URI - Earnings call transcript Q4 2024

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Operator

Good morning, and welcome to the United Rentals' Investor Conference Call. Please be advised that this call is being recorded.

Before we begin, please note that the company's press release, comments made on today's call and responses to your questions contain forward-looking statements. The company's business and operations are subject to a variety of risks and uncertainties, many of which are beyond its control, and consequently, actual results may differ materially from those projected. A summary of these uncertainties is included in the safe harbor statement contained in the company's press release.

XX, description the and Form the company's the ended complete please possible XX-K SEC. more as year to well refer annual December a of filings other these risks, for to For subsequent as with XXXX, report on

You filings www.unitedrentals.com. these access the company's can at website on

subsequent publicly changes has to to revisions forward-looking expectations. in order Please Rentals and no any no note that or commitment release makes new events, information or reflect obligation in United to circumstances update or statements

You such reconciliation company's the non-GAAP financial call of the refer should from each EBITDA press release most include references Please note that measure. the back also the cash company's EPS, and recent to as adjusted EBITDA. to financial the today's non-GAAP measure GAAP flow, investor adjusted terms presentations and to comparable see free to

Rentals Mr. President Ted now today Matt to over Grace, Speaking Flannery, Financial Chief and turn Officer. Chief is United I will you may Flannery. Executive call Officer; begin. for Flannery, Mr. the and

Matthew Flannery

morning, and call. our you, operator, joining for everyone. Thanks Thank good

markets our fourth and are year equipment. We results report across to saw our quarter pleased well as EPS. strong with continued demand solid and for growth record yesterday culminated as end revenue, We industrial as EBITDA again the construction used

Our team best being on partner the of doubled customers. down choice for our

and translated into excellence service, the operational on reported. diligence technology Our we coupled with unmatched safety, results

future for foundation Importantly, this our growth. the all sets of

open focused ago. which call are will the XXXX Q&A, Rentals we about we the acquisition discuss Then finally, a I'll the Today, stand-alone United fourth we weeks as before for will in followed detail discuss a expectations quarter company. our excited Ted few keep we financials announced and our on up results, recap why by for H&E

still update first the the end by closes, the after transaction to combined which Our our quarter. on community companies expected investment is the remains plan of

fourth start So quarter with let's results. the with that,

Adjusted almost increased Fleet reported to revenue to X.X% this, grew $X.X records. rental $XX.XX, record translating increased over billion. to X.X% finally, Yak. grew And X.X% to billion, EPS fourth grew Our year-over-year of record. ex adjusted productivity year-over-year quarter as EBITDA XX%. by by a quarter X% $X.X another total revenue $X.X of And fourth a billion, fourth to within margin and both quarter

at combination cold-starts and with an customer and cold-starts sales Yak, of Now key these were full specialty rental without specialty rent a high-return saw revenue turn driven reminder, XX% XX solid growth let's putting grew than segment. businesses the this a both revenue gen to all These year. XX%. more activity. our strong additional our businesses. results across in accelerating Specialty as growth by We and are in impressively to same-store year-over-year us growth even XX a And element for rental a

to saw By by vertical, manufacturing, with we to And of a data power. similar stadiums helping we continue and driven the growth manufacturing power across see few. fuel year last sports nonresidential name and to industrial trends construction new chip rest and centers, to projects growth

of of cash through customers' which over flow free CapEx is we as to And efficiently. full needs cash translated rotate market serve exhibit to nearly record a billion. which depth our very which quarter, evident our health history. over for to any free used turning our in in of flow This a drove OEC strong our a allowing billion, continues The the demand is $X.X can used fleet healthy we ensure of us sold the existing to of market, result, year million $XXX margin was the We XX%. in $X.X Now quarter over demand. and to

plan to the cash over $X.X generate flexibility of and returned To profitability, combination flow industry-leading we through I'm paused the in end, dividend to enables raising turn, billion shareholders throughout the a repurchase efficiency we and value. long-term year H&E XX% of dividend. by per us share meaningful combination create last be that ahead pleased to our of And our shareholder announce buybacks we'll and closing, free model to capital $X.XX share. our share our The our quarterly of cycle year-over-year business while

