McGrath RentCorp (MGRC) 10-Q 3 May 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2016	May. 02, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Trading Symbol	MGRC
Entity Registrant Name	MCGRATH RENTCORP
Entity Central Index Key	752,714
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		23,898,389

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Revenues
Rental	$ 66,532	$ 65,502
Rental related services	17,591	15,367
Rental operations	84,123	80,869
Sales	9,034	8,787
Other	542	532
Total revenues	93,699	90,188
Direct costs of rental operations:
Depreciation of rental equipment	18,540	18,682
Rental related services	13,180	11,899
Other	15,827	15,211
Total direct costs of rental operations	47,547	45,792
Costs of sales	5,497	5,309
Total costs of revenues	53,044	51,101
Gross profit	40,655	39,087
Selling and administrative expenses	26,397	25,212
Income from operations	14,258	13,875
Other income (expense):
Interest expense	(3,556)	(2,391)
Foreign currency exchange gain (loss)	151	(168)
Income before provision for income taxes	10,853	11,316
Provision for income taxes	4,287	4,470
Net income	$ 6,566	$ 6,846
Earnings per share:
Basic	$ 0.28	$ 0.26
Diluted	$ 0.27	$ 0.26
Shares used in per share calculation:
Basic	23,862	26,091
Diluted	23,911	26,276
Cash dividends declared per share	$ 0.255	$ 0.250

Condensed Consolidated Stateme3

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Statement Of Income And Comprehensive Income [Abstract]
Net income	$ 6,566	$ 6,846
Other comprehensive income (loss):
Foreign currency translation adjustment	(92)	88
Tax benefit (provision)	34	(16)
Comprehensive income	$ 6,508	$ 6,918

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Assets
Cash	$ 1,062	$ 1,103
Accounts receivable, net of allowance for doubtful accounts of $2,305 in 2016 and $2,087 in 2015	91,883	95,263
Income taxes receivable		11,000
Rental equipment, at cost:
Relocatable modular buildings	747,475	736,875
Electronic test equipment	260,324	262,945
Liquid and solid containment tanks and boxes	309,823	310,263
Rental equipment, gross	1,317,622	1,310,083
Less accumulated depreciation	(450,407)	(440,482)
Rental equipment, net	867,215	869,601
Property, plant and equipment, net	108,532	109,753
Prepaid expenses and other assets	26,607	28,556
Intangible assets, net	9,248	9,465
Goodwill	27,808	27,808
Total assets	1,132,355	1,152,549
Liabilities:
Notes payable	365,772	381,281
Accounts payable and accrued liabilities	64,045	71,942
Deferred income	36,824	36,288
Deferred income taxes, net	285,202	283,351
Total liabilities	751,843	772,862
Shareholders’ equity:
Common stock, no par value - Authorized 40,000 shares Issued and outstanding - 23,880 shares as of March 31, 2016 and 23,851 shares as of December 31, 2015	101,485	101,046
Retained earnings	279,152	278,708
Accumulated other comprehensive loss	(125)	(67)
Total shareholders’ equity	380,512	379,687
Total liabilities and shareholders’ equity	$ 1,132,355	$ 1,152,549

Condensed Consolidated Balance5

Condensed Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Allowance for doubtful accounts	$ 2,305	$ 2,087
Common stock, par value
Common stock, shares authorized	40,000,000	40,000,000
Common stock, shares issued	23,880,000	23,851,000
Common Stock, shares outstanding	23,880,000	23,851,000

