Herc Holdings reports mixed Q1 results, maintains 2025 outlook

Published 22/04/2025, 11:48
Herc Holdings reports mixed Q1 results, maintains 2025 outlook

NEW YORK - Herc Holdings Inc. (NYSE:HRI) reported mixed first quarter results on Tuesday, with revenue beating expectations but earnings falling short, as the equipment rental company maintained its full-year 2025 outlook.

The company’s stock was unchanged in premarket trading following the earnings release.

The Bonita Springs, Florida-based company reported adjusted earnings per share of $1.30 for the first quarter, missing the analyst consensus estimate of $2.24. Revenue came in at $861 million, surpassing expectations of $847.71 million and rising 7% year-over-year.

Herc’s equipment rental revenue grew 3% to a record $739 million in Q1. However, adjusted EBITDA was flat at $339 million compared to the prior year period, with adjusted EBITDA margin contracting to 39.4% from 42.2% a year ago.

"As expected, the 2025 operating landscape continues to be a tale of two disparate economic trends," said Larry Silber, president and CEO. "Our national account business is growing, fueled by federal and private funding for large construction projects like data centers, manufacturing onshoring and LNG facilities. At the same time, while facility maintenance, municipal, and infrastructure projects are supporting the local markets, other more interest-rate sensitive projects continue to be on hold, restricting overall local account growth."

For full-year 2025, Herc maintained its outlook for equipment rental revenue growth of 4% to 6%.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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