McGrath RentCorp sales up
31 October 2018
US rental company McGrath RentCorp has announced third-quarter rental revenues of US$82.2 million (€72.51 million) – an increase of 11% year-on-year.
The company cited the modular space, commercial and education segments as key to its results.
Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) were up 13% year-on-year for the company, to US$57.3 million (€50.54 million).
Joe Hanna, president and CEO of McGrath RentCorp, said, “Mobile Modular rental revenues for the quarter increased 14% from a year ago, and operating profit grew 21%. Rental rates increased 9%, as growth continued to be strong across commercial and education markets in most regions. We experienced strong third quarter shipments, with average utilisation improving 3% and ending the quarter above 79%. Demand for containers in our Portable Storage division was also strong and we are realising growth in all regions.
“TRS-RenTelco rental revenues for the quarter increased 6% and operating profit grew 8% from a year ago. Testing demand for general purpose equipment as well as communications equipment was favourable, supported by R&D work in labs and infrastructure development as carriers prepare their networks for future 5G rollout. Rental rates decreased 2% primarily due to mix changes between general purpose and communications equipment.”
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