WillScot Mobile Mini Holdings Corp (WSC, Financial), a leader in innovative flexible space and storage solutions, released its Q3 2023 earnings report on November 1, 2023. The company reported a 5% increase in revenue to $605 million, while income from continuing operations rose by 17% to $92 million. Adjusted EBITDA increased by 11% year-over-year to $266 million, and Free Cash Flow surged by 77% year-over-year to $148 million.
Financial Highlights
WillScot Mobile Mini's Q3 2023 results showcased robust financial performance. The company's Adjusted EBITDA Margin from continuing operations expanded by 250 basis points year-over-year to 43.9%. The company also generated a Return on Invested Capital (ROIC) of 18% over the last 12 months, marking an increase of approximately 380 basis points year-over-year.
During the quarter, the company invested $333 million in two acquisitions and returned $220 million to shareholders by repurchasing 5.0 million shares of Common Stock. This reduced the economic share count by 9.2% over the last twelve months as of September 30, 2023.
CEO Commentary
Brad Soultz, Chief Executive Officer of WillScot Mobile Mini, commented, "Our team delivered excellent financial results in the quarter, driven by continued strength in pricing and Value-Added Products (VAPS) penetration with volumes in line with our expectations."
Soultz continued, "We are generating record Free Cash Flow, with $148 million in Q3 2023 and $533 million over the last 12 months. At the midpoint of our revised guidance, we expect to generate approximately $550 million of Free Cash Flow in 2023, up over 150% since our November 2021 Investor Day."
Financial Outlook
For the full year 2023, WillScot Mobile Mini expects to generate approximately $1,058 million of Adjusted EBITDA at the midpoint of guidance. The company also anticipates revenue to be between $2,360 million and $2,390 million.
The company will host an investor Day on March 4, 2024, where it will discuss both existing and new opportunities for value creation across its portfolio.
Explore the complete 8-K earnings release (here) from WillScot Mobile Mini Holdings Corp for further details.
