CEO Michael Kneeland talks about the benefits of joining the nearly 19,000 United Rentals team members in the growing rental industry. With over 1000 branches across the US, Canada and Europe, United Rentals is the largest equipment rental company in the world, offering great opportunities to build a successful career with us. Apply today and be on the fast track to an even better future ahead.
It’s official – Matthew Flannery has been appointed the next CEO of United Rentals, starting May 8. What else does this mean? For starters, Michael Kneeland, the current chief executive officer, will become non-executive chairman. Bobby Griffin, a 10-year member of the board and chairman of the Strategy Committee, will become lead independent director.
The appointments become effective at the company’s annual meeting of stockholders on May 8, 2019, when Chairman Jenne Britell and CEO Michael Kneeland will step down from their respective positions.
Dr. Britell said, “It has been an honor to help guide United Rentals through a decade of remarkable growth. The collaboration between our directors and senior management is unique in my experience, and on a personal level, it is gratifying to know that we have achieved our objectives. The transformation of the company has created substantial value for our customers, employees and shareholders. Michael has been involved in the board process from both sides for more than a decade, making him the ideal choice to succeed me as chairman.”
Dr. Britell, Mr. Kneeland and Mr. Flannery have led the evolution and growth of United Rentals for more than a decade. Since 2009, the company has nearly doubled in size to approximately 1,200 locations with 18,800 employees and annual revenue of more than $7.8 billion. In that time, the company has successfully integrated numerous acquisitions, significantly expanded its strategically important specialty rental offering, and effected a cultural transformation that has elevated employee engagement, safety, innovation and customer service. The company joined the S&P and Fortune 500 in 2014, and over the 10-year period ended December 31, 2018, generated a total stockholder return of 1008%, outperforming the S&P 500 index by 830 basis points over the same period.
United Rentals has been recognized recognized as a Top Military Friendly Employer by GI Jobs for 2020. This will be our 11th year on their list. For 2020, we were designated as a Gold Award winner, which means that we scored within 20 percent of the 10th-ranked organization within a given category.
ABC Diversity presented United Rentals with the National Diversity Excellence Award in the Supplier Diversity category for the 5th year in a row due to our continual enhancement of our diversity and inclusion programs.
U.S. Veterans Magazine (USVM) polled hundreds of Fortune 1000 companies for this year’s Best of the Best evaluations. At USVM, their goal is to open up employment, business and supplier opportunities within the federal government and corporate America for veterans, transitioning service members, disabled veterans, spouses and veteran business owners. The annual review is an evaluation of the nation’s employers, initiatives, government agencies and educational institutions.
United Rentals has been selected as a Military Spouse Friendly Employer. We ranked 2 on the 2019 list of companies who have chosen to make military spouse employees a priority.
The United Compassion Fund is an employee-funded, first-response program intended to assist employees in distress who have experienced an uncontrollable crisis situation that creates a financial hardship.
Fisher houses, which dot the country, aren’t your typical homes. They are refuges where military families can stay, free of charge, while their service member or veteran is receiving medical treatment for an injury, illness or disease at a nearby major military or VA medical center.
“It provides them a comfortable place to go back to at the end of a day that might be a tough day — or maybe it’s a good day — but it’s a day when a little bit of trauma’s going on in their life, and we try to make it a little easier on the families,” said Steve Kuykendall, president and CEO of Fisher House Southern California.
The homes benefit the families — saving them hotel and transportation costs, for instance — but also the service member or veteran. As a Fisher House Foundation motto goes, “a family’s love is good medicine.”
Families enjoy private bedrooms and baths, a common kitchen, living room, dining room and laundry facility and something else: an instant community of other military families facing similar struggles.
United Rentals has donated hundreds of pieces of equipment for the construction of 11 Fisher Houses (and counting) since 2015 in places ranging from Tucson, Arizona, to Orlando, Florida, to Houston, Texas, and Long Beach, California. Averaging 12,000 square feet, the houses take from 8 to 12 months to build.
For United Rentals, partnering with Fisher House Foundation just made sense.
“Fisher House is a great organization that shares our passion for helping veterans. So donating equipment to build Fisher Houses is a natural for us,” said Tim Rule, vice president of market development for United Rentals.