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash Flows from Operating Activities :
Net income	$ 6,566	$ 6,846
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	20,860	20,906
Provision for doubtful accounts	498	333
Share-based compensation	856	931
Gain on sale of used rental equipment	(2,966)	(2,869)
Foreign currency exchange loss (gain)	(151)	168
Change in:
Accounts receivable	2,882	11,600
Income taxes receivable	11,000
Prepaid expenses and other assets	1,949	6,124
Accounts payable and accrued liabilities	(4,249)	(6,421)
Deferred income	536	220
Deferred income taxes	1,851	(3,218)
Net cash provided by operating activities	39,632	34,620
Cash Flows from Investing Activities:
Purchase of rental equipment	(22,814)	(29,974)
Purchase of property, plant and equipment	(881)	(3,005)
Proceeds from sale of used rental equipment	6,098	6,111
Net cash used in investing activities	(17,597)	(26,868)
Cash Flows from Financing Activities:
Net repayments under bank lines of credit	(15,522)	(1,555)
Amortization of debt issuance costs	13	13
Proceeds from the exercise of stock options	37	958
Excess tax benefit (shortfall) from exercise of stock awards	(111)	19
Taxes paid related to net share settlement of stock awards	(344)	(582)
Repurchase of common stock		(377)
Payment of dividends	(6,136)	(6,639)
Net cash used in financing activities	(22,063)	(8,163)
Effect of exchange rate changes on cash	(13)	21
Net decrease in cash	(41)	(390)
Cash balance, beginning of period	1,103	1,167
Cash balance, end of period	1,062	777
Supplemental Disclosure of Cash Flow Information:
Interest paid, during the period	2,986	2,008
Net income taxes paid, during the period	673	316
Dividends accrued during the period, not yet paid	6,120	6,552
Rental equipment acquisitions, not yet paid	$ 3,752	$ 10,220

Condensed Consolidated Financia

Condensed Consolidated Financial Information	3 Months Ended
	Mar. 31, 2016
Accounting Policies [Abstract]
Condensed Consolidated Financial Information	NOTE 1. CONDENSED CONSOLIDATED FINANCIAL INFORMATION The condensed consolidated financial statements for the three months ended March 31, 2016 and 2015 have not been audited, but in the opinion of management, all adjustments (consisting of normal recurring accruals, consolidating and eliminating entries) necessary for the fair presentation of the consolidated financial position, results of operations and cash flows of McGrath RentCorp (the “Company”) have been made. The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and note disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to those rules and regulations. The consolidated results for the three months ended March 31, 2016 should not be considered as necessarily indicative of the consolidated results for the entire fiscal year. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s latest Annual Report on Form 10-K filed with the SEC on February 25, 2016 for the year ended December 31, 2015 (the “2015 Annual Report”).

New Accounting Pronouncements

New Accounting Pronouncements	3 Months Ended
	Mar. 31, 2016
Accounting Changes And Error Corrections [Abstract]
New Accounting Pronouncements	NOTE 2. NEW ACCOUNTING PRONOUNCEMENTS In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers. The objective of this guidance is to establish the principles to report useful information to users of financial statements about the nature, timing and uncertainty of revenue from contracts with customers. In August 2015, the FASB issued an update to defer the effective date of this guidance by one year. The guidance in the update is effective for the interim and annual reporting periods beginning after December 15, 2017. The Company is currently evaluating the impact of the adoption of this accounting guidance on its consolidated financial statements. In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03, Imputation of Interest (Subtopic 835-30). The amendments in this update require that debt issuance costs related to a recognized debt liability be presented on the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with the presentation of debt discounts. The implementation of this update resulted in a reclassification of $0.2 million of debt issuance costs from prepaid expenses and other assets to notes payable at December 31, 2015. In February 2016, the FASB issued ASU No. 2016-02, Leases (Subtopic 842-10). Under the new guidance, lessees will be required to recognize the following for all leases (with the exception of short-term leases) at the commencement date: a) lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and In March 2016, the FASB issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718). Under the new guidance, all excess tax benefits and tax deficiencies will be recognized in the income statement as they occur. This will replace the current guidance, which requires tax benefits that exceed compensation cost (windfalls) to be recognized in equity. It will also eliminate the need to maintain a “windfall pool,” and will remove the requirement to delay recognizing a windfall until it reduces current taxes payable. The new guidance will also change the cash flow presentation of excess tax benefits, classifying them as operating inflows, consistent with other cash flows related to income taxes. The amendments in this guidance are effective for fiscal years beginning after December 15, 2016 and interim periods within those fiscal years. The Company is evaluating the impact of this new guidance on its consolidated financial statements.

