WillScot Corp (NASDAQ: WSC) in the fourth quarter of FY 18 has reported the 113.8% rise in the revenues to $257.4 million, driven by growth in core leasing and services revenues of $124.4 million, or 119.8% primarily as a result of the impact of the Acton and ModSpace acquisitions and organic growth. Pro forma revenues3 increased 2.8% to $257.4 million driven by a 17.9% increase in core modular leasing revenues as a result of rate improvements, offset by lower modular delivery and installation, new unit, and rental unit sales volumes. The company’s consolidated net loss of $10.4 million rose by $115.0 million versus prior year and included $28.7 million of discrete costs expensed in the period related to transaction costs, restructuring costs and integration activities. The $28.7 million of discrete costs included $8.3 million of restructuring costs and $20.4 million of transaction and integration costs.
Adjusted EBITDA of $73.5 million from the Modular, US and Modular & Other North America segments (the “Modular Segments”) represents a 103.6% (or $37.4 million) year over year increase as compared to the same period in 2017. Additionally, Capital expenditures from continuing operations increased $23.0 million, or 82.4%, to $50.9 million for the three months ended December 31, 2018, from $27.9 million for the three months ended December 31, 2017.
Meanwhile, in 2018, WSC had acquired ModSpace, the largest privately held provider of office trailers, portable storage units and modular buildings in the US and Canada, for a total purchase price of $1.2 billion. The company have since made significant progress integrating ModSpace’s operations into the WillScot organizational structure, branch footprint, shared services, and information technology platform. WSC continue to consolidate and liquidate real estate positions and relocate fleet acquired in the Acton and ModSpace acquisitions consistent with our integration plan. As of March 14, 2019, 9 owned real estate locations to be exited had been listed for sale (representing $15 million of net book value), 10 locations have been identified to be exited and sold (representing $14 million of net book value), and 43 owned real restate locations (representing $58 million of net book value) will be retained and financing alternatives evaluated.
For FY 19, WSC expects total revenue tobe between $1.05 billion and $1.15 billion, adjusted EBITDA to be between $345 million and $365 million and net capital expenditures (after gross rental unit sales) to be between $130 million and $160 million.