Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Oct. 25, 2013 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Trading Symbol | 'HEES | ' |
Entity Registrant Name | 'H&E Equipment Services, Inc. | ' |
Entity Central Index Key | '0001339605 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 35,204,112 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash | $6,666 | $8,894 |
Receivables, net of allowance for doubtful accounts of $3,820 and $4,593, respectively | 141,469 | 141,667 |
Inventories, net of reserves for obsolescence of $706 and $618, respectively | 117,529 | 79,970 |
Prepaid expenses and other assets | 6,456 | 5,207 |
Rental equipment, net of accumulated depreciation of $305,270 and $296,920, respectively | 672,057 | 583,349 |
Property and equipment, net of accumulated depreciation and amortization of $75,499 and $68,101, respectively | 94,471 | 86,189 |
Deferred financing costs, net of accumulated amortization of $9,909 and $9,423, respectively | 4,957 | 5,049 |
Goodwill | 31,416 | 32,074 |
Total assets | 1,075,021 | 942,399 |
Liabilities: | ' | ' |
Amounts due on senior secured credit facility | 135,080 | 157,719 |
Accounts payable | 52,624 | 36,119 |
Manufacturer flooring plans payable | 49,709 | 50,839 |
Dividends payable | 633 | 1,488 |
Accrued expenses payable and other liabilities | 45,876 | 50,522 |
Senior unsecured notes | 628,504 | 521,065 |
Capital leases payable | 2,321 | 2,447 |
Deferred income taxes | 78,468 | 71,589 |
Deferred compensation payable | 2,024 | 1,975 |
Total liabilities | 995,239 | 893,763 |
Commitments and Contingencies | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock, $0.01 par value, 25,000,000 shares authorized; no shares issued | ' | ' |
Common stock, $0.01 par value, 175,000,000 shares authorized; 39,023,594 and 38,917,619 shares issued at September 30, 2013 and December 31, 2012, respectively and 35,204,112 and 35,141,870 shares outstanding at September 30, 2013 and December 31, 2012, respectively | 389 | 388 |
Additional paid-in capital | 215,346 | 212,850 |
Treasury stock at cost, 3,819,482 and 3,775,749 shares of common stock held at September 30, 2013 and December 31, 2012, respectively | -58,468 | -57,578 |
Retained deficit | -77,485 | -107,024 |
Total stockholders' equity | 79,782 | 48,636 |
Total liabilities and stockholders' equity | $1,075,021 | $942,399 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Allowance for doubtful accounts receivables | $3,820 | $4,593 |
Reserves for obsolescence inventories | 706 | 618 |
Accumulated depreciation, rental equipment | 305,270 | 296,920 |
Accumulated depreciation and amortization, property and equipment | 75,499 | 68,101 |
Accumulated amortization, deferred financing costs | $9,909 | $9,423 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 25,000,000 | 25,000,000 |
Preferred stock, shares issued | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 175,000,000 | 175,000,000 |
Common stock, shares issued | 39,023,594 | 38,917,619 |
Common stock, shares outstanding | 35,204,112 | 35,141,870 |
Treasury stock, shares | 3,819,482 | 3,775,749 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Revenues: | ' | ' | ' | ' |
Equipment rentals | $89,420 | $77,808 | $248,518 | $207,941 |
New equipment sales | 90,220 | 49,009 | 216,979 | 154,710 |
Used equipment sales | 36,779 | 24,990 | 103,589 | 75,100 |
Parts sales | 26,571 | 26,058 | 77,971 | 74,161 |
Services revenues | 13,729 | 14,436 | 42,050 | 41,615 |
Other | 13,730 | 12,208 | 39,070 | 33,671 |
Total revenues | 270,449 | 204,509 | 728,177 | 587,198 |
Cost of revenues: | ' | ' | ' | ' |
Rental depreciation | 31,527 | 27,150 | 89,679 | 74,727 |
Rental expense | 13,550 | 12,579 | 41,401 | 36,375 |
New equipment sales | 80,659 | 43,367 | 193,453 | 136,945 |
Used equipment sales | 27,086 | 18,399 | 74,006 | 53,426 |
Parts sales | 19,123 | 19,092 | 56,660 | 53,826 |
Services revenues | 4,943 | 5,615 | 15,743 | 15,907 |
Other | 13,261 | 11,384 | 37,043 | 32,183 |
Total cost of revenues | 190,149 | 137,586 | 507,985 | 403,389 |
Gross profit | 80,300 | 66,923 | 220,192 | 183,809 |
Selling, general and administrative expenses | 46,977 | 42,402 | 140,347 | 124,504 |
Gain on sales of property and equipment, net | 609 | 514 | 1,715 | 1,478 |
Income from operations | 33,932 | 25,035 | 81,560 | 60,783 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -13,193 | -9,825 | -38,550 | -23,668 |
Loss on early extinguishment of debt | ' | -10,180 | ' | -10,180 |
Other, net | 237 | 243 | 945 | 751 |
Total other expense, net | -12,956 | -19,762 | -37,605 | -33,097 |
Income before income taxes | 20,976 | 5,273 | 43,955 | 27,686 |
Provision for income taxes | 7,023 | 1,564 | 14,416 | 9,554 |
Net income | $13,953 | $3,709 | $29,539 | $18,132 |
Net income per common share: | ' | ' | ' | ' |
Basic | $0.40 | $0.11 | $0.84 | $0.52 |
Diluted | $0.40 | $0.11 | $0.84 | $0.52 |
Weighted average common shares outstanding: | ' | ' | ' | ' |
Basic | 35,099 | 34,958 | 35,022 | 34,867 |
Diluted | 35,169 | 34,974 | 35,130 | 34,963 |
Dividends declared per common share outstanding | $0 | $7 | $0 | $7 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash flows from operating activities: | ' | ' |
Net income | $29,539 | $18,132 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation and amortization on property and equipment | 12,355 | 9,997 |
Depreciation on rental equipment | 89,679 | 74,727 |
Amortization of deferred financing costs | 826 | 1,076 |
Accretion of note discount, net of premium amortization | 189 | 0 |
Amortization of intangible assets | ' | 66 |
Provision for losses on accounts receivable | 2,348 | 2,565 |
Provision for inventory obsolescence | 208 | 124 |
Increase in deferred income taxes | 6,879 | 7,460 |
Stock-based compensation expense | 2,109 | 1,223 |
Loss on early extinguishment of debt | ' | 10,180 |
Gain on sales of property and equipment, net | -1,715 | -1,478 |
Gain on sales of rental equipment, net | -27,771 | -20,842 |
Writedown of goodwill for tax-deductible goodwill in excess of book goodwill | 657 | 1,458 |
Changes in operating assets and liabilities: | ' | ' |
Receivables, net | -2,150 | -21,128 |
Inventories, net | -72,897 | -72,334 |
Prepaid expenses and other assets | -1,249 | 115 |
Accounts payable | 16,504 | 12,702 |
Manufacturer flooring plans payable | -1,130 | -1,393 |
Accrued expenses payable and other liabilities | -4,644 | -925 |
Deferred compensation payable | 49 | -48 |
Net cash provided by (used in) operating activities | 49,786 | 21,677 |
Cash flows from investing activities: | ' | ' |
Purchases of property and equipment | -20,734 | -27,011 |
Purchases of rental equipment | -197,763 | -212,337 |
Proceeds from sales of property and equipment | 1,812 | 1,861 |
Proceeds from sales of rental equipment | 82,277 | 65,003 |
Net cash used in investing activities | -134,408 | -172,484 |
Cash flows from financing activities: | ' | ' |
Purchases of treasury stock | -890 | -694 |
Excess tax benefit from stock-based awards | 387 | 293 |
Borrowings on senior secured credit facility | 827,539 | 776,171 |
Payments on senior secured credit facility | -850,178 | -661,501 |
Principal payments on senior unsecured notes | ' | -257,576 |
Proceeds from issuance of senior unsecured notes | 107,250 | 530,000 |
Payments of deferred financing costs | -733 | -12,352 |
Dividends paid | -855 | -244,381 |
Payments of capital lease obligations | -126 | -118 |
Net cash provided by financing activities | 82,394 | 129,842 |
Net decrease in cash | -2,228 | -20,965 |
Cash, beginning of period | 8,894 | 24,215 |
Cash, end of period | 6,666 | 3,250 |
Noncash asset purchases: | ' | ' |
Assets transferred from new and used inventory to rental fleet | 35,130 | 27,610 |
Cash paid during the period for: | ' | ' |
Interest | 47,616 | 27,868 |
Income taxes paid, net of refunds received | $1,863 | $334 |
Organization_and_Nature_of_Ope
Organization and Nature of Operations | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Organization and Nature of Operations | ' |
(1) Organization and Nature of Operations | |
Basis of Presentation | |
Our condensed consolidated financial statements include the financial position and results of operations of H&E Equipment Services, Inc. and its wholly-owned subsidiaries H&E Finance Corp., GNE Investments, Inc., Great Northern Equipment, Inc., H&E California Holding, Inc., H&E Equipment Services (California), LLC and H&E Equipment Services (Mid-Atlantic), Inc., collectively referred to herein as “we” or “us” or “our” or the “Company.” | |
The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such regulations. In the opinion of management, all adjustments (consisting of all normal and recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013, and therefore, the results and trends in these interim condensed consolidated financial statements may not be the same for the entire year. These interim condensed consolidated financial statements should be read in conjunction with the annual audited consolidated financial statements and related notes in our Annual Report on Form 10-K for the year ended December 31, 2012, from which the consolidated balance sheet amounts as of December 31, 2012 were derived. | |
All significant intercompany accounts and transactions have been eliminated in these condensed consolidated financial statements. Business combinations accounted for as purchases are included in the condensed consolidated financial statements from their respective dates of acquisition. | |
The nature of our business is such that short-term obligations are typically met by cash flows generated from long-term assets. Consequently, and consistent with industry practice, the accompanying condensed consolidated balance sheets are presented on an unclassified basis. | |
Nature of Operations | |
As one of the largest integrated equipment services companies in the United States focused on heavy construction and industrial equipment, we rent, sell and provide parts and service support for four core categories of specialized equipment: (1) hi-lift or aerial work platform equipment; (2) cranes; (3) earthmoving equipment; and (4) industrial lift trucks. By providing equipment sales, rental, on-site parts, and repair and maintenance functions under one roof, we are a one-stop provider for our customers’ varied equipment needs. This full-service approach provides us with multiple points of customer contact, enables us to maintain a high quality rental fleet, as well as an effective distribution channel for fleet disposal, and provides cross-selling opportunities among our new and used equipment sales, rental, parts sales and service operations. |
Significant_Accounting_Policie
Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Significant Accounting Policies | ' |
(2) Significant Accounting Policies | |
We describe our significant accounting policies in note 2 of the notes to consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2012. During the nine month period ended September 30, 2013, there were no significant changes to those accounting policies. | |
Use of Estimates | |
We prepare our consolidated financial statements in accordance with accounting principles generally accepted in the United States of America, which requires management to use its judgment to make estimates and assumptions that affect the reported amounts of assets and liabilities and related disclosures at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. These assumptions and estimates could have a material effect on our condensed consolidated financial statements. Actual results may differ materially from those estimates. We review our estimates on an ongoing basis based on information currently available, and changes in facts and circumstances may cause us to revise these estimates. | |
Recent Accounting Pronouncements | |
There are no recent accounting pronouncements that are expected to affect the Company’s financial reporting. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||
Fair Value of Financial Instruments | ' | ||||||||
(3) Fair Value of Financial Instruments | |||||||||
The carrying value of financial instruments reported in our accompanying condensed consolidated balance sheets for cash, accounts receivable, accounts payable and accrued expenses payable and other liabilities approximate fair value due to the immediate or short-term nature or maturity of these financial instruments. The carrying amount for our senior secured credit facility approximates fair value because the underlying instrument includes provisions that adjust our interest rates based on current market rates. The determination of the fair value of our letters of credit is based on fees currently charged for similar agreements. The carrying amounts and fair values of our other financial instruments subject to fair value disclosures have been calculated based upon market quotes and present value calculations based on our current estimated incremental borrowing rates for similar types of borrowing arrangements, which are presented in the table below (amounts in thousands): | |||||||||
September 30, 2013 | |||||||||
Carrying | Fair | ||||||||
Amount | Value | ||||||||
Manufacturer flooring plans payable with interest computed at 5.25% | $ | 49,709 | $ | 41,684 | |||||
Senior unsecured notes with interest computed at 7.0%(1) | 630,000 | 670,950 | |||||||
Capital lease payable with interest computed at 5.929% to 9.55% | 2,321 | 1,763 | |||||||
Letters of credit | — | 146 | |||||||
December 31, 2012 | |||||||||
Carrying | Fair | ||||||||
Amount | Value | ||||||||
Manufacturer flooring plans payable with interest computed at 5.25% | $ | 50,839 | $ | 44,232 | |||||
Senior unsecured notes with interest computed at 7.0%(1) | 530,000 | 564,450 | |||||||
Capital lease payable with interest computed at 5.929% to 9.55% | 2,447 | 1,919 | |||||||
Letters of credit | — | 162 | |||||||
-1 | – Amounts shown based on aggregate amounts outstanding for the periods presented. |
Stockholders_Equity
Stockholders' Equity | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||||||
Stockholders' Equity | ' | ||||||||||||||||||||||||
