McGrath RentCorp raises dividend for 34th consecutive year

Published 04/06/2025, 21:10
McGrath RentCorp raises dividend for 34th consecutive year

LIVERMORE, Calif. - McGrath RentCorp (NASDAQ:MGRC), a prominent North American business-to-business rental company with a market capitalization of $2.8 billion, has announced a quarterly cash dividend increase. The Board of Directors declared a dividend of $0.485 per common share for the quarter ending June 30, 2025. This marks the 34th consecutive year of dividend growth for the company, demonstrating its strong commitment to shareholder returns.

Shareholders on record as of July 17, 2025, will be eligible for the dividend, which is scheduled to be paid on July 31, 2025. This consistent rise in dividends underscores McGrath RentCorp’s commitment to providing value to its shareholders over the long term. According to InvestingPro data, the company maintains a healthy dividend yield of 1.67% and has maintained dividend payments for 36 consecutive years.

The company, founded in 1979, has built a reputation for profitable growth and customer-focused service. Its operations include Mobile Modular and Mobile Modular Portable Storage solutions, as well as electronic test equipment rentals through its TRS-RenTelco division. McGrath RentCorp prides itself on contributing to the circular supply economy, aiding customers in efficient and environmentally sustainable operations.

This latest dividend declaration is a testament to McGrath RentCorp’s enduring financial success and its dedication to rewarding its investors. The information in this article is based on a press release statement from McGrath RentCorp.

In other recent news, McGrath RentCorp reported its first-quarter 2025 earnings, revealing a mixed performance. The company achieved an earnings per share (EPS) of $1.15, surpassing analyst expectations of $0.99, indicating a 16.16% positive surprise. However, revenues came in at $154 million, falling short of the anticipated $189.56 million. Notably, total company revenues increased by 4% year-over-year to $195.4 million, with adjusted EBITDA rising 3% to $74.5 million. Within its business segments, Mobile Modular revenues grew by 3% to $131.9 million, while TRS RenTelco revenues saw a 4% increase to $35 million. Portable Storage revenues, however, declined by 13%. Analysts from Oppenheimer and other firms have noted the company’s resilience amidst economic uncertainties, highlighting the potential impact of tariffs on future performance. McGrath RentCorp has also indicated plans to explore merger and acquisition opportunities as part of its strategic growth initiatives.

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