#1@ United Rentals Second Quarter 2023 Investor Presentation 1.ROPURRENTS www.deals.com United Rentals UCB www.unitedrentals.com 1-800-UR-RENTS © 2023 United Rentals, Inc. All rights reserved. United Rentals Work United®#2Introductory Information Unless otherwise specified, the information in this presentation, including forward-looking statements, is as of our most recent earnings call held on July 27, 2023. We make no commitment to update any such information contained in this presentation. Certain statements in this presentation are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, known as the PSLRA. These statements can generally be identified by the use of forward-looking terminology such as “believe,” “expect,” “may,” “will,” “should,” “seek," "on-track,” “plan,” “project,” “forecast," "intend" or "anticipate," or the negative thereof or comparable terminology, or by discussions of vision, strategy, outlook, targets or goals (including but not limited to our environmental and social goals). These statements are based on current plans, estimates and projections, and, therefore, you should not place undue reliance on them. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. Factors that could cause actual results to differ materially from those projected include, but are not limited to, the following: (1) the impact of global economic conditions (including inflation, increased interest rates, supply chain constraints, potential trade wars and sanctions and other measures imposed in response to the ongoing conflict in Ukraine) and public health crises and epidemics on us, our customers and our suppliers, in the United States and the rest of the world; (2) declines in construction or industrial activity, which could adversely impact our revenues and, because many of our costs are fixed, our profitability; (3) rates we charge and time utilization we achieve being less than anticipated; (4) changes in customer, fleet, geographic and segment mix; (5) excess fleet in the equipment rental industry; (6) inability to benefit from government spending, including spending associated with infrastructure projects; (7) trends in oil and natural gas, including significant increases in the prices of oil or natural gas, could adversely affect the demand for our services and products; (8) competition from existing and new competitors; (9) the cyclical nature of the industry in which we operate and the industries of our customers, such as those in the construction industry; (10) costs we incur being more than anticipated, including as a result of inflation, and the inability to realize expected savings in the amounts or time frames planned; (11) our significant indebtedness, which requires us to use a substantial portion of our cash flow for debt service and can constrain our flexibility in responding to unanticipated or adverse business conditions; (12) inability to refinance our indebtedness on terms that are favorable to us, including as a result of volatility and uncertainty in capital or credit markets or increases in interest rates, or at all; (13) incurrence of additional debt, which could exacerbate the risks associated with our current level of indebtedness; (14) noncompliance with financial or other covenants in our debt agreements, which could result in our lenders terminating the agreements and requiring us to repay outstanding borrowings; (15) restrictive covenants and the amount of borrowings permitted under our debt instruments, which can limit our financial and operational flexibility; (16) inability to access the capital that our businesses or growth plans may require, including as a result of uncertainty in capital or credit markets; (17) the possibility that companies that we have acquired or may acquire could have undiscovered liabilities, or that companies or assets that we have acquired or may acquire could involve other unexpected costs, may strain our management capabilities, or may be difficult to integrate, and that we may not realize the expected benefits from an acquisition over the timeframe we expect, or at all; (18) incurrence of impairment charges; (19) fluctuations in the price of our common stock and inability to complete stock repurchases or pay dividends in the time frames and/or on the terms anticipated; (20) our charter provisions as well as provisions of certain debt agreements and our significant indebtedness may have the effect of making more difficult or otherwise