Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $566 million, down 6% year-over-year, but down only 2% when excluding write-offs [15][16] - Adjusted EBITDA was $250 million with a margin of 44.2%, slightly lower than expected due to revenue mix and elevated SG&A costs [7][15] - For the full year 2025, total revenue was $2.28 billion, and adjusted EBITDA was $971 million, representing a margin of 42.6% [16][19] Business Line Data and Key Metrics Changes - Revenue from modular products was effectively flat year-over-year, indicating stabilization in the lease portfolio [6][17] - Portable storage leasing revenue decreased by approximately $10 million year-over-year, driven by lower volumes [17] - VAPS revenue was flat year-over-year, with penetration increasing to 17.8% of total revenue [18] Market Data and Key Metrics Changes - Enterprise account revenue grew by 7% year-over-year for the full year 2025 and 10% year-over-year in Q4, excluding one large seasonal customer [9][10] - Modular pending orders increased by 17% year-over-year, driven by large RFP wins in enterprise accounts [10] - Order rates for portable storage products were up 11% year-over-year over the last 13 weeks, primarily from enterprise account wins [11] Company Strategy and Development Direction - The company is focused on returning to steady organic growth and has a multi-year continuous improvement roadmap to enhance customer experience and margins [5][8] - A network optimization plan was approved to exit surplus real estate and idle fleet, expected to save $25 million to $30 million annually [21][23] - The company aims to prioritize high-value and differentiated product categories in its capital allocation strategy [19][27] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about returning to growth, with a conservative outlook for 2026 that does not assume improvement in business trends [8][25] - The company is seeing early signs of progress from commercial initiatives and expects to deliver positive organic revenue growth in the second half of 2026 [8][29] - Management highlighted improved sentiment and energy levels among local sales teams, contributing to better order and activation trends [72] Other Important Information - The company returned $151 million to shareholders through repurchases and dividends in 2025 [19] - Total debt at the end of 2025 was under $3.6 billion, with a leverage ratio of 3.6x [20] - The company expects to invest approximately $275 million in Net CapEx for 2026, focusing on demand-driven investments [26][27] Q&A Session Summary Question: Inquiry about order book trends and sustainability - Management noted that seasonal activity typically picks up in Q1 and early Q2, with larger RFP wins driving current momentum [33] Question: Follow-up on VAPS momentum - Management indicated that VAPS penetration is increasing, primarily due to a mix shift rather than per unit improvement, and emphasized ongoing opportunities [39] Question: Clarification on enterprise revenue growth drivers - Management confirmed that enterprise revenue growth is volume-driven, with no significant pricing differences across customer segments [53] Question: Discussion on local customer sentiment and subcontracted business - Management reported improved sentiment among local teams and progress in winning subcontracted work through a new rewards program for general contractors [72][75]