United Rentals, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>United Rentals, Inc. has filed its 2023 10-K report detailing its financial performance and operations for the fiscal year ending December 31, 2023.</b>

AI Summary

UNITED RENTALS, INC. (URI) filed a Annual Report (10-K) with the SEC on January 24, 2024. United Rentals, Inc. filed its 2023 Form 10-K on January 24, 2024. The filing covers the fiscal year ending December 31, 2023. The company's principal business is equipment rental and leasing. The filing includes financial data for the fiscal years 2023, 2022, and 2021. Key financial metrics such as revenues, net income, and EPS are detailed within the report.

Why It Matters

For investors and stakeholders tracking UNITED RENTALS, INC., this filing contains several important signals. This 10-K filing provides a comprehensive overview of United Rentals' financial health, operational strategies, and risk factors for investors and stakeholders. The detailed financial statements and disclosures within the report are crucial for understanding the company's performance in the equipment rental and leasing sector and its outlook for the upcoming year.

Risk Assessment

Risk Level: — UNITED RENTALS, INC. shows moderate risk based on this filing. The company operates in the equipment rental and leasing sector, which can be subject to economic downturns and fluctuations in construction and industrial activity, impacting demand for its services.

Analyst Insight

Review the detailed segment revenues and growth rates to assess the performance drivers and identify areas of strength or weakness within United Rentals' business segments.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 2024-01-24 — Filing Date (Date of submission)
• 7359 — SIC Code (Services-Equipment Rental & Leasing, NEC)

Key Players & Entities

• UNITED RENTALS, INC. (company) — Filer name
• URI (company) — Ticker symbol
• 10-K (filing) — Form type
• 2024-01-24 (date) — Filing date
• 2023-12-31 (date) — Fiscal year end
• Stamford, CT (location) — Business address

Forward-Looking Statements

• United Rentals will continue to see growth in equipment rental revenue in 2024. (UNITED RENTALS, INC.) — medium confidence, target: 2024-12-31

FAQ

Risk Factors

• Economic Conditions [medium — market]: The company's business is sensitive to general economic conditions, particularly in the construction and industrial sectors, which can affect demand for rental equipment.
• Competition [medium — operational]: The equipment rental industry is competitive, with numerous national, regional, and local companies, which could impact pricing and market share.
• Interest Rate Risk [medium — financial]: The company's significant debt levels expose it to risks associated with fluctuations in interest rates, impacting borrowing costs and profitability.

Industry Context

United Rentals operates in the equipment rental and leasing industry, a sector that serves a wide range of customers in construction, industrial, and other markets.

Regulatory Implications

The company is subject to various federal, state, and local regulations related to environmental protection, safety, and transportation of equipment.

What Investors Should Do

1. Analyze the detailed revenue breakdown by segment to understand growth trends and profitability.
2. Review the risk factors section for potential challenges and management's mitigation strategies.
3. Examine the company's capital expenditures and fleet management strategies outlined in the report.

Key Dates

• 2024-01-24: Filing of 2023 Form 10-K — Provides comprehensive financial and operational data for the fiscal year 2023.

Year-Over-Year Comparison

This is the initial filing of the 2023 Form 10-K, providing the most current annual financial and operational data for United Rentals, Inc.

Key Financial Figures

• $445.37 — date on the New York Stock Exchange of $445.37. As of January 22, 2024, there were 67
• $11.5 billion — significant indebtedness (which totaled $11.5 billion at December 31, 2023) requires us to us
• $14,332 — MEASURES Total revenues (in millions) $14,332 $11,642 Equipment rental revenue perce
• $11,642 — S Total revenues (in millions) $14,332 $11,642 Equipment rental revenue percent of to
• $20.66 — 43% 42% FLEET Fleet OEC (in billions) $20.66 $19.61 Equipment classes 4,800 4,600
• $19.61 — FLEET Fleet OEC (in billions) $20.66 $19.61 Equipment classes 4,800 4,600 Equipme
• $1.6 million — oyees voluntarily donated approximately $1.6 million to the fund, and employees received 469
• $1.9 million — eived 469 grants totaling approximately $1.9 million. Training and development: The Company