discouraging, delaying or deterring a takeover or other change of control of us; (21) inability to manage credit risk adequately or to collect on contracts with a large number of customers; (22) turnover in our management team and inability to attract and retain key personnel, as well as loss, absenteeism or the inability of employees to work or perform key functions in light of public health crises or epidemics; (23) inability to obtain equipment and other supplies for our business from our key suppliers on acceptable terms or at all, as a result of supply chain disruptions, insolvency, financial difficulties or other factors; (24) increases in our maintenance and replacement costs and/or decreases in the residual value of our equipment; (25) inability to sell our new or used fleet in the amounts, or at the prices, we expect; (26) risks related to security breaches, cybersecurity attacks, failure to protect personal information, compliance with data protection laws and other significant disruptions in our information technology systems; (27) risks related to climate change and climate change regulation; (28) risks related to our ability to meet our environmental and social goals, including our greenhouse gas intensity reduction goal; (29) the fact that our holding company structure requires us to depend in part on distributions from subsidiaries and such distributions could be limited by contractual or legal restrictions; (30) shortfalls in our insurance coverage; (31) increases in our loss reserves to address business operations or other claims and any claims that exceed our established levels of reserves; (32) incurrence of additional expenses (including indemnification obligations) and other costs in connection with litigation, regulatory and investigatory matters; (33) the costs of complying with environmental, safety and foreign laws and regulations, as well as other risks associated with non-U.S. operations, including currency exchange risk, and tariffs; (34) the outcome or other potential consequences of regulatory matters and commercial litigation; (35) labor shortages and/or disputes, work stoppages or other labor difficulties, which may impact our productivity and increase our costs, and changes in law that could affect our labor relations or operations generally; and (36) the effect of changes in tax law. For a more complete description of these and other possible risks and uncertainties, please refer to our Annual Report on Form 10-K for the year ended December 31, 2022, as well as to our subsequent filings with the SEC. The forward-looking statements contained herein speak only as of the date hereof, and we make no commitment to update or publicly release any revisions to forward-looking statements in order to reflect new information or subsequent events, circumstances or changes in expectations. Note: This presentation provides information about free cash flow, EBITDA, adjusted EBITDA and adjusted EPS, which are non-GAAP financial measures. This presentation includes a reconciliation between free cash flow and GAAP cash from operations, a reconciliation between both adjusted EBITDA and EBITDA, on the one hand, and GAAP net income, on the other hand, a reconciliation between both adjusted EBITDA and EBITDA, on the one hand, and GAAP cash from operations, on the other hand, a pro-forma reconciliation between both adjusted EBITDA and EBITDA, on the one hand, and GAAP net income, on the other hand, a reconciliation between adjusted EPS and GAAP EPS and a reconciliation between forward-looking free cash flow and forward-looking GAAP cash from operations. Information reconciling forward-looking adjusted EBITDA to GAAP financial measures is unavailable to the company without unreasonable effort. The company is not able to provide reconciliations of forward looking adjusted EBITDA to GAAP financial measures because certain items required for such reconciliations are outside of the company's control and/or cannot be reasonably predicted, such as the provision for income taxes. Preparation of such reconciliations would require a forward-looking balance sheet, statement of income and statement of cash flow, prepared in accordance with GAAP, and such forward-looking financial statements are unavailable to the company without unreasonable effort (as specified in the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K). The company provides a range for its adjusted EBITDA forecast that it believes will be