United Rentals Outlines Innovative Solutions to Maximize Performance on the Worksite

Rhea-AI Summary

United Rentals (NYSE: URI), the world's largest equipment rental company, has released a white paper outlining innovative strategies for creating performance-driven connected worksites. The paper, titled 'Worksite Performance Solutions™', details how construction, industrial, and manufacturing companies can enhance worksite performance by connecting equipment and people through data.

The solution focuses on three key areas: Safety - implementing RFID-enabled badges for secure site and equipment access; Productivity - utilizing cloud-based fleet management software Total Control® and OnDemand technologies for actionable insights; and Sustainability - offering solutions like battery energy storage systems and environmental monitoring to help achieve business and sustainability goals.

Positive

• Introduction of comprehensive digital worksite management solution
• Implementation of data-driven fleet management system
• Integration of safety-enhancing RFID technology

Negative

• None.

Insights

Digital Transformation Analyst

Digital Transformation Strategy Signals URI's Evolution Beyond Equipment Rental

United Rentals' white paper on Worksite Performance Solutions represents a strategic evolution that merits investor attention, though not for immediate financial impact. This initiative signals URI's transformation from a traditional equipment rental provider to a technology-enabled solutions company – a shift that could materially impact its long-term business model.

The connected worksite approach targets the $11 trillion global construction industry's persistent challenges: safety incidents, equipment inefficiency, and sustainability pressures. By integrating RFID access controls, cloud-based fleet management, and environmental monitoring, URI is positioning itself at the intersection of equipment and technology – potentially creating new revenue streams with higher margins than traditional rental services.

From an investment perspective, this strategy addresses three key value drivers:

• Margin expansion potential through high-value digital services that typically command 60-80% gross margins versus equipment rental's 40-50%
• Customer retention improvement by embedding URI deeper into client workflows, increasing switching costs
• Competitive differentiation in a commoditized market where price is often the primary decision factor

The timing aligns with construction's digital transformation acceleration, with McKinsey estimating that digitization could boost industry productivity by 14-15% and reduce costs by 4-6%. URI appears to be getting ahead of this trend rather than reacting to it.

While this announcement contains no immediate financial projections, investors should monitor several metrics in coming quarters: adoption rates of digital solutions, changes in customer retention, and any shifts in revenue mix toward technology services. The initiative's success will ultimately depend on URI's execution and whether customers perceive sufficient value to pay premiums for these enhanced capabilities.

White Paper Details Ways to Create Performance-Driven Connected Worksites

STAMFORD, Conn.--(BUSINESS WIRE)-- United Rentals, Inc. (NYSE: URI), the world’s largest equipment rental company, today outlined steps construction, industrial and manufacturing companies can take to improve worksite performance by connecting people and equipment through data. The approach provides innovative, yet practical, ways companies can link nearly every part of a worksite - from the perimeter gate to the back office - to increase safety, productivity and sustainability.

The white paper, Worksite Performance Solutions™, explores strategies to create connected worksites that deliver maximum performance.

“At United Rentals, our aspiration is to connect the worksite.” said Tony Leopold, Senior Vice President, Chief Technology & Strategy Officer, United Rentals. “By jointly innovating with our customers, we are developing new ways to improve worksite safety, productivity, and sustainability.”

The white paper discusses how Worksite Performance Solutions help companies drive improvements in three areas:

Safety. Busy, high-traffic worksites can be dangerous places, and Worksite Performance Solutions enable companies to increase safety and security in a number of ways. Site and equipment access linked to RFID-enabled badges help ensure safe and authorized operations from the worksite perimeter to individual machines.

Productivity. The data behind a connected worksite provides valuable insights into worksite performance and opportunities to reduce equipment-related downtime. The cloud-based fleet management software, Total Control® and a suite of OnDemand technologies gives customers visibility and actionable insights that drive productivity.

Sustainability. Using data and innovative solutions, companies can identify practical ways to reduce costs and work toward sustainability goals. From alternative solutions that help save on fuel costs like battery energy storage systems, and solutions like environmental monitoring, customers can choose practical solutions that help them achieve business goals.

To learn more about United Rentals and Worksite Performance Solutions, visit unitedrentals.com.

About United Rentals

United Rentals, Inc. is the largest equipment rental company in the world. The company has an integrated network of 1,591 rental locations in North America, 39 in Europe, 37 in Australia and 19 in New Zealand. In North America, the company operates in 49 states and every Canadian province. The company’s approximately 27,900 employees serve construction and industrial customers, utilities, municipalities, homeowners and others. The company offers a fleet of equipment for rent with a total original cost of $21.43 billion. United Rentals is a member of the Standard & Poor’s 500 Index, the Barron’s 400 Index and the Russell 3000 Index® and is headquartered in Stamford, Conn. Additional information about United Rentals is available at unitedrentals.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250225336839/en/

Elizabeth Grenfell

Vice President, Investor Relations

O: (203) 618-7125

investors@ur.com

Source: United Rentals, Inc.

FAQ

What are the key features of United Rentals' Worksite Performance Solutions?

The solution focuses on three main areas: safety through RFID-enabled access control, productivity via Total Control® fleet management software, and sustainability through battery storage systems and environmental monitoring.

How does URI's Total Control software improve worksite productivity?

Total Control® provides cloud-based fleet management with visibility and actionable insights to reduce equipment-related downtime and improve worksite performance.

What safety measures are included in URI's Worksite Performance Solutions?

The solution implements RFID-enabled badges for secure site access and equipment operation authorization, enhancing safety in high-traffic worksites.

How does United Rentals' new solution support sustainability goals?

It offers battery energy storage systems and environmental monitoring solutions to help reduce fuel costs and achieve sustainability objectives.