What drove the revenue growth in the quarter?

Rental revenue grew 12.5% to $2,927 million. The company said the Reliant Asset Management (Aries) acquisition contributed about 100 basis points, and it estimated the FIFA World Cup contributed about 250 basis points. North America Specialty rental revenue rose 25.3%, with the acquisition adding about 300 basis points, and North America General Tool rental revenue rose 7.4%. UK segment rental revenue fell 1.4% to $209 million.

Why did the adjusted EBITDA margin decline?

The company said adjusted EBITDA margin was 42.2% versus 43.2% a year earlier, primarily reflecting higher relative growth of ancillary revenues, partially offset by rate improvement. In the General Tool segment, the filing cites higher fuel costs as a factor in its margin decline.

What is changing about the dividend?

The Board declared a quarterly cash dividend of $0.30 per share, payable October 2, 2026, to holders of record as of September 18, 2026. This is the first dividend paid quarterly rather than semi-annually. The company said it replaces the previous UK distribution framework, and future declarations remain subject to Board approval.

How did the company's guidance change?

Fiscal 2027 total revenue growth guidance was raised to 6% to 9% from 4.5% to 7.5%, and rental revenue growth guidance was raised to 7% to 10% from 5% to 8%. Adjusted EBITDA guidance moved to $4.92 billion to $5.12 billion from $4.85 billion to $5.05 billion. Net rental equipment capital expenditures guidance rose to $2.4 billion to $2.8 billion from $2.05 billion to $2.45 billion.

How is the balance sheet positioned after the quarter?

Long-term debt was $8,006 million and net debt was $8,524 million, giving net leverage of 1.8x. The company issued $450 million of 4.950% notes due 2030 and $750 million of 5.650% notes due 2036, and reported $3,750 million of excess availability under its senior secured credit facility. Free cash flow was $70 million in the quarter, and the company repurchased $56 million of common stock and paid $307 million in dividends.

SUNB 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed September 9, 2026. Cited figures are marked; the original filing is the authoritative source.

Sunbelt Rentals Holdings, Inc. (NYSE/LSE: SUNB) reported record fiscal first-quarter 2027 results for the quarter ended July 31, 2026, per Exhibit 99.1 to this Form 8-K furnished under Item 2.02.

Total revenue increased 11.2% to $3,115 million^a and rental revenue increased 12.5% to $2,927 million. Operating income rose 15.9% to $691 million (22.2% margin), adjusted operating profit rose 13.8% to $759 million, net income rose 17.4% to $438 million, and diluted EPS rose 23.0% to $1.07. Adjusted EBITDA increased 8.7% to $1,315 million, with the margin declining to 42.2% from 43.2%.

The company attributed part of rental growth to the Reliant Asset Management (Aries) acquisition, which closed May 1, 2026, and an estimated 250 basis points from the FIFA World Cup. The company raised its fiscal 2027 guidance. Total revenue growth is now 6% to 9% (previously 4.5% to 7.5%), rental revenue growth is 7% to 10% (previously 5% to 8%), and adjusted EBITDA is $4.92 billion to $5.12 billion^b (previously $4.85 billion to $5.05 billion).

Net rental equipment capital expenditures are now $2.4 billion to $2.8 billion^c. The Board also declared the company's first quarterly cash dividend of $0.30 per share, payable October 2, 2026, to holders of record on September 18, 2026, replacing the prior semi-annual pattern and the previous UK distribution framework. Balance sheet metrics show long-term debt of $8,006 million, net debt of $8,524 million, and net leverage of 1.8x, within the stated 1x to 2x range.

Free cash flow was $70 million^d for the quarter, compared with $468 million in the prior-year period, as rental equipment purchases rose to $759 million. The company issued $1.2 billion of senior notes during the quarter and repurchased $56 million of common stock.

02—Key points

Key Highlights

Record fiscal Q1 2027 total revenue of $3,115 million, up 11.2%, and rental revenue of $2,927 million, up 12.5%.
Diluted EPS of $1.07, up 23.0%; adjusted EPS of $1.18, up 20.4%.
Adjusted EBITDA of $1,315 million, up 8.7%, with margin of 42.2% versus 43.2% a year earlier.
Fiscal 2027 guidance raised: total revenue growth of 6% to 9%, rental revenue growth of 7% to 10%, and adjusted EBITDA of $4.92 billion to $5.12 billion.
First quarterly cash dividend of $0.30 per share declared, payable October 2, 2026.
Free cash flow of $70 million versus $468 million in the prior-year quarter, as gross rental capital expenditures rose to $759 million.
Net leverage of 1.8x, within the company's stated 1x to 2x range, following $1.2 billion of senior notes issued in the quarter.

03—Questions

Frequently Asked Questions

What drove the revenue growth in the quarter?
Rental revenue grew 12.5% to $2,927 million. The company said the Reliant Asset Management (Aries) acquisition contributed about 100 basis points, and it estimated the FIFA World Cup contributed about 250 basis points. North America Specialty rental revenue rose 25.3%, with the acquisition adding about 300 basis points, and North America General Tool rental revenue rose 7.4%. UK segment rental revenue fell 1.4% to $209 million.
Why did the adjusted EBITDA margin decline?
The company said adjusted EBITDA margin was 42.2% versus 43.2% a year earlier, primarily reflecting higher relative growth of ancillary revenues, partially offset by rate improvement. In the General Tool segment, the filing cites higher fuel costs as a factor in its margin decline.
What is changing about the dividend?
The Board declared a quarterly cash dividend of $0.30 per share, payable October 2, 2026, to holders of record as of September 18, 2026. This is the first dividend paid quarterly rather than semi-annually. The company said it replaces the previous UK distribution framework, and future declarations remain subject to Board approval.
How did the company's guidance change?
Fiscal 2027 total revenue growth guidance was raised to 6% to 9% from 4.5% to 7.5%, and rental revenue growth guidance was raised to 7% to 10% from 5% to 8%. Adjusted EBITDA guidance moved to $4.92 billion to $5.12 billion from $4.85 billion to $5.05 billion. Net rental equipment capital expenditures guidance rose to $2.4 billion to $2.8 billion from $2.05 billion to $2.45 billion.
How is the balance sheet positioned after the quarter?
Long-term debt was $8,006 million and net debt was $8,524 million, giving net leverage of 1.8x. The company issued $450 million of 4.950% notes due 2030 and $750 million of 5.650% notes due 2036, and reported $3,750 million of excess availability under its senior secured credit facility. Free cash flow was $70 million in the quarter, and the company repurchased $56 million of common stock and paid $307 million in dividends.

04—Continue

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