Herc Holdings Inc. · NYSE:HRI
Herc — Q1 2026 Earnings Presentation
28 slides from Herc's earnings presentation, Apr 28, 2026
Slide 1: Scaling for Sustainable Growth
Scaling for Sustainable Growth Q1 2026 EARNINGS CONFERENCE CALL April 28, 2026
Slide 2: Herc Rentals Team and Agenda
Herc Rentals Team and Agenda Agenda Safe Harbor Q1 2026 Overview Q1 Operations Review Q1 Financial Review 2026 Outlook Larry Silber Aaron Birnbaum Mark Humphrey Leslie Hunziker Q&A Chief Executive Officer President Senior Vice President & Senior Vice President Chief Financial Officer Investor Relati
Slide 3: Safe Harbor Statements and Non-GAAP Financial Measures
Safe Harbor Statements and Non-GAAP Financial Measures Forward-Looking Statements This presentation includes forward-looking statements within the meaning of Section Further information on the risks that may affect our business is included in filings we 21E of the Securities Exchange Act, as amended
Slide 4: First Quarter 2026 Overview
First Quarter 2026 Overview Larry Silber Chief Executive Officer Herc Holdings Inc. NYSE: HRI Q1 2026 4
Slide 5: Q1 2026: Delivering on Growth Strategies
Q1 2026: Delivering on Growth Strategies Optimize branch network for fleet / operating efficiencies at scale • Completed branch optimization program as part of acquisition integration, Strategies to Accelerate increasing specialty branch network by 25% ROIC and Increase • Opened 3 previously planned
Slide 6: Operations Review
Operations Review Aaron Birnbaum President Herc Holdings Inc. NYSE: HRI Q1 2026 6
Slide 7: Focusing on Safety
Focusing on Safety Continuing focus on Perfect Days • Q1 26 all branches reported > 96% Perfect Days • Perfect Days are those with no: • OSHA reportable incidents • At-fault moving vehicle accidents • DOT violations Total TTM Recordable Incident Rate is 0.98 — favorable to industry standard of 1.0 P
Slide 8: Optimizing Fleet Mix and Lifecycle Performance
Optimizing Fleet Mix and Lifecycle Performance Fleet Expenditures at OEC1 $9.4 billion at OEC1 $ in millions 2025 2026 Specialty Other $423 22% 19% $314 $266 $183 Fleet $74 Composition 21% 26% Q1 Q2 Q3 Q4 Material Aerial Handling Fleet Disposals at OEC1,2 12% $ in millions 2025 2026 Earthmoving $375
Slide 9: Delivering Growth and Resiliency through Diversification
Delivering Growth and Resiliency through Diversification Contractors 42% Q1 Revenue by Q1 Local vs. Customer1 24% Industrial Local 47% National 53% National 4% Revenue Mix Other 13% 17% Commercial Facilities Infrastructure & Government • Local market expected stable - Infrastructure, government and
Slide 10: Capitalizing on Growth Trends Across Diverse Customer and Project Base
Capitalizing on Growth Trends Across Diverse Customer and Project Base Infrastructure Commercial Contractors (42%) Industrial (24%) Other (4%) & Gov. Direct (17%) Facilities (13%) • Electrical • Agriculture • Aerospace • Airports • Banks • Sporting Events • General Contractors • Chemical Processing
Slide 11: Continued Strength in Key End Markets
Continued Strength in Key End Markets Industrial Spending1 Mega Project Starts3 $ in billions $586 $ in billions $826 $575 $562 $562 $531 $542 $673 $527 $457 $291 $304 $352 $314 21 22 23 24 25 26E 27E 28E 29E 30E 23 24 25 26E Non-Residential Starts2 Infrastructure Starts2 $ in billions $ in billions
Slide 12: Operational Progress in 1H:26 Unlocks 2H:26 Growth Momentum
Operational Progress in 1H:26 Unlocks 2H:26 Growth Momentum 2H:25 1H:26 2H:26 Integration New Foundation Acceleration • Expanded regional management • 30% larger business by fleet, • 2026 growth-fleet onboarding & organizational design people, locations • New specialty locations gaining • Sales terr
Slide 13: Financial Review
Financial Review Mark Humphrey Senior Vice President and Chief Financial Officer
Slide 14: Q1 2026 Financial Results
Q1 2026 Financial Results Three Months Ended March 31, 2026 vs 2025 % 2026 2025 $ in millions, except per share data Change Equipment Rental Revenue $981 $739 32.7% Total Revenues $1,139 $861 32.3% Net Loss $(24) $(18) (33.3)% Loss Per Diluted Share $(0.72) $(0.63) (14.3)% Adjusted Net Income1 $7 $3
Slide 15: Disciplined Capital Management
Disciplined Capital Management Maturities As of March 31, 2026 $1,981 Ample liquidity2 of $1.9B $ in millions provides financial flexibility ABL Credit Facility Net leverage3 of 3.96x Free cash flow3 of $94M for first quarter 2026 $1,650 Quarterly dividend of $0.70 per share, paid on March 4, 2026 2
Slide 16: 2026 Outlook on Track
2026 Outlook on Track Metric 2025 Actual 2026 Guidance Equipment Rental Revenue $3.8 billion $4.275 billion to $4.4 billion Adjusted EBITDA $1.8 billion $2.0 billion to $2.1 billion Net Rental Equipment Expenditures $649 million $500 million to $800 million Gross Capex $1.1 billion $800 million to $
Slide 17: Purpose, Vision, Mission and Values
Purpose, Vision, Mission and Values Purpose: We equip our customers and communities to build a brighter future Herc Holdings Inc. NYSE: HRI Q1 2026 17
Slide 18: Appendix
Appendix oe a aw .
