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Herc Holdings

Herc Holdings (HRI) Q2 2026 Earnings

Reported Jul 28, 2026 at 6:31 AM ET · SEC Source

Q2 26 EPS

$1.43

BEAT +95.01%

Est. $0.73

Q2 26 Revenue

$1.20B

BEAT +6.09%

Est. $1.13B

vs S&P Since Q2 26

-2.2%

TRAILING MARKET

HRI +1.2% vs S&P +3.4%

Market Reaction

Did HRI Beat Earnings? Q2 2026 Results

Herc Holdings delivered a convincing second-quarter beat on Wednesday, with adjusted EPS of $1.43 coming in 95.01% above the $0.73 consensus estimate as the equipment rental giant reaped early rewards from its transformative H&E Equipment Services ac… Read more Herc Holdings delivered a convincing second-quarter beat on Wednesday, with adjusted EPS of $1.43 coming in 95.01% above the $0.73 consensus estimate as the equipment rental giant reaped early rewards from its transformative H&E Equipment Services acquisition. Total revenues climbed 20.2% year-over-year to $1.20 billion, ahead of the $1.13 billion analysts had anticipated, with equipment rental revenue alone rising 23% to $1.07 billion on the strength of a larger post-acquisition fleet and surging mega project activity. Adjusted EBITDA grew 19% to $487.00 million, though margin edged slightly lower to 40.4% as fuel inflation created roughly 150 basis points of headwind. On a GAAP basis, the company posted net income of $19.00 million, compared to a net loss of $35.00 million a year ago when deal-related charges weighed heavily. Management raised full-year 2026 guidance, lifting equipment rental revenue expectations to $4.38 billion-$4.48 billion and adjusted EBITDA to $2.05 billion-$2.13 billion, signaling confidence that integration synergies and fleet expansion will sustain momentum through year-end.

Key Takeaways

  • • H&E Equipment Services acquisition adding scale, fleet capacity, talent and branch density
  • • 23% increase in equipment rental revenue driven by larger fleet size, mega project volume, and revenue synergies
  • • Dollar utilization improved to 39.3% from 38.3% year-over-year
  • • National accounts led growth fueled by robust mega project activity
  • • Higher mix of specialty equipment rentals generating double-digit revenue growth
  • • Revenue synergies and cost synergies tracking to plan
  • • Disciplined fleet management drove positive fleet efficiency

HRI Forward Guidance & Outlook

Herc Holdings raised its full-year 2026 guidance. Equipment rental revenue guidance increased to $4.375 billion–$4.475 billion from $4.275 billion–$4.4 billion. Adjusted EBITDA guidance increased to $2.05 billion–$2.125 billion from $2.0 billion–$2.1 billion. Net rental equipment capital expenditures guidance raised to $850 million–$950 million from $500 million–$800 million, and gross capex to $1.25 billion–$1.4 billion from $800 million–$1.1 billion. Key assumptions include revenue synergies of an incremental $100M–$120M, cost synergies of an incremental $90M for a fully realized target of $125M by year-end 2026, fuel inflation persisting through the remainder of 2026, fleet dispositions at OEC of approximately $900M–$950M, an effective tax rate of approximately 25%, and free cash flow in the range of $250M–$350M.

24/7 Wall St

HRI YoY Financials

Q2 2026 vs Q2 2025, source: SEC Filings

24/7 Wall St

HRI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q2 26

“After successfully completing the H&E integration in the first quarter, the second quarter marked an important turning point for Herc Rentals, with our key metrics improving on a combined, comparable basis, both sequentially and year-over-year. Revenue synergies and cost synergies are tracking to plan. And while fuel inflation was a macroeconomic headwind in the quarter, we are taking additional actions to mitigate its impact. Importantly, disciplined fleet management drove positive fleet efficiency, supported by increased rental activity.”

— Larry Silber, Q2 2026 Earnings Press Release

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