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Compared to Estimates, United Rentals (URI) Q3 Earnings: A Look at Key Metrics

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For the quarter ended September 2023, United Rentals (URI - Free Report) reported revenue of $3.77 billion, up 23.4% over the same period last year. EPS came in at $11.73, compared to $9.27 in the year-ago quarter.

The reported revenue represents a surprise of +2.33% over the Zacks Consensus Estimate of $3.68 billion. With the consensus EPS estimate being $11.32, the EPS surprise was +3.62%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how United Rentals performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenues- Equipment rentals: $3.22 billion compared to the $3.18 billion average estimate based on two analysts. The reported number represents a change of +18% year over year.
  • Revenues- Sales of rental equipment: $366 million versus the two-analyst average estimate of $318.86 million. The reported number represents a year-over-year change of +102.2%.
  • Revenues- Service and other revenues: $84 million versus $85.11 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +13.5% change.
  • Revenues- Contractor supplies sales: $39 million versus $37.01 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +21.9% change.
  • Revenues- Sales of new equipment: $52 million compared to the $42.20 million average estimate based on two analysts. The reported number represents a change of +62.5% year over year.
  • Gross Margin/Profit- Equipment rentals: $872 million versus $1.33 billion estimated by two analysts on average.
  • Gross Margin/Profit- Sales of rental equipment: $181 million versus $170.60 million estimated by two analysts on average.
  • Gross Margin/Profit- Service and other: $34 million versus $33 million estimated by two analysts on average.
  • Gross Margin/Profit- Contractor supplies sales: $11 million versus $11.55 million estimated by two analysts on average.
  • Gross Margin/Profit- Sales of new equipment: $9 million versus the two-analyst average estimate of $7.79 million.
View all Key Company Metrics for United Rentals here>>>

Shares of United Rentals have returned -7.2% over the past month versus the Zacks S&P 500 composite's -1.6% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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