McGrath RentCorp (NASDAQ:MGRC) reported first-quarter 2019 results this week, and there was a lot for investors to be impressed by. Revenue and net income were up double digits, but more important, each one of the company's segments reported growth. 

Let's dive into the results and what they mean for the company in 2019. 

Modular building in shades of green.

Image source: Getty Images.

McGrath RentCorp: The raw numbers

Metric Q1 2019 Q1 2018 Year-Over-Year Change
Sales $122.0 million $105.1 million  16.1% 
Net income $18.4 million  $14.4 million  27.5% 
Diluted EPS $0.75  $0.59  27.1% 

Data source: McGrath RentCorp Q1 2019 earnings release. 

What happened with McGrath RentCorp this quarter? 

The headline results are impressive, and digging into segment results shows widespread growth. The mobile modular segment once again led the way, and there was a lot of operating leverage for the business units. Here's a breakdown of the results. 

  • Mobile modular rental revenue increased 14% to $42.3 million, and income from operations was up 26% to $15.5 million. Sales revenue rose 74% to $8 million in the quarter. 
  • TRS-RenTelco rental revenue was up 10% to $23.6 million, and income from operations increased 6% to $7.7 million. Sales revenue jumped 11% to $5.8 million. 
  • Adler tank division rental revenue gained 7% to $16.8 million, and income from operations rose 36% to $4.3 million. 
  • Cash provided by operating activities jumped from $31.2 million a year ago to $46.5 million. 
  • McGrath RentCorp's dividend was increased by 10% versus a year ago to $0.375 per share. That's about a 2.4% yield for the stock. 

With positive results across the board, management had a lot to like. 

What management had to say

CEO Joe Hanna seemed happy with results, saying in the press release, "We still have plenty of work to do to deliver on this year's financial and operating goals[;] however, customer and field feedback on project activity has been positive. We are encouraged by our early successes and will be working hard to keep our positive momentum throughout 2019." 

Management also reconfirmed full-year operating profit growth guidance of 5% to 10%, so investors can expect a steady growth year. 

Looking forward

McGrath RentCorp's business continues to steadily improve on growing demand in all its segments. Adler tanks, in particular, have been a drag periodically over the past few years as energy prices have fluctuated. But with oil prices up and U.S. producers increasing their drilling, the good times may keep rolling through the rest of 2019.