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WillScot Mobile Mini (WSC)

Based in Phoenix, Arizona, WillScot Mobile Mini Holdings is a North American leader in turnkey modular space and portable storage solutions. It was formed in 2020 upon the merger of leaders in the modular space and portable storage markets. Together the WillScot and Mobile Mini brands operate approximately 275 locations across the United States, Canada, Mexico, and the United Kingdom with a combined fleet of over 350,000 portable offices and storage containers. The company leases turnkey office space and storage solutions for temporary applications across a diverse customer base in the commercial and industrial, construction, retail, education, health care, government, transportation, security and energy sectors. WillScot Mobile Mini creates value by enabling customers to add space efficiently and cost-effectively - when the solution is perfect, productivity is all the customer sees.

Company profile

Ticker
WSC
Exchange
CEO
Bradley L. Soultz
Employees
Incorporated
Location
Fiscal year end
Former names
Double Eagle Acquisition Corp., Double Eagle Acquisitions Corp., WillScot Corp
SEC CIK
Subsidiaries
Modular Space, LLC • Resun ModSpace, LLC • Williams Scotsman Holdings Corp. • WillScot Equipment II, LLC • Williams Scotsman, Inc. • Williams Scotsman Mexico • Williams Scotsman of Canada, Inc. • Mobile Mini, Inc. • Mobile Mini I, Inc. • Gulf Tanks Holdings, Inc. ...

WSC stock data

Analyst ratings and price targets

Last 3 months
Current price
Average target
$47.50
Low target
$45.00
High target
$50.00
Baird
Maintains
Outperform
$45.00
23 Aug 22
Morgan Stanley
Maintains
Overweight
$50.00
8 Aug 22

Calendar

4 Aug 22
4 Oct 22
31 Dec 22
Quarter (USD) Jun 22 Mar 22 Dec 21 Sep 21
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS
Annual (USD) Dec 21 Dec 20 Mar 20 Dec 19
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS
Cash burn rate (est.) Burn method: Change in cash Burn method: Operating income Burn method: FCF (opex + capex)
Last Q Avg 4Q Last Q Avg 4Q Last Q Avg 4Q
Cash on hand (at last report) 11.71M 11.71M 11.71M 11.71M 11.71M 11.71M
Cash burn (monthly) (no burn) 308K (no burn) (no burn) (no burn) (no burn)
Cash used (since last report) n/a 969.26K n/a n/a n/a n/a
Cash remaining n/a 10.74M n/a n/a n/a n/a
Runway (months of cash) n/a 34.9 n/a n/a n/a n/a

Beta Read what these cash burn values mean

Date Owner Security Transaction Code Indirect 10b5-1 $Price #Shares $Value #Remaining
7 Sep 22 Bradley Lee Soultz Common stock, par value $0.0001 per share Payment of exercise Dispose F No No 41.16 1,138 46.84K 426,683
7 Sep 22 Bradley Lee Soultz Common stock, par value $0.0001 per share Option exercise Acquire M No No 0 2,558 0 427,821
7 Sep 22 Bradley Lee Soultz RSU Common Stock Option exercise Dispose M No No 0 2,558 0 154,787
17 Aug 22 Olsson Erik Common stock, par value $0.0001 per share Sell Dispose S No No 42.5306 126,646 5.39M 631,938
17 Aug 22 Olsson Erik Common stock, par value $0.0001 per share Option exercise Acquire M No No 17.79 105,044 1.87M 758,584
17 Aug 22 Olsson Erik Common stock, par value $0.0001 per share Option exercise Acquire M No No 19.86 21,602 429.02K 653,540
17 Aug 22 Olsson Erik Employee Stock Option Common Stock Option exercise Dispose M No No 17.79 105,044 1.87M 0
17 Aug 22 Olsson Erik Employee Stock Option Common Stock Option exercise Dispose M No No 19.86 21,602 429.02K 0
16 Aug 22 Olsson Erik Common stock, par value $0.0001 per share Sell Dispose S No No 43.4274 126,647 5.5M 631,938
16 Aug 22 Olsson Erik Common stock, par value $0.0001 per share Option exercise Acquire M No No 19.86 126,647 2.52M 758,585
13F holders Current Prev Q Change
Total holders 0 0
Opened positions 0 0
Closed positions 0 0
Increased positions 0 0
Reduced positions 0 0
13F shares Current Prev Q Change
Total value 0 0
Total shares 0 0
Total puts 0 0
Total calls 0 0
Total put/call ratio
Largest owners Shares Value Change
Largest transactions Shares Bought/sold Change

