WSC Q3 Deep Dive: Margin Stability Amid Revenue Headwinds and Strategy Shifts

Core Insights - WillScot Mobile Mini reported a revenue decline of 5.8% year-on-year to $566.8 million, falling short of market expectations [1][3] - The company provided a conservative revenue guidance of $545 million for the next quarter, which is 6.6% below analysts' estimates [1][4] - Non-GAAP profit per share was $0.30, exceeding analysts' consensus estimates by 3.9% [1][4] Financial Performance - Revenue for Q3 CY2025 was $566.8 million, compared to analyst estimates of $580.3 million, resulting in a 5.8% year-on-year decline and a 2.3% miss [4] - Adjusted EPS was $0.30, beating analyst estimates of $0.29 by 3.9% [4] - Adjusted EBITDA was $243.3 million, slightly below analyst estimates of $247.4 million, with a margin of 42.9% [4] - Operating margin improved to 21%, up from -5.9% in the same quarter last year [4] - Market capitalization stands at $3.33 billion [4] Management Commentary - Management attributed revenue weakness to factors such as accelerated cleanup of aged accounts receivable and lower delivery and installation revenues [3] - The CEO-designate highlighted ongoing softness in the Canadian market and slower growth in newer business lines [3] - The Executive Chairman acknowledged the company's underperformance over the last two years and emphasized a commitment to improve [3] - Future strategies include operational improvements and targeted investments in higher-value products to drive growth [3]