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Earnings Per Share	NOTE 3. EARNINGS PER SHARE Basic earnings per share (“EPS”) is computed as net income divided by the weighted-average number of shares of common stock outstanding for the period. Diluted EPS is computed assuming conversion of all potentially dilutive securities including the dilutive effect of stock options, unvested restricted stock awards and other potentially dilutive securities. The table below presents the weighted-average number of shares of common stock used to calculate basic and diluted earnings per share: Three Months Ended March 31, (in thousands) 2016 2015 Weighted-average number of shares of common stock for calculating basic earnings per share 23,862 26,091 Effect of potentially dilutive securities from equity-based compensation 49 185 Weighted-average number of shares of common stock for calculating diluted earnings per share 23,911 26,276 The following securities were not included in the computation of diluted earnings per share as their effect would have been anti-dilutive: Three Months Ended March 31, (in thousands) 2016 2015 Options to purchase shares of common stock 1,019 26 In May 2008, the Company’s Board of Directors authorized the Company to repurchase an aggregate of 2,000,000 shares of the Company's outstanding common stock. The Company has in the past made purchases of shares of its common stock from time to time in over-the-counter market (NASDAQ) transactions, through privately negotiated, large block transactions and through a share repurchase plan, in accordance with Rule 10b5-1 of the Securities Exchange Act of 1934. In August 2015, the Company’s Board of Directors authorized the Company to repurchase an additional 2,000,000 shares of the Company's outstanding common stock. The amount and time of the specific repurchases are subject to prevailing market conditions, applicable legal requirements and other factors, including management’s discretion. All shares repurchased by the Company are canceled and returned to the status of authorized but unissued shares of common stock. There can be no assurance that any shares authorized for repurchase will be repurchased and the repurchase program may be modified, extended or terminated by the board of directors at any time. The following table presents share repurchase activities during the three months ended March 31, 2016 and 2015. Three Months Ended March 31, (in thousands, except share and per share amounts) 2016 2015 Number of shares repurchased — 12,210 Aggregate purchase price $ — $ 377 Average price per repurchased shares $ — $ 30.91 As of March 31, 2016, 1,592,026 shares remain authorized for repurchase.

Intangible Assets

Intangible Assets	3 Months Ended
	Mar. 31, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Intangible Assets	NOTE 4. INTANGIBLE ASSETS Intangible assets consist of the following: (dollar amounts in thousands) Estimated useful life in years March 31, 2016 December 31, 2015 Trade name Indefinite $ 5,700 $ 5,700 Customer relationships 11 9,611 9,611 15,311 15,311 Less accumulated amortization (6,063 ) (5,846 ) $ 9,248 $ 9,465 The Company assesses potential impairment of its goodwill and intangible assets when there is evidence that events or circumstances have occurred that would indicate the recovery of an asset’s carrying value is unlikely. The Company also assesses potential impairment of its goodwill and intangible assets on an annual basis regardless of whether there is evidence of impairment. If indicators of impairment were to be present in intangible assets used in operations and future discounted cash flows were not expected to be sufficient to recover the assets’ carrying amount, an impairment loss would be charged to expense in the period identified. The amount of an impairment loss that would be recognized is the excess of the asset’s carrying value over its fair value. Factors the Company considers important, which may cause impairment include, among others, significant changes in the manner of use of the acquired asset, negative industry or economic trends, and significant underperformance relative to historical or projected operating results. The Company typically conducts its annual impairment analysis in the fourth quarter of its fiscal year. The impairment analysis did not result in an impairment charge for the fiscal year ended December 31, 2015. Determining the fair value of a reporting unit is judgmental and involves the use of significant estimates and assumptions. The Company bases its fair value estimates on assumptions that it believes are reasonable but are uncertain and subject to changes in market conditions. Intangible assets with finite useful lives are amortized over their respective useful lives. Based on the carrying values at March 31, 2016 and assuming no subsequent impairment of the underlying assets, the amortization expense is expected to be $0.7 million for the remainder of fiscal year 2016, $0.9 million in each of the fiscal years 2017 through 2019 and $0.2 million in 2020.