our discussed was proposition. Where to our we being United project year this of a in another element on for of to customers our as the was led reinforced over growth. team people XXXX, earlier year, large we Now X,XXX Rentals. Customer be new together feedback through this on let's for combined turn management engage held And optimism, the who by our annual our is into in and the demand Houston, with value at quality work came all growth, which our meeting, to we're guidance. display which from key again, members This expect culture partners field of Texas. of team, backlogs focus full how the carrying differentiated we support and choice Houston, month

what to I'm cultural. the very core weeks have and combine is the to you X excited It's M&A: fleet on our This reiterate strategy, H&E. to announced component ago serve will us also capacity, complementary win-win provide to businesses. thrilled to customer acquire we add Rentals require quarter a when close team. meaning a track key returns growth, Growing the there to evaluating to I Strategic, all really all our financial we will our said It no term. further boxes opportunity transaction long high-quality for of remain We're updates accelerate like X today. first generating United I'd X The when a to Finally, and Things and really and our checks intent people, the better are while estate allow over for demand shareholders. outcome. real compelling

best being company the building discussed on our In with industry. and I in remain the closing rental what we announcement, acquisition focused upon just latest

with me confidence give term. discipline, our approach, well offering, that industry-leading Our positioned unique long our we're for shareholders and both value customers technology capital and for go-to-market combined the

'XX, we out we delivering in strategy. our aspirational to laid May We results continue forward continue execute as goals, these towards financial to of and on progress our look which to XXXX

hand to your you. call Ted, then Ted, I'll take over over that, to With the questions. and we'll

William Grace

morning, Thanks, Matt, and everyone. good

As flow rental Matt supported in returns a free shared, attractive we EPS, just had year XXXX. strong which fourth the EBITDA to both also for full finish revenue, and and significant generated the quarter and cash we setting total year, records revenue,

that jump So let's the numbers. with said, into

another of rental a from X.X%, to productivity fleet inflation by X.X%. revenue, in quarter primarily strong revenue combined fleet X.X%, this growth assumed year-on-year down, Also partially and million Fourth offset verticals. increase while hurricane-related was and of $XXX record supported Within by OER, projects X.X%. rental in increased or a million quarter. XX%, at by rental, $XXX or key $X.XX in size by billion. growth ancillary $XXX OER within respectively, XX% fleet million the That's average by contributed large to a Breaking X.X% our revenue, grew adding work and added growth re-rent and driven specialty again

used Turning results. to our

million the record a of market on advantage XX% of generating mentioned, years old of and amount XX.X% on at rate assets we $XXX an quarter, fleet sell a were average. to fourth margin strong adjusted almost took recovery Matt that of in proceeds of a X As

used fourth of decline in billion, the million to adjusted in Moving mentioned, drove as rental adjusted an EBITDA quarter increase normalization ongoing year-on-year. a gross this, was an to additional Within $XX profit or to increased million to record at $X.X translating gross quarter. a EBITDA X% was used the EBITDA, of offset $XXX This a $XX profit contributing I market million by partially X% translating where dollars the headwind X%.

equipment good revenue there. contribution line And of which from finally, the million, was sales. driven non-rental businesses increased largely so increased SG&A million efficiency $XX growth, by other strong year-over-year, by $XX lines in with EBITDA new

at profitability. Looking

XX down of XXX a better and headwinds. points points EBITDA was basis XX.X%, to together points X factors have Our fourth adjusted sales adjusted compression. some we'll Said sure than the about our so with frame year-on-year of another flow-through of of stronger-than-expected used combination equipment Q&A, XXX factors, I'm be little I this might margin would it EBITDA excluding way, quarter XX%. been helpful here. new dig basis about into these thought during basis key implying The margin were

in Closer growth XX re-rent to know, come had we XX%. the core with also that, our and points of basis roughly you as down we ancillary as about you higher and heard adjust these, me have implied EBITDA just margins. been lower highlight, If margin would flow-through for revenue with

a slower share including of lastly, support during our our fourth our While of it goal, our cycle. the business the this $XX.XX. technology of key a earnings at is long-term quarter growth in per view specialty, continued aspects what was we as investment below adjusted our strategy, capacity to and modestly long-term And phase reflects record

