While free cash flow margins reached 34.2% in 2026Q1, the company's aggressive capital allocation, including $140.1 million in share repurchases during 2024Q4, warrants caution given the underlying earnings volatility.
| Cash from Operations | 746.42M | 761.99M | 561.64M | 761.24M | 744.66M | 539.9M | 304.81M | 172.57M | 37.15M | -1.36M | 431.43K | 119.86M |
| Operating CF Margin % | - | 33.4% | 23.44% | 32.19% | 34.75% | 32.27% | 23.94% | 16.22% | 4.94% | -0.31% | 0.1% | 26.44% |
| Operating CF Growth % | 12335.77% | 35.67% | -26.22% | 2.23% | 37.92% | 77.13% | 76.63% | 364.52% | 2827.53% | -415.7% | -99.64% | - |
| Net Income | -67.92M | -52.99M | 28.13M | 476.46M | 339.54M | 160.14M | 75.34M | -121.17M | -53.57M | -149.81M | 562.66K | -71.59M |
| Depreciation & Amortization | 425.36M | 430.02M | 384.97M | 338.65M | 343.51M | 318.2M | 246.95M | 189.44M | 136.47M | 107.88M | 78M | 136.89M |
| Stock-Based Compensation | 15.48M | 38.43M | 35.97M | 34.49M | 29.61M | 26.18M | 9.88M | 6.69M | 3.44M | 2.97M | 0 | 0 |
| Deferred Taxes | 6.74M | -7.01M | -45.32M | 141.64M | 100.85M | 36.56M | -55.16M | -2.62M | -40.19M | 12.96M | -10.36M | -44.4M |
| Other Non-Cash Items | 378.18M | 353.43M | 178.03M | -138.19M | -14.92M | 58.94M | 70.97M | 138.93M | 6.01M | 48.13M | 268.1M | -57.93M |
| Working Capital Changes | -11.42M | 117K | -20.13M | -91.81M | -53.93M | -60.13M | -43.17M | -38.69M | -15.01M | -23.48M | -131.23K | 15.83M |
| Change in Receivables | -57.76M | -19.25M | -34.52M | -76.36M | -94.46M | -105.05M | -26.72M | -63.65M | -36.45M | -20.56M | -4.11M | 8.06M |
| Change in Inventory | 1.27M | 1.86M | -529K | -3.28M | -12.35M | -9.08M | 2.77M | 869K | -1.24M | 682K | 550K | -1.23M |
| Change in Payables | 59.58M | 42.56M | 0 | -14.84M | 9.44M | 27.31M | -16.05M | 4.87M | -14.46M | 39.77M | -57.79K | 3.95M |
| Cash from Investing | -437.05M | -417.47M | -362.35M | -350M | -309.33M | -384.05M | -125.36M | -152.58M | -1.22B | -392.65M | -1.25M | -193.16M |
| Capital Expenditures | -167.48M | -24.33M | -299.29M | -249.21M | -486.8M | -309M | -188.84M | -213.45M | -165.5M | -116.15M | -71.43M | -184.42M |
| CapEx % of Revenue | 7.38% | 1.07% | 12.49% | 10.54% | 22.72% | 18.47% | 14.83% | 20.07% | 22.03% | 26.05% | 16.74% | 40.68% |
| Acquisitions | -100.17M | -144.7M | -121.22M | -561.63M | 104.99M | -147.17M | 17.17M | 0 | -1.08B | -237.15M | 29M | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -170.08M | -248.87M | 65.86M | 468.55M | 72.48M | 72.12M | 46.3M | 60.86M | 31.45M | -39.35M | -1.25M | -8.73M |
| Cash from Financing | -305.59M | -340.52M | -200.12M | -418.94M | -429.37M | -167.89M | -158.96M | -26.06M | 1.18B | 396.83M | -31.39M | 76.76M |
| Debt Issued (Net) | -145.41M | -162.52M | 101.8M | 419.38M | 333.27M | 199.1M | -30.02M | -16.55M | 1.07B | -149.82M | -31.39M | 76.76M |
| Equity Issued (Net) | -77.1M | -89.6M | -270.44M | -817.68M | -740.57M | -356.1M | -11.16M | 921K | 147.2M | 571.78M | 0 | 0 |
| Dividends Paid | -50.97M | -51.12M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -85.13M | -99.86M | -270.44M | -818.18M | -751.79M | -363.59M | -21.78M | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -32.12M | -37.29M | -31.48M | -20.63M | -22.07M | -10.88M | -117.78M | -10.43M | -36.58M | -25.12M | 0 | 0 |
| Net Change in Cash | 4.86M | 5.59M | -1.96M | -6.82M | 5.08M | -12.24M | 21.89M | -5.91M | -227K | 3.02M | -819.8K | 3.02M |
| Free Cash Flow | 578.94M | 737.65M | 262.35M | 512.03M | 257.86M | 230.91M | 115.97M | -40.88M | -128.36M | -117.51M | -71M | -64.56M |
| FCF Margin % | 25.5% | 32.33% | 10.95% | 21.65% | 12.03% | 13.8% | 9.11% | -3.84% | -17.08% | -26.35% | -16.64% | -14.24% |
| FCF Growth % | 120.89% | 181.17% | -48.76% | 98.57% | 11.67% | 99.1% | 383.7% | 68.15% | -9.23% | -65.51% | -9.97% | - |
| FCF per Share | 3.19 | 4.04 | 1.38 | 2.54 | 1.16 | 0.99 | 0.65 | -0.38 | -1.44 | -1.69 | -1.14 | -4.35 |
| FCF Conversion (FCF/Net Income) | -8.52x | -14.38x | 19.97x | 1.60x | 2.19x | 3.37x | 4.11x | -1.43x | -0.76x | 0.01x | 0.77x | -1.67x |
