Herc Holdings

Herc Holdings (HRI) Q4 2025 Earnings

Reported Feb 17, 2026 at 6:31 AM ET · SEC Source

Q4 25 EPS

$2.07

BEAT +10.96%

Est. $1.87

Q4 25 Revenue

$1.21B

MISS 3.48%

Est. $1.25B

vs S&P Since Q4 25

-8.9%

TRAILING MARKET

HRI +3.2% vs S&P +12.1%

Full Year 2025 Results

FY 25 EPS

$7.61

FY 25 Revenue

$4.38B

Market Reaction

Did HRI Beat Earnings? Q4 2025 Results

Herc Holdings delivered a mixed fourth quarter for fiscal 2025, beating earnings expectations while falling short on the top line as the weight of its transformative H&E Equipment Services acquisition reshaped nearly every line of the income statemen… Read more Herc Holdings delivered a mixed fourth quarter for fiscal 2025, beating earnings expectations while falling short on the top line as the weight of its transformative H&E Equipment Services acquisition reshaped nearly every line of the income statement. The company posted adjusted EPS of $2.07, clearing the $1.87 consensus estimate by 10.96%, but revenue of $1.21 billion trailed the $1.25 billion consensus by 3.48%, even as total sales climbed 27.1% year over year. The gap between earnings strength and revenue softness traces directly to elevated interest expense, which doubled to $134.00 million in the quarter as debt issued to fund the H&E deal weighed on reported results, while adjusted EBITDA still grew 19% to $519.00 million. Margin compression of 320 basis points, partly driven by higher auction-channel used equipment sales to optimize the acquired fleet, has drawn investor scrutiny around Herc's longer-term margin trajectory. A director's open-market share purchase near quarter-end signaled some internal confidence. Looking ahead, management guided 2026 equipment rental revenue of $4.28 billion to $4.40 billion and adjusted EBITDA of $2.00 billion to $2.10 billion, with $125.00 million in cost synergies expected to be fully realized.

Key Takeaways

  • H&E acquisition driving 27% revenue growth through expanded fleet and branch network
  • Equipment rental revenue increased 24% year-over-year in Q4
  • Adjusted EBITDA increased 19% to $519 million in Q4
  • Cost synergies tracking ahead of plan
  • Sales of rental equipment increased $51 million as acquired fleet was sold to improve mix and utilization
  • Average fleet at OEC increased 35% in Q4 compared to prior-year period
24/7 Wall St

HRI YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

24/7 Wall St

HRI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q2 26

“2025 was a pivotal year for Herc Rentals. In June, we completed the largest acquisition in our industry, bringing together two high‑quality equipment rental operators to create significant long‑term strategic and financial value.”

— Larry Silber, Q4 2025 Earnings Press Release