Herc Holdings targets organic rental revenue CAGR 10%-14% from 2024-2026

Herc Holdings announced at its Investor Day today, strong progress toward the Company’s three-year strategies, financial performance and capital allocation priorities set in 2021, and introduced new, three-year performance targets. “In 2021, we laid out an ambitious plan to shift from a company focused on fortifying its foundation to a respected industry leader, focused on consistent, profitable share growth. Today, we are introducing new financial targets as we continue to leverage our organic strengths, invest in high-return areas of our business, and capitalize on secular and structural market opportunities,” said Larry Silber, president and chief executive officer. “Additionally, as we move into our next growth phase, we are introducing a new operating system called E3OS that will drive every aspect of our culture and performance. This system is about operational effectiveness and continuous improvement through standard processes, principles, practices, and tools to ensure we deliver the optimal customer experience at every touchpoint in the customer consumption chain as we continue to grow,” Silber said. Today the Company also introduced targets for organic rental revenue of 10% to 14% compound annual growth (CAGR) from 2024 through 2026, and established an organic adjusted EBITDA CAGR of 11% to 16% over the same period. The Company is continuing its focus on disciplined capital allocation priorities, including investing in fleet for organic growth, strategic M&A transactions, and continuing the quarterly dividend which will increase in line with long-term growth. Surplus capital will be deployed for additional investment in the business or returns to shareholders.