Financial report summary

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Risks
  • Global or local economic movements could have a material adverse effect on our business.
  • Our operations may be adversely impacted by public health crises such as the global pandemic associated with COVID-19.
  • Any failure of our management information systems could disrupt our business operations both in the field and back office, which could result in decreased lease or sale revenue and increase overhead costs.
  • Effective management of our fleet is vital to our business, and our failure to properly safeguard, design, manufacture, repair, maintain and manage our fleet could harm our business and reduce our operating results and cash flows.
  • Trade policies and changes in trade policies, including the imposition of tariffs, their enforcement and downstream consequences, may materially adversely affect our business, results of operations, and outlook.
  • We face significant competition in the modular space, portable storage and tank and pump industries. Such competition may result in pricing pressure or an inability to maintain or grow our market share. If we are unable to compete successfully, we could lose customers and our revenue and profitability could decline.
  • If we do not manage our credit risk effectively, collect on our accounts receivable, or recover our rental equipment from our customers, it could materially adversely affect our business, financial condition and results of operations.
  • Changes in state building codes could adversely impact our ability to remarket our buildings, which could have a material adverse impact on our business, financial condition and results of operations.
  • Our operations face foreign currency exchange rate exposure, which may materially adversely affect our business, results of operations and financial condition.
  • Fluctuations in interest rates and commodity prices may also materially adversely affect our revenues, results of operations and cash flows.
  • Significant increases in the costs and restrictions on the availability of raw materials and labor could increase our operating costs significantly and harm our profitability.
  • Fluctuations in fuel costs or oil prices, a reduction in fuel supplies, or a sustained decline in oil prices may have a material adverse effect on our business and results of operations.
  • Third parties may fail to manufacture or provide necessary components for our products properly or in a timely manner.
  • We are subject to risks associated with labor relations, labor costs and labor disruptions.
  • We are subject to various laws and regulations, including those governing government contracts, corruption and the environment. Obligations and liabilities under these laws and regulations may materially harm our business.
  • US Government Contract Laws and Regulations
  • Department of Transportation and Titling Regulations
  • Anti-Corruption Laws and Regulations
  • Environmental Laws and Regulations
  • Our customer base includes customers operating in a variety of industries which may be subject to changes in their competitive environment as a result of the global, national or local economic climate in which they operate and/or economic or financial disruptions to their industry.
  • We may not be able to adequately protect our intellectual property and other proprietary rights that are material to our business.
  • Our operations could be subject to natural disasters and other business disruptions, which could materially adversely affect our information systems, future revenue, financial condition, cash flows and increase our costs and expenses.
  • Our operations are dependent, in part, on our ability to establish and profitably maintain the appropriate physical presence in the markets we serve.
  • We may incur property, casualty or other losses not covered by our insurance.
  • If we fail to maintain an effective system of internal controls, we may not be able to accurately report our financial results, which could lead to a loss of investor confidence in our financial statements and have an adverse effect on our stock price.
  • We are subject to evolving public disclosure, financial reporting and corporate governance expectations and regulations that impact compliance costs and risks of noncompliance.
  • We may be unable to achieve our environmental, social and governance goals.
  • Our ability to use our net operating loss carryforwards and other tax attributes may be limited.
  • We may be unable to recognize deferred tax assets such as those related to our tax loss carryforwards and, as a result, lose future tax savings, which could have a negative impact on our liquidity and financial position.
  • Unanticipated changes in our tax obligations, the adoption of a new tax legislation, or exposure to additional income tax liabilities could affect profitability.
  • Global capital and credit market conditions could materially and adversely affect our ability to access the capital and credit markets or the ability of key counterparties to perform their obligations to us.
  • Despite our current level of indebtedness, we and our subsidiaries will still be able to incur significant additional amounts of debt, which could further exacerbate the risks associated with our substantial indebtedness.
  • We are subject to and may, in the future become subject to, covenants that limit our operating and financial flexibility and, if we default under our debt covenants, we may not be able to meet our payment obligations.
  • The uncertainty regarding the phase-out of LIBOR may negatively impact our operating results.
  • The historical market price of WillScot Mobile Mini’s Common Stock has been volatile and the market price of our Common Stock may continue to be volatile and the value of your investment may decline.
Management Discussion
  • Revenue: Total revenue increased $527.3 million, or 38.6%, to $1,894.9 million for the year ended December 31, 2021 from $1,367.6 million for the year ended December 31, 2020. Leasing revenue increased $410.7 million, or 41.0%, as compared to the same period in 2020 driven by an increase of 88,194, or 48.0%, total average modular space and portable storage units on rent and improved pricing and value-added products in our NA Modular segment. Delivery and installation revenues increased $100.5 million, or 36.7%, due to increased overall activity. New unit sales decreased $0.2 million, or 0.4%, and rental unit sales increased $16.3 million, or 41.9%.
  • Total average modular space and portable storage units on rent for the years ended December 31, 2021 and 2020 were 271,868 and 183,674, respectively. The increase was due primarily to the units acquired as part of the Merger with Mobile Mini, which closed on July 1, 2020. In total, modular space average units on rent increased 10,876 units, or 10.9%, for the year ended December 31, 2021 as compared to the year ended December 31, 2020. Modular space average monthly rental rates increased 13.1% to $744 for the year ended December 31, 2021. Improved pricing was driven by a continuation of the long-term price optimization and VAPS penetration opportunities across our portfolio, partially offset by the dilutive impact of lower rates on the Mobile Mini modular space units due to product mix. Portable storage average units on rent increased by 77,318 units, or 91.9%, for the year ended December 31, 2021. Average portable storage monthly rental rates of $144 represented an increase of $12, or 9.1%, compared to the year ended December 31, 2020. This increase was driven by the accretive impact of higher rates from the Mobile Mini portable storage fleet. The average modular space unit utilization rate during the year ended December 31, 2021 was 70.1%, as compared to 70.2% during the same period in 2020. The average portable storage unit utilization rate during the year ended December 31, 2021 was 81.5%, as compared to 75.9% during the same period in 2020. The increase in average portable storage utilization rate was driven by higher utilization on the acquired Mobile Mini units.
  • Gross Profit: Our gross profit percentage was 51.1% and 48.3% for the years ended December 31, 2021 and 2020, respectively. Our gross profit percentage, excluding the effects of depreciation ("adjusted gross profit percentage"), was 63.6% and 62.9% for the years ended December 31, 2021 and 2020, respectively.

Content analysis

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H.S. sophomore Avg
New words: agent, bore, constrained, countercyclicality, headcount, Hezron, Lopez, month, Pound, remeasurement, scheduled, Secretary, shelving, smaller, SOFR, step, unfavorable, weakening
Removed: contracted, criteria, detailed, enterprise, expect, hand, inflow, March, met, order, planning, potential, practical, profitability, reinvested, resource, sequentially, strategic, terminate