Herc : Q2 2022 Earnings Call Presentation

Shifting Into High Gear

©2021 Herc Rentals Inc. All Rights Reserved.

Herc Rentals Team & Agenda

Larry Silber	Mark Irion
President & Chief	Senior Vice President &
Executive Officer	Chief Financial Officer

Aaron Birnbaum	Elizabeth Higashi
Senior Vice President &	Vice President,
Chief Operating Officer	Investor Relations &
	Sustainability

Agenda

• Introductions
• Safe Harbor
• Overview
• Operations Review
• Financial Review
• Q&A

NYSE: HRI

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©2022 Herc Rentals Inc. All Rights Reserved.

Safe Harbor Statements and Non-GAAP Financial Measures

Forward-Looking Statements

This presentation includes forward-looking statements as that term is defined by the federal securities laws, including statements concerning our business plans and strategy, projected profitability, performance or cash flows, future capital expenditures, our growth strategy, including our ability to grow organically and through M&A, anticipated financing needs, business trends, the impact of and our response to COVID-19, our capital allocation strategy, liquidity and capital management, and other information that is not historical information. Forward looking statements are generally identified by the words "estimates," "expects," "anticipates," "projects," "plans," "intends," "believes," "forecasts," "looks," and future or conditional verbs, such as "will," "should," "could" or "may," as well as variations of such words or similar expressions. All forward-looking statements are based upon our current expectations and various assumptions and, there can be no assurance that our current expectations will be achieved. They are subject to future events, risks and uncertainties - many of which are beyond our control - as well as potentially inaccurate assumptions, that could cause actual results to differ materially from those in the forward- looking statements. Further information on the risks that may affect our business is included in filings we make with the Securities and Exchange Commission from time to time, including our most recent annual report on Form 10-K, subsequent quarterly reports on Form 10-Q, and in our other SEC filings. We undertake no obligation to update or revise forward-looking statements that have been made to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events.

Information Regarding Non-GAAP Financial Measures

In addition to results calculated according to accounting principles generally accepted in the United States ("GAAP"), the Company has provided certain information in this presentation that is not calculated according to GAAP ("non- GAAP"), such as adjusted net income, adjusted earnings per diluted share, EBITDA, adjusted EBITDA, adjusted EBITDA margin, REBITDA, REBITDA margin, REBITDA flow-through and free cash flow. Management uses these non-GAAP measures to evaluate operating performance and period-over-period performance of our core business without regard to potential distortions, and believes that investors will likewise find these non-GAAP measures useful in evaluating the Company's performance. These measures are frequently used by security analysts, institutional investors and other interested parties in the evaluation of companies in our industry.

Non-GAAP measures should not be considered in isolation or as a substitute for our reported results prepared in accordance with GAAP and, as calculated, may not be comparable to similarly titled measures of other companies. For the definitions of these terms, further information about management's use of these measures as well as a reconciliation of these non-GAAP measures to the most comparable GAAP financial measures, please see the appendix that accompanies this presentation.

NYSE: HRI

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©2022 Herc Rentals Inc. All Rights Reserved.

Key Takeaways - Steady Demand and Delivering on Growth Strategy

Operating environment remains positive with steady demand

Outstanding performance by our sales, operations and field support teams

• Q2 rental revenue increased 35%
• Increased Q2 dollar utilization YoY by 40 bps to 42.5%
• Increased adjusted EBITDA YoY by 37%

Completed the acquisition of six companies in the second quarter with a total of nine locations, including the previously announced acquisition of Cloverdale Equipment Company in April 2022.

Amended ABL to double size of credit facility to $3.5 billion and extend maturity to July 2027

Announced plan to repurchase shares under 2014 Share Repurchase

Program, which has a remaining authorization of $395.9 million

Narrowed FY 2022 guidance for adjusted EBITDA guidance by raising the lower end of guidance range to $1.195 billion to $1.245 billion, an increase of 34% to 39% over the prior year and affirmed net fleet capital expenditures guidance of $900 million to $1.120 billion

NYSE: HRI

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©2022 Herc Rentals Inc. All Rights Reserved.

Second Quarter Financial Highlights: Accelerating Performance

	Rental Revenues					Total Revenues					Adjusted EBITDA¹
		$ in millions		$605.4					$ in millions		$640.4					$ in millions		$284.2
	$407.6		$448.0				$485.5	$475.1		$490.9							$207.7
$392.5			+35%							+30%						+37%
							$368.0					$174.9
		$327.6
												$152.2
														$149.4
2018	2019	2020	2021	2022
		2018	2019	2020	2021	2022			2018	2019	2020	2021	2022

	Net Income
		$ in millions		$72.2
			$47.1
				+53%
	$9.7	$2.0
$(0.3)
2018	2019	2020	2021	2022

Earnings Per Diluted Share	Adjusted EBITDA Margin¹

44.4%

				$2.38			40.6%	42.3%
			$1.55	+54%		36.8%			210 bps
					31.3%
	$0.33	$0.07
$(0.01)
2018	2019	2020	2021	2022	2018	2019	2020	2021	2022

1. For a reconciliation to the most comparable GAAP financial measure, see the Appendix beginning on Slide 24	NYSE: HRI	5
©2022 Herc Rentals Inc. All Rights Reserved.