What caused MGRC's Q4 earnings to fall short?

McGrath RentCorp's (MGRC) Q4 earnings fell short primarily due to a significant increase in selling and administrative expenses, which rose by 31%. This increase was driven by $12.4 million in transaction costs related to the pending merger with WillScot Mobile Mini. Additionally, the company incurred a $180 million termination payment, which further impacted its net income. Despite these challenges, the company's revenue surpassed estimates, with a reported $212.6 million.

|code|Ticker|Name|Date|Net Income|market_code|
|---|---|---|---|---|---|
|MGRC|MGRC.O|McGrath Rentcorp|2024 Q1|2.2848E7|185|
|MGRC|MGRC.O|McGrath Rentcorp|2024 Q2|2.0618E7|185|
|MGRC|MGRC.O|McGrath Rentcorp|2024 Q3|1.49317E8|185|
|MGRC|MGRC.O|McGrath Rentcorp|2024 Q4|3.8949E7|185|

|code|Ticker|Name|Date|Net Income YoY|Net Income|market_code|
|---|---|---|---|---|---|---|
|TRT|TRT.A|Trio-Tech|2024 Q3|201.85185185185185|163000|170|
|TRT|TRT.A|Trio-Tech|2024 Q4|77.63975155279503|286000|170|
|TRT|TRT.A|Trio-Tech|2025 Q1|-207.7294685990338|-223000|170|
|TRT|TRT.A|Trio-Tech|2025 Q2|8.847736625514404|529000|170|