quarter $XXX CapEx. rental to gross Fourth was Shifting million. CapEx

Moving to cash returns flow. and free

Our XX% full return capital average capital, flow above free on invested our while weighted $X.XX well year billion. remained a of cost totaled robust of cash

record million to remains $X.X via of of of this billion leverage billion net reduced a dividend $X.X over shareholders X.X total at strong very was sheet December million by balance repurchases $X.X through share over returning and our with X.Xx Our that $XXX XXXX, over end of including count after in the billion. liquidity note, and I'll shares.

results the both team year, full were up in our pleased XXXX. and So the achieved to wrap we the with quarter very

Now not our talk meaning you, about contribution let's does forward XXXX guidance, H&E. is I'll include remind standalone, any it look and which from

As you've press from another anticipate year. we release, seen record the

implies or revenue, a full decline of This, implied that $X.XX X.X% sales a the a range guidance it, core rental implying a mid-single Within Total used call percentage digit basis. year-on-year expected at $XX.X I'll growth $XX.X revenue on in faster roughly revenue, on growth billion is at year in our billion, mid-single-digit billion to is little midpoint. percentage within our of note basis. turn, total

XXXX, to to that we rate versus recovery of the $X.X pre-pandemic line with translating the Within norms. used, in I'll XXs in sell billion low in OEC mid-XXs around expect but add

billion margin $X.XX used, this flattish midpoint midpoint, around points flow-through XXs implies impact at Our of the compression and and of of approximately flow-through range of the EBITDA $X.X the as adjusted EBITDA At reported the to margins adjusted billion. guidance. of in XX versus excluding basis XX%

And $X.X we are we billion billion, range billion of cash fleet year gross free Within to CapEx the at roughly $X.X of $X.XX of guidance CapEx On our growth to billion. CapEx to million another to at billion. the CapEx this, strong around net flow of in $X.X is XXXX finally, implying $X.X peg billion $XXX guiding our maintenance billion midpoint. $X with $X.XX side,

allocation. Turning to capital

balance growth provide to the they they flexibility are and of benefits in strategy sheet arise. our invest One when the of generation cash free opportunities

H&E of above acquisition we know, almost of we through targeted where capitalize you As intend pending capital. returns on to our at well billion will this cost invest the $X

As of within previously shared, around of to we flow ahead we reduce to XXXX from XX in are our leverage goal basis Xx close. a H&E pausing and on program pro to roughly a X.Xx our free buyback forma months our cash of utilize intend

our excess an with XX% strategy I to reiterate our very increasing by that dividend am $X.XX. consistent translating return to we of quarterly Finally, $X.XX to to pleased to annualized capital dividend our shareholders, are share, per

So open the to the call for please me line. with that, let Q&A. operator turn the over Operator,

Operator

first [Operator UBS. will Fisher Instructions] Steven with from question Our come

Steven Fisher

you of you the on on see a is the nice here activity forecast shifting to expectation the the in touch usual even could that quarters Was back re-rent. of equipment plus driving -- fees upon that? order around ancillary could XX% have the get the margin than just the maybe and of I main it? What's for you picture on sort bigger few the flow-through next side, if that Maybe suppose on? range? more And what's would that, what question Congratulations you into got kind next year. bigger to And

William Grace

Sure. I'll can Matt and start, jump Steve, then in.

ancillary. of in both, And I year on then so we've re-rent some had there thing were all of about a ancillary, within there of benefit in Certainly, probably a other ancillary, So big things. and we've was talked the than ancillary definitely re-rent, the are a part think in the specialty. although benefits is more opportunities couple storm-related

that down seen obviously in, and 'XX, to of of So and some that in the terms services we're have in first that's call them help kinds of it, that relate the businesses up, setting outperformance Does breaking of those sharp kind versus, those on new growth contributed to OER. things question?

Steven Fisher

Yes.