The company’s involvement doesn’t end at providing backhoes and excavators, however. Countless volunteers have put in thousands of hours sprucing up the landscapes, building playgrounds and in one case even donating and hosting a Thanksgiving dinner for the families. Employees have also raised more than $30,000 in donated funds through events such as customer golf and fishing outings.
“It’s really our employees, stepping up to make a difference by volunteering at their local Fisher Houses, or other great causes in the community, who are the face of giving back at United Rentals,” said Rule.
United Rentals partnered with Workforce Opportunity Services (WOS) in 2013 to create our Service to Employment Program (STEP). STEP is a unique work-study program to help veterans transition back into working life. It offers 10 weeks of in-class and hands-on training, where veterans learn technical and social skills, meet with our leaders and experience what it’s like to work at our branches. Apply for our STEP program. https://www.wforce.org/programs/service-technician-equipment-systems-1379
No cash to buy a bulldozer? No worries -- just lease one from United Rentals. The company considers itself the #1 commercial and construction equipment renter in the world, serving customers in the commercial, infrastructure, industrial, and residential sectors. It operates through a network of more than 970 locations in the US and Canada, and provides about 3,000 equipment items -- everything from general to heavy construction and industrial equipment to hand tools, special-event items (such as aerial towers), power (diesel generators) and HVAC equipment, and trench-safety equipment. It also sells new and used equipment, as well as rental-related and contractor supplies and parts.
In 2012 United Rentals increased its outlet count from more than 530 to more than 970 after it bought rival RSC Holdings in a cash-and-stock transaction valued at $4.2 billion, or $18 per share, including $2.3 billion in debt. Both companies have suffered from the recession and combining the two will save more than $200 million a year by eliminating redundant infrastructure, branches, and overhead. The combined businesses will also be in a more strategic position for serving industrial customers.
Before the acquisition, United Rentals held about a 9% market share in the US construction/industrial equipment rental industry. It counts commercial construction as its largest end-market, representing about 54% of its rental revenues. The company's general rentals operations cover seven geographic regions throughout the US and northeast Canada. United Rentals expanded its Canadian operations in 2011 with two acquisitions, first buying Venetor Group, a rental equipment company with seven locations in Ontario, and then Ontario Laser Rentals, a lessor of trench safety equipment with two locations in Ontario and one in Montreal.
Revenue rose about 17% in 2011 compared with 2010. Equipment rentals, accounting for 82% of revenue, surged 17% while the company's next largest segment, sales of rental equipment, 8% of revenue, soared 44%. Sales of new equipment increased 7%. Contractor supply sales and service and other revenue were down 10% and 3%, respectively. Equipment rentals did well behind an increase in the volume of original equipment cost on rent. An increase in rental rates also contributed. Sales of rental equipment were pushed up by increased volume, better pricing, and a new mix of equipment. After weathering a net loss of $62 million in 2009 and one of $26 million in 2010 amid a tough economy, United Rentals enjoyed a net income of $101 million in 2011 along with its strong sales uptick.
United Rentals enhances its operating efficiencies by ramping up through consolidation of functions, including payroll and accounts payable. In order to manage the age, composition and size of its fleet, the company routinely sells used rental equipment and invests in new equipment. United Rentals acts as a dealer of new equipment for many leading equipment makers such as Genie Industries, Skyjack (aerial lifts), Sullair (compressors), and Terex (telehandlers). At most branches United Rentals sells various supplies and merchandise and offers repair and maintenance services.
United Rentals has simultaneously beefed up its presence in the energy market. In late 2011 it purchased the assets of Blue Mountain Equipment Rental Corporation, which caters to the oil and gas industry working in the Marcellus Shale through two locations in Pennsylvania and one in West Virginia. Earlier that year it bought GulfStar Rental Solutions, a power and HVAC equipment rental company in the south. GulfStar adds three locations in Texas and Louisiana, deepening its customer base along the Gulf Coast, as well as paving the way for cross-marketing its general and aerial rental portfolio.
Although United Rentals' customers range from FORTUNE 500 companies to small businesses and homeowners, it targets larger customers, which tend to rent for longer terms and are timely in payment. Because of its size, United Rentals rallies more resources over smaller businesses. Competitive advantages include more purchasing leverage, a wider range of equipment and services, and the more convenient movement of assets between locations.
BlackRock, Inc. holds a stake of more than 10% in the rental business. The investment firm is among the world's most established financial advisors – less