(4) Stockholders’ Equity | |||||||||||||||||||||||||
The following table summarizes the activity in Stockholders’ Equity for the nine month period ended September 30, 2013 (amounts in thousands, except share data): | |||||||||||||||||||||||||
Additional | Treasury | Retained | Total | ||||||||||||||||||||||
Common Stock | Paid-in | Stock | Deficit | Stockholders’ | |||||||||||||||||||||
Shares | Amount | Capital | Equity | ||||||||||||||||||||||
Issued | |||||||||||||||||||||||||
Balances at December 31, 2012 | 38,917,619 | $ | 388 | $ | 212,850 | $ | (57,578 | ) | $ | (107,024 | ) | $ | 48,636 | ||||||||||||
Stock-based compensation | — | — | 2,109 | — | — | 2,109 | |||||||||||||||||||
Tax benefits associated with stock-based awards | — | — | 387 | — | — | 387 | |||||||||||||||||||
Issuance of common stock | 105,975 | 1 | — | — | — | 1 | |||||||||||||||||||
Repurchases of 40,109 shares of restricted common stock | — | — | — | (890 | ) | — | (890 | ) | |||||||||||||||||
Net income | — | — | — | — | 29,539 | 29,539 | |||||||||||||||||||
Balances at September 30, 2013 | 39,023,594 | $ | 389 | $ | 215,346 | $ | (58,468 | ) | $ | (77,485 | ) | $ | 79,782 | ||||||||||||
StockBased_Compensation
Stock-Based Compensation | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
(5) Stock-Based Compensation | |||||||||||||||||
We account for our stock-based compensation plan using the fair value recognition provisions of ASC 718, Stock Compensation (“ASC 718”). Under the provisions of ASC 718, stock-based compensation is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the requisite employee service period (generally the vesting period of the grant). Shares available for future stock-based payment awards under our 2006 Stock-Based Incentive Compensation Plan were 3,614,426 shares as of September 30, 2013. | |||||||||||||||||
Non-vested Stock | |||||||||||||||||
The following table summarizes our non-vested stock activity for the nine month period ended September 30, 2013: | |||||||||||||||||
Number | Weighted | ||||||||||||||||
of Shares | Average Grant | ||||||||||||||||
Date Fair Value | |||||||||||||||||
Non-vested stock at December 31, 2012 | 230,415 | $ | 13.65 | ||||||||||||||
Granted | 86,911 | $ | 21.83 | ||||||||||||||
Vested | (122,121 | ) | $ | 12.37 | |||||||||||||
Forfeited | (3,624 | ) | $ | 14.12 | |||||||||||||
Non-vested stock at September 30, 2013 | 191,581 | $ | 18.17 | ||||||||||||||
As of September 30, 2013, we had unrecognized compensation expense of approximately $3.4 million related to non-vested stock (including $0.6 million related to expected dividends payable upon, and conditioned on, the vesting of non-vested stock) that we expect to be recognized over a weighted-average period of 2.1 years. The following table summarizes compensation expense related to non-vested stock, which is included in selling, general and administrative expenses in the accompanying condensed consolidated statements of income for the three and nine months ended September 30, 2013 and 2012 (amounts in thousands): | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Compensation expense | $ | 505 | $ | 426 | $ | 2,109 | $ | 1,223 | |||||||||
Stock Options | |||||||||||||||||
At September 30, 2013, there is no unrecognized compensation expense as all stock option awards have fully vested. The following table represents stock option activity for the nine month period ended September 30, 2013: | |||||||||||||||||
Number of | Weighted Average | Weighted Average | |||||||||||||||
Shares | Exercise Price | Contractual Life | |||||||||||||||
In Years | |||||||||||||||||
Outstanding options at December 31, 2012 | 51,000 | $ | 17.8 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | — | — | |||||||||||||||
Canceled, forfeited or expired | — | — | |||||||||||||||
Outstanding options at September 30, 2013 | 51,000 | $ | 17.8 | 2.8 | |||||||||||||
Options exercisable at September 30, 2013 | 51,000 | $ | 17.8 | 2.8 | |||||||||||||
The aggregate intrinsic value of our outstanding and exercisable options at September 30, 2013 was approximately $0.4 million. |
Income_per_Share
Income per Share | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Income per Share | ' | ||||||||||||||||
(6) Income per Share | |||||||||||||||||
Income per common share for the three and nine month periods ended September 30, 2013 and 2012 are based on the weighted average number of common shares outstanding during the period. The effects of potentially dilutive securities that are anti-dilutive are not included in the computation of dilutive income per share. The following table sets forth the computation of basic and diluted net income per common share for the three and nine months ended September 30, 2013 and 2012 (amounts in thousands, except per share amounts): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Basic net income per share: | |||||||||||||||||
Net income | $ | 13,953 | $ | 3,709 | $ | 29,539 | $ | 18,132 | |||||||||
Weighted average number of shares of common stock outstanding | 35,099 | 34,958 | 35,022 | 34,867 | |||||||||||||
Net income per share of common stock – basic | $ | 0.4 | $ | 0.11 | $ | 0.84 | $ | 0.52 | |||||||||
Diluted net income per share: | |||||||||||||||||
Net income | $ | 13,953 | $ | 3,709 | $ | 29,539 | $ | 18,132 | |||||||||
Weighted average number of shares of common stock outstanding | 35,099 | 34,958 | 35,022 | 34,867 | |||||||||||||
Effect of dilutive securities: | |||||||||||||||||
Effect of dilutive non-vested restricted stock | 70 | 16 | 108 | 96 | |||||||||||||
Weighted average number of shares of common stock outstanding – diluted | 35,169 | 34,974 | 35,130 | 34,963 | |||||||||||||
Net income per share of common stock – diluted | $ | 0.4 | $ | 0.11 | $ | 0.84 | $ | 0.52 | |||||||||
Common shares excluded from the denominator as anti-dilutive: | |||||||||||||||||
Stock options | — | 51 | — | 51 | |||||||||||||
Non-vested restricted stock | 1 | 86 | — | 20 | |||||||||||||
Senior_Unsecured_Notes
Senior Unsecured Notes | 9 Months Ended | ||||
Sep. 30, 2013 | |||||
Text Block [Abstract] | ' | ||||
Senior Unsecured Notes | ' | ||||
(7) Senior Unsecured Notes | |||||
On February 4, 2013, the Company closed on its offering of $100 million aggregate principal amount of 7% senior notes due 2022 (the “Add-on Notes”) in an unregistered offering through a private placement. The Add-on Notes were priced at 108.5% of the principal amount. Net proceeds from the offering of the Add-on Notes, including accrued interest from August 20, 2012, totaled approximately $110.4 million. The Company used the proceeds from the offering to repay indebtedness outstanding under its Senior Secured Credit Facility (the “Credit Facility”) and for the payment of fees and expenses related to the offering. In connection with the offering, on January 29, 2013, the Company amended its Credit Facility to permit the issuance of the Add-on Notes. | |||||
The Add-on Notes bear interest at a rate of 7% per year and mature on September 1, 2022. Interest on the Add-on Notes accrues from August 20, 2012 and is payable on each March 1 and September 1, commencing March 1, 2013. No principal payments are due until maturity. | |||||
The Add-on Notes are redeemable, in whole or in part, at any time on or after September 1, 2017 at specified redemption prices plus accrued and unpaid interest to the date of redemption. We may redeem up to 35% of the aggregate principal amount of the Add-on Notes before September 1, 2015 with the net cash proceeds from certain equity offerings. We may also redeem the Add-on Notes prior to September 1, 2017 at a specified “make-whole” redemption price plus accrued and unpaid interest to the date of redemption. | |||||
The Add-on Notes are our senior unsecured obligations and rank (i) equally in right of payment to all of our existing and future senior indebtedness and (ii) senior to any of our subordinated indebtedness. The Add-on Notes are unconditionally guaranteed on a senior unsecured basis by all of our current and future significant domestic restricted subsidiaries. In addition, the Add-on Notes are effectively subordinated to all of our and the guarantors’ existing and future secured indebtedness, including the Credit Facility, to the extent of the assets securing such indebtedness, and are structurally subordinated to all of the liabilities and preferred stock of any of our subsidiaries that do not guarantee the Add-on Notes. The Add-on Notes were issued as additional notes under an indenture dated as of August 20, 2012 pursuant to which the Company previously issued $530 million aggregate principal amount of 7% senior notes due 2022 (the “New Notes”). The Add-on Notes have identical terms to, rank equally with, and form a part of a single class of securities with the New Notes. | |||||
If we experience a change of control, we will be required to offer to purchase the Add-on Notes at a repurchase price equal to 101% of the principal amount, plus accrued and unpaid interest to the date of repurchase. | |||||
On April 1, 2013, the Company launched an offer to exchange the New and Add-on Notes and guarantees for registered, publicly tradable notes and guarantees that have terms identical in all material respects to the New and Add-on Notes (except that the exchange notes will not contain any transfer restrictions). This exchange offer closed on April 30, 2013. | |||||
The following table reconciles our Senior Secured Notes to our Condensed Consolidated Balance Sheet (amounts in thousands): | |||||
Aggregate principal amount issued on August 20, 2012 | $ | 530,000 | |||
Initial purchasers’ discount | (9,275 | ) | |||
Accretion of discount through December 31, 2012 | 340 | ||||
Balance at December 31, 2012 | 521,065 | ||||
Aggregate principal amount issued on February 4, 2013 | 100,000 | ||||
Premium on notes issued | 8,500 | ||||
Initial purchaser’s discount | (1,250 | ) | |||
Accretion of discount through September 30, 2013 | 780 | ||||
Amortization of note premium through September 30, 2013 | (591 | ) | |||
Balance at September 30, 2013 | $ | 628,504 | |||
Segment_Information
Segment Information | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Information | ' | ||||||||||||||||
(8) Segment Information | |||||||||||||||||
We have identified five reportable segments: equipment rentals, new equipment sales, used equipment sales, parts sales and service revenues. These segments are based upon how management of the Company allocates resources and assesses performance. Non-segmented revenues and non-segmented costs relate to equipment support activities including transportation, hauling, parts freight and damage-waiver charges and are not allocated to the other reportable segments. There were no sales between segments for any of the periods presented. Selling, general and administrative expenses as well as all other income and expense items below gross profit are not generally allocated to reportable segments. | |||||||||||||||||
We do not compile discrete financial information by segments other than the information presented below. The following table presents information about our reportable segments (amounts in thousands): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 89,420 | $ | 77,808 | $ | 248,518 | $ | 207,941 | |||||||||
New equipment sales | 90,220 | 49,009 | 216,979 | 154,710 | |||||||||||||
Used equipment sales | 36,779 | 24,990 | 103,589 | 75,100 | |||||||||||||
Parts sales | 26,571 | 26,058 | 77,971 | 74,161 | |||||||||||||
Services revenues | 13,729 | 14,436 | 42,050 | 41,615 | |||||||||||||
Total segmented revenues | 256,719 | 192,301 | 689,107 | 553,527 | |||||||||||||
Non-segmented revenues | 13,730 | 12,208 | 39,070 | 33,671 | |||||||||||||
Total revenues | $ | 270,449 | $ | 204,509 | $ | 728,177 | $ | 587,198 | |||||||||
Gross Profit: | |||||||||||||||||
Equipment rentals | $ | 44,343 | $ | 38,079 | $ | 117,438 | $ | 96,839 | |||||||||
New equipment sales | 9,561 | 5,642 | 23,526 | 17,765 | |||||||||||||
Used equipment sales | 9,693 | 6,591 | 29,583 | 21,674 | |||||||||||||
Parts sales | 7,448 | 6,966 | 21,311 | 20,335 | |||||||||||||
Services revenues | 8,786 | 8,821 | 26,307 | 25,708 | |||||||||||||
Total segmented gross profit | 79,831 | 66,099 | 218,165 | 182,321 | |||||||||||||
Non-segmented gross profit | 469 | 824 | 2,027 | 1,488 | |||||||||||||
Total gross profit | $ | 80,300 | $ | 66,923 | $ | 220,192 | $ | 183,809 | |||||||||
Balances at | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Segment identified assets: | |||||||||||||||||
Equipment sales | $ | 98,754 | $ | 64,441 | |||||||||||||
Equipment rentals | 672,057 | 583,349 | |||||||||||||||
Parts and services | 18,775 | 15,529 | |||||||||||||||
Total segment identified assets | 789,586 | 663,319 | |||||||||||||||
Non-segment identified assets | 285,435 | 279,080 | |||||||||||||||
Total assets | $ | 1,075,021 | $ | 942,399 | |||||||||||||
The Company operates primarily in the United States and our sales to international customers for the three and nine month periods ended September 30, 2013 were 1.7% and 1.4%, respectively, of total revenues compared to 0.9% and 2.8% for the three and nine month periods ended September 30, 2012, respectively. No one customer accounted for more than 10% of our revenues on an overall or segment basis for any of the periods presented. |
Condensed_Consolidating_Financ
Condensed Consolidating Financial Information of Guarantor Subsidiaries | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||
Condensed Consolidating Financial Information of Guarantor Subsidiaries | ' | ||||||||||||||||
(9) Condensed Consolidating Financial Information of Guarantor Subsidiaries | |||||||||||||||||
All of the indebtedness of H&E Equipment Services, Inc. is guaranteed by GNE Investments, Inc. and its wholly-owned subsidiary Great Northern Equipment, Inc., H&E Equipment Services (California), LLC, H&E California Holding, Inc., H&E Equipment Services (Mid-Atlantic), Inc. and H&E Finance Corp. The guarantor subsidiaries are all wholly-owned and the guarantees, made on a joint and several basis, are full and unconditional (subject to subordination provisions and subject to a standard limitation which provides that the maximum amount guaranteed by each guarantor will not exceed the maximum amount that can be guaranteed without making the guarantee void under fraudulent conveyance laws). There are no restrictions on H&E Equipment Services, Inc.’s ability to obtain funds from the guarantor subsidiaries by dividend or loan. | |||||||||||||||||
