%
Avg Modular Rental Rate
$1.1K
Previous year: $1.02K
+8.0%
Modular Utilization Rate
63.7%
Previous year: 67.3%
-5.3%
Gross Profit
$323M
Previous year: $328M
-1.7%
Cash and Equivalents
$11M
Previous year: $7.39M
+48.3%
Free Cash Flow
$166M
Previous year: $123M
+35.0%
Total Assets
$6.14B
Previous year: $5.83B
+5.3%

WillScot Mobile Mini

WillScot Mobile Mini

WillScot Mobile Mini Revenue by Segment

WillScot Mobile Mini Revenue by Geographic Location

Forward Guidance

WillScot Mobile Mini issued FY 2024 Adjusted EBITDA outlook range of $1,125 million to $1,200 million, representing 6% to 13% growth versus 2023.

Positive Outlook

  • Expects revenue to grow by 8% to $2,560 million.
  • Anticipates Adjusted EBITDA to grow by 10% to $1,163 million.
  • Margins are expected to increase by approximately 50 basis points.
  • Clear path to $700 million of Free Cash Flow irrespective of the recently announced McGrath acquisition.
  • Organic and inorganic investments are extending that horizon appreciably.

Challenges Ahead

  • Guidance is subject to risks and uncertainties.
  • Rising costs and inflationary pressures adversely affecting profitability.
  • General economic and market conditions impacting demand for products and services.
  • Potential litigation involving the Company.
  • Ability to judge the demand outlook.

Revenue & Expenses

Visualization of income flow from segment revenue to net income