Herc Holdings Inc. · NYSE:HRI
Herc — Q2 2026 Earnings Presentation
30 slides from Herc's earnings presentation, Jul 28, 2026
Slide 1: Scaling for Sustainable Growth
Scaling for Sustainable Growth Q2 2026 EARNINGS CONFERENCE CALL July 28, 2026
Slide 2: Herc Rentals Team and Agenda
Herc Rentals Team and Agenda Agenda Safe Harbor Q2 2026 Overview Q2 Operations Review Q2 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: Second Quarter 2026 Overview
Second Quarter 2026 Overview Larry Silber Chief Executive Officer Herc Holdings Inc. NYSE: HRI Q2 2026 4
Slide 5: Q2 2026: Delivering on Growth Strategies
Q2 2026: Delivering on Growth Strategies Optimize branch network for fleet / operating efficiencies at scale • Fleet investments to support accelerating mega project growth, revenue synergies Strategies to Accelerate • Leveraging scale including 25% larger specialty branch network post acquisition R
Slide 6: Culture Drives Execution
Culture Drives Execution Safety-First Foundation One Team Herc Standardized Processes Technology Innovation • Protect people, • Shared values, • Common operating • Role-based training and customers and jobsites accountability and model across the digital adoption collaboration network • Reliable equ
Slide 7: Operations Review
Operations Review Aaron Birnbaum President Herc Holdings Inc. NYSE: HRI Q2 2026 7
Slide 8: Optimizing Fleet Mix and Lifecycle Performance
Optimizing Fleet Mix and Lifecycle Performance Fleet Expenditures at OEC1 $9.6 billion at OEC1 $ in millions 2025 2026 Specialty Other $451 19% $423 22% $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
Slide 9: Delivering Growth and Resiliency through Diversification
Delivering Growth and Resiliency through Diversification Contractors 41% Q2 Revenue by Q2 Local vs. Local 46% National Customer1 24% Industrial 54% National 6% Revenue Mix Other 12% 17% Commercial Facilities Infrastructure & Government • Local market remains stable - Infrastructure, government and M
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 (41%) Industrial (24%) Other (6%) & Gov. Direct (17%) Facilities (12%) • 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 $ in billions $707 $676 $680 $678 $659 $624 $399 Scheduled $531 $457 — — — — $487 $427 $351 $352 Started $314 21 22 23 24 25 26E 27E 28E 29E 30E 25 26E 27E Non-Residential Starts2 Infrastructure Starts2 $ i
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: Q2 2026 Financial Results
Q2 2026 Financial Results Three Months Ended June 30, Six Months Ended June 30, 2026 vs 2025 % 2026 vs 2025 % 2026 2025 2026 2025 $ in millions, except per share data Change Change Equipment Rental Revenue $1,072 $870 23.2% $2,053 $1,609 27.6% Total Revenues $1,204 $1,002 20.2% $2,343 $1,863 25.8% N
Slide 15: Q2 2026 Financial Results Compared to Prior Year Pro Forma Results
Q2 2026 Financial Results Compared to Prior Year Pro Forma Results $ in millions Metric 2Q26 2Q25 PF YoY Change Equipment Rental Revenue $1,072 $1,051 2.0% Average Fleet1 (YoY) $9,500 $9,824 (3.3)% Dollar Utilization1 39.3% 37.1% 220 bps Adjusted EBITDA2 $487 $500 (2.6)% Adjusted EBITDA Margin2 40.4
Slide 16: Disciplined Capital Management
Disciplined Capital Management Maturities As of June 30, 2026 Ample liquidity2 of $2.1B $1,878 $ in millions provides financial flexibility ABL Credit Facility Net leverage3 of 3.95x Free cash flow3 of $202M for the first half of 2026 $1,650 Quarterly dividend of $0.70 per share, paid on June 12, 20
Slide 17: 2026 Guidance Increased
2026 Guidance Increased Metric 2025 Actual Previous Guidance Updated 2026 Guidance Equipment Rental Revenue $3.8B $4.275B to $4.4B $4.375B to $4.475B Adjusted EBITDA $1.8B $2.0B to $2.1B $2.05B to $2.125B Net Rental Equipment Expenditures $649M $500M to $800M $850M to $950M Gross Capex $1.1B $800M t
Slide 18: 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 Q2 2026 18
Slide 19: Appendix
Appendix oe a aw .
Slide 20: 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 21: 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 22: 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 Three Months Ended June 30, Six Months Ended June 30, $ in millions 2026 2025 2026 2025 Net income (loss) $ 19 $ (35) $ (5) $ (53) Income tax provision (benefit) 5 (11) 6
Slide 23: Pro Forma Reconciliation of Net Income to Adj. EBITDA and Adj. EBITDA Margin, Rental
Pro Forma Reconciliation of Net Income to Adj. EBITDA and Adj. EBITDA Margin, Rental Adj. EBITDA (REBITDA) & REBITDA Margin The reconciliation below includes the results of Herc plus the standalone, pre-acquisition results of H&E for the three months ended June 30, 2025. Management believes this inf
Slide 24: 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 Q2 2026 Net income (loss) $ (18) $ (35) $ 30 $ 24 $ 1 $ (24) $ 19 Income tax provision (benefit) 10 (11) 8 (7) — 1 5 Interest expense, net 62 86 134 134 416 128 126 Depreciation of rental eq
Slide 25: 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 26: 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 transformation initiative costs, spin-off costs, loss on exti
Slide 27: 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 28: 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 29: Historical Fleet at OEC
Historical Fleet at OEC1 $ in millions FY 2022 FY 2023 FY 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 FY 2025 Q1 2026 Q2 2026 Beginning Balance $ 4,381 $ 5,637 $ 6,328 $ 7,044 $ 6,879 $ 9,858 $ 9,600 $ 7,044 $ 9,523 $ 9,441 Expenditures 1,218 1,218 1,077 74 314 423 266 1,077 183 451 Disposals (322) (813) (
Slide 30: 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 Q2 2026 30