The consolidating financial statements of H&E Equipment Services, Inc. and its subsidiaries are included below. The financial statements for H&E Finance Corp. are not included within the consolidating financial statements because H&E Finance Corp. has no assets or operations. The condensed consolidating balance sheet amounts as of December 31, 2012 included herein were derived from our annual audited consolidated financial statements and related notes in our Annual Report on Form 10-K for the year ended December 31, 2012. | |||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
As of September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash | $ | 6,666 | $ | — | $ | — | $ | 6,666 | |||||||||
Receivables, net | 123,064 | 18,405 | — | 141,469 | |||||||||||||
Inventories, net | 109,287 | 8,242 | — | 117,529 | |||||||||||||
Prepaid expenses and other assets | 6,297 | 159 | — | 6,456 | |||||||||||||
Rental equipment, net | 565,138 | 106,919 | — | 672,057 | |||||||||||||
Property and equipment, net | 82,480 | 11,991 | — | 94,471 | |||||||||||||
Deferred financing costs, net | 4,957 | — | — | 4,957 | |||||||||||||
Investment in guarantor subsidiaries | 168,698 | — | (168,698 | ) | — | ||||||||||||
Goodwill | 1,890 | 29,526 | — | 31,416 | |||||||||||||
Total assets | $ | 1,068,477 | $ | 175,242 | $ | (168,698 | ) | $ | 1,075,021 | ||||||||
Liabilities and Stockholders’ Equity: | |||||||||||||||||
Amounts due on senior secured credit facility | $ | 135,080 | $ | — | $ | — | $ | 135,080 | |||||||||
Accounts payable | 49,667 | 2,957 | — | 52,624 | |||||||||||||
Manufacturer flooring plans payable | 49,707 | 2 | — | 49,709 | |||||||||||||
Accrued expenses payable and other liabilities | 44,589 | 1,287 | — | 45,876 | |||||||||||||
Dividends payable | 656 | (23 | ) | — | 633 | ||||||||||||
Senior unsecured notes | 628,504 | — | — | 628,504 | |||||||||||||
Capital lease payable | — | 2,321 | — | 2,321 | |||||||||||||
Deferred income taxes | 78,468 | — | — | 78,468 | |||||||||||||
Deferred compensation payable | 2,024 | — | — | 2,024 | |||||||||||||
Total liabilities | 988,695 | 6,544 | — | 995,239 | |||||||||||||
Stockholders’ equity( (de | 79,782 | 168,698 | (168,698 | ) | 79,782 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 1,068,477 | $ | 175,242 | $ | (168,698 | ) | $ | 1,075,021 | ||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
As of December 31, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash | $ | 8,894 | $ | — | $ | — | $ | 8,894 | |||||||||
Receivables, net | 125,345 | 16,322 | — | 141,667 | |||||||||||||
Inventories, net | 71,407 | 8,563 | — | 79,970 | |||||||||||||
Prepaid expenses and other assets | 5,107 | 100 | — | 5,207 | |||||||||||||
Rental equipment, net | 485,177 | 98,172 | — | 583,349 | |||||||||||||
Property and equipment, net | 74,264 | 11,925 | — | 86,189 | |||||||||||||
Deferred financing costs, net | 5,049 | — | — | 5,049 | |||||||||||||
Investment in guarantor subsidiaries | 160,005 | — | (160,005 | ) | — | ||||||||||||
Goodwill | 2,548 | 29,526 | — | 32,074 | |||||||||||||
Total assets | $ | 937,796 | $ | 164,608 | $ | (160,005 | ) | $ | 942,399 | ||||||||
Liabilities and Stockholders’ Equity: | |||||||||||||||||
Amount due on senior secured credit facility | $ | 157,719 | $ | — | $ | — | $ | 157,719 | |||||||||
Accounts payable | 34,786 | 1,333 | — | 36,119 | |||||||||||||
Manufacturer flooring plans payable | 50,389 | 450 | — | 50,839 | |||||||||||||
Dividends payable | 1,488 | — | — | 1,488 | |||||||||||||
Accrued expenses payable and other liabilities | 50,149 | 373 | — | 50,522 | |||||||||||||
Senior unsecured notes | 521,065 | — | — | 521,065 | |||||||||||||
Capital leases payable | — | 2,447 | — | 2,447 | |||||||||||||
Deferred income taxes | 71,589 | — | — | 71,589 | |||||||||||||
Deferred compensation payable | 1,975 | — | — | 1,975 | |||||||||||||
Total liabilities | 889,160 | 4,603 | — | 893,763 | |||||||||||||
Stockholders’ equity | 48,636 | 160,005 | (160,005 | ) | 48,636 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 937,796 | $ | 164,608 | $ | (160,005 | ) | $ | 942,399 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||
Three Months Ended September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 73,537 | $ | 15,883 | $ | — | $ | 89,420 | |||||||||
New equipment sales | 81,547 | 8,673 | — | 90,220 | |||||||||||||
Used equipment sales | 31,934 | 4,845 | — | 36,779 | |||||||||||||
Parts sales | 23,111 | 3,460 | — | 26,571 | |||||||||||||
Services revenues | 11,692 | 2,037 | — | 13,729 | |||||||||||||
Other | 11,300 | 2,430 | — | 13,730 | |||||||||||||
Total revenues | 233,121 | 37,328 | — | 270,449 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 26,079 | 5,448 | — | 31,527 | |||||||||||||
Rental expense | 10,995 | 2,555 | — | 13,550 | |||||||||||||
New equipment sales | 72,790 | 7,869 | — | 80,659 | |||||||||||||
Used equipment sales | 23,712 | 3,374 | — | 27,086 | |||||||||||||
Parts sales | 16,681 | 2,442 | — | 19,123 | |||||||||||||
Services revenues | 4,177 | 766 | — | 4,943 | |||||||||||||
Other | 10,739 | 2,522 | — | 13,261 | |||||||||||||
Total cost of revenues | 165,173 | 24,976 | — | 190,149 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 36,463 | 7,880 | — | 44,343 | |||||||||||||
New equipment sales | 8,757 | 804 | — | 9,561 | |||||||||||||
Used equipment sales | 8,222 | 1,471 | — | 9,693 | |||||||||||||
Parts sales | 6,430 | 1,018 | — | 7,448 | |||||||||||||
Services revenues | 7,515 | 1,271 | — | 8,786 | |||||||||||||
Other | 561 | (92 | ) | — | 469 | ||||||||||||
Gross profit | 67,948 | 12,352 | — | 80,300 | |||||||||||||
Selling, general and administrative expenses | 38,525 | 8,452 | — | 46,977 | |||||||||||||
Equity in earnings of guarantor subsidiaries | 1,328 | — | (1,328 | ) | — | ||||||||||||
Gain on sales of property and equipment, net | 457 | 152 | — | 609 | |||||||||||||
Income from operations | 31,208 | 4,052 | (1,328 | ) | 33,932 | ||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (10,457 | ) | (2,736 | ) | — | (13,193 | ) | ||||||||||
Other, net | 225 | 12 | — | 237 | |||||||||||||
Total other expense, net | (10,232 | ) | (2,724 | ) | — | (12,956 | ) | ||||||||||
Income before income taxes | 20,976 | 1,328 | (1,328 | ) | 20,976 | ||||||||||||
Income tax expense | 7,023 | — | — | 7,023 | |||||||||||||
Net income | $ | 13,953 | $ | 1,328 | $ | (1,328 | ) | $ | 13,953 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
Three Months Ended September 30, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 63,607 | $ | 14,201 | $ | — | $ | 77,808 | |||||||||
New equipment sales | 45,514 | 3,495 | — | 49,009 | |||||||||||||
Used equipment sales | 21,222 | 3,768 | — | 24,990 | |||||||||||||
Parts sales | 22,369 | 3,689 | — | 26,058 | |||||||||||||
Services revenues | 12,441 | 1,995 | — | 14,436 | |||||||||||||
Other | 9,943 | 2,265 | — | 12,208 | |||||||||||||
Total revenues | 175,096 | 29,413 | — | 204,509 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 21,912 | 5,238 | — | 27,150 | |||||||||||||
Rental expense | 10,083 | 2,496 | — | 12,579 | |||||||||||||
New equipment sales | 40,295 | 3,072 | — | 43,367 | |||||||||||||
Used equipment sales | 15,713 | 2,686 | — | 18,399 | |||||||||||||
Parts sales | 16,448 | 2,644 | — | 19,092 | |||||||||||||
Services revenues | 4,921 | 694 | — | 5,615 | |||||||||||||
Other | 9,024 | 2,360 | — | 11,384 | |||||||||||||
Total cost of revenues | 118,396 | 19,190 | — | 137,586 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 31,612 | 6,467 | — | 38,079 | |||||||||||||
New equipment sales | 5,219 | 423 | — | 5,642 | |||||||||||||
Used equipment sales | 5,509 | 1,082 | — | 6,591 | |||||||||||||
Parts sales | 5,921 | 1,045 | — | 6,966 | |||||||||||||
Services revenues | 7,520 | 1,301 | — | 8,821 | |||||||||||||
Other | 919 | (95 | ) | — | 824 | ||||||||||||
Gross profit | 56,700 | 10,223 | — | 66,923 | |||||||||||||
Selling, general and administrative expenses | 34,350 | 8,052 | — | 42,402 | |||||||||||||
Equity in loss of guarantor subsidiaries | (228 | ) | — | 228 | — | ||||||||||||
Gain on sales of property and equipment, net | 341 | 173 | — | 514 | |||||||||||||
Income from operations | 22,463 | 2,344 | 228 | 25,035 | |||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (7,238 | ) | (2,587 | ) | — | (9,825 | ) | ||||||||||
Loss on early extinguishment of debt | (10,180 | ) | — | — | (10,180 | ) | |||||||||||
Other, net | 228 | 15 | — | 243 | |||||||||||||
Total other expense, net | (17,190 | ) | (2,572 | ) | — | (19,762 | ) | ||||||||||
Income (loss) before income taxes | 5,273 | (228 | ) | 228 | 5,273 | ||||||||||||
Income tax expense | 1,564 | — | — | 1,564 | |||||||||||||
Net income (loss) | $ | 3,709 | $ | (228 | ) | $ | 228 | $ | 3,709 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 205,816 | $ | 42,702 | $ | — | $ | 248,518 | |||||||||
New equipment sales | 195,300 | 21,679 | — | 216,979 | |||||||||||||
Used equipment sales | 87,687 | 15,902 | — | 103,589 | |||||||||||||
Parts sales | 67,057 | 10,914 | — | 77,971 | |||||||||||||
Services revenues | 36,305 | 5,745 | — | 42,050 | |||||||||||||
Other | 32,232 | 6,838 | — | 39,070 | |||||||||||||
Total revenues | 624,397 | 103,780 | — | 728,177 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 73,785 | 15,894 | — | 89,679 | |||||||||||||
Rental expense | 33,886 | 7,515 | — | 41,401 | |||||||||||||
New equipment sales | 173,964 | 19,489 | — | 193,453 | |||||||||||||
Used equipment sales | 62,533 | 11,473 | — | 74,006 | |||||||||||||
Parts sales | 48,840 | 7,820 | — | 56,660 | |||||||||||||
Services revenues | 13,683 | 2,060 | — | 15,743 | |||||||||||||
Other | 29,996 | 7,047 | — | 37,043 | |||||||||||||
Total cost of revenues | 436,687 | 71,298 | — | 507,985 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 98,145 | 19,293 | — | 117,438 | |||||||||||||
New equipment sales | 21,336 | 2,190 | — | 23,526 | |||||||||||||
Used equipment sales | 25,154 | 4,429 | — | 29,583 | |||||||||||||
Parts sales | 18,217 | 3,094 | — | 21,311 | |||||||||||||
Services revenues | 22,622 | 3,685 | — | 26,307 | |||||||||||||
Other | 2,236 | (209 | ) | — | 2,027 | ||||||||||||
Gross profit | 187,710 | 32,482 | — | 220,192 | |||||||||||||
Selling, general and administrative expenses | 116,306 | 24,041 | — | 140,347 | |||||||||||||
Equity in earnings of guarantor subsidiaries | 929 | — | (929 | ) | — | ||||||||||||
Gain on sales of property and equipment, net | 1,404 | 311 | — | 1,715 | |||||||||||||
Income from operations | 73,737 | 8,752 | (929 | ) | 81,560 | ||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (30,674 | ) | (7,876 | ) | — | (38,550 | ) | ||||||||||
Other, net | 892 | 53 | — | 945 | |||||||||||||
Total other expense, net | (29,782 | ) | (7,823 | ) | — | (37,605 | ) | ||||||||||
Income before income taxes | 43,955 | 929 | (929 | ) | 43,955 | ||||||||||||
Income tax expense | 14,416 | — | — | 14,416 | |||||||||||||
Net income | $ | 29,539 | $ | 929 | $ | (929 | ) | $ | 29,539 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
Nine Months Ended September 30, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 170,492 | $ | 37,449 | $ | — | $ | 207,941 | |||||||||
New equipment sales | 137,915 | 16,795 | — | 154,710 | |||||||||||||
Used equipment sales | 60,960 | 14,140 | — | 75,100 | |||||||||||||
Parts sales | 63,120 | 11,041 | — | 74,161 | |||||||||||||
Services revenues | 35,926 | 5,689 | — | 41,615 | |||||||||||||
Other | 27,595 | 6,076 | — | 33,671 | |||||||||||||
Total revenues | 496,008 | 91,190 | — | 587,198 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 60,264 | 14,463 | — | 74,727 | |||||||||||||
Rental expense | 29,181 | 7,194 | — | 36,375 | |||||||||||||
New equipment sales | 121,950 | 14,995 | — | 136,945 | |||||||||||||
Used equipment sales | 42,798 | 10,628 | — | 53,426 | |||||||||||||
Parts sales | 45,935 | 7,891 | — | 53,826 | |||||||||||||
Services revenues | 13,930 | 1,977 | — | 15,907 | |||||||||||||
Other | 25,702 | 6,481 | — | 32,183 | |||||||||||||
Total cost of revenues | 339,760 | 63,629 | — | 403,389 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 81,047 | 15,792 | — | 96,839 | |||||||||||||
New equipment sales | 15,965 | 1,800 | — | 17,765 | |||||||||||||
Used equipment sales | 18,162 | 3,512 | — | 21,674 | |||||||||||||
Parts sales | 17,185 | 3,150 | — | 20,335 | |||||||||||||
Services revenues | 21,996 | 3,712 | — | 25,708 | |||||||||||||
Other | 1,893 | (405 | ) | — | 1,488 | ||||||||||||
Gross profit | 156,248 | 27,561 | — | 183,809 | |||||||||||||
Selling, general and administrative expenses | 102,625 | 21,879 | — | 124,504 | |||||||||||||
Equity in loss of guarantor subsidiaries | (1,077 | ) | — | 1,077 | — | ||||||||||||
Gain on sales of property and equipment, net | 1,127 | 351 | — | 1,478 | |||||||||||||
Income from operations | 53,673 | 6,033 | 1,077 | 60,783 | |||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (16,512 | ) | (7,156 | ) | — | (23,668 | ) | ||||||||||
Loss on early extinguishment of debt | (10,180 | ) | — | — | (10,180 | ) | |||||||||||
Other, net | 705 | 46 | — | 751 | |||||||||||||
Total other expense, net | (25,987 | ) | (7,110 | ) | — | (33,097 | ) | ||||||||||
Income (loss) before income taxes | 27,686 | (1,077 | ) | 1,077 | 27,686 | ||||||||||||
Income tax expense | 9,554 | — | — | 9,554 | |||||||||||||
Net income (loss) | $ | 18,132 | $ | (1,077 | ) | $ | 1,077 | $ | 18,132 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||
Net income | $ | 29,539 | $ | 929 | $ | (929 | ) | $ | 29,539 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||
Depreciation and amortization on property and equipment | 10,840 | 1,515 | — | 12,355 | |||||||||||||
Depreciation on rental equipment | 73,785 | 15,894 | — | 89,679 | |||||||||||||
Amortization of deferred financing costs | 826 | — | — | 826 | |||||||||||||