Segment Reporting

Segment Reporting	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
Segment Reporting	NOTE 5. SEGMENT REPORTING The Company’s four reportable segments are (1) its modular building and portable storage segment (“Mobile Modular”); (2) its electronic test equipment segment (“TRS-RenTelco”); (3) its containment solutions for the storage of hazardous and non-hazardous liquids and solids segment (“Adler Tanks”); and (4) its classroom manufacturing segment selling modular buildings used primarily as classrooms in California (“Enviroplex”). The operations of each of these segments are described in Part I – Item 1, “Business,” and the accounting policies of the segments are described in “Note 2 – Significant Accounting Policies” in the Company’s annual report on Form 10-K for the year ended December 31, 2015. Management focuses on several key measures to evaluate and assess each segment’s performance, including rental revenue growth, gross profit, income from operations and income before provision for income taxes. Excluding interest expense, allocations of revenue and expense not directly associated with one of these segments are generally allocated to Mobile Modular, TRS-RenTelco and Adler Tanks based on their pro-rata share of direct revenues. Interest expense is allocated among Mobile Modular, TRS-RenTelco and Adler Tanks based on their pro-rata share of average rental equipment at cost, intangible assets, accounts receivable, deferred income and customer security deposits. The Company does not report total assets by business segment. Summarized financial information for the three months ended March 31, 2016 and 2015 for the Company’s reportable segments is shown in the following table: (dollar amounts in thousands) Mobile Modular TRS- RenTelco Adler Tanks Enviroplex 1 Consolidated Three Months Ended March 31, 2016 Rental revenues $ 31,155 $ 20,928 $ 14,449 $ — $ 66,532 Rental related services revenues 11,205 784 5,602 — 17,591 Sales and other revenues 2,724 6,272 432 148 9,576 Total revenues 45,084 27,984 20,483 148 93,699 Depreciation of rental equipment 5,126 9,388 4,026 — 18,540 Gross profit 20,653 11,016 8,942 44 40,655 Selling and administrative expenses 12,462 5,797 7,262 876 26,397 Income (loss) from operations 8,191 5,219 1,680 (832 ) 14,258 Interest (expense) income allocation (1,947 ) (730 ) (934 ) 55 (3,556 ) Income (loss) before provision for income taxes 6,244 4,640 746 (777 ) 10,853 Rental equipment acquisitions 11,579 7,729 (18 ) — 19,290 Accounts receivable, net (period end) 50,915 21,393 15,386 4,189 91,883 Rental equipment, at cost (period end) 747,475 260,324 309,823 — 1,317,622 Rental equipment, net book value (period end) 535,308 98,291 233,616 — 867,215 Utilization (period end) 2 75.4 % 59.9 % 51.0 % Average utilization 2 76.1 % 59.6 % 50.3 % 2015 Rental revenues $ 26,408 $ 22,111 $ 16,983 $ — $ 65,502 Rental related services revenues 9,103 656 5,608 — 15,367 Sales and other revenues 3,373 5,327 307 312 9,319 Total revenues 38,884 28,094 22,898 312 90,188 Depreciation of rental equipment 4,561 10,152 3,969 — 18,682 Gross profit 15,704 11,310 12,007 66 39,087 Selling and administrative expenses 11,356 6,118 6,918 820 25,212 Income (loss) from operations 4,348 5,192 5,089 (754 ) 13,875 Interest (expense) income allocation (1,253 ) (529 ) (657 ) 48 (2,391 ) Income (loss) before provision for income taxes 3,095 4,495 4,432 (706 ) 11,316 Rental equipment acquisitions 16,359 16,230 2,665 — 35,254 Accounts receivable, net (period end) 45,818 23,095 18,316 2,132 89,361 Rental equipment, at cost (period end) 678,990 269,575 305,751 — 1,254,316 Rental equipment, net book value (period end) 484,598 109,887 244,593 — 839,078 Utilization (period end) 2 74.5 % 58.6 % 61.1 % Average utilization 2 74.2 % 59.9 % 61.1 % 1. Gross Enviroplex sales revenues were $148 and $316 for the three months ended March 31, 2016 and 2015, respectively, which include inter-segment sales to Mobile Modular of $0 and $4, respectively, which have been eliminated in consolidation. 2. Utilization is calculated each month by dividing the cost of rental equipment on rent by the total cost of rental equipment excluding accessory equipment and for Mobile Modular and Adler Tanks excluding new equipment inventory. The Average Utilization for the period is calculated using the average costs of rental equipment . No single customer accounted for more than 10% of total revenues for the three months ended March 31, 2016 and 2015. Revenues from foreign country customers accounted for 5% and 6% of the Company’s total revenues for the same periods, respectively.

