20.07.2017

Strong quarter for United

US based United Rentals has reported a 12 percent rise in fourth quarter revenues and raised its full year forecasts.

Total revenues for the six months to the end of June were $2.95 billion, eight percent higher than in the same period last year, Pre-tax profits were seven percent higher at $390 million. Moving on to the second quarter, revenues improved 12 percent to $1.6 billion, with pre-tax profits just six percent higher at $229 million. As a result of the upward trend United has raised its full year revenue forecasts by around three percent to $6.25 to $6.4 billion.
The company has also slightly increased its planned capital expenditure to $1.05 to $1.15 billion.

Chief executive Michael Kneeland said: "The broad demand we saw early this year continued throughout the second quarter as we entered our busy season. This was reflected in our strong year-over-year performance, with volume up 6.6 percent on a pro forma basis, record second quarter time utilisation, and an improved rate trend across our business. The NES integration and Project XL are both well underway and on track."

We remain encouraged by the level of customer activity and the industry’s ongoing absorption of fleet. Given our visibility into the balance of 2017, we have increased our full-year guidance for total revenue, adjusted EBITDA, capex and free cash flow. Our focus remains on balancing growth with margins, free cash flow and returns to maximise our long-term value."