Slight Revenue Increase for Sunbelt Rentals in Fiscal First Half; Seven New Acquisitions

Sunbelt Rentals posted $2.962 billion in the fiscal second quarter of 2025 ended Oct. 31, 2025, compared to $2.941 billion in the fiscal second quarter of 2024, an increase of about 7/10 of one percent. Rental revenue amounted to $2.757 billion for the quarter compared to $2.725 for the year-ago quarter, a 1.2-percent increase. 

Adjusted EBITDA for the quarter declined approximately 2 percent for the quarter, from $1.410 billion a year ago to $1.381 in the recently concluded frame, a 2.1-percent dip.  

For the first six months of the fiscal year, total revenue was $5.763 billion compared to $5.695 billion in the first half of fiscal 2024, a 1.2-percent increase. Rental revenue increased from $5.265 billion a year ago to $5357 billion, a 1.7-percent increase.

“The Group reported solid results for both the first half of the year and the second quarter, with revenue, profit, and free cash flow in line with our expectations as we benefit from long-term industry trends and ongoing improvements in our sector,” said Brendon Horgan, chief executive of Ashtead plc, Sunbelt Rentals’ parent company. “Rental revenue in the first half increased 2 percent, adjusted for $55 million to $60 million of lower hurricane activity in the quarter. Rental revenue was up 3 percent as mega project activity gained momentum, offset by continued moderation in our local non-residential construction markets. That being said, we continue to see positive leading indicators for local non-residential construction activity, and we are reaffirming our guidance for rental revenue, capex and free cash flow for the year.  

“Our revenue growth, combined with strong margins and disciplined capital deployment, drove record free cash flow in the first half, which we used to complete seven bolt-on acquisitions, support $307 million in dividend payments and complete $714 million of share buybacks in the first-half, bringing our total to $1,056 million under the current program.  Given the continued confidence in our free cash flow outlook, today we are also announcing a new share buyback program of $1.5 billion commencing March 2, 2026, to coincide with the re-listing to the New York Stock Exchange, which remains on track.  Our net debt to EBITDA leverage is 1.6x remaining comfortably within our targeted range. I would like to thank the team for these results and leading every day with our safety-first culture and Engage for Life program.

“Rental revenue in the first half increased 2 percent. Adjusted for $55 to $60 million of lower hurricane activity in the quarter, rental revenue was up 3 percent as mega project activity gained momentum, offset by continued moderation in our local non-residential construction markets. That being said, we continue to see positive leading indicators for local non-residential construction activity, and we are reaffirming our guidance for rental revenue, capex and free cash flow for the year."
  
Sunbelt Rentals’ general tool rental revenue in North America during the fiscal second quarter totaled $1,599.9 million. Specialty rentals totaled $917.6 million. In U.K. rental revenue totaled $207.3 million. For the six-month period, general tool rental revenue totaled $3,123.5 million in North America, while specialty rental reached $1,730.5 million. U.K. rental revenue reached $411.3 million. 

Making Acquisitions
During the six-month period, Sunbelt acquired seven businesses for total cash of $123 million, compared to $53 million in the same period in 2024. 

On June 4, 2025, Sunbelt U.S. acquired the business and assets of MPC Solutions, a specialty business operating in Texas.

On July 16, 2025, Sunbelt Canada acquired the business and assets of Location de Beauce (1983) Inc. Beauce is a general tool business operating in Québec.

On August 13, Sunbelt U.S. acquired the business and assets of ARX Perimeters LLC, a specialty business operating in Illinois.

On Sept. 2, 2025, Sunbelt Canada acquired the entire share capital of Location Thomas Inc., a general tool business operating in the province of Québec.

On Sept. 17, 2025, Sunbelt U.S. acquired the entire share capital of Rabern Holdco Inc., a general tool business operating in Texas.

On Oct. 1, 2025, Sunbelt U.S. acquired the business and assets of T and T Equipment Rentals LLC., a general tool business operating in Iowa. Craft Partners LLC served as exclusive financial advisor to T and T.

On Oct. 22, 2025, Sunbelt U.S. acquired the business and assets of Action Rentals, a general tool business company operating in the Central Valley of California.

Sunbelt Rentals is No. 2 on the RER 100, with headquarters in Fort Mill, S.C. Ashtead plc’s headquarters are in London.