United Rentals pulled in $5.685 billion in revenues for its full year in 2014, a 15 percent increase over the previous year's figures. Rental revenue was $4.819 billion, which was a 14.8 percent year-over-year increase, as well.
Fourth quarter 2014 revenues were $1.56 billion, up 16 percent over the same period last year, while pre-tax profits increased 38 percent to $311 million. The increases come from a 10.7 percent rise in the volume of rental equipment and 4.1 percent in rental rates. Utilization rested at 70.6 percent and the company's rental fleet age dropped to 43 months from 45.2.
Michael Kneeland, chief executive officer of United Rentals, said, "We met or exceeded every target in our outlook for 2014, ending the year with a better-than-expected quarter and our highest return yet on invested capital. Our full year increases in rates and utilization helped drive up rental revenue at almost twice the pace of industry expansion, and we're in a strong position to grow the most profitable areas of our business, including our high-margin specialty rental lines."
Kneeland continued, "For 2015, we are guiding to record highs of over $6 billion in revenue and approximately $3 billion in adjusted EBITDA. Our industry is forecast to have multiple years of growth ahead, and our customers are upbeat. While we expect to see a drag in some trade areas from the slowdown in upstream oil, our exposure is greatly limited by our size, agility and diversification. Furthermore, we believe that low oil prices will be a boon to many sectors we serve, spurring demand in manufacturing and other markets hungry for our fleet."
Total capital expenditure for the year was $1.8 billion.