United Rentals beats by $0.21, beats on revs; guides FY16 revs in-line, reaffirms free cash flow guidance
Reports Q1 (Mar) earnings of $1.40 per share, $0.21 better than the Capital IQ Consensus of $1.19; revenues fell 0.4% year/year to $1.31 bln vs the $1.29 bln Capital IQ Consensus.
For the first three months of 2016, free cash flow was $627 mln, after total rental and non-rental gross capital expenditures of $123 mln. By comparison, free cash flow for the first three months of 2015 was $450 mln after total rental and non-rental gross capital expenditures of $345 mln.
Co issues in-line guidance for FY16, sees FY16 revs of $5.6-$5.8 bln vs. $5.72 bln Capital IQ Consensus Estimate. Its prior outlook was for revenue of $5.65-$5.95 bln. Co reaffirms free cash flow guidance of $900 mln to $1.0 bln. Time utilization is expected to be approx. 68.3% compared to prior guidance of 68.0%.