William Grace

think question, second I the I are growth couple relative a there matter. of mean On things. certainly, rates

cycle. in minutes think drives the I of cost think a I And is growth that it relative we're the we phase just absorption. couple the fixed reason made the important comment of slower ago that's

talked been to drive have those sake flow-through. we accelerate At called we've good and like we marginal that 'XX, pretty that why and That's to time, cold-starts making helps flow-through we've the expect in arbitrary get excellent very the do absorption that thereafter, goal. same don't So things and drives think in investments opportunities technology of this been about through obviously as better investments environment, have been ROI. those clear that drags. We an we for them great with want just out forgo intentional

So anything add you'd Matt, there?

Matthew Flannery

strong used to No, right, still But sales, expect we year-over-year comps. you margins we I holding within -- and take Ted ex drive through margins, just to could similar right, it. guide, always towards this have

William Grace

Yes. And a good point. that's

through that in mid-XXs, had flat remind back as view flow you is backwards. it's much if point Just good people, we not performance very margins you be environment. I'm I'll which in we've if my made not comments, you sure but I inflation used, certainly specifically, going the this would out the subsided, in as has and it asked --

still we we're have absorbing. a amount So of decent inflation

of these hard does kinds work. So take results, to deliver

Steven Fisher

year Great. the this as year? curious I'm maybe versus a differences That's project projects. pipeline large landscape ago? just year the how that in relative today see And of large then you looks the What on last do helpful. to

Matthew Flannery

we're Yes. ongoing. addition projects of call from similar I'd in very with are the demand it that that carrying

we out about that So segment the feel serving this business. the to the good about that projects certainly come and when to you feel good that of planned ground, to our alignment of add part some newer of are

So similar and I going demand feel would 'XX call environment, to whole our right? So it overall, about really in the the very we we what guide, forward. good experienced year

Operator

Greenhalgh of question America. come from Blake next with will Our Bank

Blake Greenhalgh

anything more be would half first that's growth second Are just you First half. baking one weighted? of in cadence guys

Matthew Flannery

point, From we to So CapEx about as quarterly our into demand, customers 'XX. normal more will we expect starting right? that won't there's just our similar We I think But a normal not it historically on a CapEx seasonality more spend weighted. there, guidance. out, get if back cadence, you we flow business. right, that in did And with certainly nothing importantly, would call think cadence of

Blake Greenhalgh

you that And renewables, is for Great. you there's talk a And on how centers. data power, remind 'XX that this for us about then grid been big want hearing lot discussion you're of business about? to Can anything guys? week you

William Grace

Yes.

that, So fraction. of small in about its entirety, wind solar power relatively is, call it, and a XX% our total revenue. Within are

the terribly So those markets move business. are not that in power our needle

So hopefully, some that helps give sense. you

Matthew Flannery

good This data forward feel with there's and centers the is this. happen, not a and what's all for upgraded. pontificating same be going going that centers. or to to before a of the about. we going we and concerned be really long about on, There grid focus chips continue was the on without regardless environment and level segment We're there's Yes, of chips need to data and political to

Operator

Jerry will Sachs. Revich Our from with Goldman come next question

Clay Williams

Jerry. This for Clay on

question here. dispersion specialty, in specialty the talk growth the that was And if could on to What organic be the you business individual First great? quarter? the between within lines color would the

Matthew Flannery

ex XX%. don't as get you of my into opening organic there's Yak, some really lines I'll call that in remarks, would saw, growth individual we even Admittedly, said And We great much. I showed as what in the cold-starts specialty, be say there. But too growth. business XX%.

further strong has as have add on And that's But just a think this through specialty few in footprint years, of new And years that big getting So to another add driver in acquisitions, been growth that good going and last will the XXXX that. of of for we cold-starts continue dispersion we as feel on products, XX-plus we that in growth we is inclusive that another and of really opportunity. we'll growth. do double-digit to couple quite about. probably

Clay Williams

the -- options average? individual that to just expanding to relative there's just guess, I the stronger performing not are XXXX. then which but know, And ones curious product directly lines, I to speak helpful. Super on Great. wanted for if

