McGrath RentCorp reported strong performance for the third quarter of 2026, with total revenues increasing 7% year-over-year to $274.6 million, ahead of analyst expectations. Diluted earnings per share grew to $2.00 from $1.72 in the prior year, fueled by robust growth in high-margin rental operations and disciplined fleet management.
Key Highlights
- Earnings of $2.00 per share exceeded the $1.80 estimate, driven by a 15% increase in net income to $48.8 million.
- TRS-RenTelco rental revenues surged 26% to $35.4 million, benefiting significantly from infrastructure buildouts for new data centers.
- Mobile Modular rental revenues increased 4% to $86.9 million, supported by large commercial projects and regional expansion.
- Full-year 2026 gross rental equipment capital expenditure guidance was raised to $270M–$290M, up from the previous range of $200M–$220M.
- Total revenue guidance for 2026 was revised downward to $945M–$960M, primarily due to softer Modular new equipment sales.