New Accounting Pronouncements (

New Accounting Pronouncements (Policies)	3 Months Ended
	Mar. 31, 2016
Accounting Changes And Error Corrections [Abstract]
New Accounting Pronouncements	In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers. The objective of this guidance is to establish the principles to report useful information to users of financial statements about the nature, timing and uncertainty of revenue from contracts with customers. In August 2015, the FASB issued an update to defer the effective date of this guidance by one year. The guidance in the update is effective for the interim and annual reporting periods beginning after December 15, 2017. The Company is currently evaluating the impact of the adoption of this accounting guidance on its consolidated financial statements. In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03, Imputation of Interest (Subtopic 835-30). The amendments in this update require that debt issuance costs related to a recognized debt liability be presented on the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with the presentation of debt discounts. The implementation of this update resulted in a reclassification of $0.2 million of debt issuance costs from prepaid expenses and other assets to notes payable at December 31, 2015. In February 2016, the FASB issued ASU No. 2016-02, Leases (Subtopic 842-10). Under the new guidance, lessees will be required to recognize the following for all leases (with the exception of short-term leases) at the commencement date: a) lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and In March 2016, the FASB issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718). Under the new guidance, all excess tax benefits and tax deficiencies will be recognized in the income statement as they occur. This will replace the current guidance, which requires tax benefits that exceed compensation cost (windfalls) to be recognized in equity. It will also eliminate the need to maintain a “windfall pool,” and will remove the requirement to delay recognizing a windfall until it reduces current taxes payable. The new guidance will also change the cash flow presentation of excess tax benefits, classifying them as operating inflows, consistent with other cash flows related to income taxes. The amendments in this guidance are effective for fiscal years beginning after December 15, 2016 and interim periods within those fiscal years. The Company is evaluating the impact of this new guidance on its consolidated financial statements.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Weighted-Average Number of Shares of Common Stock Used to Calculate Basic and Diluted Earnings Per Share	The table below presents the weighted-average number of shares of common stock used to calculate basic and diluted earnings per share: Three Months Ended March 31, (in thousands) 2016 2015 Weighted-average number of shares of common stock for calculating basic earnings per share 23,862 26,091 Effect of potentially dilutive securities from equity-based compensation 49 185 Weighted-average number of shares of common stock for calculating diluted earnings per share 23,911 26,276
Securities Not Included in Computation of Diluted Earnings Per Share	The following securities were not included in the computation of diluted earnings per share as their effect would have been anti-dilutive: Three Months Ended March 31, (in thousands) 2016 2015 Options to purchase shares of common stock 1,019 26
Summary of Share Repurchase Activities	The following table presents share repurchase activities during the three months ended March 31, 2016 and 2015. Three Months Ended March 31, (in thousands, except share and per share amounts) 2016 2015 Number of shares repurchased — 12,210 Aggregate purchase price $ — $ 377 Average price per repurchased shares $ — $ 30.91

Intangible Assets (Tables)

Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Summary of Intangible Assets	Intangible assets consist of the following: (dollar amounts in thousands) Estimated useful life in years March 31, 2016 December 31, 2015 Trade name Indefinite $ 5,700 $ 5,700 Customer relationships 11 9,611 9,611 15,311 15,311 Less accumulated amortization (6,063 ) (5,846 ) $ 9,248 $ 9,465

Segment Reporting (Tables)

Segment Reporting (Tables)	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
Summarized Financial Information for Company's Reportable Segments	Summarized financial information for the three months ended March 31, 2016 and 2015 for the Company’s reportable segments is shown in the following table: (dollar amounts in thousands) Mobile Modular TRS- RenTelco Adler Tanks Enviroplex 1 Consolidated Three Months Ended March 31, 2016 Rental revenues $ 31,155 $ 20,928 $ 14,449 $ — $ 66,532 Rental related services revenues 11,205 784 5,602 — 17,591 Sales and other revenues 2,724 6,272 432 148 9,576 Total revenues 45,084 27,984 20,483 148 93,699 Depreciation of rental equipment 5,126 9,388 4,026 — 18,540 Gross profit 20,653 11,016 8,942 44 40,655 Selling and administrative expenses 12,462 5,797 7,262 876 26,397 Income (loss) from operations 8,191 5,219 1,680 (832 ) 14,258 Interest (expense) income allocation (1,947 ) (730 ) (934 ) 55 (3,556 ) Income (loss) before provision for income taxes 6,244 4,640 746 (777 ) 10,853 Rental equipment acquisitions 11,579 7,729 (18 ) — 19,290 Accounts receivable, net (period end) 50,915 21,393 15,386 4,189 91,883 Rental equipment, at cost (period end) 747,475 260,324 309,823 — 1,317,622 Rental equipment, net book value (period end) 535,308 98,291 233,616 — 867,215 Utilization (period end) 2 75.4 % 59.9 % 51.0 % Average utilization 2 76.1 % 59.6 % 50.3 % 2015 Rental revenues $ 26,408 $ 22,111 $ 16,983 $ — $ 65,502 Rental related services revenues 9,103 656 5,608 — 15,367 Sales and other revenues 3,373 5,327 307 312 9,319 Total revenues 38,884 28,094 22,898 312 90,188 Depreciation of rental equipment 4,561 10,152 3,969 — 18,682 Gross profit 15,704 11,310 12,007 66 39,087 Selling and administrative expenses 11,356 6,118 6,918 820 25,212 Income (loss) from operations 4,348 5,192 5,089 (754 ) 13,875 Interest (expense) income allocation (1,253 ) (529 ) (657 ) 48 (2,391 ) Income (loss) before provision for income taxes 3,095 4,495 4,432 (706 ) 11,316 Rental equipment acquisitions 16,359 16,230 2,665 — 35,254 Accounts receivable, net (period end) 45,818 23,095 18,316 2,132 89,361 Rental equipment, at cost (period end) 678,990 269,575 305,751 — 1,254,316 Rental equipment, net book value (period end) 484,598 109,887 244,593 — 839,078 Utilization (period end) 2 74.5 % 58.6 % 61.1 % Average utilization 2 74.2 % 59.9 % 61.1 % 1. Gross Enviroplex sales revenues were $148 and $316 for the three months ended March 31, 2016 and 2015, respectively, which include inter-segment sales to Mobile Modular of $0 and $4, respectively, which have been eliminated in consolidation. 2. Utilization is calculated each month by dividing the cost of rental equipment on rent by the total cost of rental equipment excluding accessory equipment and for Mobile Modular and Adler Tanks excluding new equipment inventory. The Average Utilization for the period is calculated using the average costs of rental equipment .