Matthew Flannery

say cold-starts all products the strong. is pronounced, of added we've that last they think wouldn't stronger, specifically say is growth more where years. can couple the the I over performing I about the that you would are Well, growing in

recent in So and X Yak, continue continue Finance we With new we most line, of double think Pac-Van, that here expand with about a U.S. and as business be their business ahead to well, product the acquisition those cold the specifically they're General our in goals goals years. on years. footprint. will that to X double part in exceed starts And of had that our schedule to their

doing growth. that's been So And organic really well. of a they're lot

the haven't broadly even We footprint. gotten to growing

going right, continues Onsite business that there. So and cold-starts. future our our through business, ROS that's to opportunity grow we're organically to Reliable do And

the grow But being are one adding said, out. of our mature ones their tremendously and footprint. to with continuing by those products So new just they're and most X growing power, I'd is point all that

Clay. pretty the it's So much across board,

Operator

will Our James. come Thein with next question Raymond from Tim

Timothy Thein

just time to that I opportunity maybe area The productivity about you're that the is for thinking believe know, still 'XX? how just of setup where of in outlined inflation terms that then terms in terms think whether the And don't terms could of ability target an maybe or just productivity. part 'XX? maybe there's, for that, in fleet to you it's of there better in broader as rate? of speak realistic of maybe starting And Matt, target fleet X.X%, in I on you outrun

Matthew Flannery

Yes.

time we qualitatively, utilization, feel good. of we're XXXX good And do do we to repeat And know, were to able the you this the performance that. it we year. If as talked won't So time about team. feel really but about last we'd able really back quantitatively, we

team a And over to all well, eat XXXX the still then last whole necessity. fleet we've this really for so in When you you the to believe couple years, And the is embedded absorbed think at this at price other the -- that. into variables, the X from continue amount and that expectations absorbed rate inflation of get to that's in the industry executed we guidance. has there, environment, constructive needs of our about industry and look a

mix, you've that And and things So variable is I with And the will is different do which amount output products on. right, an then of business think a that, we of seen that grow faster, what really bunch the there's depending think I on, lines. in there. continue

form, gone them before. it will You In will the will rent that in that's be this revenue our your be and can productivity grow guys fleet have that be we growth, is guidance, can And over grow you its and do we your positive, But you than do we exceed meaning able to variable. believe that embedded simplest will fleet again inflation. year. faster

Timothy Thein

it. Got

can some translate Any that? what a terms half presumably may annualize us what of year, from perspective of of that's just expect the that And to grown you obviously, Ted, a isn't benefit? to driving to to it used way in with what the way, in impact we as be, the is just as Okay. back then that as think help done deals United. couple terms 'XX million, a about there the has revenue of M&A, the in But hundred contribution from the company in of

William Grace

smaller we specific deals. breaking don't obviously, the So out, get too

something late there fourth. wasn't there order have of benefit $XXX of so really in hit million the did, was most much the we the quarter, would on deals in seen You

specialty. rent rolling of terms of forward, was combination a gen In it and

a apply These it's imply. It So to not of excited contribute. of EBITDA and what We're to our them, not be nice you to guidance. very that scheme the growth. will part can kind out about you'd huge want deals. It's are the figure of in think margin impactful would about going what multiple but

Matthew Flannery

embedded importantly, More guidance. all our it's within

Operator

come Menges will with Kyle from Our Citigroup. next question

Unknown Analyst

on Randy This Kyle. for is

XXXX, back and the during growing little plan a for Looking in give areas CapEx, you you guide could year any at on what gross areas color little the up CapEx OEC gross some bit? pull to a you're

Matthew Flannery

Yes.

not to any, expecting back So pull really Randy. we're on

you, As we environment fleet. remain our strong similar. told is really we to utilization had of going the we demand And think

pull to reason no anything. on back So

worth we CapEx, and that replacement as $XXX could overweighted about The CapEx. think million $X.X billion. CapEx, the more take the that specifically which now, about you since this imagine our think plan ], of it more X of You could share to specialty ago, That XX% growth at to [ yet, midpoint, growth. when year. that we just an cold-starts, talked about haven't you growth it that its to about fair we on our the sell through amount think you get they'll about will math growth OEC billion about years talked you about imagine of stuff growth if bought we is be of And about will specialty the go about support leaves it, than $X.X we

