SerpApi.Org
United Rentals Inc. (URI) raised its full-year financial outlook after reporting record second-quarter results that topped Wall Street expectations, sending shares up 10% in extended trading Wednesday.
The world's largest equipment rental company reported second-quarter revenue of $4.41 billion, ahead of analysts' consensus estimate of $4.21 billion. Adjusted earnings came to $12.76 a share, exceeding the consensus forecast of $11.59. As of Wednesday's regular market close, the stock had gained about 27% year to date.
Net income rose to $753 million, or $12.03 a share, from $622 million, or $9.59 a share, a year earlier.
Rental revenue climbed 12.7% from a year earlier to a record $3.85 billion, helped by a 3.4% increase in fleet productivity and continued strength in demand across large construction and industrial projects. Total revenue increased to a quarterly record of $4.41 billion from $3.94 billion a year ago.
Chief Executive Matthew Flannery said, "Our growth accelerated in the quarter, customers remain optimistic, particularly around large projects, and we continue to demonstrate strong cost discipline."
The company, whose fleet includes earthmoving equipment, aerial work platforms, forklifts, trench safety equipment and power and HVAC systems, said its one-stop-shop rental model and technology offerings continued to differentiate it in the market.
Outlook lifted
United Rentals (URI) increased its 2026 revenue outlook to $17.5 billion to $17.8 billion, up from its previous forecast of $16.9 billion to $17.4 billion. The new range is above the Wall Street consensus estimate of $17.26 billion.
The company also raised its forecast for adjusted earnings before interest, taxes, depreciation and amortization to $7.975 billion to $8.125 billion, compared with its prior outlook of $7.625 billion to $7.875 billion.
Net rental capital expenditures are now expected to be $3.4 billion to $3.8 billion, after gross purchases of $4.85 billion to $5.25 billion, compared with the prior forecast of $2.95 billion to $3.35 billion, after gross purchases of $4.4 billion to $4.8 billion.
United Rentals (URI) also increased its forecast for operating cash flow to $5.85 billion to $6.65 billion, from $5.4 billion to $6.2 billion previously, while maintaining its forecast for free cash flow excluding restructuring-related payments at $2.15 billion to $2.45 billion.
Flannery said the higher outlook reflects "the tailwinds we see across large projects, customer backlogs, and the momentum witnessed year-to-date."
During the first six months of 2026, United Rentals (URI) returned $998 million to shareholders through $750 million of share repurchases and $248 million in dividends. The company expects to complete $1.5 billion of share repurchases during 2026.