Slide 19: Glossary of Terms Commonly Use in the Industry
Glossary of Terms Commonly Use in the Industry OEC: Original Equipment Cost which is an operating measure based on the guidelines of the American Rental Association (ARA), which is calculated as the cost of the asset at the time it was first purchased plus additional capitalized refurbishment costs
Slide 20: Reconciliation of Net Income to Adj. EBITDA and Adj. EBITDA Margin, Rental Adj. EBITDA
Reconciliation of Net Income to Adj. EBITDA and Adj. EBITDA Margin, Rental Adj. EBITDA (REBITDA), REBITDA Margin and Flow-Through EBITDA, Adjusted EBITDA, and REBITDA—EBITDA represents the sum of net income (loss), provision (benefit) for income taxes, interest expense, net, depreciation of rental e
Slide 21: Reconciliation of Net Income to Adj. EBITDA and Adj. EBITDA Margin, Rental
Reconciliation of Net Income to Adj. EBITDA and Adj. EBITDA Margin, Rental Adj. EBITDA (REBITDA), REBITDA Margin and Flow-Through Three Months Ended March 31, $ in millions 2026 2025 Net loss $ (24) $ (18) Income tax provision 1 10 Interest expense, net 128 62 Depreciation of rental equipment 242 17
Slide 22: REBITDA Margin and Flow-Through Quarterly Trend
REBITDA Margin and Flow-Through Quarterly Trend $ in millions Q1 2025 Q2 2025 Q3 2025 Q4 2025 FY 2025 Q1 2026 Net income (loss) $ (18) $ (35) $ 30 $ 24 $ 1 $ (24) Income tax provision (benefit) 10 (11) 8 (7) — 1 Interest expense, net 62 86 134 134 416 128 Depreciation of rental equipment 172 195 246
Slide 23: REBITDA Margin and Flow-Through Annual Trend
REBITDA Margin and Flow-Through Annual Trend $ in millions 2021 2022 2023 2024 2025 Net income $ 224 $ 330 $ 347 $ 211 $ 1 Income tax provision 67 104 100 80 — Interest expense, net 86 122 224 260 416 Depreciation of rental equipment 420 536 643 679 856 Non-rental depreciation and amortization 68 95
Slide 24: Reconciliation of Adjusted Net Income and Adjusted Earnings Per Diluted Share
Reconciliation of Adjusted Net Income and Adjusted Earnings Per Diluted Share Adjusted Net Income and Adjusted Earnings per Diluted Share—Adjusted Net Income represents the sum of net income (loss), transaction expenses, restructuring and restructuring related charges, spin-off costs, loss on exting
Slide 25: Calculation of Net Leverage Ratio
Calculation of Net Leverage Ratio Net Leverage Ratio –The Company has defined its net leverage ratio as net debt, as calculated below, divided by adjusted EBITDA for the trailing twelve- month period. This measure should be considered supplemental to and not a substitute for financial information pr
Slide 26: Reconciliation of Free Cash Flow
Reconciliation of Free Cash Flow Free cash flow is not a recognized term under GAAP and should not be considered in isolation or as a substitute for our reported results prepared in accordance with GAAP. Further, since all companies do not use identical calculations, our definition and presentation
Slide 27: Historical Fleet at OEC
Historical Fleet at OEC1 $ in millions FY 2021 FY 2022 FY 2023 FY 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 FY 2025 Q1 2026 Beginning Balance $ 3,589 $ 4,381 $ 5,637 $ 6,328 $ 7,044 $ 6,879 $ 9,858 $ 9,600 $ 7,044 $ 9,523 Expenditures 725 1,218 1,218 1,077 74 314 423 266 1,077 183 Disposals (281) (322) (
Slide 28: For additional information, please contact:
For additional information, please contact: Leslie Hunziker SVP Investor Relations, Communications & Sustainability leslie.hunziker@hercrentals.com 239-301-1675 Herc Holdings Inc. NYSE: HRI Q1 2026 28