United Rentals, Inc. reported record financial results for the second quarter of 2026, with adjusted earnings per share and revenue both exceeding analyst consensus estimates. The company raised its full-year 2026 guidance for total revenue to a range of $17.5 billion to $17.8 billion, up from the previous outlook of $16.9 billion to $17.4 billion, citing accelerating growth and strong customer demand.

Adjusted EPS for the quarter was $12.76, beating the analyst consensus estimate of $11.53 by 10.67%. This represents a 21.87% increase over earnings of $10.47 per share from the same period last year. Quarterly sales reached $4.410 billion, beating the analyst consensus estimate of $4.221 billion by 4.48% and rising 11.84% from $3.943 billion in the prior year.

Record Second Quarter 2026 Financial Performance

The following table summarizes the key financial highlights for the three months ended June 30, 2026, compared to the same period in 2025.

Rental revenue increased 12.7% year-over-year to a quarterly record of $3.849 billion, driven by a 7.1% year-over-year increase in average original equipment at cost (OEC) and a 3.4% improvement in fleet productivity. Net income for the quarter increased 21.1% year-over-year to $753 million, while net income margin expanded 130 basis points to 17.1%. These figures include a $37 million after-tax gain from the sale of part of the company's scaffolding business, equivalent to $0.58 per diluted share. Excluding this gain, net income margin increased 40 basis points year-over-year.

Adjusted EBITDA increased 13.6% year-over-year to $2.056 billion, with the adjusted EBITDA margin rising 70 basis points to 46.6%, including a $49 million benefit from the gain on sale of business. Excluding this gain, adjusted EBITDA margin decreased 40 basis points year-over-year, primarily reflecting changes in revenue mix in the specialty rentals segment.

Segment Performance

Both of the company's reportable segments posted quarterly revenue records for the three months ended June 30, 2026.

The general rentals segment delivered rental revenue of $2.418 billion, up 6.6% year-over-year, with rental gross margin improving by 70 basis points to 35.8%, primarily due to a reduction in depreciation as a percentage of revenue.

The specialty rentals segment achieved rental revenue of $1.431 billion, up 24.8% year-over-year. Rental gross margin declined by 140 basis points to 44.4%, primarily due to changes in revenue mix driven by growth in lower-margin ancillary and re-rent revenues, partially offset by a reduction in labor and benefits expenses as a percentage of revenue.

Used Equipment Sales and Cash Flow

Used equipment sales in the quarter increased 4.1% year-over-year, generating $330 million in proceeds at a GAAP gross margin of 46.7% and an adjusted gross margin of 47.3%, compared to a GAAP gross margin of 46.1% and an adjusted gross margin of 48.3% for the same period in the prior year. The company realized a 52.9% OEC recovery rate on fleet sold in the second quarter of 2026.

For the six months ended June 30, 2026, cash flow from operating activities increased 20.1% year-over-year to $3.305 billion. Free cash flow, including restructuring related payments, decreased 4.1% from $1.198 billion to $1.149 billion, with gross payments for purchases of rental equipment totaling $2.720 billion. Year-to-date gross rental capital expenditures stood at $2.931 billion.

Capital Management and Shareholder Returns

The company maintained a disciplined capital structure during the period. Key capital management metrics are summarized below.

During the six months ended June 30, 2026, the company completed its prior $2.0 billion share repurchase program and commenced a new $5.0 billion share repurchase program. The company expects to complete $1.5 billion of share repurchases in 2026.

Raised Full-Year 2026 Outlook

Building on the strong first-half performance, the company raised its full-year 2026 guidance across multiple metrics.

CEO Commentary

Matthew Flannery, chief executive officer of United Rentals, stated: "As evidenced in our record second-quarter results across EPS, adjusted EBITDA and revenue, 2026 is on track to be a great year for United Rentals. Our growth accelerated in the quarter, customers remain optimistic, particularly around large projects, and we continue to demonstrate strong cost discipline. Our one-stop-shop value proposition, coupled with our technology, service levels, and unwavering focus on safety and customer productivity, continues to differentiate us in the industry."

Flannery added: "Looking ahead, I am very pleased that we are again raising our guidance for the year, supported by the tailwinds we see across large projects, customer backlogs, and the momentum witnessed year-to-date. We believe the healthy growth we've seen will continue and that we will deliver what our shareholders expect of us: profitable growth, strong free cash flow and compelling returns."

United Rentals, Inc. announced that its Board of Directors declared a quarterly cash dividend of $1.97 per share. The dividend is payable on August 26, 2026 to stockholders of record as of August 12, 2026. This decision provides a direct return to shareholders amid the company's operations in the equipment rental sector.

Key Dividend Details

The declaration outlines specific dates for the distribution of the dividend. Shareholders must be on the record books by the designated date to receive the payment.

Company Overview

United Rentals, Inc. is the largest equipment rental company in the world. It operates an integrated network of 1,665 rental locations in North America, 44 in Europe, 47 in Australia, and 18 in New Zealand. In North America, the company operates in 49 states and every Canadian province.

The company serves construction and industrial customers, utilities, municipalities, and homeowners. Its fleet of equipment available for rent has a total original cost of $23.75 billion. United Rentals is headquartered in Stamford, Conn., and is a member of the Standard & Poor’s 500 Index, the Barron’s 400 Index, and the Russell 3000 Index.