Herc Holdings Reports Third Quarter 2025 Results

Herc Holdings Inc., a leading equipment rental supplier, has released its financial results for the third quarter of 2025. The company reported significant growth in revenue and adjusted EBITDA, despite facing some challenges related to its recent acquisition of H&E Equipment Services.

Financial Highlights

For the third quarter of 2025, Herc Holdings reported:

• Total revenues increased by 35% to $1.304 billion, driven by a 30% increase in equipment rental revenue.
• Net income was $30 million, or $0.90 per diluted share, compared to $122 million in the prior-year period.
• Adjusted net income was $74 million, or $2.22 per diluted share, down from $124 million, or $4.35 per diluted share, in the prior-year period.
• Adjusted EBITDA increased by 24% to $551 million, with an adjusted EBITDA margin of 42.3%.

Business and Operational Highlights

Key operational achievements for the quarter include:

• Completion of the H&E technology integration, with all acquired branches now operating on Herc’s systems and network infrastructure.
• Successful sale of the Cinelease studio entertainment business on July 31, 2025.
• Opening of 17 greenfield locations during the first nine months of 2025.

Strategic Initiatives and Corporate Developments

Herc Holdings has been actively managing its capital and strategic initiatives:

• Net rental equipment capital expenditures were $529 million for the first nine months of 2025.
• Net debt stood at $8.2 billion as of September 30, 2025, with net leverage of 3.8x.
• The company declared a quarterly dividend of $0.70 per share, paid on September 5, 2025.

Management's Perspective

Larry Silber, President and CEO of Herc Holdings, commented on the results: “As we continue to execute on our strategic priorities, the third quarter marked a pivotal step in unlocking the value of our acquisition of H&E Equipment Services. Our combined team now operates from a single, unified dashboard, driving efficiencies and positioning us for long-term market-share expansion.”

Future Outlook

The company reaffirmed its full-year 2025 guidance, excluding the Cinelease business:

• Equipment rental revenue: $3.7 billion to $3.9 billion
• Adjusted EBITDA: $1.8 billion to $1.9 billion
• Net rental equipment capital expenditures: $400 million to $600 million
• Gross capex: $900 million to $1.1 billion

Original SEC Filing: HERC HOLDINGS INC [ HRI ] - 8-K - Oct. 28, 2025