New Accounting Pronouncements -

New Accounting Pronouncements - Additional Information (Detail) $ in Millions	Dec. 31, 2015USD ($)
Accounting Standards Update No. 2015-03 [Member]
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Reclassification of debt issuance costs from prepaid expenses and other assets to notes payable	$ 0.2

Earnings Per Share - Weighted-A

Earnings Per Share - Weighted-Average Number of Shares of Common Stock Used to Calculate Basic and Diluted Earnings Per Share (Detail) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Earnings Per Share [Abstract]
Weighted-average number of shares of common stock for calculating basic earnings per share	23,862	26,091
Effect of potentially dilutive securities from equity-based compensation	49	185
Weighted-average number of shares of common stock for calculating diluted earnings per share	23,911	26,276

Earnings Per Share - Securities

Earnings Per Share - Securities Not Included in Computation of Diluted Earnings Per Share (Detail) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Earnings Per Share [Abstract]
Options to purchase shares of common stock	1,019	26

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Detail) - shares	Mar. 31, 2016	Aug. 31, 2015	May. 31, 2008
Equity [Abstract]
Common stock shares authorized for repurchase		2,000,000	2,000,000
Shares remain authorized for repurchase	1,592,026

Earnings Per Share - Summary of

Earnings Per Share - Summary of Share Repurchase Activities (Detail) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2015USD ($)$ / sharesshares
Equity [Abstract]
Number of shares repurchased | shares	12,210
Aggregate purchase price | $	$ 377
Average price per repurchased shares | $ / shares	$ 30.91

Intangible Assets - Summary of

Intangible Assets - Summary of Intangible Assets (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Goodwill And Intangible Assets Disclosure [Abstract]
Trade name	$ 5,700	$ 5,700
Customer relationships	9,611	9,611
Intangible Assets, gross	15,311	15,311
Less accumulated amortization	(6,063)	(5,846)
Intangible Assets, net	$ 9,248	$ 9,465
Estimated useful life (In years), Customer relationships	11 years

Intangible Assets - Additional

Intangible Assets - Additional Information (Detail) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Goodwill And Intangible Assets Disclosure [Abstract]
Impairment charge		$ 0
Subsequent impairment of the underlying assets	$ 0
Expected amortization expense for the remainder of 2016	700,000
Expected amortization expense for 2017	900,000
Expected amortization expense for 2018	900,000
Expected amortization expense for 2019	900,000
Expected amortization expense for 2020	$ 200,000

Segment Reporting - Additional

Segment Reporting - Additional Information (Detail) - Segment	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Segment Reporting Information [Line Items]
Number of reportable segments	4
Customer Concentration Risk [Member] | Sales [Member]
Segment Reporting Information [Line Items]
Revenues from customers	10.00%	10.00%
Geographic Concentration Risk [Member] | Sales [Member] | Foreign Country Customers [Member]
Segment Reporting Information [Line Items]
Revenues from customers	5.00%	6.00%