Accretion of note discount, net of premium amortization | 189 | — | — | 189 | |||||||||||||
Provision for losses on accounts receivable | 1,884 | 464 | — | 2,348 | |||||||||||||
Provision for inventory obsolescence | 208 | — | — | 208 | |||||||||||||
Increase in deferred income taxes | 6,879 | — | — | 6,879 | |||||||||||||
Stock-based compensation expense | 2,109 | — | — | 2,109 | |||||||||||||
Gain on sales of property and equipment, net | (1,404 | ) | (311 | ) | — | (1,715 | ) | ||||||||||
Gain on sales of rental equipment, net | (23,383 | ) | (4,388 | ) | — | (27,771 | ) | ||||||||||
Writedown of goodwill for tax-deductible goodwill in excess of book goodwill | 657 | — | — | 657 | |||||||||||||
Equity in earnings of guarantor subsidiaries | (929 | ) | — | 929 | — | ||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||
Receivables, net | 397 | (2,547 | ) | — | (2,150 | ) | |||||||||||
Inventories, net | (68,876 | ) | (4,021 | ) | — | (72,897 | ) | ||||||||||
Prepaid expenses and other assets | (1,190 | ) | (59 | ) | — | (1,249 | ) | ||||||||||
Accounts payable | 14,880 | 1,624 | — | 16,504 | |||||||||||||
Manufacturer flooring plans payable | (682 | ) | (448 | ) | — | (1,130 | ) | ||||||||||
Accrued expenses payable and other liabilities | (5,558 | ) | 914 | — | (4,644 | ) | |||||||||||
Deferred compensation payable | 49 | — | — | 49 | |||||||||||||
Net cash provided by operating activities | 40,220 | 9,566 | — | 49,786 | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||
Purchases of property and equipment | (19,093 | ) | (1,641 | ) | — | (20,734 | ) | ||||||||||
Purchases of rental equipment | (168,466 | ) | (29,297 | ) | — | (197,763 | ) | ||||||||||
Proceeds from sales of property and equipment | 1,441 | 371 | — | 1,812 | |||||||||||||
Proceeds from sales of rental equipment | 68,891 | 13,386 | — | 82,277 | |||||||||||||
Investment in subsidiaries | (7,764 | ) | — | 7,764 | — | ||||||||||||
Net cash used in investing activities . | (124,991 | ) | (17,181 | ) | 7,764 | (134,408 | ) | ||||||||||
Cash flows from financing activities: | |||||||||||||||||
Purchases of treasury stock | (890 | ) | — | — | (890 | ) | |||||||||||
Excess tax benefit (deficiency) from stock-based awards | 387 | — | — | 387 | |||||||||||||
Borrowings on senior secured credit facility | 827,539 | — | — | 827,539 | |||||||||||||
Payments on senior secured credit facility | (850,178 | ) | — | — | (850,178 | ) | |||||||||||
Proceeds from issuance of unsecured notes | 107,250 | — | — | 107,250 | |||||||||||||
Payments of deferred financing costs | (733 | ) | — | — | (733 | ) | |||||||||||
Dividends paid | (832 | ) | (23 | ) | — | (855 | ) | ||||||||||
Payments on capital lease obligations | — | (126 | ) | — | (126 | ) | |||||||||||
Capital contributions | — | 7,764 | (7,764 | ) | — | ||||||||||||
Net cash provided by financing activities | 82,543 | 7,615 | (7,764 | ) | 82,394 | ||||||||||||
Net decrease in cash | (2,228 | ) | — | — | (2,228 | ) | |||||||||||
Cash, beginning of period | 8,894 | — | — | 8,894 | |||||||||||||
Cash, end of period | $ | 6,666 | $ | — | $ | — | $ | 6,666 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Nine Months Ended September 30, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||
Net income (loss) | $ | 18,132 | $ | (1,077 | ) | $ | 1,077 | $ | 18,132 | ||||||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||||||||||||
Depreciation and amortization on property and equipment | 8,605 | 1,392 | — | 9,997 | |||||||||||||
Depreciation on rental equipment | 60,264 | 14,463 | — | 74,727 | |||||||||||||
Amortization of loan discounts and deferred financing costs | 1,076 | — | — | 1,076 | |||||||||||||
Amortization of intangible assets | — | 66 | — | 66 | |||||||||||||
Provision for losses on accounts receivable | 1,820 | 745 | — | 2,565 | |||||||||||||
Provision for inventory obsolescence | 124 | — | — | 124 | |||||||||||||
Increase in deferred income taxes | 7,460 | — | — | 7,460 | |||||||||||||
Stock-based compensation expense | 1,223 | — | — | 1,223 | |||||||||||||
Loss on early extinguishment of debt | 10,180 | — | — | 10,180 | |||||||||||||
Gain on sales of property and equipment, net | (1,127 | ) | (351 | ) | — | (1,478 | ) | ||||||||||
Gain on sales of rental equipment, net | (17,341 | ) | (3,501 | ) | — | (20,842 | ) | ||||||||||
Writedown of goodwill for tax-deductible goodwill in excess of book goodwill | 1,458 | — | — | 1,458 | |||||||||||||
Equity in loss of guarantor subsidiaries | 1,077 | — | (1,077 | ) | — | ||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||
Receivables, net | (16,477 | ) | (4,651 | ) | — | (21,128 | ) | ||||||||||
Inventories, net | (62,853 | ) | (9,481 | ) | — | (72,334 | ) | ||||||||||
Prepaid expenses and other assets | 105 | 10 | — | 115 | |||||||||||||
Accounts payable | 11,389 | 1,313 | — | 12,702 | |||||||||||||
Manufacturer flooring plans payable | (1,704 | ) | 311 | — | (1,393 | ) | |||||||||||
Accrued expenses payable and other liabilities | (1,042 | ) | 117 | — | (925 | ) | |||||||||||
Deferred compensation payable | (48 | ) | — | — | (48 | ) | |||||||||||
Net cash provided by (used in) operating activities | 22,321 | (644 | ) | — | 21,677 | ||||||||||||
Cash flows from investing activities: | |||||||||||||||||
Purchases of property and equipment | (24,543 | ) | (2,468 | ) | — | (27,011 | ) | ||||||||||
Purchases of rental equipment | (176,019 | ) | (36,318 | ) | — | (212,337 | ) | ||||||||||
Proceeds from sales of property and equipment | 1,608 | 253 | — | 1,861 | |||||||||||||
Proceeds from sales of rental equipment | 51,483 | 13,520 | — | 65,003 | |||||||||||||
Investment in subsidiaries | (25,775 | ) | — | 25,775 | — | ||||||||||||
Net cash used in investing activities . | (173,246 | ) | (25,013 | ) | 25,775 | (172,484 | ) | ||||||||||
Cash flows from financing activities: | |||||||||||||||||
Purchases of treasury stock | (694 | ) | — | — | (694 | ) | |||||||||||
Excess tax benefit from stock-based awards | 293 | — | — | 293 | |||||||||||||
Dividends paid | (244,381 | ) | — | — | (244,381 | ) | |||||||||||
Principal payments on senior unsecured notes | (257,576 | ) | — | — | (257,576 | ) | |||||||||||
Proceeds from issuance of senior unsecured notes | 530,000 | — | — | 530,000 | |||||||||||||
Borrowings on senior secured credit facility | 776,171 | — | — | 776,171 | |||||||||||||
Payments on senior secured credit facility | (661,501 | ) | — | — | (661,501 | ) | |||||||||||
Payments of deferred financing costs | (12,352 | ) | — | — | (12,352 | ) | |||||||||||
Payments on capital lease obligations | — | (118 | ) | — | (118 | ) | |||||||||||
Capital contributions | — | 25,775 | (25,775 | ) | — | ||||||||||||
Net cash provided by financing activities | 129,960 | 25,657 | (25,775 | ) | 129,842 | ||||||||||||
Net decrease in cash | (20,965 | ) | — | — | (20,965 | ) | |||||||||||
Cash, beginning of period | 24,215 | — | — | 24,215 | |||||||||||||
Cash, end of period | $ | 3,250 | $ | — | $ | — | $ | 3,250 | |||||||||
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Use of Estimates | ' |
Use of Estimates | |
We prepare our consolidated financial statements in accordance with accounting principles generally accepted in the United States of America, which requires management to use its judgment to make estimates and assumptions that affect the reported amounts of assets and liabilities and related disclosures at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. These assumptions and estimates could have a material effect on our condensed consolidated financial statements. Actual results may differ materially from those estimates. We review our estimates on an ongoing basis based on information currently available, and changes in facts and circumstances may cause us to revise these estimates. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
There are no recent accounting pronouncements that are expected to affect the Company’s financial reporting. | |
Stock Compensation | ' |
We account for our stock-based compensation plan using the fair value recognition provisions of ASC 718, Stock Compensation (“ASC 718”). Under the provisions of ASC 718, stock-based compensation is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the requisite employee service period (generally the vesting period of the grant). Shares available for future stock-based payment awards under our 2006 Stock-Based Incentive Compensation Plan were 3,614,426 shares as of September 30, 2013. |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||
Estimated Incremental Borrowing Rates for Similar Types of Borrowing Arrangements | ' | ||||||||
The carrying amounts and fair values of our other financial instruments subject to fair value disclosures have been calculated based upon market quotes and present value calculations based on our current estimated incremental borrowing rates for similar types of borrowing arrangements, which are presented in the table below (amounts in thousands): | |||||||||
September 30, 2013 | |||||||||
Carrying | Fair | ||||||||
Amount | Value | ||||||||
Manufacturer flooring plans payable with interest computed at 5.25% | $ | 49,709 | $ | 41,684 | |||||
Senior unsecured notes with interest computed at 7.0%(1) | 630,000 | 670,950 | |||||||
Capital lease payable with interest computed at 5.929% to 9.55% | 2,321 | 1,763 | |||||||
Letters of credit | — | 146 | |||||||
December 31, 2012 | |||||||||
Carrying | Fair | ||||||||
Amount | Value | ||||||||
Manufacturer flooring plans payable with interest computed at 5.25% | $ | 50,839 | $ | 44,232 | |||||
Senior unsecured notes with interest computed at 7.0%(1) | 530,000 | 564,450 | |||||||
Capital lease payable with interest computed at 5.929% to 9.55% | 2,447 | 1,919 | |||||||
Letters of credit | — | 162 | |||||||
-1 | – Amounts shown based on aggregate amounts outstanding for the periods presented. |
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||||||
Summary of Activity in Stockholders' Equity | ' | ||||||||||||||||||||||||
The following table summarizes the activity in Stockholders’ Equity for the nine month period ended September 30, 2013 (amounts in thousands, except share data): | |||||||||||||||||||||||||
Additional | Treasury | Retained | Total | ||||||||||||||||||||||
Common Stock | Paid-in | Stock | Deficit | Stockholders’ | |||||||||||||||||||||
Shares | Amount | Capital | Equity | ||||||||||||||||||||||
Issued | |||||||||||||||||||||||||
Balances at December 31, 2012 | 38,917,619 | $ | 388 | $ | 212,850 | $ | (57,578 | ) | $ | (107,024 | ) | $ | 48,636 | ||||||||||||
Stock-based compensation | — | — | 2,109 | — | — | 2,109 | |||||||||||||||||||
Tax benefits associated with stock-based awards | — | — | 387 | — | — | 387 | |||||||||||||||||||
Issuance of common stock | 105,975 | 1 | — | — | — | 1 | |||||||||||||||||||
Repurchases of 40,109 shares of restricted common stock | — | — | — | (890 | ) | — | (890 | ) | |||||||||||||||||
Net income | — | — | — | — | 29,539 | 29,539 | |||||||||||||||||||
Balances at September 30, 2013 | 39,023,594 | $ | 389 | $ | 215,346 | $ | (58,468 | ) | $ | (77,485 | ) | $ | 79,782 | ||||||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Schedule of Non-Vested Stock Activity | ' | ||||||||||||||||
The following table summarizes our non-vested stock activity for the nine month period ended September 30, 2013: | |||||||||||||||||
Number of | Weighted | ||||||||||||||||
Shares | Average Grant | ||||||||||||||||
Date Fair Value | |||||||||||||||||
Non-vested stock at December 31, 2012 | 230,415 | $ | 13.65 | ||||||||||||||
Granted | 86,911 | $ | 21.83 | ||||||||||||||
Vested | (122,121 | ) | $ | 12.37 | |||||||||||||
Forfeited | (3,624 | ) | $ | 14.12 | |||||||||||||
Non-vested stock at September 30, 2013 | 191,581 | $ | 18.17 | ||||||||||||||
Schedule of Compensation Expense Related to Non-Vested Stock | ' | ||||||||||||||||
The following table summarizes compensation expense related to non-vested stock, which is included in selling, general and administrative expenses in the accompanying condensed consolidated statements of income for the three and nine months ended September 30, 2013 and 2012 (amounts in thousands): | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Compensation expense | $ | 505 | $ | 426 | $ | 2,109 | $ | 1,223 | |||||||||
Schedule of Share Based Compensation Stock Options Activity | ' | ||||||||||||||||
The following table represents stock option activity for the nine month period ended September 30, 2013: | |||||||||||||||||
Number of | Weighted Average | Weighted Average | |||||||||||||||
Shares | Exercise Price | Contractual Life | |||||||||||||||
In Years | |||||||||||||||||
Outstanding options at December 31, 2012 | 51,000 | $ | 17.8 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | — | — | |||||||||||||||
Canceled, forfeited or expired | — | — | |||||||||||||||
Outstanding options at September 30, 2013 | 51,000 | $ | 17.8 | 2.8 | |||||||||||||
Options exercisable at September 30, 2013 | 51,000 | $ | 17.8 | 2.8 | |||||||||||||
Income_per_Share_Tables
Income per Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Computation of Basic and Diluted Net Income per Common Share | ' | ||||||||||||||||
The following table sets forth the computation of basic and diluted net income per common share for the three and nine months ended September 30, 2013 and 2012 (amounts in thousands, except per share amounts): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Basic net income per share: | |||||||||||||||||
Net income | $ | 13,953 | $ | 3,709 | $ | 29,539 | $ | 18,132 | |||||||||
Weighted average number of shares of common stock outstanding | 35,099 | 34,958 | 35,022 | 34,867 | |||||||||||||
Net income per share of common stock – basic | $ | 0.4 | $ | 0.11 | $ | 0.84 | $ | 0.52 | |||||||||
Diluted net income per share: | |||||||||||||||||
Net income | $ | 13,953 | $ | 3,709 | $ | 29,539 | $ | 18,132 | |||||||||
Weighted average number of shares of common stock outstanding | 35,099 | 34,958 | 35,022 | 34,867 | |||||||||||||
Effect of dilutive securities: | |||||||||||||||||
Effect of dilutive non-vested restricted stock | 70 | 16 | 108 | 96 | |||||||||||||
