WillScot Holdings Corporation

Second-quarter total revenue was $612 million, up 4% year over year, versus management’s prior expectation of about $585 million. Leasing and services revenue rose 6% year over year; leasing revenue increased 2% year over year to about $450 million; value-added product leasing revenue increased 3% year over year to about $103 million. Net income was $47 million, diluted EPS was $0.26, adjusted net income was $52 million, and adjusted diluted EPS was $0.28. Adjusted EBITDA was $228 million, above outlook of $223 million, with adjusted EBITDA margin at 37.2%, down about 500 basis points year over year. Cash from operations was $162 million, net CapEx was $114 million in Q2, adjusted free cash flow was $55 million, net debt was about $3.5 billion, leverage was 3.7x last-12-month adjusted EBITDA, and available liquidity was roughly $1.5 billion under the ABL facility. For 2026, management raised revenue guidance to approximately $2.3 billion and adjusted EBITDA guidance to approximately $920 million. Q3 guidance was for revenue of about $585 million, up roughly 3% year over year, and adjusted EBITDA of about $232 million, implying a 39.7% margin. Net CapEx for 2026 was raised to about $375 million.

Tim Boswell said the quarter reflected steady progress in commercial and operational initiatives and highlighted a return to organic top-line growth. He emphasized strong large-project demand, better win rates, rising enterprise account revenue, and growth in newer offerings like climate-controlled storage, Clearspan industrial tenting, and perimeter solutions. His tone was constructive but measured, repeatedly noting mixed demand conditions, transactional headwinds, and the need to keep investing where returns are attractive.

Matt Jacobsen focused on the financial mechanics behind the quarter: revenue and EBITDA beat expectations, but margins were temporarily pressured by higher cost of leasing and unit transfer costs, revenue mix, and SG&A. He quantified the margin drag as about 250 basis points from upfront activation costs, 160 basis points from mix, and 100 basis points from SG&A, and said Q3 and Q4 should bring significant sequential margin expansion as those pressures moderate. He also highlighted strong cash generation, $162 million of operating cash flow, $114 million of net CapEx in the quarter, $55 million of adjusted free cash flow, $27 million of debt paydown, and a balance sheet with $3.5 billion of net debt, 3.7x leverage, and about $1.5 billion of ABL liquidity.

Analysts focused on whether large-project-driven growth could hurt modular pricing or make 2027 unit economics less favorable. Management said there was no risk from the large-project mix, noting that newer differentiated fleet products support rates, returns remain attractive, and increasing fleet constraints actually point to a strong rate environment. Questions also centered on free cash flow and CapEx; management said higher CapEx should continue in the second half, especially into Q3, because demand and project visibility justify reinvestment, even if that dampens near-term free cash flow. On the World Cup, Matt said roughly 2,000 units were deployed, about half modular and half storage, generating around $13 million of revenue in Q2, with about $5 million of D&I left in Q3 as units are dismantled.