achieved, however it cannot accurately predict all the components of the adjusted EBITDA calculation. United Rentals® Work United® | 2#3Contents 1. Introduction 2. End-Market Overview 3. Company Overview 4. Summary of Key Financial Data 5. Appendix United Rentals® Work United® | 3#41 Introduction CASE Unity#5◆ United Rentals Maximizing value creation across the cycle by balancing growth, margins and free cash flow to drive returns Aggressive management of key value drivers within our control United Rentals® Work United® | 5#6Company overview Market Share #1 Market Share (1) • 2022 total revenue $11.64 billion (+19.8% Y/Y) • 2022 adjusted EBITDA (2) $5.62 billion (+27.3% Y/Y; 48.3% margin) 1,487 locations across North America (3) Other 66% . 1,341 branches in the U.S.; locations in 49 of 50 states Herc 4% Sunbelt 13% • 146 branches in Canada; locations in all 10 provinces United Rentals • 17% • • 14 European branches in France, Germany, the United Kingdom, the Netherlands and Belgium 23 branches in Australia 19 branches in New Zealand $20.6B of fleet comprised of 1,010,000 units (4) Highly diversified product and end-market mix Team of approximately 25,750 employees (5) United Rentals is the North American equipment rental leader 1) North American market share is based on 2022 actual or estimated rental revenues (for United Rentals, including the standalone, pre-acquisition revenue of Ahern Rentals) and American Rental Association ("ARA") industry estimates. 3) 4) As of June 30, 2023. Total branch count 1,543, including the foreign locations noted. As of June 30, 2023. Average fleet age 52.0 months. 2) Adjusted EBITDA is a non-GAAP measure. See the tables provided elsewhere in this presentation for reconciliations to the most comparable GAAP measures. 5) As of June 30, 2023. United Rentals® Work United® | 6#7Our customers and the benefits of renting vs. owning Customer Mix* Why Customers Rent Instead of Buy Residential construction Multi-Family Industrial & Other 5% Power / Utilities • Manufacturing Downstream Metals & Mining Chemicals . Conserve capital / focus on core business • . • The right equipment for any job/availability Reliability/reduce downtime Control expenses and inventory Outsourced maintenance (labor) 47% Verticals • Outsourced pick-up/delivery (labor) Non-residential 48% Food & beverage • Save on storage/warehousing construction Pulp & paper • 24/7 customer care/support Private non-res • Public non-res Infrastructure Oil & gas Entertainment Biotech & Pharma Disaster response Save on disposable costs Manage risks: regulatory, obsolesce, etc. Customers with diverse needs derive many benefits from renting *Note: Based on 2022 full-year rental revenue. United Rentals® Work United® | 7#8Branch locations NT YT BC Canada MT OR ID W NV UT SK MMB NM 0 SD NE MN ed States Hudson Bay ON Gulf of Mexico Mexico QC North American branch count 1,487 (1) • General Rentals: 988 locations Specialty: 499 locations (2) Largest U.S. states by number of locations • Texas: 175 • California: 136 Florida: 90 ⚫ Louisiana: 57 • Georgia: 53 Geographic breadth and flexibility to provide a one-stop shop for customers 1) As of June 30, 2023, 1,487 locations in North America, 14 in Europe, 23 in Australia and 19 in New Zealand, total global branch count of 1,543. 2) Specialty branch count presented above includes Tools and Reliable Onsite Services branches that are part of our General Rentals reporting segment. Global branch count of 555, including 14 in Europe, 23 in Australia and 19 in New Zealand. United Rentals® Work United® | 8#9Diverse end-market exposure Residential Construction Food Processing Mining Government Facilites Distribution Centers Solar Hospitals Power Generation Emergency Response Bridges & Highways Industrial Manufacturing Shipping Airports Commercial Construction Upstream Wind O2 Gas Oil & Gas Transmission SEG Utilities Colleges Shopping Data Centers Sports & Entertainment Power Transmission Downstream Oil & Gas 2022 Revenue by Vertical ■ Infrastructure ■ Non-Res Construction ■ Residential ■ Downstream O&G ■ Midstream O&G ■Upstream O&G ■ Chemicals ■Industrial Manufacturing ■ Other Industrial ■ Metals & Minerals ■ Power ■ All Other *Note: Based on 2022 rental revenue. Broad customer base helps reduce full-cycle volatility United Rentals® Work United® 9#10A decade of continued financial improvement... Total Revenue Adjusted EBITDA (1) Adjusted EPS (1) $12,000M $6,000M CAGR CAGR $10,000M $5,000M 11.0% 