United Rentals misses third-quarter profit estimates on lower margins

United Rentals

23/10/2024 22:23

Oct 22 (Reuters) - United Rentals  URI.N  missed
third-quarter profit estimates on Wednesday, on lower margins
across all of the equipment rental company's segments.
    Shares of the company fell nearly 3% after the bell.
    The slow recovery of non-residential construction and
persisting supply chain issues continue to weigh on costs for
equipment dealers and are hurting margins.
    The Stamford, Connecticut-based company posted quarterly
profit of $11.80 per share, compared with analysts' average of
$12.48 per share, according to data compiled by LSEG.
    Its specialty rentals segment, however, continued to see
robust demand during the quarter, driving a nearly 24% rise in
revenue to $1.14 billion.
    Total revenue for the quarter ended September 30, rose 7.4%
to $3.46 billion, compared with estimates of $4.01 billion.
    United Rentals narrowed its full-year revenue forecast to
range between $15.1 billion and $15.3 billion, compared with the
earlier estimated range of $15.05 billion to $15.35 billion,
while maintaining a mid-point of $15.2 billion, which comes in
line LSEG estimates.
    

 (Reporting by Aatreyee Dasgupta in Bengaluru; Editing by
Mohammed Safi Shamsi)
 ((Aatreyee.Dasgupta@thomsonreuters.com;))