United Rentals Beats with Q4 Results

Shares of United Rentals were up after hours Wednesday after the company reported Q4 results which were better-than-expected, issued in-line sales guidance for FY17 and agreed to buy NES Rentals Holdings for $965 million in cash.

Q4 adjusted EPS was $2.67 per share, up from $2.19 per share a year earlier and above the $2.30 per share consensus compiled by Capital IQ. Revenues were $1.52 billion, flat versus the year-ago period and above the $1.49 billion average estimate. For FY17, the company expects revenues of $5.75 billion to $5.95 billion, straddling the $5.79 billion consensus.

The equipment rental firm also said it entered into a deal to acquire NES Rentals Holdings for $965 million in cash, with the deal slated to close in early Q2, subject to US antitrust clearance and other customary closing condition.

By Brianna Stevens