Core Viewpoint - Herc Holdings Inc. has announced the promotion of Aaron Birnbaum to president, effective January 1, 2026, as part of the company's succession plan, while Larry Silber continues as CEO [1][2]. Group 1: Leadership Changes - Aaron Birnbaum, previously senior vice president and COO, will take on the role of president, expanding his responsibilities while maintaining leadership over the company's operational strategy and integration plan [1][3]. - Larry Silber will remain as CEO and a member of the Board of Directors, ensuring continuity in leadership during this transition [2]. Group 2: Aaron Birnbaum's Experience - Birnbaum has over 35 years of experience in the equipment rental industry, all with Herc Rentals and its predecessor [3]. - He has been COO since January 2020, overseeing operations including sales, fleet management, safety, procurement, marketing, and customer care [3][4]. - Throughout his career, he has led operational activities across all geographic zones and has been involved in strategic planning, operational execution, and M&A activities [4]. Group 3: Company Overview - Herc Holdings Inc. operates through Herc Rentals Inc. and has 612 locations across North America, with pro forma total revenues of approximately $5.1 billion for 2024 [6]. - The company offers a full line of rental products and services, including aerial, earthmoving, material handling equipment, and industry-specific solutions [6]. - Herc Rentals employs around 9,900 individuals, focusing on helping customers work more efficiently and safely [6].

Core Insights - Herc Holdings reported a strong third quarter for 2025, with total revenues of $1,304 million, a 35% increase from $965 million in the prior year, driven by a 30% rise in equipment rental revenue [6][24] - The company completed the integration of H&E Equipment Services, enhancing operational efficiencies and positioning for long-term market share expansion [2][3] - Adjusted EBITDA for the quarter was $551 million, up 24% year-over-year, with an adjusted EBITDA margin of 42% [6][30] Financial Performance - Equipment rental revenue reached $1,122 million, a 30% increase compared to the previous year [6][24] - Direct operating expenses were $467 million, representing 41.6% of equipment rental revenue, up from 38.6% in the prior-year period [6][8] - Net income for the quarter was $30 million, down from $122 million in the prior-year period, while adjusted net income decreased 40% to $74 million [6][26] Operational Highlights - The company successfully completed the IT integration of acquired branches, allowing for unified operations across various platforms [3] - Dollar utilization was reported at 39.9%, down from 42.2% in the prior-year period, primarily due to lower utilization of the acquired fleet [6][8] - The company opened 17 new locations during the nine months ended September 30, 2025, contributing to its growth strategy [15] Strategic Initiatives - Herc Holdings reaffirmed its full-year 2025 guidance for equipment rental revenue and adjusted EBITDA, excluding the impact of the Cinelease divestiture [13][16] - The company completed the sale of its Cinelease studio entertainment business for $100 million, using proceeds to reduce debt [12][14] - The company aims to capture a larger share of the anticipated increase in construction spending in 2025 through fleet investment and optimization [16]