| Interest Paid | 91.99M | 0 | 216.15M | 184.86M | 130.46M | 103.8M | 118.52M | 118.73M | 51.99M | 115.76M | 0 | 73.96M |
| Taxes Paid | 7.31M | 0 | 45.58M | 32.95M | 25.09M | 9.86M | 4.23M | -1.15M | 2.62M | 1.39M | 0 | 1.55M |
High leverage and interest burden
As reported in recent financial filings, WillScot's operating cash flow frequently dwarfs net income, with the OCF/NI ratio reaching 6.79 in 2026Q1, indicating that non-cash charges and accounting adjustments are creating a significant wedge between reported profitability and the actual cash generated by the business.
The consistent gap between net income and operating cash flow suggests that GAAP earnings are heavily influenced by non-cash items like depreciation, which is typical for capital-intensive rental models. Investors should monitor whether this divergence reflects sustainable operational efficiency or merely the accounting treatment of a massive, aging modular fleet.
Based on the company's quarterly cash flow statements, free cash flow margins have fluctuated wildly from a negative 12.4% in 2024Q3 to a robust 34.2% in 2026Q1, highlighting the extreme sensitivity of cash generation to the timing of capital expenditures and cyclical demand shifts.
The erratic FCF trajectory appears to be driven by the company's ability to throttle capital spending in response to market conditions. While the recent spike in FCF margin suggests a defensive posture, it may also indicate a reduction in growth-oriented investment that could limit future revenue potential.
According to historical data, WillScot's capital expenditure as a percentage of revenue has swung from as low as 0.7% in 2026Q1 to as high as 15.6% in 2025Q4, reflecting a management strategy that prioritizes flexible fleet management over consistent, predictable reinvestment cycles.
The sharp reduction in CAPEX during 2026Q1 suggests a pivot toward cash preservation rather than fleet expansion. This variability warrants further investigation into whether the company is deferring necessary maintenance or simply rightsizing its asset base to match a cooling demand environment.
As evidenced by recent cash flow statements, working capital changes have been highly inconsistent, ranging from a $51.6 million inflow in 2025Q1 to a $64.8 million outflow in 2025Q4, which suggests significant volatility in the company's ability to manage its receivables and inventory cycles.
These fluctuations in working capital indicate that the company's cash conversion cycle is susceptible to the payment patterns of its construction and commercial clients. The reliance on these swings to bolster operating cash flow may introduce liquidity risks during periods of broader economic contraction.
Based on reported figures, WillScot has prioritized significant share repurchases, including $140.1 million in 2024Q4, even while maintaining a high debt-to-equity ratio, which suggests a management team focused on returning capital to shareholders despite the potential constraints imposed by its substantial debt load.
The decision to aggressively buy back shares while net margins remain strained appears to be a high-stakes capital allocation strategy. Investors should monitor whether this focus on equity returns is sustainable given the company's need to service its debt and fund future fleet requirements.
Quick answers to the most common questions about buying WSC stock.
WillScot Holdings Corporation (WSC) generated $762.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
WillScot Holdings Corporation (WSC) generated $737.7M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
WillScot Holdings Corporation (WSC) spent $24.3M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, WillScot Holdings Corporation (WSC) returned $51.1M to shareholders via cash dividends and spent $99.9M on share repurchases. This shows the company's commitment to returning capital to its equity investors.