Weighted average number of shares of common stock outstanding – diluted | 35,169 | 34,974 | 35,130 | 34,963 | |||||||||||||
Net income per share of common stock – diluted | $ | 0.4 | $ | 0.11 | $ | 0.84 | $ | 0.52 | |||||||||
Common shares excluded from the denominator as anti-dilutive: | |||||||||||||||||
Stock options | — | 51 | — | 51 | |||||||||||||
Non-vested restricted stock | 1 | 86 | — | 20 | |||||||||||||
Senior_Unsecured_Notes_Tables
Senior Unsecured Notes (Tables) | 9 Months Ended | ||||
Sep. 30, 2013 | |||||
Text Block [Abstract] | ' | ||||
Reconciliation of Senior Secured Notes to Condensed Consolidated Balance Sheet | ' | ||||
The following table reconciles our Senior Secured Notes to our Condensed Consolidated Balance Sheet (amounts in thousands): | |||||
Aggregate principal amount issued on August 20, 2012 | $ | 530,000 | |||
Initial purchasers’ discount | (9,275 | ) | |||
Accretion of discount through December 31, 2012 | 340 | ||||
Balance at December 31, 2012 | 521,065 | ||||
Aggregate principal amount issued on February 4, 2013 | 100,000 | ||||
Premium on notes issued | 8,500 | ||||
Initial purchaser’s discount | (1,250 | ) | |||
Accretion of discount through September 30, 2013 | 780 | ||||
Amortization of note premium through September 30, 2013 | (591 | ) | |||
Balance at September 30, 2013 | $ | 628,504 | |||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Information about Reportable Segments | ' | ||||||||||||||||
The following table presents information about our reportable segments (amounts in thousands): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 89,420 | $ | 77,808 | $ | 248,518 | $ | 207,941 | |||||||||
New equipment sales | 90,220 | 49,009 | 216,979 | 154,710 | |||||||||||||
Used equipment sales | 36,779 | 24,990 | 103,589 | 75,100 | |||||||||||||
Parts sales | 26,571 | 26,058 | 77,971 | 74,161 | |||||||||||||
Services revenues | 13,729 | 14,436 | 42,050 | 41,615 | |||||||||||||
Total segmented revenues | 256,719 | 192,301 | 689,107 | 553,527 | |||||||||||||
Non-segmented revenues | 13,730 | 12,208 | 39,070 | 33,671 | |||||||||||||
Total revenues | $ | 270,449 | $ | 204,509 | $ | 728,177 | $ | 587,198 | |||||||||
Gross Profit: | |||||||||||||||||
Equipment rentals | $ | 44,343 | $ | 38,079 | $ | 117,438 | $ | 96,839 | |||||||||
New equipment sales | 9,561 | 5,642 | 23,526 | 17,765 | |||||||||||||
Used equipment sales | 9,693 | 6,591 | 29,583 | 21,674 | |||||||||||||
Parts sales | 7,448 | 6,966 | 21,311 | 20,335 | |||||||||||||
Services revenues | 8,786 | 8,821 | 26,307 | 25,708 | |||||||||||||
Total segmented gross profit | 79,831 | 66,099 | 218,165 | 182,321 | |||||||||||||
Non-segmented gross profit | 469 | 824 | 2,027 | 1,488 | |||||||||||||
Total gross profit | $ | 80,300 | $ | 66,923 | $ | 220,192 | $ | 183,809 | |||||||||
Balances at | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Segment identified assets: | |||||||||||||||||
Equipment sales | $ | 98,754 | $ | 64,441 | |||||||||||||
Equipment rentals | 672,057 | 583,349 | |||||||||||||||
Parts and services | 18,775 | 15,529 | |||||||||||||||
Total segment identified assets | 789,586 | 663,319 | |||||||||||||||
Non-segment identified assets | 285,435 | 279,080 | |||||||||||||||
Total assets | $ | 1,075,021 | $ | 942,399 | |||||||||||||
Condensed_Consolidating_Financ1
Condensed Consolidating Financial Information of Guarantor Subsidiaries (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||
Condensed Consolidating Balance Sheet | ' | ||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
As of September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash | $ | 6,666 | $ | — | $ | — | $ | 6,666 | |||||||||
Receivables, net | 123,064 | 18,405 | — | 141,469 | |||||||||||||
Inventories, net | 109,287 | 8,242 | — | 117,529 | |||||||||||||
Prepaid expenses and other assets | 6,297 | 159 | — | 6,456 | |||||||||||||
Rental equipment, net | 565,138 | 106,919 | — | 672,057 | |||||||||||||
Property and equipment, net | 82,480 | 11,991 | — | 94,471 | |||||||||||||
Deferred financing costs, net | 4,957 | — | — | 4,957 | |||||||||||||
Investment in guarantor subsidiaries | 168,698 | — | (168,698 | ) | — | ||||||||||||
Goodwill | 1,890 | 29,526 | — | 31,416 | |||||||||||||
Total assets | $ | 1,068,477 | $ | 175,242 | $ | (168,698 | ) | $ | 1,075,021 | ||||||||
Liabilities and Stockholders’ Equity: | |||||||||||||||||
Amounts due on senior secured credit facility | $ | 135,080 | $ | — | $ | — | $ | 135,080 | |||||||||
Accounts payable | 49,667 | 2,957 | — | 52,624 | |||||||||||||
Manufacturer flooring plans payable | 49,707 | 2 | — | 49,709 | |||||||||||||
Accrued expenses payable and other liabilities | 44,589 | 1,287 | — | 45,876 | |||||||||||||
Dividends payable | 656 | (23 | ) | — | 633 | ||||||||||||
Senior unsecured notes | 628,504 | — | — | 628,504 | |||||||||||||
Capital lease payable | — | 2,321 | — | 2,321 | |||||||||||||
Deferred income taxes | 78,468 | — | — | 78,468 | |||||||||||||
Deferred compensation payable | 2,024 | — | — | 2,024 | |||||||||||||
Total liabilities | 988,695 | 6,544 | — | 995,239 | |||||||||||||
Stockholders’ equity( (de | 79,782 | 168,698 | (168,698 | ) | 79,782 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 1,068,477 | $ | 175,242 | $ | (168,698 | ) | $ | 1,075,021 | ||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
As of December 31, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash | $ | 8,894 | $ | — | $ | — | $ | 8,894 | |||||||||
Receivables, net | 125,345 | 16,322 | — | 141,667 | |||||||||||||
Inventories, net | 71,407 | 8,563 | — | 79,970 | |||||||||||||
Prepaid expenses and other assets | 5,107 | 100 | — | 5,207 | |||||||||||||
Rental equipment, net | 485,177 | 98,172 | — | 583,349 | |||||||||||||
Property and equipment, net | 74,264 | 11,925 | — | 86,189 | |||||||||||||
Deferred financing costs, net | 5,049 | — | — | 5,049 | |||||||||||||
Investment in guarantor subsidiaries | 160,005 | — | (160,005 | ) | — | ||||||||||||
Goodwill | 2,548 | 29,526 | — | 32,074 | |||||||||||||
Total assets | $ | 937,796 | $ | 164,608 | $ | (160,005 | ) | $ | 942,399 | ||||||||
Liabilities and Stockholders’ Equity: | |||||||||||||||||
Amount due on senior secured credit facility | $ | 157,719 | $ | — | $ | — | $ | 157,719 | |||||||||
Accounts payable | 34,786 | 1,333 | — | 36,119 | |||||||||||||
Manufacturer flooring plans payable | 50,389 | 450 | — | 50,839 | |||||||||||||
Dividends payable | 1,488 | — | — | 1,488 | |||||||||||||
Accrued expenses payable and other liabilities | 50,149 | 373 | — | 50,522 | |||||||||||||
Senior unsecured notes | 521,065 | — | — | 521,065 | |||||||||||||
Capital leases payable | — | 2,447 | — | 2,447 | |||||||||||||
Deferred income taxes | 71,589 | — | — | 71,589 | |||||||||||||
Deferred compensation payable | 1,975 | — | — | 1,975 | |||||||||||||
Total liabilities | 889,160 | 4,603 | — | 893,763 | |||||||||||||
Stockholders’ equity | 48,636 | 160,005 | (160,005 | ) | 48,636 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 937,796 | $ | 164,608 | $ | (160,005 | ) | $ | 942,399 | ||||||||
Condensed Consolidating Statement of Income | ' | ||||||||||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||
Three Months Ended September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 73,537 | $ | 15,883 | $ | — | $ | 89,420 | |||||||||
New equipment sales | 81,547 | 8,673 | — | 90,220 | |||||||||||||
Used equipment sales | 31,934 | 4,845 | — | 36,779 | |||||||||||||
Parts sales | 23,111 | 3,460 | — | 26,571 | |||||||||||||
Services revenues | 11,692 | 2,037 | — | 13,729 | |||||||||||||
Other | 11,300 | 2,430 | — | 13,730 | |||||||||||||
Total revenues | 233,121 | 37,328 | — | 270,449 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 26,079 | 5,448 | — | 31,527 | |||||||||||||
Rental expense | 10,995 | 2,555 | — | 13,550 | |||||||||||||
New equipment sales | 72,790 | 7,869 | — | 80,659 | |||||||||||||
Used equipment sales | 23,712 | 3,374 | — | 27,086 | |||||||||||||
Parts sales | 16,681 | 2,442 | — | 19,123 | |||||||||||||
Services revenues | 4,177 | 766 | — | 4,943 | |||||||||||||
Other | 10,739 | 2,522 | — | 13,261 | |||||||||||||
Total cost of revenues | 165,173 | 24,976 | — | 190,149 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 36,463 | 7,880 | — | 44,343 | |||||||||||||
New equipment sales | 8,757 | 804 | — | 9,561 | |||||||||||||
Used equipment sales | 8,222 | 1,471 | — | 9,693 | |||||||||||||
Parts sales | 6,430 | 1,018 | — | 7,448 | |||||||||||||
Services revenues | 7,515 | 1,271 | — | 8,786 | |||||||||||||
Other | 561 | (92 | ) | — | 469 | ||||||||||||
Gross profit | 67,948 | 12,352 | — | 80,300 | |||||||||||||
Selling, general and administrative expenses | 38,525 | 8,452 | — | 46,977 | |||||||||||||
Equity in earnings of guarantor subsidiaries | 1,328 | — | (1,328 | ) | — | ||||||||||||
Gain on sales of property and equipment, net | 457 | 152 | — | 609 | |||||||||||||
Income from operations | 31,208 | 4,052 | (1,328 | ) | 33,932 | ||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (10,457 | ) | (2,736 | ) | — | (13,193 | ) | ||||||||||
Other, net | 225 | 12 | — | 237 | |||||||||||||
Total other expense, net | (10,232 | ) | (2,724 | ) | — | (12,956 | ) | ||||||||||
Income before income taxes | 20,976 | 1,328 | (1,328 | ) | 20,976 | ||||||||||||
Income tax expense | 7,023 | — | — | 7,023 | |||||||||||||
Net income | $ | 13,953 | $ | 1,328 | $ | (1,328 | ) | $ | 13,953 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
Three Months Ended September 30, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 63,607 | $ | 14,201 | $ | — | $ | 77,808 | |||||||||
New equipment sales | 45,514 | 3,495 | — | 49,009 | |||||||||||||
Used equipment sales | 21,222 | 3,768 | — | 24,990 | |||||||||||||
Parts sales | 22,369 | 3,689 | — | 26,058 | |||||||||||||
Services revenues | 12,441 | 1,995 | — | 14,436 | |||||||||||||
Other | 9,943 | 2,265 | — | 12,208 | |||||||||||||
Total revenues | 175,096 | 29,413 | — | 204,509 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 21,912 | 5,238 | — | 27,150 | |||||||||||||
Rental expense | 10,083 | 2,496 | — | 12,579 | |||||||||||||
New equipment sales | 40,295 | 3,072 | — | 43,367 | |||||||||||||
Used equipment sales | 15,713 | 2,686 | — | 18,399 | |||||||||||||
Parts sales | 16,448 | 2,644 | — | 19,092 | |||||||||||||
Services revenues | 4,921 | 694 | — | 5,615 | |||||||||||||
Other | 9,024 | 2,360 | — | 11,384 | |||||||||||||
Total cost of revenues | 118,396 | 19,190 | — | 137,586 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 31,612 | 6,467 | — | 38,079 | |||||||||||||
New equipment sales | 5,219 | 423 | — | 5,642 | |||||||||||||
Used equipment sales | 5,509 | 1,082 | — | 6,591 | |||||||||||||
Parts sales | 5,921 | 1,045 | — | 6,966 | |||||||||||||
Services revenues | 7,520 | 1,301 | — | 8,821 | |||||||||||||
Other | 919 | (95 | ) | — | 824 | ||||||||||||
Gross profit | 56,700 | 10,223 | — | 66,923 | |||||||||||||
Selling, general and administrative expenses | 34,350 | 8,052 | — | 42,402 | |||||||||||||
Equity in loss of guarantor subsidiaries | (228 | ) | — | 228 | — | ||||||||||||
Gain on sales of property and equipment, net | 341 | 173 | — | 514 | |||||||||||||
Income from operations | 22,463 | 2,344 | 228 | 25,035 | |||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (7,238 | ) | (2,587 | ) | — | (9,825 | ) | ||||||||||
Loss on early extinguishment of debt | (10,180 | ) | — | — | (10,180 | ) | |||||||||||
Other, net | 228 | 15 | — | 243 | |||||||||||||
Total other expense, net | (17,190 | ) | (2,572 | ) | — | (19,762 | ) | ||||||||||
Income (loss) before income taxes | 5,273 | (228 | ) | 228 | 5,273 | ||||||||||||
Income tax expense | 1,564 | — | — | 1,564 | |||||||||||||
Net income (loss) | $ | 3,709 | $ | (228 | ) | $ | 228 | $ | 3,709 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 205,816 | $ | 42,702 | $ | — | $ | 248,518 | |||||||||
New equipment sales | 195,300 | 21,679 | — | 216,979 | |||||||||||||
Used equipment sales | 87,687 | 15,902 | — | 103,589 | |||||||||||||
Parts sales | 67,057 | 10,914 | — | 77,971 | |||||||||||||
Services revenues | 36,305 | 5,745 | — | 42,050 | |||||||||||||
Other | 32,232 | 6,838 | — | 39,070 | |||||||||||||
Total revenues | 624,397 | 103,780 | — | 728,177 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 73,785 | 15,894 | — | 89,679 | |||||||||||||
Rental expense | 33,886 | 7,515 | — | 41,401 | |||||||||||||
New equipment sales | 173,964 | 19,489 | — | 193,453 | |||||||||||||
Used equipment sales | 62,533 | 11,473 | — | 74,006 | |||||||||||||
Parts sales | 48,840 | 7,820 | — | 56,660 | |||||||||||||
Services revenues | 13,683 | 2,060 | — | 15,743 | |||||||||||||
Other | 29,996 | 7,047 | — | 37,043 | |||||||||||||
Total cost of revenues | 436,687 | 71,298 | — | 507,985 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 98,145 | 19,293 | — | 117,438 | |||||||||||||
New equipment sales | 21,336 | 2,190 | — | 23,526 | |||||||||||||
Used equipment sales | 25,154 | 4,429 | — | 29,583 | |||||||||||||
Parts sales | 18,217 | 3,094 | — | 21,311 | |||||||||||||
Services revenues | 22,622 | 3,685 | — | 26,307 | |||||||||||||
Other | 2,236 | (209 | ) | — | 2,027 | ||||||||||||
Gross profit | 187,710 | 32,482 | — | 220,192 | |||||||||||||
Selling, general and administrative expenses | 116,306 | 24,041 | — | 140,347 | |||||||||||||
Equity in earnings of guarantor subsidiaries | 929 | — | (929 | ) | — | ||||||||||||
Gain on sales of property and equipment, net | 1,404 | 311 | — | 1,715 | |||||||||||||
Income from operations | 73,737 | 8,752 | (929 | ) | 81,560 | ||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (30,674 | ) | (7,876 | ) | — | (38,550 | ) | ||||||||||
Other, net | 892 | 53 | — | 945 | |||||||||||||
Total other expense, net | (29,782 | ) | (7,823 | ) | — | (37,605 | ) | ||||||||||
Income before income taxes | 43,955 | 929 | (929 | ) | 43,955 | ||||||||||||
Income tax expense | 14,416 | — | — | 14,416 | |||||||||||||
Net income | $ | 29,539 | $ | 929 | $ | (929 | ) | $ | 29,539 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
Nine Months Ended September 30, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Revenues: | |||||||||||||||||
Equipment rentals | $ | 170,492 | $ | 37,449 | $ | — | $ | 207,941 | |||||||||
