Stock Analysis on Net

United Rentals Inc. (NYSE:URI)

$22.49

This company has been moved to the archive! The financial data has not been updated since January 25, 2023.

Operating Profit Margin
since 2005

Microsoft Excel

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Calculation

United Rentals Inc., operating profit margin, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$ in millions


Operating Income (Loss)
The operating income demonstrates significant volatility over the analyzed period. Initially, there is a steady increase from 500 million USD in 2005 to 659 million USD in 2007. However, 2008 records a substantial loss of 630 million USD, reflecting a notable downturn likely attributable to adverse economic conditions. From 2009 onwards, the operating income recovers progressively, reaching positive values and continuing an upward trajectory, culminating in 3,232 million USD by 2022. This trend suggests successful operational adjustments and growth after the 2008 downturn.
Revenues
Revenues display a general upward trend despite some fluctuations. Starting from 3,563 million USD in 2005, revenues increase modestly until 2007 before declining sharply in 2008 and 2009 to 3,267 million USD and 2,358 million USD, respectively. Post-2009, revenues rebound and exhibit consistent growth, with notable acceleration after 2012. The company reaches a peak of over 11,642 million USD in 2022, indicating an overall positive expansion in sales and market presence during the latter part of the period.
Operating Profit Margin
The operating profit margin follows a path that mirrors the fluctuations in operating income. Margins start around 14% in 2005, increasing to a peak near 17.7% in 2007, before experiencing a drastic reversal in 2008 to -19.28%. This negative margin corresponds with the operating loss that year. Margins recover steadily after 2008, stabilizing above 20% for most years from 2010 onward, with some variation but generally maintaining strong profitability. The margin reaches its highest point of 27.76% in 2022, reflecting enhanced operational efficiency or favorable pricing power in recent years.
Overall Trends and Insights
The financial data indicates a period of challenge around 2008 marked by decreased revenues, negative operating income, and a sharp decline in operating margin, consistent with a broader economic downturn or company-specific adversity. Recovery and growth are evident from 2009 forward, with steady increases in revenues and operating income, accompanied by improving and robust profit margins. The positive trajectory through 2022 suggests effective strategic management, operational improvements, and potentially expanding market share. The increasing profit margin toward the end of the period indicates improved cost control or enhanced revenue quality.

Comparison to Competitors

United Rentals Inc., operating profit margin, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).