Financial Data and Key Metrics Changes - Total company revenues increased by 5% to $257 million in Q4 2025, driven by a 6% increase in rental operations and a 5% increase in sales revenues [15] - Adjusted EBITDA rose by 14% to $105 million compared to the previous year [15] - For the full year 2025, net cash provided by operating activities was $256 million, down from $374 million in the prior year due to the absence of a non-recurring $180 million merger termination payment [20] Business Line Data and Key Metrics Changes - **Mobile Modular**: Rental revenues increased by 2% to $175.8 million, with Adjusted EBITDA up 13% to $68.7 million [15][16] - **Portable Storage**: Rental revenues increased by 3% to $17.3 million, while Adjusted EBITDA decreased by 3% to $9.6 million [17] - **TRS-RenTelco**: Rental revenue grew by 13% to $28.7 million, with total revenues up 19% to $40.6 million and Adjusted EBITDA increasing by 21% to $23.1 million [18] Market Data and Key Metrics Changes - The non-residential construction market remains soft, impacting overall demand [11] - The Architectural Billings Index (ABI) indicates continued uncertainty in the market conditions for non-residential construction [11] Company Strategy and Development Direction - The company plans to focus on geographic expansion and modular growth initiatives as key drivers for performance in 2026 [11][13] - The strategy includes investing in existing markets, expanding into new locations, and pursuing tuck-in acquisitions [12][21] - The company aims to maintain a competitive advantage through its fleet size and modification capabilities [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategy and the ability to execute despite a challenging macroeconomic environment [13][24] - The outlook for 2026 includes expected total revenue between $945 million and $995 million, with Adjusted EBITDA between $360 million and $378 million [20][21] Other Important Information - The company announced its 35th consecutive annual dividend increase [5] - Joe Hanna will retire as CEO effective April 3, 2026, with Phil Hawkins succeeding him [3][4] Q&A Session Summary Question: What could drive performance above guidance this year? - Management noted that the second half of the year typically contributes more to financial performance and emphasized the uncertainty in the macro environment [29][30] Question: What is driving the growth in Mobile Modular Plus and Site Related Services? - Management highlighted the profitability captured through these service offerings and the value seen by customers in having a single provider for multiple services [33][34] Question: What drove the acceleration in TRS rental revenue growth? - The growth was attributed to increased demand in aerospace, defense, and semiconductor sectors, as well as robust activity in the communications fleet [35][36] Question: Will there be any changes in strategic initiatives under new leadership? - Management indicated that there would be no near-term changes to the current strategy, which has been collaboratively developed [41][42] Question: What are the expectations for M&A activity in 2026? - The company continues to have an active M&A pipeline, focusing on geographic expansion opportunities [61][79]

Financial Data and Key Metrics Changes - Total company revenues increased by 5% to $257 million in Q4 2025, with rental operations revenue rising by 6% and sales revenues increasing by 5% [5][16] - Adjusted EBITDA grew by 14% year-over-year to $105 million [5][16] - For the full year 2025, net cash provided by operating activities was $256 million, down from $374 million in the prior year due to the absence of a non-recurring merger termination payment [20][21] Business Line Data and Key Metrics Changes - **Mobile Modular**: Rental revenues increased by 2% to $175.8 million, with Adjusted EBITDA rising by 13% to $68.7 million [16][17] - **Portable Storage**: Rental revenues grew by 3% to $17.3 million, while Adjusted EBITDA decreased by 3% to $9.6 million [18] - **TRS-RenTelco**: Rental revenue surged by 13% to $28.7 million, with total revenues up 19% to $40.6 million and Adjusted EBITDA increasing by 21% to $23.1 million [19][20] Market Data and Key Metrics Changes - The non-residential construction market remains soft, impacting overall demand [11] - The Architectural Billings Index (ABI) indicates continued uncertainty in the modular business environment [11] Company Strategy and Development Direction - The company plans to focus on geographic expansion and modular growth initiatives as key drivers for 2026 [11][12] - The strategy includes investing in existing markets, expanding into new locations, and pursuing tuck-in acquisitions [12][13] - The company aims to maintain a competitive advantage through fleet size and modification capabilities [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategy and leadership team, emphasizing a commitment to long-term shareholder value [14][25] - The outlook for 2026 includes expected total revenue between $945 million and $995 million, with Adjusted EBITDA between $360 million and $378 million [22][24] Other Important Information - The company announced its 35th consecutive annual dividend increase [5] - The effective tax rate for the fourth quarter was 26.4%, compared to 25% a year earlier [20] Q&A Session Summary Question: What could drive results above the guidance range? - Management noted that the second half of the year typically contributes more to financial performance and emphasized the uncertainty in the macro environment [32][33] Question: What drove the growth in Mobile Modular Plus and Site Related Services? - Management highlighted the profitability captured through these service offerings and the value seen by customers in having a single provider for multiple services [36][37] Question: What factors contributed to the acceleration in TRS rental revenue growth? - The growth was driven by demand in aerospace, defense, and semiconductor sectors, as well as robust activity in the communications fleet [38][39] Question: Will there be any changes in strategic initiatives under new leadership? - Management confirmed that there would be no near-term changes to the current strategy, which has been collaboratively developed [44][45] Question: What is the outlook for geographic expansion and acquisitions? - The company continues to have an active M&A pipeline, focusing on geographic areas for potential acquisitions, but timing and valuations remain uncertain [64][84]

Financial Data and Key Metrics Changes - Total company revenues increased by 5% to $257 million in Q4 2025, with rental operations revenue rising by 6% and sales revenues increasing by 5% [6][17] - Adjusted EBITDA rose by 14% to $105 million compared to the previous year [6][17] - For the full year 2025, net cash provided by operating activities was $256 million, down from $374 million in the prior year due to the absence of a non-recurring merger termination payment [22] Business Line Data and Key Metrics Changes - **Mobile Modular**: Rental revenues increased by 2% to $175.8 million, with Adjusted EBITDA up by 13% to $68.7 million. Average fleet utilization was 71.3%, down from 76% a year earlier [7][18] - **Portable Storage**: Rental revenues increased by 3% to $17.3 million, with Adjusted EBITDA at $9.6 million, a decrease of 3% compared to the prior year [19] - **TRS-RenTelco**: Rental revenue grew by 13% to $28.7 million, with total revenues up 19% to $40.6 million. Adjusted EBITDA increased by 21% to $23.1 million, with average utilization rising to 64.5% from 59.1% a year ago [9][20] Market Data and Key Metrics Changes - The non-residential construction market remains soft, impacting overall demand. However, there is ongoing strength in sectors such as aerospace, defense, and data centers, which are contributing positively to TRS [12][40] - The education market is expected to remain stable, with healthy backlogs [12] Company Strategy and Development Direction - The company plans to focus on geographic expansion and modular growth initiatives as key drivers for performance in 2026 [12][14] - There is an emphasis on improving sales effectiveness and expanding into new locations aligned with demand [13][14] - The company remains committed to disciplined capital allocation and strategic focus to build long-term shareholder value [26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategy and the ability to execute despite a challenging operating environment [14][26] - The outlook for 2026 includes expected total revenue between $945 million and $995 million, with Adjusted EBITDA projected between $360 million and $378 million [22][23] Other Important Information - The company announced its 35th consecutive annual dividend increase [6] - The CEO transition is expected to be smooth, with Phil Hawkins succeeding Joe Hanna as CEO [5][11] Q&A Session Summary Question: What could drive performance above guidance this year? - Management noted that the second half of the year typically contributes more to financial performance and emphasized the uncertainty in the macro environment [32][34] Question: What drove the growth in Mobile Modular Plus and Site Related Services? - Management highlighted the value customers see in having a single provider for services, leading to double-digit growth in these areas [38] Question: What factors contributed to the acceleration in TRS rental revenue growth? - Growth was driven by demand in aerospace, defense, and data centers, with minimal seasonal slowdown observed [40][42] Question: Will there be any changes in strategic initiatives under new leadership? - Management indicated that there would be no near-term changes to the current strategy, which has been collaboratively developed [47] Question: What are the expectations for capital expenditures in 2026? - The primary driver for increased CapEx is geographic expansion, with a focus on both new markets and maintaining existing fleet [62] Question: How will revenue and EBITDA growth progress throughout 2026? - Management expects the first half of 2026 to be comparable to the previous year, with potential growth in the second half as new capital is deployed [64][88]