WillScot Mobile Mini (WSC) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue was $549 million, down 2% year-over-year, with Adjusted EBITDA at $211 million (38.5% margin), both exceeding outlook despite margin compression from higher variable costs.

• Modular activations and total activations increased year-over-year for the second consecutive quarter, with strong enterprise account and large project activity.

• The business benefited from a healthier revenue mix, increased exposure to large, complex projects, and improved internal execution, despite uneven market conditions.

• Over 75% of revenue is recurring from leasing activities, with contracts typically renewed month-to-month.

• Continued investment in operational improvements, technology, and fleet to support growth and efficiency.

Financial highlights

• Q1 2026 total revenue was $549 million, with gross profit of $285.7 million (52.1% margin) and net income of $28.1 million.

• Adjusted EBITDA was $211 million, down year-over-year, with a margin of 38.5%; Adjusted net income was $39 million and Adjusted diluted EPS was $0.21.

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

• Net CAPEX increased to $89.3 million, up 44% year-over-year, supporting investments in high-value product lines.

• Earnings per share (diluted) was $0.15, compared to $0.23 in Q1 2025.

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 strong project pipeline and order book.

• Guidance remains conservative, not assuming local market recovery.

• Management expects continued focus on recurring lease revenue and capital allocation to support organic growth, acquisitions, and shareholder returns.