Sep 30, 2023

United Rentals Q3 2023 Earnings Report

Announced record third quarter results and reaffirmed its full-year 2023 guidance.

Key Takeaways

United Rentals reported record third-quarter results, driven by broad-based activity and the ability to provide customers with a highly differentiated value proposition. Total revenue reached $3.765 billion, with net income of $703 million and adjusted EBITDA of $1.850 billion.

Total revenue reached $3.765 billion, including rental revenue of $3.224 billion.

Net income was $703 million, with a margin of 18.7%, and GAAP diluted earnings per share reached $10.29.

Adjusted EBITDA was $1.850 billion, with a margin of 49.1%.

The company reaffirmed its full-year 2023 guidance.

Total Revenue
$3.77B
Previous year: $3.05B
+23.4%
EPS
$11.7
Previous year: $9.27
+26.5%
Adjusted EBITDA Margin
49.1%
Previous year: 49.9%
-1.6%
Gross Profit
$1.59B
Previous year: $1.37B
+16.0%
Cash and Equivalents
$284M
Previous year: $76M
+273.7%
Free Cash Flow
-$56M
Total Assets
$25.8B
Previous year: $21.4B
+20.6%

United Rentals

United Rentals

United Rentals Revenue by Segment

Forward Guidance

The company has reaffirmed its 2023 outlook, with certain ranges narrowed.

Positive Outlook

  • Total revenue is projected to be between $14.1 billion and $14.3 billion.
  • Adjusted EBITDA is expected to range from $6.775 billion to $6.875 billion.
  • Net rental capital expenditures, after gross purchases, are anticipated to be between $1.9 billion and $2.05 billion.
  • Net cash provided by operating activities is forecasted to be between $4.5 billion and $4.8 billion.
  • Free cash flow (excluding merger and restructuring related payments) is projected to be between $2.3 billion and $2.5 billion.

Revenue & Expenses

Visualization of income flow from segment revenue to net income