Unknown Analyst

seen quick kind election then then some it. changes one. the on and of customer of executive in orders? And Can just more Trump's on color maybe recently you've and following Got some another sentiment you give behavior what

Matthew Flannery

feeling That's why other part, We blowing throughout teams for good way all So were field been same maybe second. did some We we we year. into we came even I'll the 'XX. see more though there winds could about take importantly, out folks. coming have the take thing had the with sentiment year the Ted this the the guide customer strong we -- -- could our and first

So our it. customers feel good about

not it. overreact good really Our the leadership to cycle team day. to about of new the going feels And we're

touch could the think if touches the that our extra confidence into you'd what are. having and guide like? Ted, really plans customer part, gives other on in I us you our

William Grace

Yes.

there's you improved government at to do be of people's sentiment, that's you we're too would of impact from you've I I in look clear wanting people positioned don't day, growth their it's think I They've going customers, in that support mean positioned been support been may invest to them the much. well executive Certainly, to think pretty about say whiplash, at I since And growth, well perception aside to that terms the pro of orders, the a customers any I at think In endeavor. look have end America. that that. our that's are got election. and our

onshoring, big was think So a certainly announcement, energy, opportunities lot continue incremental going a power, will Stargate infrastructure, 'XX there's that of obviously, things to and whether in exciting are it's beyond. areas different be that of we be and/or

So you Matt, want share to anything? don't if I know

Matthew Flannery

No, it well. you covered

Operator

Our next question will come from Angel Castillo with Morgan Stanley.

Unknown Analyst

This is Brendan press just on more optimism. your for Angel. diving In customer release, that into

that your press release, So you today the we've here it call. talked noted on in about

of how labor it's in areas whether it curious else Just availability anything where greater greater certainty interest uptick you in are today? or out, policy, activity an in yet, hasn't then for, much customers describe what please? that's maybe to resulted waiting around translating activity call can actually to would you just And rates like any that

William Grace

they're today. that be It's there. clear, So a I'll your sentiment-based you've on it got a net responses, not best measuring doing XX-month for of measurement, right? From growth. your what my it's to index. forward an own improvement a in basis, is But What it's are what standpoint, kind Yes, expectations diffusion-based do right? them asks

don't support kind more that too It's the say survey. guidance of it's beyond hard we that So that because in certainly something would granular much introduced. to get we've

policy things broader monetary just expecting A accommodative track. of be the remain Fed, you're people election, are out beyond think more think, on that of the But people thing good that I I people for I guess mean will lot been the environment. good economy. the have on the positive I about, other the is feel

that of so those the economy, certainly direction. And it's a in things all like the I that positive coming feels together guess -- heading but culmination it's things are drive

Unknown Analyst

contemplate Okay. rather pipeline of guidance I large similar -- you that challenged? you markets What that, a you the guess for have the interest rate for noted projects. been local dovetailing kind so does more have new small that on that noticed your

Matthew Flannery

generality speaking right, generally, say, would similar. I

broad-based. than selecting 'XX, didn't others, growth wanted year much more Some had in not than who no who previous as markets to, the send the talked we really it. about opportunities have different to fleet so we whereas need We're

about think the vertical great to to our is to what these that's high effectively, overall assets over model I So And we're why -- past from these of is were them, keep but which and fungibility and the thing the not it model doing. time do just this levels the from move X expect utilization this really geography. And years, same pretty we the we of we do able rental year.

Operator

next will Markets. Our come KeyBanc Newman Ken with Capital question from

Kenneth Newman

but implied too in think margin I if that, in I similar from a guide rent. guys are 'XX? you the And mix don't deep revenue the guess, a top to you assumes additionally, rental talk on any want guide? profile of that's growth on year segments, in what of for know if there's way the growth impacts quantify was gen particular, XXXX curious bit to softer a the I'm

