SEGMENT INFORMATION

12 Months Ended

Dec. 31, 2025

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

The Company has two reportable segments: (1) Equipment Rental and Services Operations, and (2) Equipment

Sales. Equipment Rental and Services Operations are comprised of recurring activity performed at the Company's

full-service branch locations, such as equipment rentals and related services (including allocated telematics revenue

related to rental customer access to the T3 platform), and sales of parts, supplies and maintenance services to

construction contractors and others. Equipment Sales are comprised of sales by the Company of new or used

equipment made at any of the Company's branch locations and dealership sites, including equipment sales to

participants in the OWN Program. All other business activities, which include telematics SaaS subscriptions,

software applications, and related telematics devices purchased by customers for their owned fleet, as well as

building materials and hardware supplies, are included in “All Other.” The Company generates all of its revenue in

the U.S. and all long-lived assets are located in the U.S. 

These segments are based upon revenue streams and how the chief operating decision maker (“CODM”) of the

Company allocates resources and assesses performance. The Company’s Chief Executive Officer is the CODM. The

CODM uses Segment Adjusted EBITDA  to make resource allocation decisions and to assess the performance of

these segments. The CODM uses Segment Adjusted EBITDA to evaluate segment performance without regard to

potential distortions and to assess period-over-period growth. Excluding OWN Program payouts and equipment

operating lease expense from Equipment Rental and Services Operations Segment Adjusted EBITDA provides the

CODM with a more meaningful metric to compare operating performance to industry peers who do not source their

equipment fleet through lease arrangements. The most significant decisions made by the CODM relate to site

expansion, capital deployment, and employee hiring, among other things.

Significant expenses regularly provided to the CODM and reported in Segment Adjusted EBITDA include

segment cost of revenues and segment selling, general, and administrative expenses. Segment cost of revenues for

the Equipment Rental and Services Operations segment includes direct operating costs, excluding equipment and

vehicle operating lease expense. Segment cost of revenues for the Equipment Sales segment includes the cost of

equipment sales. Segment cost of revenues for All Other business activities includes platform expenses. Segment

Adjusted EBITDA also excludes operating expenses related to OWN Program payouts, depreciation expense on

rental equipment, and amortization expense on capitalized software. Segment selling, general and administrative

expenses exclude depreciation expense related to the Company’s property and other fixed assets. There are no other

significant segment expenses.

The accounting policies of the reportable segments are consistent with those described in Note 2: Summary of

Significant Accounting Policies in the Company’s Audited Consolidated Financial Statements as of and for the year

ended December 31, 2025. In the second quarter of 2025, following a change in the information regularly reviewed

by the CODM, the Company began to disclose total assets by segment. Prior to the second quarter of 2025, total

assets by segment were not disclosed because this information was not regularly reviewed by the CODM and used to

assess performance and allocate resources. Certain corporate selling, general and administrative expenses, including

corporate employee compensation, technology costs, professional service fees, and insurance expenses are deemed

to be of an operating nature and are allocated to each segment based primarily on segment employee headcount.

There were no sales or transactions between segments for any of the periods presented. The Company retains

various unattributed assets at the general corporate level, which the Company refers to as “Shared Resources” in the

table below. Assets identified as Shared Resources primarily consist of cash, investments, property and other fixed

assets and property right of use assets. All other costs and assets are directly attributable to the segments. The

Company does not compile discrete financial information for segments other than the information presented below.

The following table presents information about reportable segments (In millions):

	Year Ended December 31, 2025
	Equipment Rental
	and Services	Equipment
	Operations	Sales	All Other	Total
Equipment rental, parts, supplies and services ...............	$2,709	$–	$–	$2,709
Equipment sales .............................................................	–	1,541	–	1,541
Telematics ......................................................................	15	–	51	66
Sales of building materials, small tools, and hardware supplies .......................................................................	–	–	63	63
Total revenues ................................................................	$2,724	$1,541	$114	$4,379
Significant expenses:
Segment cost of revenues .........................................	773	1,237	68
Segment selling, general and administrative expenses .................................................................	812	28	59
Segment Adjusted EBITDA ........................................	$1,139	$276	$(13)	$1,402

	Year Ended December 31, 2024
	Equipment Rental
	and Services	Equipment
	Operations	Sales	All Other	Total
Equipment rental, parts, supplies and services ...............	$2,024	$–	$–	$2,024
Equipment sales .............................................................	–	1,676	–	1,676
Telematics ......................................................................	11	–	21	32
Sales of building materials, small tools, and hardware supplies .......................................................................	–	–	32	32
Total revenues ................................................................	$2,035	$1,676	$53	$3,764
Significant expenses:
Segment cost of revenues .........................................	578	1,400	30
Segment selling, general and administrative expenses .................................................................	641	29	31
Segment Adjusted EBITDA ........................................	$816	$247	$(8)	$1,055

	Year Ended December 31, 2023
	Equipment Rental
	and Services	Equipment
	Operations	Sales	All Other	Total
Equipment rental, parts, supplies and services ...............	$1,624	$–	$–	$1,624
Equipment sales .............................................................	–	879	–	879
Telematics ......................................................................	8	–	13	21
Sales of building materials, small tools, and hardware supplies .......................................................................	–	–	33	33
Total revenues ................................................................	$1,632	$879	$46	$2,557
Significant expenses:
Segment cost of revenues .........................................	435	728	29
Segment selling, general and administrative expenses .................................................................	441	28	31
Segment Adjusted EBITDA ........................................	$756	$123	$(14)	$865

The following table reconciles total Segment Adjusted EBITDA to income before income taxes (In millions):

	Year Ended December 31,
	2025	2024	2023
Segment Adjusted EBITDA .................................................................	$1,402	$1,055	$865
Equipment operating lease expense ......................................................	(26)	(85)	(111)
OWN Program payouts ........................................................................	(714)	(420)	(209)
Depreciation expense on rental equipment ...........................................	(300)	(293)	(280)
Depreciation expense on property and other fixed assets .....................	(42)	(27)	(9)
Amortization expense on capitalized software and intangible assets ...	(23)	(12)	(6)
Gain on sale of properties and other assets ...........................................	1	20	10
Loss on debt extinguishment ................................................................	(8)	—	(30)
Interest expense ....................................................................................	(285)	(261)	(213)
Other income, net .................................................................................	49	29	4
Income before income taxes .................................................................	$54	$6	$21

The following table presents information about identified assets by reportable segment (In millions):

	December 31, 2025	December 31, 2024
Segment identified assets:
Equipment Rental and Service Operations .....................................	$3,948	$3,025
Equipment Sales ..............................................................................	160	213
All Other .........................................................................................	274	167
Shared Resources ............................................................................	1,605	1,411
Total assets ......................................................................................	$5,987	$4,816

The following table presents information about cash flows from investing activities by reportable segment (In

millions):

	December 31, 2025		December 31, 2024
	Equipment		Equipment
	Rental and		Rental and
	Services	Equipment	Services	Equipment
	Operations	Sales	Operations	Sales
Cash flows from investing activities:
Purchases of rental equipment ................	(1,780)	–	(1,586)	–
Proceeds from sale of rental equipment ..	–	1,160	–	1,323