New equipment sales | 137,915 | 16,795 | — | 154,710 | |||||||||||||
Used equipment sales | 60,960 | 14,140 | — | 75,100 | |||||||||||||
Parts sales | 63,120 | 11,041 | — | 74,161 | |||||||||||||
Services revenues | 35,926 | 5,689 | — | 41,615 | |||||||||||||
Other | 27,595 | 6,076 | — | 33,671 | |||||||||||||
Total revenues | 496,008 | 91,190 | — | 587,198 | |||||||||||||
Cost of revenues: | |||||||||||||||||
Rental depreciation | 60,264 | 14,463 | — | 74,727 | |||||||||||||
Rental expense | 29,181 | 7,194 | — | 36,375 | |||||||||||||
New equipment sales | 121,950 | 14,995 | — | 136,945 | |||||||||||||
Used equipment sales | 42,798 | 10,628 | — | 53,426 | |||||||||||||
Parts sales | 45,935 | 7,891 | — | 53,826 | |||||||||||||
Services revenues | 13,930 | 1,977 | — | 15,907 | |||||||||||||
Other | 25,702 | 6,481 | — | 32,183 | |||||||||||||
Total cost of revenues | 339,760 | 63,629 | — | 403,389 | |||||||||||||
Gross profit (loss): | |||||||||||||||||
Equipment rentals | 81,047 | 15,792 | — | 96,839 | |||||||||||||
New equipment sales | 15,965 | 1,800 | — | 17,765 | |||||||||||||
Used equipment sales | 18,162 | 3,512 | — | 21,674 | |||||||||||||
Parts sales | 17,185 | 3,150 | — | 20,335 | |||||||||||||
Services revenues | 21,996 | 3,712 | — | 25,708 | |||||||||||||
Other | 1,893 | (405 | ) | — | 1,488 | ||||||||||||
Gross profit | 156,248 | 27,561 | — | 183,809 | |||||||||||||
Selling, general and administrative expenses | 102,625 | 21,879 | — | 124,504 | |||||||||||||
Equity in loss of guarantor subsidiaries | (1,077 | ) | — | 1,077 | — | ||||||||||||
Gain on sales of property and equipment, net | 1,127 | 351 | — | 1,478 | |||||||||||||
Income from operations | 53,673 | 6,033 | 1,077 | 60,783 | |||||||||||||
Other income (expense): | |||||||||||||||||
Interest expense | (16,512 | ) | (7,156 | ) | — | (23,668 | ) | ||||||||||
Loss on early extinguishment of debt | (10,180 | ) | — | — | (10,180 | ) | |||||||||||
Other, net | 705 | 46 | — | 751 | |||||||||||||
Total other expense, net | (25,987 | ) | (7,110 | ) | — | (33,097 | ) | ||||||||||
Income (loss) before income taxes | 27,686 | (1,077 | ) | 1,077 | 27,686 | ||||||||||||
Income tax expense | 9,554 | — | — | 9,554 | |||||||||||||
Net income (loss) | $ | 18,132 | $ | (1,077 | ) | $ | 1,077 | $ | 18,132 | ||||||||
Condensed Consolidating Statement of Cash Flows | ' | ||||||||||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||
Net income | $ | 29,539 | $ | 929 | $ | (929 | ) | $ | 29,539 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||
Depreciation and amortization on property and equipment | 10,840 | 1,515 | — | 12,355 | |||||||||||||
Depreciation on rental equipment | 73,785 | 15,894 | — | 89,679 | |||||||||||||
Amortization of deferred financing costs | 826 | — | — | 826 | |||||||||||||
Accretion of note discount, net of premium amortization | 189 | — | — | 189 | |||||||||||||
Provision for losses on accounts receivable | 1,884 | 464 | — | 2,348 | |||||||||||||
Provision for inventory obsolescence | 208 | — | — | 208 | |||||||||||||
Increase in deferred income taxes | 6,879 | — | — | 6,879 | |||||||||||||
Stock-based compensation expense | 2,109 | — | — | 2,109 | |||||||||||||
Gain on sales of property and equipment, net | (1,404 | ) | (311 | ) | — | (1,715 | ) | ||||||||||
Gain on sales of rental equipment, net | (23,383 | ) | (4,388 | ) | — | (27,771 | ) | ||||||||||
Writedown of goodwill for tax-deductible goodwill in excess of book goodwill | 657 | — | — | 657 | |||||||||||||
Equity in earnings of guarantor subsidiaries | (929 | ) | — | 929 | — | ||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||
Receivables, net | 397 | (2,547 | ) | — | (2,150 | ) | |||||||||||
Inventories, net | (68,876 | ) | (4,021 | ) | — | (72,897 | ) | ||||||||||
Prepaid expenses and other assets | (1,190 | ) | (59 | ) | — | (1,249 | ) | ||||||||||
Accounts payable | 14,880 | 1,624 | — | 16,504 | |||||||||||||
Manufacturer flooring plans payable | (682 | ) | (448 | ) | — | (1,130 | ) | ||||||||||
Accrued expenses payable and other liabilities | (5,558 | ) | 914 | — | (4,644 | ) | |||||||||||
Deferred compensation payable | 49 | — | — | 49 | |||||||||||||
Net cash provided by operating activities | 40,220 | 9,566 | — | 49,786 | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||
Purchases of property and equipment | (19,093 | ) | (1,641 | ) | — | (20,734 | ) | ||||||||||
Purchases of rental equipment | (168,466 | ) | (29,297 | ) | — | (197,763 | ) | ||||||||||
Proceeds from sales of property and equipment | 1,441 | 371 | — | 1,812 | |||||||||||||
Proceeds from sales of rental equipment | 68,891 | 13,386 | — | 82,277 | |||||||||||||
Investment in subsidiaries | (7,764 | ) | — | 7,764 | — | ||||||||||||
Net cash used in investing activities . | (124,991 | ) | (17,181 | ) | 7,764 | (134,408 | ) | ||||||||||
Cash flows from financing activities: | |||||||||||||||||
Purchases of treasury stock | (890 | ) | — | — | (890 | ) | |||||||||||
Excess tax benefit (deficiency) from stock-based awards | 387 | — | — | 387 | |||||||||||||
Borrowings on senior secured credit facility | 827,539 | — | — | 827,539 | |||||||||||||
Payments on senior secured credit facility | (850,178 | ) | — | — | (850,178 | ) | |||||||||||
Proceeds from issuance of unsecured notes | 107,250 | — | — | 107,250 | |||||||||||||
Payments of deferred financing costs | (733 | ) | — | — | (733 | ) | |||||||||||
Dividends paid | (832 | ) | (23 | ) | — | (855 | ) | ||||||||||
Payments on capital lease obligations | — | (126 | ) | — | (126 | ) | |||||||||||
Capital contributions | — | 7,764 | (7,764 | ) | — | ||||||||||||
Net cash provided by financing activities | 82,543 | 7,615 | (7,764 | ) | 82,394 | ||||||||||||
Net decrease in cash | (2,228 | ) | — | — | (2,228 | ) | |||||||||||
Cash, beginning of period | 8,894 | — | — | 8,894 | |||||||||||||
Cash, end of period | $ | 6,666 | $ | — | $ | — | $ | 6,666 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Nine Months Ended September 30, 2012 | |||||||||||||||||
H&E Equipment | Guarantor | Elimination | Consolidated | ||||||||||||||
Services | Subsidiaries | ||||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||
Net income (loss) | $ | 18,132 | $ | (1,077 | ) | $ | 1,077 | $ | 18,132 | ||||||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||||||||||||
Depreciation and amortization on property and equipment | 8,605 | 1,392 | — | 9,997 | |||||||||||||
Depreciation on rental equipment | 60,264 | 14,463 | — | 74,727 | |||||||||||||
Amortization of loan discounts and deferred financing costs | 1,076 | — | — | 1,076 | |||||||||||||
Amortization of intangible assets | — | 66 | — | 66 | |||||||||||||
Provision for losses on accounts receivable | 1,820 | 745 | — | 2,565 | |||||||||||||
Provision for inventory obsolescence | 124 | — | — | 124 | |||||||||||||
Increase in deferred income taxes | 7,460 | — | — | 7,460 | |||||||||||||
Stock-based compensation expense | 1,223 | — | — | 1,223 | |||||||||||||
Loss on early extinguishment of debt | 10,180 | — | — | 10,180 | |||||||||||||
Gain on sales of property and equipment, net | (1,127 | ) | (351 | ) | — | (1,478 | ) | ||||||||||
Gain on sales of rental equipment, net | (17,341 | ) | (3,501 | ) | — | (20,842 | ) | ||||||||||
Writedown of goodwill for tax-deductible goodwill in excess of book goodwill | 1,458 | — | — | 1,458 | |||||||||||||
Equity in loss of guarantor subsidiaries | 1,077 | — | (1,077 | ) | — | ||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||
Receivables, net | (16,477 | ) | (4,651 | ) | — | (21,128 | ) | ||||||||||
Inventories, net | (62,853 | ) | (9,481 | ) | — | (72,334 | ) | ||||||||||
Prepaid expenses and other assets | 105 | 10 | — | 115 | |||||||||||||
Accounts payable | 11,389 | 1,313 | — | 12,702 | |||||||||||||
Manufacturer flooring plans payable | (1,704 | ) | 311 | — | (1,393 | ) | |||||||||||
Accrued expenses payable and other liabilities | (1,042 | ) | 117 | — | (925 | ) | |||||||||||
Deferred compensation payable | (48 | ) | — | — | (48 | ) | |||||||||||
Net cash provided by (used in) operating activities | 22,321 | (644 | ) | — | 21,677 | ||||||||||||
Cash flows from investing activities: | |||||||||||||||||
Purchases of property and equipment | (24,543 | ) | (2,468 | ) | — | (27,011 | ) | ||||||||||
Purchases of rental equipment | (176,019 | ) | (36,318 | ) | — | (212,337 | ) | ||||||||||
Proceeds from sales of property and equipment | 1,608 | 253 | — | 1,861 | |||||||||||||
Proceeds from sales of rental equipment | 51,483 | 13,520 | — | 65,003 | |||||||||||||
Investment in subsidiaries | (25,775 | ) | — | 25,775 | — | ||||||||||||
Net cash used in investing activities . | (173,246 | ) | (25,013 | ) | 25,775 | (172,484 | ) | ||||||||||
Cash flows from financing activities: | |||||||||||||||||
Purchases of treasury stock | (694 | ) | — | — | (694 | ) | |||||||||||
Excess tax benefit from stock-based awards | 293 | — | — | 293 | |||||||||||||
Dividends paid | (244,381 | ) | — | — | (244,381 | ) | |||||||||||
Principal payments on senior unsecured notes | (257,576 | ) | — | — | (257,576 | ) | |||||||||||
Proceeds from issuance of senior unsecured notes | 530,000 | — | — | 530,000 | |||||||||||||
Borrowings on senior secured credit facility | 776,171 | — | — | 776,171 | |||||||||||||
Payments on senior secured credit facility | (661,501 | ) | — | — | (661,501 | ) | |||||||||||
Payments of deferred financing costs | (12,352 | ) | — | — | (12,352 | ) | |||||||||||
Payments on capital lease obligations | — | (118 | ) | — | (118 | ) | |||||||||||
Capital contributions | — | 25,775 | (25,775 | ) | — | ||||||||||||
Net cash provided by financing activities | 129,960 | 25,657 | (25,775 | ) | 129,842 | ||||||||||||
Net decrease in cash | (20,965 | ) | — | — | (20,965 | ) | |||||||||||
Cash, beginning of period | 24,215 | — | — | 24,215 | |||||||||||||
Cash, end of period | $ | 3,250 | $ | — | $ | — | $ | 3,250 | |||||||||
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments - Estimated Incremental Borrowing Rates for Similar Types of Borrowing Arrangements (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Capital lease payable with interest computed at 5.929% to 9.55% | $2,321 | $2,447 |
Carrying Amount [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Manufacturer flooring plans payable with interest computed at 5.25% | 49,709 | 50,839 |
Senior unsecured notes with interest computed at 7.0% | 630,000 | 530,000 |
Capital lease payable with interest computed at 5.929% to 9.55% | 2,321 | 2,447 |
Fair Value [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Manufacturer flooring plans payable with interest computed at 5.25% | 41,684 | 44,232 |
Senior unsecured notes with interest computed at 7.0% | 670,950 | 564,450 |
Capital lease payable with interest computed at 5.929% to 9.55% | 1,763 | 1,919 |
Letters of credit | $146 | $162 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments - Estimated Incremental Borrowing Rates for Similar Types of Borrowing Arrangements (Parenthetical) (Detail) | Sep. 30, 2013 | Dec. 31, 2012 |
Fair Value Disclosures [Abstract] | ' | ' |
Manufacturer flooring plans payable, interest rate | 5.25% | 5.25% |
Senior unsecured notes, interest rate | 7.00% | 7.00% |
Capital lease payable, interest rate, minimum | 5.93% | 5.93% |
Capital lease payable interest rate, maximum | 9.55% | 9.55% |
Stockholders_Equity_Summary_of
Stockholders' Equity - Summary of Activity in Stockholders' Equity (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Schedule of Capitalization, Equity [Line Items] | ' | ' | ' | ' |
Beginning balance, value | ' | ' | $48,636 | ' |
Beginning balance, shares | ' | ' | 38,917,619 | ' |
Stock-based compensation | ' | ' | 2,109 | ' |
Tax benefits associated with stock-based awards | ' | ' | 387 | ' |
Issuance of common stock, value | ' | ' | 1 | ' |
Repurchases of 40,109 shares of restricted common stock | ' | ' | -890 | -694 |
Net income | 13,953 | 3,709 | 29,539 | 18,132 |
Ending balance, value | 79,782 | ' | 79,782 | ' |
Ending balance, shares | 39,023,594 | ' | 39,023,594 | ' |
Common Stock [Member] | ' | ' | ' | ' |
Schedule of Capitalization, Equity [Line Items] | ' | ' | ' | ' |
Beginning balance, value | ' | ' | 388 | ' |
Beginning balance, shares | ' | ' | 38,917,619 | ' |
Issuance of common stock, value | ' | ' | 1 | ' |
Issuance of common stock, shares | ' | ' | 105,975 | ' |
Ending balance, value | 389 | ' | 389 | ' |
Ending balance, shares | 39,023,594 | ' | 39,023,594 | ' |
Additional Paid-in Capital [Member] | ' | ' | ' | ' |
Schedule of Capitalization, Equity [Line Items] | ' | ' | ' | ' |
Beginning balance, value | ' | ' | 212,850 | ' |
Stock-based compensation | ' | ' | 2,109 | ' |
Tax benefits associated with stock-based awards | ' | ' | 387 | ' |
Ending balance, value | 215,346 | ' | 215,346 | ' |
Treasury Stock [Member] | ' | ' | ' | ' |
Schedule of Capitalization, Equity [Line Items] | ' | ' | ' | ' |
Beginning balance, value | ' | ' | -57,578 | ' |
Repurchases of 40,109 shares of restricted common stock | ' | ' | -890 | ' |
Ending balance, value | -58,468 | ' | -58,468 | ' |
Retained Earnings (Deficit) [Member] | ' | ' | ' | ' |
Schedule of Capitalization, Equity [Line Items] | ' | ' | ' | ' |
Beginning balance, value | ' | ' | -107,024 | ' |
Net income | ' | ' | 29,539 | ' |
Ending balance, value | ($77,485) | ' | ($77,485) | ' |
Stockholders_Equity_Summary_of1
Stockholders' Equity - Summary of Activity in Stockholders' Equity (Parenthetical) (Detail) | 9 Months Ended |
Sep. 30, 2013 | |
Equity [Abstract] | ' |
Restricted common stock repurchased | 40,109 |
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (USD $) | 9 Months Ended |
Sep. 30, 2013 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Stock-Based incentive compensation plan | 3,614,426 |
Unrecognized compensation expense related to non-vested stock | $3,400,000 |
Expected non-vested stock recognized over a weighted-average period | '2 years 1 month 6 days |
Dividends of non-vested stock | 600,000 |
Unrecognized compensation expense related to stock option awards | 0 |
Aggregate intrinsic value of outstanding options | 400,000 |
