Q3 2024 Willscot Holdings Corp Earnings Call Transcript
Key Points
- Adjusted EBITDA margins reached a record level of 44.4%, indicating strong profitability.
- Adjusted free cash flow and return on invested capital were near record levels, showcasing efficient capital management.
- The company successfully reduced variable costs by over $20 million in the quarter, demonstrating effective cost management.
- WillScot Holdings Corp (WSC) continues to see steady demand from larger projects, with strong backlogs and customer sentiment among larger national accounts.
- The company is advancing key enterprise-wide initiatives, including investments in operational efficiency and customer-focused initiatives, positioning it well for future growth.
- Nonresidential construction starts square footage declined by 14% year-over-year, impacting order activity and causing caution towards year-end.
- Volume-related headwinds remain a challenge, with a significant contraction in nonresidential construction square footage since the global financial crisis.
- Revenue declined by 1% year-over-year, driven by volume headwinds impacting storage leasing and delivery and installation revenues.
- The company incurred approximately $203 million of broken deal costs, including the McGrath termination fee, affecting financial metrics.
- The market environment continues to be worse than anticipated, with delays in encouraging order activity and election-related timing decisions affecting project starts.
Welcome to the Third Quarter 2024 WillScot Earnings Conference Call. My name is Sherry, and I'll be your operator for today's call. (Operator Instructions) Please note that this conference is being recorded. I would now like to turn the call over to Nick Girardi, Vice President, SP&A, Nick, you may begin.
Good evening, and welcome to the WillScot Third Quarter 2024 Earnings Call. Participants on today's call include Brad Soultz, Chief Executive Officer; and Tim Boswell, President and Chief Financial Officer. .
Today's presentation material may be found on the Investor Relations section of the WillScot website. Slide 2 contains our safe harbor statements. We will be making forward-looking statements during the presentation and our Q&A session. Our business and operations are subject to a variety of risks and uncertainties, many of which are beyond our control. As a result, our actual results may differ materially from today's comments. For a more complete
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