Matthew Flannery

talked have the and think mean, So you about similar. seen when we numbers, rent growth, about gen first we I guys specialty being 'XX and

within have flexibility billion within assume at the rest our, million $X.X of at yes, but outset, is modeled similar. news it, of CapEx, you midpoint we just it, call let's growth, that $XXX the great the the even The the replacement. So $X.X could billion not

growth And really, move footprint I plus. assets you. cold-start markets we appropriate growth appropriate there and to really is. continue give Other that, and feed that's they've double-digit whatever growth to to about for feed So years can the will they're the than XX all specialty had we growth can the the color

William Grace

mix Matt's think point, 'XX to think 'XX. I from is on the second similar look standpoint, to a part question, your to likely Ken, I of going

in looking the question we're If to think degree. don't that mix. appreciable I answer So for an a helps shift

Kenneth Newman

demand way Yes. the the rate accounts, between but right the fees about national [ you're me, I talk a had want of magnitude there two? And similar about a differential local seeing just little then talk about they've know a between maybe Obviously, to side. the challenges kind you don't That's prior the here dovetailing very question rate off as I on before helpful. ], bit and is the just dynamic. particularly those to if of Curious more think

Matthew Flannery

Yes.

different we all specific in mix. rate components we've And and put get appropriately -- we of We've truth products that's do know, positive talked they about why fleet leverage you and we As with everybody. really shows have they together for ways It's spend? and participate with different market time each level. it competitive Of do. customers. had accounts different and up out productivity. into don't actively is But your we've a the driven because But there, course, national it them the in -- do

I'd call think outside. that's maybe about not differentiated out just as any to something nothing there's the customer on as people specifically segment. So It's what

Operator

question Our Scott from come with Schneeberger will next Oppenheimer.

Scott Schneeberger

-- and small funds funds be are What about more flowing, sounds flow? mega like 'XX, projects, were want of you're local expecting out to in from infrastructure that you high out but piece 'XX that specifically projects. It away away the I carve from in same as we you On would both, bill, large. level projects, talked seeing and to I those there? large you Are think those seeing in but

William Grace

the terms process. we where Certainly, That's coming to in difficult infrastructure more Yes, Scott, a of at from. continue that. out funding a see in is I'll take growth much nice crack figuring

had still there $XXX I yet think some that billion if the to of you that IIJA right allocated. been have of from change of administration, at be was like information look ahead I something the think released

billion $XXX that been allocated. has there's So

fraction I been actually think of spent. that that's a it's

and a the bipartisan about to feel the So support. had lot that's it country that really knows of we opportunity continue that the by underpinned needs investment God spending certainly good

So a good area to our will us. continue for expectation that be

Scott Schneeberger

and went a some the on you -- extent And any just acquisition. look integration And to of everything do the going made there H&E, existing year for assume -- to won't -- and pipeline? be Obviously, said prior time commentary you can what sizable what Could very large that still you and we Could on and Appreciate like be to maybe you not additional just have more answer, a that? stock I the a There's to any leverage end what activity M&A? pipeline assume but large do and on that. with the you that. buyback. very you the thoughts with pause want just we

Matthew Flannery

couple strong execute I it's And consistently constantly strong, mean I for see, few very say a team pipeline. of a working have years right, that you of that's been them. Yes. we as a only now. would we And on

have could lot to You that that We'll we're midpoint. our to back Ted as leverage will focus. getting here, And mentioned, is and going focus pretty deal. a be imagine big a to the on this absorb

makes work large this decision we're make appropriate here the focused a at nice If that's certainly a So the that to be will where our look acquisition. into to that business a we'll we'll pipeline, going comes tuck-in time. the want overall what that absorb sense to deal And there on -- we product line, and then do absorbing the would always to we're with for at that given see that in, that. be strategy then and period new is going have fits priority. how and We'll

Operator

in I it additional no remarks. And at queue, for call the questions now turn this further back to will Flannery we any closing appears time, Matt or have

Matthew Flannery

Well, time, thank appreciate your us the could and everyone we on operator, today. join glad call, you, you

Elizabeth your the questions. as Our available greatest QX investor has and update. latest to deck And always, is answer

call. talk now can safe. you we Operator, the So stay again April, end in until

Operator

This does call. for your conclude participation. Thank today's you

at disconnect time. may You any

United Rentals (URI) 30 Jan 252024 Q4 Earnings call transcript