Segment Information (Tables)

12 Months Ended

Dec. 31, 2024

Equipment rental revenue by equipment type

The following table presents the percentage of equipment rental revenue by equipment type for the years ended December 31, 2024, 2023 and 2022:


	Year Ended December 31,
	2024		2023		2022
Primarily rented by our general rentals segment:
General construction and industrial equipment	40	%	42	%	42	%
Aerial work platforms	23	%	25	%	24	%
General tools and light equipment	9	%	8	%	8	%
Primarily rented by our specialty segment:
Power and HVAC equipment	11	%	10	%	10	%
Trench safety equipment	5	%	5	%	6	%
Fluid solutions equipment	7	%	7	%	7	%
Mobile storage equipment and modular office space	3	%	3	%	3	%
Surface protection mats (1)	2	%	—	%	—	%

___________________

(1)As discussed in note 4 to the consolidated financial statements, in March 2024, we completed the acquisition of Yak, which was a leading provider of surface protection mats. Prior to the Yak acquisition, we did not rent material amounts of such equipment.

Financial information by segment

The following table sets forth financial information by segment, and includes a reconciliation of the primary measure of segment profit (equipment rentals gross profit) to income before provision for income taxes.


	Year Ended December 31,
	2024			2023			2022
	General rentals	Specialty	Total	General rentals	Specialty	Total	General rentals	Specialty	Total
Equipment rentals	$8,945	$4,084	$13,029	$8,803	$3,261	$12,064	$7,345	$2,771	$10,116
Sales of rental equipment	1,328	193	1,521	1,411	163	1,574	835	130	965
Sales of new equipment	159	123	282	95	123	218	73	81	154
Contractor supplies sales	87	68	155	89	57	146	81	45	126
Service and other revenues	326	32	358	299	31	330	250	31	281
Total revenue (1)	10,845	4,500	15,345	10,697	3,635	14,332	8,584	3,058	11,642
Equipment rentals gross profit (see calculation below)	3,232	1,966	5,198	3,219	1,595	4,814	2,905	1,340	4,245
Equipment rentals gross margin	36.1%	48.1%	39.9%	36.6%	48.9%	39.9%	39.6%	48.4%	42.0%
Capital expenditures (2)	3,102	1,028	4,130	3,051	813	3,864	2,868	822	3,690
Calculation of equipment rentals gross profit:
Equipment rentals	8,945	4,084	13,029	8,803	3,261	12,064	7,345	2,771	10,116
Less:
Depreciation of rental equipment	(1,968)	(498)	(2,466)	(1,989)	(361)	(2,350)	(1,521)	(332)	(1,853)
Significant/all other rental expenses (3):
Labor and benefits (4)	(1,576)	(442)	(2,018)	(1,519)	(377)	(1,896)	(1,237)	(316)	(1,553)
Repairs and maintenance	(830)	(211)	(1,041)	(827)	(176)	(1,003)	(645)	(147)	(792)
Delivery	(472)	(350)	(822)	(448)	(269)	(717)	(375)	(236)	(611)
All other rental expenses (3)	(867)	(617)	(1,484)	(801)	(483)	(1,284)	(662)	(400)	(1,062)
Equipment rentals gross profit	3,232	1,966	5,198	3,219	1,595	4,814	2,905	1,340	4,245
Reconciliation of equipment rentals gross profit to income before provision for income taxes:
Gross profit from other lines of business			952			999			751
Selling, general and administrative expenses			(1,645)			(1,527)			(1,400)

Restructuring charge (5)			(3)			(28)			—
Non-rental depreciation and amortization			(437)			(431)			(364)
Interest expense, net			(691)			(635)			(445)

Other income, net			14			19			15
Income before provision for income taxes			$3,388			$3,211			$2,802
	December 31, 2024			December 31, 2023			December 31, 2022
	General rentals	Specialty	Total	General rentals	Specialty	Total	General rentals	Specialty	Total
Total assets (6)	$21,044	$7,119	$28,163	$20,411	$5,178	$25,589	$19,604	$4,579	$24,183

___________________

(1)Includes immaterial intersegment revenues.

(2)The consolidated statements of cash flows include the payments for capital expenditures, while the table above reflects the gross capital expenditures. Accounts payable as of December 31, 2024 and December 31, 2023 included $77 and $74, respectively, of amounts due but unpaid for purchases of rental equipment. The net impact of accrued purchases of rental equipment was not material for the year ended December 31, 2022.

(3)The significant expense categories align with the segment-level information that is regularly provided to the CODM. The “all other rental expenses” category reflects the difference between equipment rentals revenue less the significant expense categories above and the primary measure of segment profit (equipment rentals gross profit), and is primarily comprised of property costs, costs associated with re-rent revenue and certain ancillary revenues (see note 3 to the consolidated financial statements for a discussion of the different types of equipment rentals revenue), and insurance costs. Intersegment expenses are included within the amounts shown.

(4)Labor and benefits includes all internal labor and benefits costs associated with equipment rentals, including labor and benefits costs associated with repairs and maintenance and delivery.

(5)Primarily reflects severance and branch closure charges associated with our restructuring programs. The restructuring charges generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition. The amounts above primarily reflect charges associated with the restructuring program initiated following the December 2022 acquisition of Ahern Rentals. As of December 31, 2024, there were no open restructuring programs.

(6)The increase in the specialty segment assets from December 31, 2023 to December 31, 2024 includes the impact of the Yak acquisition discussed in note 4 to the consolidated financial statements.

Geographic area information

The following table presents geographic area information for the years ended December 31, 2024, 2023 and 2022, except for balance sheet information, which is presented as of December 31, 2024 and 2023:


	Domestic		Foreign		Total
2024
Equipment rentals	$	11,919	$	1,110	$	13,029
Sales of rental equipment	1,379		142		1,521
Sales of new equipment	242		40		282
Contractor supplies sales	131		24		155
Service and other revenues	320		38		358
Total revenue	13,991		1,354		15,345
Rental equipment, net	13,634		1,297		14,931
Property and equipment, net	942		92		1,034
Goodwill and other intangible assets, net	$	6,910	$	653	$	7,563
2023
Equipment rentals	$	11,045	$	1,019	$	12,064
Sales of rental equipment	1,427		147		1,574
Sales of new equipment	168		50		218
Contractor supplies sales	130		16		146
Service and other revenues	293		37		330
Total revenue	13,063		1,269		14,332
Rental equipment, net	12,679		1,322		14,001
Property and equipment, net	842		61		903
Goodwill and other intangible assets, net	$	6,031	$	579	$	6,610
2022
Equipment rentals	$	9,139	$	977	$	10,116
Sales of rental equipment	870		95		965
Sales of new equipment	122		32		154
Contractor supplies sales	109		17		126
Service and other revenues	248		33		281
Total revenue	$	10,488	$	1,154	$	11,642