MGRC Earnings Prediction
The chart below shows how MGRC performed 10 days before and after its earnings report, based on data from the past quarters. Typically, MGRC sees a +0.78% change in stock price 10 days leading up to the earnings, and a +1.57% change 10 days following the report. On the earnings day itself, the stock moves by +0.02%. This data can give you a slight idea of what to expect for the next quarter's release.
MGRC Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
243.75M
10.00%
-8.63%
Gross Margin
56.00%
-6.37%
2.34%
Operating Margin
21.82%
-0.32%
-10.50%
Net Margin
15.98%
10.59%
-71.45%
EPS
1.58
21.54%
-74.01%
No Data Available
MGRC Earnings Analysis
McGrath RentCorp Corporation (MGRC.O) Earnings Conference Call
Positive
Earnings Beat Expectations: McGrath RentCorp beat earnings expectations with reported EPS of $1.58, exceeding the expected $1.5.
Revenue Growth Analysis: Total company revenues increased by 10% in Q4 2024 compared to the previous year, indicating strong growth.
EBITDA Improvement: Adjusted EBITDA rose by 5% year-over-year, reflecting improved operational efficiency.
Mobile Modular Performance Growth: Mobile Modular segment showed robust performance with rental revenues growing by 8% and sales revenues increasing by 32%.
Market Vertical Success: The commercial business experienced broad-based wins across various market verticals, including government and technology sectors.
Education Rentals Growth: The education rentals segment benefited from modernization and growth projects, serving both public and private school customers.
Negative
Challenging Market Conditions: - The company faced tough market demand conditions throughout 2024, indicating a challenging operating environment.
Merger Distraction Impact: - There were distractions due to the terminated merger with WillScot, which may have impacted focus and resources.
Revenue Increase vs. Market Challenges: - Despite a 10% increase in total revenues, the growth was not robust enough to offset the overall market challenges.
Demand Environment Challenges: - The company acknowledged delays and softness in the demand environment, suggesting potential future revenue impacts.
Education Sector Performance Challenges: - The performance in the education sector, while growing, was still subject to external factors like modernization and growth projects, which may not be sustainable long-term.
MGRC FAQs
How does MGRC typically perform around its earnings report dates?
Is McGrath RentCorp (MGRC) Q4 2024 Earnings Call Summary positive or negative?
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MGRC Earning Call Sentiment
McGrath RentCorp (NASDAQ:MGRC) Q4 2024 Earnings Call Transcript
MGRC.O
0.99%Positive
The earnings call summary indicates strong financial performance with a 32% increase in sales revenues and 8% growth in rental revenues in the Modular segment. Despite facing market demand challenges, the company demonstrated resilience and executed strategic growth initiatives effectively. The Q&A section suggests optimism with increased quote volumes and acquisition opportunities. The share buyback program is a positive signal for shareholder returns. Although there are risks from market conditions and the terminated merger, the overall sentiment is positive, supported by solid growth metrics and strategic positioning.