12.2% $8,000M $4,000M $6,000M $3,000M $4,000M $2,000M $2,000M $1,000M $0 $0 2012 2017 2022 2012 Strong revenue growth Trailing 5-year CAGR: +11.9% • Trailing 10-year CAGR: +11.0% Improved diversification • Increased industrial exposure Increased non-cyclical specialty exposure Notes: 1) 2) 3) 4) $35 $30 CAGR 24.1% $25 $20 $15 $10 $5 $0 2017 2022 Powerful EBITDA growth Trailing 5-year CAGR: +12.2% Trailing 10-year CAGR: +12.2% Sharply higher margins Adj. EBITDA margins up ~1,550 bps vs. 2008 (2) Adj. EBITDA margins up ~2,200 bps vs 2009 (3) 2012 2017(4) 2022 Significant EPS growth • Trailing 5-year CAGR: +25.1% (4) vs. +11.6% for the S&P 500 with less relative volatility over the same period Trailing 10-year CAGR: +24.1% vs. +8.0% for the S&P 500 with less relative volatility over the same period Ongoing transformation of the company's financial performance Adjusted EBITDA and Adjusted EPS are non-GAAP measures. Adjusted EBITDA margin represents Adjusted EBITDA divided by total revenue. See the tables provided elsewhere in this presentation for reconciliations to the most comparable GAAP measures. Reflects change/ improvement since peak of the last cycle relative to 2022. Reflects change/ improvement since trough of the last cycle relative to 2022. 2017 Adjusted EPS excludes a one-time benefit from the Tax Act of $8.05. Periods subsequent to 2017 reflect a reduction in the U.S. federal corporate statutory rate from 35% to 21% as a result of the Tax Act. United Rentals® Work United® | 10#11...that has ultimately been reflected in free cash flow 2012-2022 Average Cash Conversion: 124% (2) $2,600 $2,400 $2,200 $2,000 $1,800 $1,600 $1,400 $1,200 Average FCF as % of $1,000 EBITDA (1): 20% $800 $600 $400 $200 $0 Average FCF as % of EBITDA (1): 31% ($200) 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 1) 2) Durable Free Cash Flow generated throughout the cycle Free Cash Flow (FCF) and EBITDA are non-GAAP financial measures. See the Appendix for reconciliations to the most comparable GAAP measures for 2008-2022. Reflects average annual free cash flow, excluding the impact of merger and restructuring payments, relative to reported net income with 2017 net income adjusted to exclude tax reform benefits. United Rentals Work United® | 11#12Driving and extending our competitive advantages Company transformed to be considerably more profitable and efficient Operations, technology and culture differentiate us, and make us far more agile Diversified end-market exposure across customers, verticals and geographies. Strong balance sheet and robust cash generation with disciplined approach to smart capital allocation provide. powerful optionality Focused on balancing growth, margins, returns and FCF to maximize long-term value creation for our shareholders. $ 1 Maximize revenue potential with current & new customers Leverage powerful cash flow; deliver industry leading returns Leverage growth through efficiency and productivity initiatives Operating model supports self-reinforcing growth, margins, returns and cash generation United Rentals® Work United® | 12#132 End-market overview IN JCB ELECTRIC HTD-B JCB#14$0 $10 $20 $30 United Rentals® U.S. equipment rental industry overview Combined U.S. General Rental and Construction & Industrial Equipment Rental Market Size ($bn) $60 Peak-to- 25-year CAGR 10-year CAGR Peak CAGR 5.2% 5.1% 3.3% $50 $40 400% 350% 300% 250% 200% 150% 100% 50% 0% Growth of the U.S. equipment rental market has sharply outpaced underlying total non-res activity Indexed growth: US Equipment Rental Market Indexed growth: Total US Non-Res Construction Work United® 2009 2010 2011 2017 2018 2019 2020 2021 2022 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 GLOZ 2016 Q1OZ Largest players capturing a growing share of the U.S. equipment rental market Top 10 U.S. Rental Companies as % of Total Industry Revenues Equipment rental value proposition continues to drive secular penetration Sources: Company reports, ARA, RER, and U.S. Census Bureau (based on most current data available). 