United Rentals(URI) - 2025 Q3 - Quarterly Results

Financial Performance - Total revenue for Q3 2025 reached $4.229 billion, with rental revenue accounting for $3.665 billion, marking a year-over-year increase of 5.8%[6] - Net income for the quarter was $701 million, resulting in a net income margin of 16.6%, a decrease of 110 basis points year-over-year[12] - Adjusted EBITDA for Q3 2025 was $1.946 billion, with an adjusted EBITDA margin of 46.0%, down 170 basis points from the previous year[12] - Total revenues for Q3 2025 reached $4,229 million, a 5.9% increase from $3,992 million in Q3 2024[23] - Net income for the nine months ended September 30, 2025, was $1,841 million, compared to $1,886 million for the same period in 2024, indicating a slight decrease of 2.4%[23] - Diluted earnings per share for Q3 2025 were $10.91, an increase from $10.70 in Q3 2024, representing a growth of 2.0%[23] - The company reported a gross profit of $1,665 million for Q3 2025, slightly up from $1,648 million in Q3 2024, a growth of 1.0%[23] - For the three months ended September 30, 2025, net income was $701 million, a decrease of 1% from $708 million in the same period of 2024[45] - The adjusted EBITDA margin for the three months ended September 30, 2025, was 46.0%, down from 47.7% in 2024[45] - The company reported a net income margin of 16.6% for the three months ended September 30, 2025, compared to 17.7% in 2024[45] Revenue Segments - The specialty rentals segment saw a rental revenue increase of 11.4% year-over-year, reaching $1.265 billion[12] - Equipment rentals contributed $3,665 million to revenues, up from $3,463 million year-over-year, reflecting a 5.8% growth[23] - Total equipment rentals revenue increased by 5.8% to $3,665 million for the three months ended September 30, 2025, compared to $3,463 million in 2024[35] - Specialty equipment rentals revenue grew by 11.4% to $1,265 million for the three months ended September 30, 2025, up from $1,136 million in 2024[35] - The gross profit for total equipment rentals for the nine months ended September 30, 2025, was $3,902 million, a 1.9% increase from $3,830 million in 2024[35] Cash Flow and Liquidity - Year-to-date free cash flow was $1.192 billion, reflecting a slight decrease of 1.6% compared to the same period last year[12] - Total liquidity was reported at $2.452 billion, including $512 million in cash and cash equivalents[12] - Cash provided by operating activities was $1,181 million for the three months ended September 30, 2025, slightly down from $1,204 million in 2024[28] - The net cash provided by operating activities for the three months ended September 30, 2025, was $1,181 million, compared to $1,204 million in 2024[50] - Free cash flow for the nine months ended September 30, 2025, was $1,192 million, slightly down from $1,211 million in 2024[50] - For the forecasted year 2025, net cash provided by operating activities is expected to be between $5,000 million and $5,400 million[52] - Free cash flow excluding merger and restructuring related payments is projected to be between $2,100 million and $2,300 million for 2025[52] Guidance and Projections - The company raised its 2025 total revenue guidance to between $16.0 billion and $16.2 billion, up from the previous range of $15.8 billion to $16.1 billion[8] - Net rental capital expenditures for 2025 are now projected to be between $2.55 billion and $2.75 billion, an increase from the prior estimate of $2.2 billion to $2.5 billion[8] Debt and Leverage - The net leverage ratio stood at 1.86x as of September 30, 2025, compared to 1.81x at the end of 2024[12] - Long-term debt increased to $12,600 million from $12,228 million, indicating a rise of 3.0%[26] - Total liabilities increased to $21,065 million from $19,541 million, reflecting an increase of 7.8%[26] Shareholder Returns - The company returned $1.633 billion to shareholders year-to-date, comprising $1.283 billion in share repurchases and $350 million in dividends[6] - The company declared dividends of $1.79 per share in Q3 2025, up from $1.63 in Q3 2024, marking a 9.8% increase[23] Restructuring and Special Items - The company incurred total restructuring charges of $384 million since initiating its first restructuring program in 2008, with no open restructuring programs currently[45] - The impact of the merger termination benefit associated with the terminated H&E acquisition was a net after-tax benefit of $29 million for net income and a net $52 million benefit for adjusted EBITDA for the nine months ended September 30, 2025[45]