Herc : Q3 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.

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©2022 Herc Rentals Inc. All Rights Reserved.

Key Takeaways - Steady Demand and Delivering on Growth Strategy

Operating environment remains robust

Outstanding performance by our sales, operations and field support teams

• Q3 rental revenue increased 36%
• Increased adjusted EBITDA YoY by 40%
• Adjusted EBITDA margin increased 160 bps to 46.3%

Completed the acquisition of seven companies with 12 locations in the third quarter and 16 companies with 24 locations year-to-date

Opened 17 greenfield locations year-to-date

Repurchased approximately 540,000 shares at an average share price of $108.80 in line with our capital allocation strategy

Increased FY 2022 guidance for adjusted EBITDA and narrowed net fleet capital expenditures guidance

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©2022 Herc Rentals Inc. All Rights Reserved.

Third Quarter Financial Highlights: Accelerating Performance

Rental Revenue

$ in millions

$706.2

Total Revenues

$ in millions

$745.1

Adjusted EBITDA¹

$ in millions	$345.0

$519.6

$516.2 $508.1

$550.4

$245.9

$449.0	$459.6	$402.3	+36%

2018 2019 2020 2021 2022

Net Income

$ in millions

$456.7+35%

2018 2019 2020 2021 2022

Earnings Per Diluted Share

$3.36

$201.5

$209.4

$196.7

+40%

2018 2019 2020 2021 2022

Adjusted EBITDA Margin¹

$46.2

$101.4

$72.3 +40%

$39.9

$2.37 +42%

$1.60

$1.35

46.3%

44.7%

43.1%

41.2%

39.0%

+160 bps

$9.4

2018 2019 2020 2021 2022

$0.32

2018

2019

2020

2021

2022

2018	2019	2020	2021	2022
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1. For a reconciliation to the most comparable GAAP financial measure, see the Appendix beginning on Slide 22

©2022 Herc Rentals Inc. All Rights Reserved.