United Rentals (URI) Q4 2025 earnings summary

Executive summary

• Achieved record total revenue and EBITDA for both Q4 and full year 2025, with $16.1B in revenue (up 4.9% YoY), driven by strong performance in Gen Rent and Specialty segments, and a resilient, customer-centric business model.

• Specialty segment represented 36.5% of total revenue in 2025, with double-digit growth, 60 new cold starts, and a 10-year CAGR of 20.2%.

• Large projects and dispersed geographic demand were primary growth drivers, supported by robust pipelines in infrastructure, non-residential construction, and power.

• Focused on digital innovation, operational excellence, and sustainability, with a 27.3% reduction in GHG emissions intensity since 2018.

• Plans to return ~$2B to shareholders in 2026, supported by a new $5B share repurchase program and a 10% dividend increase.

Financial highlights

• Q4 2025 total revenue: $4.208B (+2.8% YoY); rental revenue: $3.581B (+4.6% YoY); adjusted EBITDA: $1.901B (45.2% margin); net income: $653M (15.5% margin).

• Full-year 2025 revenue: $16.099B (+4.9% YoY); adjusted EBITDA: $7.328B (45.5% margin); net income: $2.494B (15.5% margin); adjusted EPS: $42.06.

• Free cash flow for 2025: $2.186B (13.6% margin); net cash from operations: $5.19B (32.2% margin).

• Returned $2.364B to shareholders in 2025 via dividends and buybacks.

• Return on invested capital was 11.7%, above the weighted average cost of capital.

Outlook and guidance

• 2026 revenue guidance: $16.8B–$17.3B; adjusted EBITDA: $7.575B–$7.825B; free cash flow: $2.15B–$2.45B.

• Free cash flow projected at $2.15B–$2.45B; gross CapEx guidance is $4.3B–$4.7B.

• Plans to return ~$2B to shareholders in 2026, representing ~87% of expected free cash flow, with $1.5B in buybacks and a 10% dividend increase.

• 2028 aspirational targets: ~$20B revenue, ~$7B specialty revenue, ~$10B adjusted EBITDA, and 15%+ ROIC.