Welcome to our dedicated page for Herc Holdings news (Ticker: HRI), a resource for investors and traders seeking the latest updates and insights on Herc Holdings stock.
Herc Holdings Inc. (HRI), operating through its subsidiary Herc Rentals, is one of North America’s leading full-service equipment rental firms. With over 50 years of industry expertise, the company provides a comprehensive range of equipment and services that empower customers to achieve operational efficiency and project success. Herc Holdings serves a diverse customer base across key industry verticals, including construction, industrial manufacturing, government entities, infrastructure projects, and entertainment and events. Its expansive footprint includes approximately 270 company-operated locations primarily in the United States and Canada, supported by a workforce of approximately 4,800 employees.
Core Business Model and Revenue Streams
Herc Holdings generates revenue primarily through the rental of a wide array of equipment, ranging from aerial lifts and earthmoving machinery to specialty items tailored for niche applications. The company’s business model is centered on providing customers with flexible rental solutions, which cater to both short-term project needs and long-term operational requirements. Ancillary services such as equipment maintenance, delivery, and on-site support further enhance Herc’s value proposition, ensuring that customers receive end-to-end solutions tailored to their unique needs.
Industry Context and Competitive Landscape
Operating within the capital-intensive equipment rental industry, Herc Holdings is a significant player, competing alongside industry giants such as United Rentals and Sunbelt Rentals. The company holds an estimated 4% market share in North America, a testament to its operational scale and customer-focused approach. The broader industry is characterized by economic cyclicality, with demand often tied to construction and industrial activity. Herc differentiates itself through its extensive catalog of equipment, strategic focus on specialty rentals, and ability to serve niche markets like emergency response, environmental remediation, and entertainment production.
Specialized Solutions and Market Diversification
In recent years, Herc Holdings has strategically expanded its offerings to include specialty equipment rentals, catering to complex and highly specific customer needs. Additionally, the company has introduced long-term rental solutions for industrial customers, wherein Herc maintains its own staff at customer sites to provide seamless operational support. These initiatives reflect Herc’s commitment to diversifying its revenue streams and strengthening customer relationships by offering tailored, high-value solutions.
Operational Strengths and Value Proposition
Herc Holdings’ operational strengths lie in its extensive network of rental locations, robust fleet of equipment valued at billions of dollars, and a seasoned team with decades of industry expertise. The company’s value proposition is further enhanced by its focus on customer satisfaction, achieved through reliable equipment performance, timely service delivery, and comprehensive support. Herc’s ability to serve a wide range of industries, from construction and industrial manufacturing to entertainment and government projects, underscores its versatility and market relevance.
Challenges and Strategic Positioning
Despite its strengths, Herc Holdings faces challenges inherent to the equipment rental industry, including high fleet maintenance costs, economic sensitivity, and intense competition. However, the company’s strategic focus on specialty markets and long-term customer relationships positions it to navigate these challenges effectively. By leveraging its operational scale, industry expertise, and customer-centric approach, Herc continues to solidify its standing as a trusted partner for equipment rental solutions.
In summary, Herc Holdings Inc. stands as a pivotal player in the North American equipment rental industry, distinguished by its extensive experience, diverse customer base, and innovative solutions. The company’s ability to adapt to evolving market needs while maintaining a steadfast commitment to operational excellence ensures its continued relevance in a competitive landscape.
Herc Holdings reported strong financial results for Q2 2021, with equipment rental revenue rising 36.8% to $448 million and total revenue increasing 33.4% to $490.9 million. Net income surged to $47.1 million, or $1.55 per diluted share, compared to $2 million in Q2 2020. The company raised its adjusted EBITDA guidance for the year to between $840 million and $870 million, reflecting improved operating efficiencies and market demand. Q1-Q2 2021 generated $141.1 million in free cash flow, with net leverage dropping to 1.9x, below its target range.
Herc Holdings Inc. (NYSE: HRI) will host its second quarter 2021 earnings call on July 22, 2021, at 8:30 a.m. EDT. A press release with financial results will precede the call. Shareholders can participate by dialing in ahead of the start time. Herc Holdings, a leading equipment rental supplier with 282 locations in North America, reported revenues of approximately $1.8 billion in 2020. The company offers a diverse range of equipment for rent and aims to assist customers in working efficiently and safely.