Segment Reporting - Summarized

Segment Reporting - Summarized Financial Information for Company's Reportable Segments (Detail) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Segment Reporting Information [Line Items]
Rental revenues		$ 66,532	$ 65,502
Rental related services revenues		17,591	15,367
Sales and other revenues		9,576	9,319
Total revenues		93,699	90,188
Depreciation of rental equipment		18,540	18,682
Gross profit		40,655	39,087
Selling and administrative expenses		26,397	25,212
Income (loss) from operations		14,258	13,875
Interest (expense) income allocation		(3,556)	(2,391)
Income (loss) before provision for income taxes		10,853	11,316
Rental equipment acquisitions (dispositions)		19,290	35,254
Accounts receivable, net (period end)		91,883	89,361	$ 95,263
Rental equipment, at cost (period end)		1,317,622	1,254,316	1,310,083
Rental equipment, net book value (period end)		867,215	839,078	$ 869,601
Mobile Modular [Member]
Segment Reporting Information [Line Items]
Rental revenues		31,155	26,408
Rental related services revenues		11,205	9,103
Sales and other revenues		2,724	3,373
Total revenues		45,084	38,884
Depreciation of rental equipment		5,126	4,561
Gross profit		20,653	15,704
Selling and administrative expenses		12,462	11,356
Income (loss) from operations		8,191	4,348
Interest (expense) income allocation		(1,947)	(1,253)
Income (loss) before provision for income taxes		6,244	3,095
Rental equipment acquisitions (dispositions)		11,579	16,359
Accounts receivable, net (period end)		50,915	45,818
Rental equipment, at cost (period end)		747,475	678,990
Rental equipment, net book value (period end)		$ 535,308	$ 484,598
Utilization (period end)	[1]	75.40%	74.50%
Average utilization	[1]	76.10%	74.20%
TRS-RenTelco [Member]
Segment Reporting Information [Line Items]
Rental revenues		$ 20,928	$ 22,111
Rental related services revenues		784	656
Sales and other revenues		6,272	5,327
Total revenues		27,984	28,094
Depreciation of rental equipment		9,388	10,152
Gross profit		11,016	11,310
Selling and administrative expenses		5,797	6,118
Income (loss) from operations		5,219	5,192
Interest (expense) income allocation		(730)	(529)
Income (loss) before provision for income taxes		4,640	4,495
Rental equipment acquisitions (dispositions)		7,729	16,230
Accounts receivable, net (period end)		21,393	23,095
Rental equipment, at cost (period end)		260,324	269,575
Rental equipment, net book value (period end)		$ 98,291	$ 109,887
Utilization (period end)	[1]	59.90%	58.60%
Average utilization	[1]	59.60%	59.90%
Adler Tanks [Member]
Segment Reporting Information [Line Items]
Rental revenues		$ 14,449	$ 16,983
Rental related services revenues		5,602	5,608
Sales and other revenues		432	307
Total revenues		20,483	22,898
Depreciation of rental equipment		4,026	3,969
Gross profit		8,942	12,007
Selling and administrative expenses		7,262	6,918
Income (loss) from operations		1,680	5,089
Interest (expense) income allocation		(934)	(657)
Income (loss) before provision for income taxes		746	4,432
Rental equipment acquisitions (dispositions)		(18)	2,665
Accounts receivable, net (period end)		15,386	18,316
Rental equipment, at cost (period end)		309,823	305,751
Rental equipment, net book value (period end)		$ 233,616	$ 244,593
Utilization (period end)	[1]	51.00%	61.10%
Average utilization	[1]	50.30%	61.10%
Enviroplex [Member]
Segment Reporting Information [Line Items]
Sales and other revenues	[2]	$ 148	$ 312
Total revenues	[2]	148	312
Gross profit	[2]	44	66
Selling and administrative expenses	[2]	876	820
Income (loss) from operations	[2]	(832)	(754)
Interest (expense) income allocation	[2]	55	48
Income (loss) before provision for income taxes	[2]	(777)	(706)
Accounts receivable, net (period end)	[2]	$ 4,189	$ 2,132
[1]	Utilization is calculated each month by dividing the cost of rental equipment on rent by the total cost of rental equipment excluding accessory equipment and for Mobile Modular and Adler Tanks excluding new equipment inventory. The Average Utilization for the period is calculated using the average costs of rental equipment.
[2]	Gross Enviroplex sales revenues were $148 and $316 for the three months ended March 31, 2016 and 2015, respectively, which include inter-segment sales to Mobile Modular of $0 and $4, respectively, which have been eliminated in consolidation.

Segment Reporting - Summarize25

Segment Reporting - Summarized Financial Information for Company's Reportable Segments (Parenthetical) (Detail) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
Segment Reporting Information [Line Items]
Revenues		$ 93,699	$ 90,188
Enviroplex [Member]
Segment Reporting Information [Line Items]
Revenues	[1]	148	312
Mobile Modular [Member]
Segment Reporting Information [Line Items]
Revenues		45,084	38,884
Operating Segments [Member] | Enviroplex [Member]
Segment Reporting Information [Line Items]
Revenues		148	316
Inter-segment Eliminations [Member] | Mobile Modular [Member]
Segment Reporting Information [Line Items]
Sales revenues		$ 0	$ 4
[1]	Gross Enviroplex sales revenues were $148 and $316 for the three months ended March 31, 2016 and 2015, respectively, which include inter-segment sales to Mobile Modular of $0 and $4, respectively, which have been eliminated in consolidation.