McGrath RentCorp (MGRC) Earnings Call Transcript & Summary

Hello, and welcome to the Annual Meeting of Stockholders of McGrath RentCorp. Please note that today's meeting is being recorded. [Operator Instructions] It is now my pleasure to turn today's meeting over to Joe Hanna, CEO of McGrath RentCorp. Mr. Hanna, the floor is yours.

Ladies and gentlemen, welcome to McGrath RentCorp's 2021 Annual Shareholders' Meeting, presented virtually this year to protect the health and safety of our employees, shareholders and our community as we continue to navigate the COVID-19 pandemic. I am Joe Hanna, CEO, President and a director of McGrath RentCorp. After the formal part of the meeting, we will answer shareholder questions. Only shareholders who joined the meeting using a valid control number may ask questions in the designated field on the meeting web portal. Now I'd like to note some of the individuals joining us remotely today: McGrath RentCorp's Board of Directors, including Ron Zech, Chairman of the Board. This annual meeting is Ron's last meeting serving as our Board Chair. And as previously announced in our proxy, he is retiring after today's meeting. Ron's service to the Board has been incredibly valuable. He brought to the boardroom a knowledge of finance in the rental industry and the challenges of managing a large and dispersed fleet. He was always concerned about our culture and knew how important that was to our success. Ron always asked great questions that were insightful and relevant. Ron, I would like to personally thank you for your help in getting me up to speed in my role as CEO. You were a great sounding board, and your guidance was spot on. On behalf of the leadership team, we thank you for your many years of service and valuable contributions to our Board and our company, and we wish you the best. Also a representative from Grant Thornton is with us today, Tony Perazzo, our audit partner. Tony will be available to respond to appropriate questions during our Q&A session later in the meeting. At this time, I'd like to turn things over to Melodie Craft, who is serving as the Secretary of and Inspector of Elections for today's meeting. Melodie?

I'm Melodie Craft, Vice President of Legal Affairs and Risk Management. I've been appointed to serve today as Secretary of the meeting as well as the Inspector of Elections. At this time, I'll review a few voting procedures. First, in voting on the matters presented at this meeting, only shareholders of the company of record as of April 12, 2021, or a person holding a duly executed proxy of such shareholder may vote. For shareholders who've already sent in their proxies, your votes have been counted and you do not need to vote at this time. Any shareholder who has not yet voted or wishes to change a vote may do so now, following the instructions contained on the web portal for this virtual annual meeting. No further action is necessary for shareholders who have sent in proxy cards already. This meeting has been called pursuant to due notice. After examining the proxies submitted, we have present at this meeting in -- by virtual presence or by proxy shareholders holding a majority of the company's common stock entitled to vote at this meeting. We have a quorum, and the meeting is ready for business and legally convened. The first proposal of the meeting is the election of 8 directors to the company's Board of Directors. The Board of Director nominees are Kimberly Box, Smita Conjeevaram, William Dawson, Elizabeth Fetter, Joseph Hanna, Bradley Shuster, M. Richard Smith and Dennis Stradford. The second proposal to be voted on today is the ratification of the appointment of Grant Thornton LLP as our independent auditors for the fiscal year ending December 31, 2021. The third proposal to be voted on today is a nonbinding advisory vote on the compensation of the company's named executive officers. If any shareholder wishes to vote or to change a vote on our web portal, this is the last chance to do so. [Voting]

At this time, the polls are closed. I will now announce the results. As Inspector of Election, I can report that the results of today's votes are that a requisite number of shares have voted for the election of the company's 8 director nominees, have ratified the appointment of Grant Thornton LLP as the company's independent auditors and have voted for the nonbinding approval of the compensation of the named executive officers. The company will report the final vote results for each proposal in a Form 8-K to be filed after this meeting. This concludes the scheduled agenda for this annual meeting. As Secretary of the company, I did not receive proper notice of any other business or proposal to come before the meeting. I now turn the meeting back over to Joe.

Thank you, Melodie. The formal portion of this meeting is now adjourned.

Before we move into our question-and-answer session, please note that management may make statements that are considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can also be identified by the forward-looking terminologies such as believes, expects, may, estimates, will, should, plans, anticipates; or by discussions of strategy. These statements are not historical facts or guarantees of future performance and are subject to a number of risks and uncertainties. Actual results may differ materially from any of these statements. For a description of the factors that could cause actual results to differ materially from the company's expectations, please refer to our annual report on Form 10-K filed February 23, 2021, and subsequent reports filed with the Securities and Exchange Commission. All forward-looking statements are made as of the date hereof, and we assume no obligation to update any such statements.

At this time, we would like to take any questions you might have for us today. [Operator Instructions] Just waiting for -- to see if we have a question. Okay, well, I'm not seeing any questions, so I would like to thank everyone for attending the meeting, and we are now adjourned.

This does conclude the meeting. You may now disconnect.