Filing Documents

• uri-20231231.htm (10-K) — 2613KB
• uri-2023123110kex4k.htm (EX-4.K) — 19KB
• uri-2023123110kex10f.htm (EX-10.F) — 60KB
• uri-2023123110kex10gg.htm (EX-10.GG) — 10KB
• uri-2023123110kex10rrr.htm (EX-10.RRR) — 18KB
• uri-2023123110kex10y.htm (EX-10.Y) — 75KB
• uri-2023123110kex10z.htm (EX-10.Z) — 88KB
• uri-2023123110kex21.htm (EX-21) — 22KB
• uri-2023123110kex22.htm (EX-22) — 7KB
• uri-2023123110kex23.htm (EX-23) — 4KB
• uri-2023123110kex31a.htm (EX-31.A) — 9KB
• uri-2023123110kex31b.htm (EX-31.B) — 9KB
• uri-2023123110kex32a.htm (EX-32.A) — 5KB
• uri-2023123110kex32b.htm (EX-32.B) — 5KB
• uri-2023123110kex97.htm (EX-97) — 30KB
• 0001067701-24-000007.txt (&nbsp;) — 13700KB
• uri-20231231.xsd (EX-101.SCH) — 70KB
• uri-20231231_cal.xml (EX-101.CAL) — 127KB
• uri-20231231_def.xml (EX-101.DEF) — 391KB
• uri-20231231_lab.xml (EX-101.LAB) — 982KB
• uri-20231231_pre.xml (EX-101.PRE) — 675KB
• uri-20231231_htm.xml (XML) — 2380KB

Business

Business 1 Item 1A

Risk Factors

Risk Factors 9 Item 1B Unresolved Staff Comments 23

Cybersecurity

Item 1C Cybersecurity 23 Item 2

Properties

Properties 24 Item 3

Legal Proceedings

Legal Proceedings 25 Item 4 Mine Safety Disclosures 25 PART II Item 5 Market for the Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 25 Item 6

Selected Financial Data

Selected Financial Data 26 Item 7

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 27 Item 7A

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 44 Item 8

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 46 Item 9 Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 86 Item 9A

Controls and Procedures

Controls and Procedures 86 Item 9B Other Information 88

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 88 PART III Item 10 Directors, Executive Officers and Corporate Governance 89 Item 11

Executive Compensation

Executive Compensation 89 Item 12

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 89 Item 13 Certain Relationships and Related Transactions, and Director Independence 89 Item 14 Principal Accountant Fees and Services 89 PART IV Item 15 Exhibits and Financial Statement Schedules 90 Table of Contents CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS This annual report on Form 10-K contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "seek," "on-track," "plan," "project," "forecast," "intend" or "anticipate," or the negative thereof or comparable terminology, or by discussions of strategy or outlook. You are cautioned that our business and operations are subject to a variety of risks and uncertainties, many of which are beyond our control, and, consequently, our actual results may differ materially from those projected. Factors that could cause actual results to differ materially from those projected include, but are not limited to, the following: the impact of global economic conditions (including inflation, increased interest rates, supply chain constraints, potential trade wars and sanctions and other measures imposed in response to international conflicts) and public health crises and epidemics on us, our customers and our suppliers, in the United States and the rest of the world; declines in construction or industrial activity, which can adversely impact our revenues and, because many of our costs are fixed, our profitability; rates we charge and time utilization we achieve being less than anticipated; changes in customer, fleet, geographic and segment mix; excess fleet in the equipment rental industry; inability to benefit from government spending, including spending associated with infrastructure

Business

Item 1. Business United Rentals is the largest equipment rental company in the world, operates throughout the United States and Canada, and has a limited presence in Europe, Australia and New Zealand. The table below presents key information about our business as of and for the years ended December 31, 2023 and 2022. Our business is discussed in more detail below. The data below should be read in conjunction with, and is qualified by reference to, our Management's Discussion and Analysis and our consolidated financial statements and notes thereto contained elsewhere in this report. 1 Table of Contents 2023 2022 PERFORMANCE MEASURES Total revenues (in millions) $14,332 $11,642 Equipment rental revenue percent of total revenues 84% 87% Equipment rental revenue variance components: Year-over-year change in average original equipment cost ("OEC") 21.9% 13.6% Assumed year-over-year inflation impact (1) (1.5)% (1.5)% Fleet productivity (2) (0.7)% 9.4% Contribution from ancillary and re-rent revenue (3) (0.4)% 1.8% Total equipment rental revenue variance 19.3% 23.3% Pro forma equipment rentals variance components (4): Year-over-year change in average OEC 10.4% Assumed year-over-year inflation impact (1) (1.5)% Fleet productivity (2) 2.8% Contribution from ancillary and re-rent revenue (3) (0.4)% Total equipment rental revenue variance 11.3% Key account percent of equipment rental revenue 67% 68% National account percent of equipment rental revenue 43% 42% FLEET Fleet OEC (in billions) $20.66 $19.61 Equipment classes 4,800 4,600 Equipment units 995,000 1,020,000 Fleet age in months 52.4 53.5 Equipment rental revenue percent by fleet type: General construction and industrial equipment 42% 42% Aerial work platforms 25% 24% General tools and light equipment 8% 8% Power and HVAC (heating, ventilating and air conditioning) equipment 10% 10% Trench safety equipment 5% 6% Fluid solutions equipment 7% 7% Mobile storage equipment and modular offi

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View this 10-K filing on SEC EDGAR