WillScot Mobile Mini (WSC) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue was $549 million, with Adjusted EBITDA of $211 million (38.5% margin), both exceeding outlook despite year-over-year declines, driven by strong project demand and operational improvements.

• Modular activations and enterprise account revenue grew, with modular activations up 8–10% year-over-year and enterprise order book up over 25%, excluding World Cup projects.

• Over 75% of revenue is recurring from leasing activities, with leasing and services revenue stabilizing and delivery/installation revenue up 12%.

• Operational improvements, network optimization, and fleet investments supported elevated activity and long-term value creation.

• $20 million returned to shareholders via dividends and share repurchases, and $76 million in debt reduction.

Financial highlights

• Q1 2026 total revenue was $548.6–$549 million, down 2% year-over-year, with gross profit of $285.7 million (52.1% margin).

• Adjusted EBITDA was $211 million, down 7.8–8% year-over-year, with margin compressed to 38.5% due to higher variable costs.

• Net income was $28.1 million, down 34.7% year-over-year; Adjusted Net Income was $39 million.

• Adjusted Free Cash Flow was $115.6–$116 million (21% margin), with net cash from operations at $191 million.

• Diluted EPS was $0.15; Adjusted Diluted EPS was $0.21.

Outlook and guidance

• Full-year 2026 outlook raised: revenue expected at $2.25 billion, Adjusted EBITDA at $915 million, and Net CAPEX at $325 million.

• Q2 2026 revenue expected to increase 7% sequentially to $585 million, with Adjusted EBITDA of $223 million.

• Leasing revenue inflection to year-over-year growth anticipated in the second half of 2026, driven by a strong project pipeline.

• Guidance remains conservative, not assuming local market recovery.

• Focus on recurring lease revenue and capital allocation to support organic growth, acquisitions, and shareholder returns.