Herc Holdings Inc. (NYSE: HRI) will participate in the Goldman Sachs Industrials & Materials Conference on May 12, 2021. The event will feature a live webcast of a fireside chat with CEO Larry Silber and CFO Mark Irion at 9:40 AM EDT. A recording will be available on the company’s website for 30 days post-event.
Herc Holdings operates approximately 282 locations across North America, offering a wide range of equipment rentals and services. In 2020, the company reported total revenues of approximately $1.8 billion.
Herc Holdings reported strong financial results for Q1 2021, with equipment rental revenue at $400.4 million, a 3.6% increase year-over-year. Total revenues rose 4.0% to $453.8 million. The company achieved net income of $32.9 million, compared to a loss of $3.7 million the previous year. Adjusted EBITDA surged 25.0% to $184.6 million, with a record margin of 40.7%. Cash flow improved to $72.5 million from $39.2 million in 2020. Updated guidance for adjusted EBITDA now ranges from $800 million to $840 million.
Herc Holdings Inc. (NYSE: HRI) is set to host its first quarter 2021 earnings call on April 22, 2021, at 8:30 a.m. EDT. A press release detailing the financial results will be published the same day. The call and accompanying presentation can be accessed via the Investor Relations section of their website. Participants can dial in using U.S. and international numbers provided, and a replay will be available online for two weeks following the event.
Herc Holdings Inc. (NYSE: HRI) announced its participation in the Bank of America Securities Global Industrials Conference on March 16, 2021. CEO Larry Silber and CFO Mark Irion will engage in a fireside chat from 10:50 to 11:30 AM EDT. The event will be accessible via a live link. Herc Holdings operates through its subsidiary Herc Rentals Inc., boasting 277 locations in North America and approximately 4,800 employees. The company reported total revenues of around $1.8 billion in 2020, providing a wide range of rental equipment and industry-specific services.
Herc Holdings (NYSE: HRI) reported Q4 2020 financial results, with equipment rental revenue at $427.3 million, down from $457.0 million year-over-year. Total revenues were $520.4 million, a decrease from $540.1 million. Net income rose slightly to $35.5 million, or $1.19 per diluted share, compared to $35.1 million in Q4 2019. Adjusted net income was $40.2 million, reflecting improved free cash flow of $424.5 million for the year. The company anticipates 2021 adjusted EBITDA between $730 million and $760 million, aiming for pre-pandemic profitability levels.
Herc Holdings Inc. (NYSE: HRI) will hold its fourth quarter and full year 2020 earnings call on February 18, 2021, at 8:30 a.m. ET. The financial results will be released on the same day, prior to the call. Interested parties can access the call via dial-in numbers or by visiting the Investor Relations section on the company's website. A replay will be available for two weeks following the call. Herc Holdings operates approximately 270 rental locations in North America, providing a full range of equipment for rent with total revenues of approximately $2.0 billion in 2019.
Herc Holdings Inc. (NYSE: HRI) has acquired substantially all assets of Champion Rentals, Inc. based in Houston. This deal increases Herc Rentals' Houston locations to 12, enhancing its service capabilities in a critical market for contractors and government clients. Established in 1982, Champion is known for its premium equipment and customer service. The acquisition aligns with Herc's strategy to grow its presence in key urban areas and is expected to positively impact earnings in the first year. Herc's solid financial standing supports its future growth initiatives.
Herc Holdings reported third-quarter 2020 financial results, revealing equipment rental revenue of $402.3 million and total revenues of $456.7 million, down from $459.6 million and $508.1 million in 2019. Net income surged to $39.9 million, or $1.35 per diluted share, from $9.4 million, while adjusted net income fell to $39.8 million. Adjusted EBITDA decreased by 6.1% to $196.7 million, though margins improved to 43.1%. The company raised its full-year adjusted EBITDA guidance to between $655 million and $675 million, emphasizing strong cash flow and reduced leverage.
FAQ
What is the current stock price of Herc Holdings (HRI)?
What is the market cap of Herc Holdings (HRI)?
What does Herc Holdings Inc. do?
Who are Herc Holdings’ primary customers?
How does Herc Holdings generate revenue?
What makes Herc Holdings different from its competitors?
What challenges does Herc Holdings face in its industry?
What industries does Herc Holdings serve?
How extensive is Herc Holdings’ operational footprint?
What is Herc Holdings’ approach to long-term rentals?
