Grade History
| Quarter | Disclosure Quality | Financial Quality |
|---|---|---|
| Q1'25 → | C+ | B- |
| Q2'25 → | B | B |
| Q3'25 → | C+ | B- |
| Q4'25 → | B | B- |
| Q1'26 → | B- | B |
Promise Ledger · All Quarters
| Marked | Promise | Status | |
|---|---|---|---|
| Q1'26 | ⏳ | Leverage ratio improvement beginning at year-end 2026 Ratio stable at 3.96x, meaningful improvement still expected at year-end | pending |
| Q1'26 | ✅ | Return fleet to younger average age with H&E integration Extending average age of younger acquired fleet, focus shifted from rightsizing to utilization | delivered |
| Q1'26 | ⏳ | Improve time utilization as sales force scales and demand evolves Saw sequential improvement in Q1 but still down pro forma year-over-year | pending |
| Q1'26 | ⏳ | Revenue synergies of $100-120M incremental for 2026 Target intact but pushed to back-half weighted, early progress not quantified | pending |
| Q1'26 | ✅ | Cost synergies tracking ahead of plan Running ahead of expectations with $125M total vs original timeline | exceeded |
| Q1'26 | ✅ | Complete integration by end of Q1 2026 Management claims integration work is behind them and branch optimization finished | delivered |
| Q4'25 | ✅ | Sales force stabilization Attrition now at normalized levels, backfilled key positions | delivered |
| Q4'25 | ⏳ | Revenue synergies of $390M through 2028 Reaffirmed target but admitted 2025 had front-loaded dis-synergies | pending |
| Q4'25 | ✅ | Cost synergies of $125M target Now tracking ahead of plan with full impact in 2026 | exceeded |
| Q4'25 | ✅ | Fleet rightsizing and optimization in back half 2025 $342M Q4 disposals completed the fleet rebalancing | delivered |
| Q4'25 | ✅ | 50 additional specialty locations by 2026 80% complete ahead of schedule, finishing next month | exceeded |
| Q4'25 | ✅ | Complete systems integration in 90 days vs typical 6-18 months Completed full ERP migration and ProControl rollout as promised | delivered |
| Q3'25 | ✅ | $400M-$600M net CapEx for 2025 Maintained guidance despite higher gross CapEx for synergies | delivered |
| Q3'25 | ⏳ | Leverage target of 2x-3x by calendar 2027 Reaffirmed timeline with no change to deleveraging plan | pending |
| Q3'25 | ✅ | Stabilize H&E workforce disruption Attrition returned to normalized levels, though productivity ramp continues | delivered |
| Q3'25 | ⏳ | $350M revenue synergies over 3 years Still targeting same amount but only anecdotal examples of progress | pending |
| Q3'25 | ⏳ | 50% of $125M cost synergies by year-end 2025 Reaffirmed target but no progress metrics disclosed | pending |
| Q3'25 | ✅ | Technology integration completed by end of September 2025 Completed systems cutover as promised, though operational training continues | delivered |
| Q2'25 | ✅ | Used equipment market stabilization Proceeds stable at 44-45% of OEC, market described as 'healthy and steady' | delivered |
| Q2'25 | ✅ | Maintain equipment rental revenue growth around 5% Core Herc delivered 4% growth excluding acquisition impact | delivered |
| Q2'25 | ✅ | H&E regulatory review completion for midyear closing Closed in early June after HSR refiling process | delivered |
| Q2'25 | ✅ | Complete remaining in-flight greenfields Opened 8 of 11 new facilities in Q2, 11 total in H1 | delivered |
| Q2'25 | ✅ | Gross CapEx at 45% of annual plan by mid-year On track with seasonal Q2/Q3 ramp as expected | delivered |
| Q2'25 | ❌ | Start anniversarying local market challenges in Q2 2025 Local markets continue seeing pressure with new projects on pause; no improvement from anniversary effect | missed |
| Q1'25 | ✅ | Flow-through normalization as demand recovers March saw normalized flow-through return after Q1 choppiness | delivered |
| Q1'25 | ⏳ | Positive rental rate year-over-year for 2025 Confirmed directionally but stopped giving specific rate metrics | pending |
| Q1'25 | ⏳ | Net CapEx of $400-600M for 2025 On track with disciplined Q1 spend, confirmed midpoint target | pending |
| Q1'25 | ⏳ | Return to 2-3x leverage within 24 months post-H&E close Reiterated commitment but timeline depends on integration execution | pending |
| Q1'25 | ⏳ | Adjusted EBITDA growth of 1-6% for 2025 Q1 up 2.7%, tracking toward lower end of range | pending |
| Q1'25 | ⏳ | Equipment rental revenue growth of 4-6% for 2025 Q1 came in at 4.9%, within range but at lower end despite weather excuse | pending |
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