United Rentals Misses Q3 Profit Estimates

(Reuters) – United Rentals (NYSE:URI) missed third-quarter profit estimates on Wednesday due to lower margins across all segments of the equipment rental company.

Shares of the company fell nearly 3% after the bell.

The slow recovery of non-residential construction and ongoing supply chain issues continue to impact costs for equipment dealers, hurting margins.

The Stamford, Connecticut-based company posted a quarterly profit of $11.80 per share, compared to analysts' average of $12.48 per share, based on data compiled by LSEG.

Its specialty rentals segment, however, saw robust demand during the quarter, leading to a nearly 24% rise in revenue to $1.14 billion.

Total revenue for the quarter ended September 30 increased by 7.4% to $3.46 billion, falling short of estimates of $4.01 billion.

United Rentals narrowed its full-year revenue forecast to a range between $15.1 billion and $15.3 billion, compared to the earlier estimated range of $15.05 billion to $15.35 billion, while maintaining a midpoint of $15.2 billion, aligning with LSEG estimates.