Aggregate intrinsic value of exercisable options | $400,000 |
StockBased_Compensation_Schedu
Stock-Based Compensation - Schedule of Non-Vested Stock Activity (Detail) (USD $) | 9 Months Ended |
Sep. 30, 2013 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Non-vested stock, beginning balance, Number of Shares | 230,415 |
Granted, Number of Shares | 86,911 |
Vested, Number of Shares | -122,121 |
Forfeited, Number of Shares | -3,624 |
Non-vested stock, ending balance, Number of Shares | 191,581 |
Non-vested stock, beginning balance, Weighted Average Grant Date Fair Value | $13.65 |
Granted, Weighted Average Grant Date Fair Value | $21.83 |
Vested, Weighted Average Grant Date Fair Value | $12.37 |
Forfeited, Weighted Average Grant Date Fair Value | $14.12 |
Non-vested stock, ending balance, Weighted Average Grant Date Fair Value | $18.17 |
StockBased_Compensation_Schedu1
Stock-Based Compensation - Schedule of Compensation Expense Related to Non-Vested Stock (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' | ' | ' |
Compensation expense | $505 | $426 | $2,109 | $1,223 |
StockBased_Compensation_Schedu2
Stock-Based Compensation - Schedule of Share Based Compensation Stock Options Activity (Detail) (USD $) | 9 Months Ended |
Sep. 30, 2013 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Stock Options, Outstanding, Number of Shares, Beginning Balance | 51,000 |
Stock Options, Granted, Number of Shares | ' |
Stock Options, Exercised, Number of Shares | ' |
Stock Options, Canceled, forfeited or expired, Number of Shares | ' |
Stock Options, Outstanding, Number of Shares, Ending Balance | 51,000 |
Stock Options, Exercisable, Number of Shares | 51,000 |
Stock Options, Outstanding, Weighted Average Exercise Price, Beginning Balance | $17.80 |
Stock Options, Granted, Weighted Average Exercise Price | ' |
Stock Options, Exercised, Weighted Average Exercise Price | ' |
Stock Options, Canceled, forfeited or expired, Weighted Average Exercise Price | ' |
Stock Options, Outstanding, Weighted Average Exercise Price, Ending Balance | $17.80 |
Stock Options, Exercisable, Weighted Average Exercise Price | $17.80 |
Stock Options, Outstanding, Weighted Average Contractual Life In Years | '2 years 9 months 18 days |
Stock Options, Exercisable, Weighted Average Contractual Life In Years | '2 years 9 months 18 days |
Income_per_Share_Computation_o
Income per Share - Computation of Basic and Diluted Net Income Per Common Share (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Basic net income per share: | ' | ' | ' | ' |
Net income | $13,953 | $3,709 | $29,539 | $18,132 |
Weighted average number of shares of common stock outstanding | 35,099 | 34,958 | 35,022 | 34,867 |
Net income per share of common stock - basic | $0.40 | $0.11 | $0.84 | $0.52 |
Diluted net income per share: | ' | ' | ' | ' |
Net income | $13,953 | $3,709 | $29,539 | $18,132 |
Weighted average number of shares of common stock outstanding | 35,099 | 34,958 | 35,022 | 34,867 |
Effect of dilutive securities: | ' | ' | ' | ' |
Weighted average number of shares of common stock outstanding - diluted | 35,169 | 34,974 | 35,130 | 34,963 |
Net income per share of common stock - diluted | $0.40 | $0.11 | $0.84 | $0.52 |
Employee Stock Option [Member] | ' | ' | ' | ' |
Common shares excluded from the denominator as anti-dilutive: | ' | ' | ' | ' |
Common shares excluded from the denominator as anti-dilutive | ' | 51 | ' | 51 |
Non-vested restricted stock [Member] | ' | ' | ' | ' |
Effect of dilutive securities: | ' | ' | ' | ' |
Effect of dilutive non-vested restricted stock | 70 | 16 | 108 | 96 |
Common shares excluded from the denominator as anti-dilutive: | ' | ' | ' | ' |
Common shares excluded from the denominator as anti-dilutive | 1 | 86 | ' | 20 |
Senior_Unsecured_Notes_Additio
Senior Unsecured Notes - Additional Information (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Feb. 04, 2013 | Feb. 28, 2013 | Sep. 30, 2013 | Aug. 20, 2012 |
Add-on Notes [Member] | Add-on Notes [Member] | 7% Senior Notes [Member] | 7% Senior Notes [Member] | 7% Senior Notes [Member] | |||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Aggregate principal amount | ' | ' | ' | $100,000,000 | ' | ' | $530,000,000 |
Interest rate | 7.00% | 7.00% | ' | 7.00% | ' | ' | ' |
Price percentage for Add-on Notes, Principal amount | ' | ' | ' | 108.50% | ' | ' | ' |
Year of maturity | ' | ' | ' | ' | '2022 | ' | ' |
Net proceeds from the offering of Add-on Notes | ' | ' | 110,400,000 | ' | ' | ' | ' |
Maturity date of notes | ' | ' | 1-Sep-22 | ' | ' | ' | ' |
Principal payments due until maturity | ' | ' | ' | ' | ' | $0 | ' |
Percentage of principal amount of new notes potentially redeemable before September 1, 2015 | ' | ' | ' | ' | ' | 35.00% | ' |
Redemption price percentage as equal to principal amount of old Notes to be redeemed | ' | ' | 101.00% | ' | ' | ' | ' |
Offer to exchange notes and guarantees expiration date | ' | ' | 30-Apr-13 | ' | ' | ' | ' |
Senior_Unsecured_Notes_Reconci
Senior Unsecured Notes - Reconciliation of Senior Secured Notes to Condensed Consolidated Balance Sheet (Detail) (USD $) | 4 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2012 | Sep. 30, 2013 | Feb. 04, 2013 | Aug. 20, 2012 |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Senior unsecured notes | $521,065 | $628,504 | ' | ' |
Senior Unsecured Notes [Member] | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Aggregate principal amount issued | ' | ' | 100,000 | 530,000 |
Premium on notes issued | ' | ' | 8,500 | ' |
Initial purchaser's discount | ' | ' | -1,250 | -9,275 |
Accretion of discount | 340 | 780 | ' | ' |
Amortization of note premium | ' | ($591) | ' | ' |
Segment_Information_Additional
Segment Information - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Customer | Segment | |||
Segment Reporting [Abstract] | ' | ' | ' | ' |
Number of reportable segment | ' | ' | 5 | ' |
Sales to international customers | 1.70% | 0.90% | 1.40% | 2.80% |
Customer accounted for more than 10% of revenue | 0 | ' | ' | ' |
Segment_Information_Informatio
Segment Information - Information About Reportable Segments (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | $270,449 | $204,509 | $728,177 | $587,198 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 80,300 | 66,923 | 220,192 | 183,809 | ' |
Segment identified assets: | ' | ' | ' | ' | ' |
Total assets | 1,075,021 | ' | 1,075,021 | ' | 942,399 |
Equipment rentals [Member] | ' | ' | ' | ' | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 44,343 | 38,079 | 117,438 | 96,839 | ' |
New equipment sales [Member] | ' | ' | ' | ' | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 9,561 | 5,642 | 23,526 | 17,765 | ' |
Used equipment sales [Member] | ' | ' | ' | ' | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 9,693 | 6,591 | 29,583 | 21,674 | ' |
Parts sales [Member] | ' | ' | ' | ' | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 7,448 | 6,966 | 21,311 | 20,335 | ' |
Services revenues [Member] | ' | ' | ' | ' | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 8,786 | 8,821 | 26,307 | 25,708 | ' |
Operating Segments [Member] | Equipment rentals [Member] | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | 89,420 | 77,808 | 248,518 | 207,941 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 44,343 | 38,079 | 117,438 | 96,839 | ' |
Segment identified assets: | ' | ' | ' | ' | ' |
Total assets | 672,057 | ' | 672,057 | ' | 583,349 |
Operating Segments [Member] | New equipment sales [Member] | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | 90,220 | 49,009 | 216,979 | 154,710 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 9,561 | 5,642 | 23,526 | 17,765 | ' |
Operating Segments [Member] | Used equipment sales [Member] | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | 36,779 | 24,990 | 103,589 | 75,100 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 9,693 | 6,591 | 29,583 | 21,674 | ' |
Segment identified assets: | ' | ' | ' | ' | ' |
Total assets | 98,754 | ' | 98,754 | ' | 64,441 |
Operating Segments [Member] | Parts sales [Member] | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | 26,571 | 26,058 | 77,971 | 74,161 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 7,448 | 6,966 | 21,311 | 20,335 | ' |
Operating Segments [Member] | Services revenues [Member] | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | 13,729 | 14,436 | 42,050 | 41,615 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 8,786 | 8,821 | 26,307 | 25,708 | ' |
Operating Segments [Member] | Parts and services [Member] | ' | ' | ' | ' | ' |
Segment identified assets: | ' | ' | ' | ' | ' |
Total assets | 18,775 | ' | 18,775 | ' | 15,529 |
Operating Segments [Member] | Reportable Segment [Member] | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | 256,719 | 192,301 | 689,107 | 553,527 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 79,831 | 66,099 | 218,165 | 182,321 | ' |
Segment identified assets: | ' | ' | ' | ' | ' |
Total assets | 789,586 | ' | 789,586 | ' | 663,319 |
Non-Segmented [Member] | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Total revenues | 13,730 | 12,208 | 39,070 | 33,671 | ' |
Gross Profit: | ' | ' | ' | ' | ' |
Total gross profit | 469 | 824 | 2,027 | 1,488 | ' |
Segment identified assets: | ' | ' | ' | ' | ' |
Total assets | $285,435 | ' | $285,435 | ' | $279,080 |
Condensed_Consolidating_Financ2
Condensed Consolidating Financial Information of Guarantor Subsidiaries - Condensed Consolidating Balance Sheet (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Assets: | ' | ' | ' | ' |
Cash | $6,666 | $8,894 | $3,250 | $24,215 |
Receivables, net | 141,469 | 141,667 | ' | ' |
Inventories, net | 117,529 | 79,970 | ' | ' |
Prepaid expenses and other assets | 6,456 | 5,207 | ' | ' |
Rental equipment, net | 672,057 | 583,349 | ' | ' |
Property and equipment, net | 94,471 | 86,189 | ' | ' |
Deferred financing costs, net | 4,957 | 5,049 | ' | ' |
Investment in guarantor subsidiaries | ' | ' | ' | ' |
Goodwill | 31,416 | 32,074 | ' | ' |
Total assets | 1,075,021 | 942,399 | ' | ' |
Liabilities and Stockholders' Equity: | ' | ' | ' | ' |
Amounts due on senior secured credit facility | 135,080 | 157,719 | ' | ' |
Accounts payable | 52,624 | 36,119 | ' | ' |
Manufacturer flooring plans payable | 49,709 | 50,839 | ' | ' |
Accrued expenses payable and other liabilities | 45,876 | 50,522 | ' | ' |
Dividends payable | 633 | 1,488 | ' | ' |
Senior unsecured notes | 628,504 | 521,065 | ' | ' |
Capital lease payable | 2,321 | 2,447 | ' | ' |
Deferred income taxes | 78,468 | 71,589 | ' | ' |
Deferred compensation payable | 2,024 | 1,975 | ' | ' |
Total liabilities | 995,239 | 893,763 | ' | ' |
Stockholders' equity | 79,782 | 48,636 | ' | ' |
Total liabilities and stockholders' equity | 1,075,021 | 942,399 | ' | ' |
H & E Equipment Services [Member] | ' | ' | ' | ' |
Assets: | ' | ' | ' | ' |
Cash | 6,666 | 8,894 | 3,250 | 24,215 |
Receivables, net | 123,064 | 125,345 | ' | ' |
Inventories, net | 109,287 | 71,407 | ' | ' |
Prepaid expenses and other assets | 6,297 | 5,107 | ' | ' |
Rental equipment, net | 565,138 | 485,177 | ' | ' |
Property and equipment, net | 82,480 | 74,264 | ' | ' |
Deferred financing costs, net | 4,957 | 5,049 | ' | ' |
Investment in guarantor subsidiaries | 168,698 | 160,005 | ' | ' |
Goodwill | 1,890 | 2,548 | ' | ' |
Total assets | 1,068,477 | 937,796 | ' | ' |
Liabilities and Stockholders' Equity: | ' | ' | ' | ' |
Amounts due on senior secured credit facility | 135,080 | 157,719 | ' | ' |
Accounts payable | 49,667 | 34,786 | ' | ' |
Manufacturer flooring plans payable | 49,707 | 50,389 | ' | ' |
Accrued expenses payable and other liabilities | 44,589 | 50,149 | ' | ' |
Dividends payable | 656 | 1,488 | ' | ' |
Senior unsecured notes | 628,504 | 521,065 | ' | ' |
Deferred income taxes | 78,468 | 71,589 | ' | ' |
Deferred compensation payable | 2,024 | 1,975 | ' | ' |
Total liabilities | 988,695 | 889,160 | ' | ' |
Stockholders' equity | 79,782 | 48,636 | ' | ' |
Total liabilities and stockholders' equity | 1,068,477 | 937,796 | ' | ' |
Guarantor Subsidiaries [Member] | ' | ' | ' | ' |
Assets: | ' | ' | ' | ' |
Receivables, net | 18,405 | 16,322 | ' | ' |
Inventories, net | 8,242 | 8,563 | ' | ' |
Prepaid expenses and other assets | 159 | 100 | ' | ' |
Rental equipment, net | 106,919 | 98,172 | ' | ' |
Property and equipment, net | 11,991 | 11,925 | ' | ' |
Goodwill | 29,526 | 29,526 | ' | ' |
Total assets | 175,242 | 164,608 | ' | ' |
Liabilities and Stockholders' Equity: | ' | ' | ' | ' |
Accounts payable | 2,957 | 1,333 | ' | ' |
Manufacturer flooring plans payable | 2 | 450 | ' | ' |
Accrued expenses payable and other liabilities | 1,287 | 373 | ' | ' |
Dividends payable | -23 | ' | ' | ' |
Capital lease payable | 2,321 | 2,447 | ' | ' |
Total liabilities | 6,544 | 4,603 | ' | ' |
Stockholders' equity | 168,698 | 160,005 | ' | ' |
Total liabilities and stockholders' equity | 175,242 | 164,608 | ' | ' |
Elimination [Member] | ' | ' | ' | ' |
Assets: | ' | ' | ' | ' |
Investment in guarantor subsidiaries | -168,698 | -160,005 | ' | ' |
Total assets | -168,698 | -160,005 | ' | ' |
Liabilities and Stockholders' Equity: | ' | ' | ' | ' |
Stockholders' equity | -168,698 | -160,005 | ' | ' |
Total liabilities and stockholders' equity | ($168,698) | ($160,005) | ' | ' |
Condensed_Consolidating_Financ3
Condensed Consolidating Financial Information of Guarantor Subsidiaries - Condensed Consolidating Statement of Income (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Revenues: | ' | ' | ' | ' |
Equipment rentals | $89,420 | $77,808 | $248,518 | $207,941 |
New equipment sales | 90,220 | 49,009 | 216,979 | 154,710 |
Used equipment sales | 36,779 | 24,990 | 103,589 | 75,100 |
Parts sales | 26,571 | 26,058 | 77,971 | 74,161 |
Services revenues | 13,729 | 14,436 | 42,050 | 41,615 |
Other | 13,730 | 12,208 | 39,070 | 33,671 |
Total revenues | 270,449 | 204,509 | 728,177 | 587,198 |
Cost of revenues: | ' | ' | ' | ' |
Rental depreciation | 31,527 | 27,150 | 89,679 | 74,727 |
Rental expense | 13,550 | 12,579 | 41,401 | 36,375 |
New equipment sales | 80,659 | 43,367 | 193,453 | 136,945 |
Used equipment sales | 27,086 | 18,399 | 74,006 | 53,426 |
