McGrath RentCorp reported total revenue of $221 million for the second quarter of 2026, a 6% decrease year-over-year, while adjusted EBITDA fell 4% to $83 million. Rental operations revenue increased 6%, driven by a 2% rise in Mobile Modular rental revenue and a 17% jump in TRS-RenTelco rental revenue, though Mobile Modular rental margins compressed to 55% from 58% and portable storage rental revenue was flat at $17 million with utilization dropping to 58.3%. The company saw a positive inflection in Mobile Modular utilization, which improved sequentially for the first time since 2022, and TRS-RenTelco benefited from strong demand in data centers, aerospace and defense, and semiconductors. Total revenue was weighed down by a sharp decline in Enviroplex sales revenue to $4.6 million from $19.9 million a year ago, as several large sales projects were pushed to the second half due to site readiness issues. McGrath RentCorp maintained a strong balance sheet with a leverage ratio of 1.65 times and provided a full-year 2026 total revenue outlook of $955 million to $985 million and adjusted EBITDA of $363 million to $375 million.
McGrath RentCorpTotal revenue declined 6% YoY and adjusted EBITDA fell 4%, with Mobile Modular margins compressing and portable storage utilization dropping.