United Rentals, Inc. · NYSE:URI
United Rentals — Investor Day (December 2012)
14 slides from United Rentals's investor day presentation, Dec 4, 2012
Slide 1: Trench Safety and Power & HVAC
Trench Safety and Power & HVAC Paul McDonnell, SVP Investor Day December 4, 2012
Slide 2: Paul McDonnell, Senior Vice President
Paul McDonnell Senior Vice President Trench Safety and Power & HVAC Promoted to Senior Vice President of Trench Safety and Power & HVAC in 2008 Joined the company in 1999 as Trench Safety District Manager D&E Steelplate Rental, General Manager 2
Slide 3: Leader in Fragmented Trench Safety Market
Leader in Fragmented Trench Safety Market Trench Safety Attractive margins – ROCA* 37% Q3 2012 YTD OSHA regulations drive demand for products and safety training First to market with innovative new products Road plates, shoring, slide rail and confined space entry Customers in infrastructu
Slide 4: Growth Opportunity in Power & HVAC
Growth Opportunity in Power & HVAC Power & HVAC Attractive Margins – 26% ROCA* Q3 2012 YTD Turn-key services and solutions in large Power, heat and temperature control – Power Generation up to 2MW – Mobile Chillers up to 400 tons Customers in industrial, commercial, government, and emergency r
Slide 5: Specialty Businesses Enhance Our Value Proposition
Specialty Businesses Enhance Our Value Proposition Provides solutions, not just products To – Consultative model Customers – Deep expertise Broad product line, capabilities, and footprint Broader solution set helps drive share of wallet with large accounts To Strong market position in specia
Slide 6: Specialty Business is Aligned with Core Customer Strategy
Specialty Business is Aligned with Core Customer Strategy Share of Revenue Highlights by Key Accounts Overall Key Accounts represent 63% of Specialty revenue YoY growth in Key Accounts Key Accounts was 37% 63% $15M+ in Trench, Power & HVAC cross selling synergies expected in 2014 Other 37% Spe
Slide 7: Investing in Specialty Growth
Investing in Specialty Growth Rental Revenue (2010–2012 Forecast) 44M ~260M Drivers of Growth 14M 59M 4M Leveraging our scale Best value proposition in 141M the market Key Acquisitions – First to market with technology Coble Trench Safety – Focus on customer training GulfStar Rental (14–15K
Slide 8: Financial Results Have Been Strong
Financial Results Have Been Strong Revenue EBITDA EBITDA Margin Specialty Rental Revenue Specialty EBITDA Specialty EBITDA Margin $120M CAGR $260M CAGR +900 36% 49% bps 42% $87M 39% $198M 33% $141M $54M 2010 2011 2012F 2010 2011 2012F 2010 2011 2012F Significant Margin Strong Revenue Growth Strong E
Slide 9: Trench Safety Locations
67 Trench Safety Locations* * Red dots indicate a cold start branch opened in the last 12 months, or a branch that was acquired in the last 12 months. 9
Slide 10: Market Opportunity in Trench Safety
Market Opportunity in Trench Safety Opportunity to Gain Key Plans to Market Share Accelerate Growth Estimated 2012 North American Trench Safety Market Leverage cross sell opportunity ~0.5B ~1.0B Continue to drive product innovation “Double-down” on educating ~0.5B potential customers on OSHA c
Slide 11: Power & HVAC Locations
28 Power & HVAC Locations* *Red dots indicate a cold start branch opened in the last 12 months, or a branch that was acquired in the last 12 months 11
Slide 12: Market Opportunity in Power & HVAC
Market Opportunity in Power & HVAC Opportunity to Gain Key Plans to Market Share Accelerate Growth Estimated 2012 North American Power & HVAC Market Leverage cross sell opportunity (focus on industrial customers) ~1.4B Increase footprint and Competitor presence through cold- Market Share starts,
Slide 13: Conclusion
Conclusion Specialty rentals are highly attractive investments with high margins Broad product line, capabilities, and footprint Alignment with our core customer strategy – Competitive differentiator – Runway for growth Goal to Double Specialty Revenue in 3–5 Years 13
Slide 14: Driving Value Creation
Driving Value Creation | 14