Parts sales | 19,123 | 19,092 | 56,660 | 53,826 |
Services revenues | 4,943 | 5,615 | 15,743 | 15,907 |
Other | 13,261 | 11,384 | 37,043 | 32,183 |
Total cost of revenues | 190,149 | 137,586 | 507,985 | 403,389 |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 80,300 | 66,923 | 220,192 | 183,809 |
Selling, general and administrative expenses | 46,977 | 42,402 | 140,347 | 124,504 |
Equity in earnings (loss) of guarantor subsidiaries | ' | ' | ' | ' |
Gain on sales of property and equipment, net | 609 | 514 | 1,715 | 1,478 |
Income from operations | 33,932 | 25,035 | 81,560 | 60,783 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -13,193 | -9,825 | -38,550 | -23,668 |
Loss on early extinguishment of debt | ' | -10,180 | ' | -10,180 |
Other, net | 237 | 243 | 945 | 751 |
Total other expense, net | -12,956 | -19,762 | -37,605 | -33,097 |
Income (loss) before income taxes | 20,976 | 5,273 | 43,955 | 27,686 |
Income tax expense | 7,023 | 1,564 | 14,416 | 9,554 |
Net income (loss) | 13,953 | 3,709 | 29,539 | 18,132 |
Equipment rentals [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 44,343 | 38,079 | 117,438 | 96,839 |
New equipment sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 9,561 | 5,642 | 23,526 | 17,765 |
Used equipment sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 9,693 | 6,591 | 29,583 | 21,674 |
Parts sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 7,448 | 6,966 | 21,311 | 20,335 |
Services revenues [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 8,786 | 8,821 | 26,307 | 25,708 |
Other [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 469 | 824 | 2,027 | 1,488 |
H & E Equipment Services [Member] | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' |
Equipment rentals | 73,537 | 63,607 | 205,816 | 170,492 |
New equipment sales | 81,547 | 45,514 | 195,300 | 137,915 |
Used equipment sales | 31,934 | 21,222 | 87,687 | 60,960 |
Parts sales | 23,111 | 22,369 | 67,057 | 63,120 |
Services revenues | 11,692 | 12,441 | 36,305 | 35,926 |
Other | 11,300 | 9,943 | 32,232 | 27,595 |
Total revenues | 233,121 | 175,096 | 624,397 | 496,008 |
Cost of revenues: | ' | ' | ' | ' |
Rental depreciation | 26,079 | 21,912 | 73,785 | 60,264 |
Rental expense | 10,995 | 10,083 | 33,886 | 29,181 |
New equipment sales | 72,790 | 40,295 | 173,964 | 121,950 |
Used equipment sales | 23,712 | 15,713 | 62,533 | 42,798 |
Parts sales | 16,681 | 16,448 | 48,840 | 45,935 |
Services revenues | 4,177 | 4,921 | 13,683 | 13,930 |
Other | 10,739 | 9,024 | 29,996 | 25,702 |
Total cost of revenues | 165,173 | 118,396 | 436,687 | 339,760 |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 67,948 | 56,700 | 187,710 | 156,248 |
Selling, general and administrative expenses | 38,525 | 34,350 | 116,306 | 102,625 |
Equity in earnings (loss) of guarantor subsidiaries | 1,328 | -228 | 929 | -1,077 |
Gain on sales of property and equipment, net | 457 | 341 | 1,404 | 1,127 |
Income from operations | 31,208 | 22,463 | 73,737 | 53,673 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -10,457 | -7,238 | -30,674 | -16,512 |
Loss on early extinguishment of debt | ' | -10,180 | ' | -10,180 |
Other, net | 225 | 228 | 892 | 705 |
Total other expense, net | -10,232 | -17,190 | -29,782 | -25,987 |
Income (loss) before income taxes | 20,976 | 5,273 | 43,955 | 27,686 |
Income tax expense | 7,023 | 1,564 | 14,416 | 9,554 |
Net income (loss) | 13,953 | 3,709 | 29,539 | 18,132 |
H & E Equipment Services [Member] | Equipment rentals [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 36,463 | 31,612 | 98,145 | 81,047 |
H & E Equipment Services [Member] | New equipment sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 8,757 | 5,219 | 21,336 | 15,965 |
H & E Equipment Services [Member] | Used equipment sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 8,222 | 5,509 | 25,154 | 18,162 |
H & E Equipment Services [Member] | Parts sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 6,430 | 5,921 | 18,217 | 17,185 |
H & E Equipment Services [Member] | Services revenues [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 7,515 | 7,520 | 22,622 | 21,996 |
H & E Equipment Services [Member] | Other [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 561 | 919 | 2,236 | 1,893 |
Guarantor Subsidiaries [Member] | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' |
Equipment rentals | 15,883 | 14,201 | 42,702 | 37,449 |
New equipment sales | 8,673 | 3,495 | 21,679 | 16,795 |
Used equipment sales | 4,845 | 3,768 | 15,902 | 14,140 |
Parts sales | 3,460 | 3,689 | 10,914 | 11,041 |
Services revenues | 2,037 | 1,995 | 5,745 | 5,689 |
Other | 2,430 | 2,265 | 6,838 | 6,076 |
Total revenues | 37,328 | 29,413 | 103,780 | 91,190 |
Cost of revenues: | ' | ' | ' | ' |
Rental depreciation | 5,448 | 5,238 | 15,894 | 14,463 |
Rental expense | 2,555 | 2,496 | 7,515 | 7,194 |
New equipment sales | 7,869 | 3,072 | 19,489 | 14,995 |
Used equipment sales | 3,374 | 2,686 | 11,473 | 10,628 |
Parts sales | 2,442 | 2,644 | 7,820 | 7,891 |
Services revenues | 766 | 694 | 2,060 | 1,977 |
Other | 2,522 | 2,360 | 7,047 | 6,481 |
Total cost of revenues | 24,976 | 19,190 | 71,298 | 63,629 |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 12,352 | 10,223 | 32,482 | 27,561 |
Selling, general and administrative expenses | 8,452 | 8,052 | 24,041 | 21,879 |
Gain on sales of property and equipment, net | 152 | 173 | 311 | 351 |
Income from operations | 4,052 | 2,344 | 8,752 | 6,033 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -2,736 | -2,587 | -7,876 | -7,156 |
Other, net | 12 | 15 | 53 | 46 |
Total other expense, net | -2,724 | -2,572 | -7,823 | -7,110 |
Income (loss) before income taxes | 1,328 | -228 | 929 | -1,077 |
Net income (loss) | 1,328 | -228 | 929 | -1,077 |
Guarantor Subsidiaries [Member] | Equipment rentals [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 7,880 | 6,467 | 19,293 | 15,792 |
Guarantor Subsidiaries [Member] | New equipment sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 804 | 423 | 2,190 | 1,800 |
Guarantor Subsidiaries [Member] | Used equipment sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 1,471 | 1,082 | 4,429 | 3,512 |
Guarantor Subsidiaries [Member] | Parts sales [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 1,018 | 1,045 | 3,094 | 3,150 |
Guarantor Subsidiaries [Member] | Services revenues [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | 1,271 | 1,301 | 3,685 | 3,712 |
Guarantor Subsidiaries [Member] | Other [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Gross profit | -92 | -95 | -209 | -405 |
Elimination [Member] | ' | ' | ' | ' |
Gross profit (loss): | ' | ' | ' | ' |
Equity in earnings (loss) of guarantor subsidiaries | -1,328 | 228 | -929 | 1,077 |
Income from operations | -1,328 | 228 | -929 | 1,077 |
Other income (expense): | ' | ' | ' | ' |
Income (loss) before income taxes | -1,328 | 228 | -929 | 1,077 |
Net income (loss) | ($1,328) | $228 | ($929) | $1,077 |
Condensed_Consolidating_Financ4
Condensed Consolidating Financial Information of Guarantor Subsidiaries - Condensed Consolidating Statement of Cash Flows (Detail) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash flows from operating activities: | ' | ' |
Net income (loss) | $29,539 | $18,132 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ' | ' |
Depreciation and amortization on property and equipment | 12,355 | 9,997 |
Depreciation on rental equipment | 89,679 | 74,727 |
Amortization of deferred financing costs | 826 | 1,076 |
Amortization of intangible assets | ' | 66 |
Accretion of note discount, net of premium amortization | 189 | 0 |
Provision for losses on accounts receivable | 2,348 | 2,565 |
Provision for inventory obsolescence | 208 | 124 |
Increase in deferred income taxes | 6,879 | 7,460 |
Stock-based compensation expense | 2,109 | 1,223 |
Loss on early extinguishment of debt | ' | 10,180 |
Gain on sales of property and equipment, net | -1,715 | -1,478 |
Gain on sales of rental equipment, net | -27,771 | -20,842 |
Writedown of goodwill for tax-deductible goodwill in excess of book goodwill | 657 | 1,458 |
Changes in operating assets and liabilities: | ' | ' |
Receivables, net | -2,150 | -21,128 |
Inventories, net | -72,897 | -72,334 |
Prepaid expenses and other assets | -1,249 | 115 |
Accounts payable | 16,504 | 12,702 |
Manufacturer flooring plans payable | -1,130 | -1,393 |
Accrued expenses payable and other liabilities | -4,644 | -925 |
Deferred compensation payable | 49 | -48 |
Net cash provided by (used in) operating activities | 49,786 | 21,677 |
Cash flows from investing activities: | ' | ' |
Purchases of property and equipment | -20,734 | -27,011 |
Purchases of rental equipment | -197,763 | -212,337 |
Proceeds from sales of property and equipment | 1,812 | 1,861 |
Proceeds from sales of rental equipment | 82,277 | 65,003 |
Net cash used in investing activities | -134,408 | -172,484 |
Cash flows from financing activities: | ' | ' |
Purchases of treasury stock | -890 | -694 |
Excess tax benefit (deficiency) from stock-based awards | 387 | 293 |
Dividends paid | -855 | -244,381 |
Principal payments on senior unsecured notes | ' | -257,576 |
Proceeds from issuance of senior unsecured notes | 107,250 | 530,000 |
Borrowings on senior secured credit facility | 827,539 | 776,171 |
Payments on senior secured credit facility | -850,178 | -661,501 |
Payments of deferred financing costs | -733 | -12,352 |
Payments on capital lease obligations | -126 | -118 |
Net cash provided by financing activities | 82,394 | 129,842 |
Net decrease in cash | -2,228 | -20,965 |
Cash, beginning of period | 8,894 | 24,215 |
Cash, end of period | 6,666 | 3,250 |
H & E Equipment Services [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income (loss) | 29,539 | 18,132 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ' | ' |
Depreciation and amortization on property and equipment | 10,840 | 8,605 |
Depreciation on rental equipment | 73,785 | 60,264 |
Amortization of deferred financing costs | 826 | 1,076 |
Accretion of note discount, net of premium amortization | 189 | ' |
Provision for losses on accounts receivable | 1,884 | 1,820 |
Provision for inventory obsolescence | 208 | 124 |
Increase in deferred income taxes | 6,879 | 7,460 |
Stock-based compensation expense | 2,109 | 1,223 |
Loss on early extinguishment of debt | ' | 10,180 |
Gain on sales of property and equipment, net | -1,404 | -1,127 |
Gain on sales of rental equipment, net | -23,383 | -17,341 |
Writedown of goodwill for tax-deductible goodwill in excess of book goodwill | 657 | 1,458 |
Equity in earnings (loss) of guarantor subsidiaries | -929 | 1,077 |
Changes in operating assets and liabilities: | ' | ' |
Receivables, net | 397 | -16,477 |
Inventories, net | -68,876 | -62,853 |
Prepaid expenses and other assets | -1,190 | 105 |
Accounts payable | 14,880 | 11,389 |
Manufacturer flooring plans payable | -682 | -1,704 |
Accrued expenses payable and other liabilities | -5,558 | -1,042 |
Deferred compensation payable | 49 | -48 |
Net cash provided by (used in) operating activities | 40,220 | 22,321 |
Cash flows from investing activities: | ' | ' |
Purchases of property and equipment | -19,093 | -24,543 |
Purchases of rental equipment | -168,466 | -176,019 |
Proceeds from sales of property and equipment | 1,441 | 1,608 |
Proceeds from sales of rental equipment | 68,891 | 51,483 |
Investment in subsidiaries | -7,764 | -25,775 |
Net cash used in investing activities | -124,991 | -173,246 |
Cash flows from financing activities: | ' | ' |
Purchases of treasury stock | -890 | -694 |
Excess tax benefit (deficiency) from stock-based awards | 387 | 293 |
Dividends paid | -832 | -244,381 |
Principal payments on senior unsecured notes | ' | -257,576 |
Proceeds from issuance of senior unsecured notes | 107,250 | 530,000 |
Borrowings on senior secured credit facility | 827,539 | 776,171 |
Payments on senior secured credit facility | -850,178 | -661,501 |
Payments of deferred financing costs | -733 | -12,352 |
Net cash provided by financing activities | 82,543 | 129,960 |
Net decrease in cash | -2,228 | -20,965 |
Cash, beginning of period | 8,894 | 24,215 |
Cash, end of period | 6,666 | 3,250 |
Guarantor Subsidiaries [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income (loss) | 929 | -1,077 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ' | ' |
Depreciation and amortization on property and equipment | 1,515 | 1,392 |
Depreciation on rental equipment | 15,894 | 14,463 |
Amortization of intangible assets | ' | 66 |
Provision for losses on accounts receivable | 464 | 745 |
Gain on sales of property and equipment, net | -311 | -351 |
Gain on sales of rental equipment, net | -4,388 | -3,501 |
Changes in operating assets and liabilities: | ' | ' |
Receivables, net | -2,547 | -4,651 |
Inventories, net | -4,021 | -9,481 |
Prepaid expenses and other assets | -59 | 10 |
Accounts payable | 1,624 | 1,313 |
Manufacturer flooring plans payable | -448 | 311 |
Accrued expenses payable and other liabilities | 914 | 117 |
Net cash provided by (used in) operating activities | 9,566 | -644 |
Cash flows from investing activities: | ' | ' |
Purchases of property and equipment | -1,641 | -2,468 |
Purchases of rental equipment | -29,297 | -36,318 |
Proceeds from sales of property and equipment | 371 | 253 |
Proceeds from sales of rental equipment | 13,386 | 13,520 |
Net cash used in investing activities | -17,181 | -25,013 |
Cash flows from financing activities: | ' | ' |
Dividends paid | -23 | ' |
Payments on capital lease obligations | -126 | -118 |
Capital contributions | 7,764 | 25,775 |
Net cash provided by financing activities | 7,615 | 25,657 |
Elimination [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income (loss) | -929 | 1,077 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ' | ' |
Equity in earnings (loss) of guarantor subsidiaries | 929 | -1,077 |
Cash flows from investing activities: | ' | ' |
Investment in subsidiaries | 7,764 | 25,775 |
Net cash used in investing activities | 7,764 | 25,775 |
Cash flows from financing activities: | ' | ' |
Capital contributions | -7,764 | -25,775 |
Net cash provided by financing activities | ($7,764) | ($25,775) |