2017 2017 2018 2018 2019 2020 2021 2022 50% 44% 45% --40% 38% 40% 3.6% 35% 30% 25% 20% 22% 23% 24% 26% 27% 27% 30% 32% 20% 15% 10% 5% 0% 2 3 | 14#15$4,000 $3,800 $3,600 $3,400 $3,200 $3,000 $2,800 $2,600 $2,400 $2,200 $2,000 1964 1965 1966 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 -Real Total U.S. Non-Res Construction per Capita (Public + Private) Real total U.S. non-res construction spend per capita 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 -40 Yr avg -30 Yr avg -20 Yr avg -10 Yr avg Adjusted for inflation and population growth, total U.S. non-residential construction investment (public + private) remains inline to below long-term average levels Sources: U.S. Census Bureau, ENR (based on most current data available). United Rentals® Work United® 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 | 15#163 Company overview 505. .20 United Rentals ELECTRIC United Rentals D-FIT#17Our purpose and values. A Passion for People Build a diverse workplace that challenges all employees to grow professionally and embrace teamwork. Visible Leadership Lead by example in every business decision and action, with a sense of humility and responsibility. Customer-Driven Support the best interests of our customers and develop better ways for them to succeed at their jobs. Safety First Act, and require others to act, in a manner that puts the safety of our employees, customers and communities first. Sustainability Engage in practices that lead to positive change by encouraging social accountability and environmental responsibility. United Rentals Absolute Integrity Always do the right thing, honor commitments and ensure appropriate corporate governance. Continuous Innovation Contribute to a culture that empowers employees to improve quality, efficiency, customer service, and innovative solutions. Community-Minded Be an outstanding corporate citizen and a good neighbor in every sense by being helpful, respectful, law-abiding and friendly. Building a better future is our commitment to the people and communities we serve For additional details, please see our Corporate Responsibility Report that can be found at www.ur.com. United Rentals® Work United® | 17#18Continuing our strategic journey 1997-2008 Become a Market Leader Executed ~250 acquisitions to strengthen North American presence Saw strong tailwinds from residential construction boom 2009-2013 Transform the Core Improved returns through financial and operating discipline Focused on national accounts and customer branch operations - Operation United RSC Acquired and integrated RSC Equipment Rental 2014-2022 Grow the Core Continued build-up of GenRent platform Expanded specialty and adjacent product lines to offer one-stop shop for customers Developed services businesses and solutions to improve value prop Extended digital capabilities to better serve customers and drive internal efficiency 2023 & BEYOND Leverage and Extend Competitive Advantages Building a Better Future Together Being the Best Partner for Safety, Productivity, and Sustainability United Rentals® Work United® | 18#19Long-term growth and margin opportunities Revenue Related Capitalize on ongoing secular shift. towards rental over ownership Leverage cross-selling to capture more wallet share and maximize cyclical growth Evolve sales strategies and asset base to better serve customers and capture secular opportunities (infrastructure, digital, etc.) Differentiate services through new technologies and accelerated innovation. Smart M&A Cost and Margin Related Further leveraging of LEAN • Optimization of operating costs Continual improvement of labor productivity. Fixed cost leverage via organic and M&A growth Mix shift as Specialty outpaces total growth. Product and customer mix Further leveraging of technology and systems Optimizing growth and margins to maximize long-term value creation United Rentals® Work United® | 19#20Competitive positioning aided by structural advantages Size, Breadth and Diversity of Fleet Benefits of Scale, Scope & Diversification $ Strong Balance Strong Culture Focused Sheet Cash Flow on Employees, Customers & Investments in Technology Proven Management Team Shareholders Focus on driving and extending our leadership position United Rentals® Work United® | 20#21Online digital strategy and results: 2022 Increase Demand Through Digital Marketplace + Enhance the Customer Experience + ☐ Your partner for a safe, productive & sustainable worksite. Work United™ Quality equipment, ready to go My Equipment United Rentals United Rentals My Branches 110 Quebec Street My Account VULYAR Create or Prote ing Un, Extend Service offerings My Dashboard Things to be done 3 Cong 30 80% mycoticons 8% 10% of my compon tang pending of my mandatory pending 5 0 Nine announcements wable Lighe Tower with tkw Overall Progress sor L 30-33 ctric Powered Erected class 30 ¡C Clane www.ww My Learning HAZWOPER 2020 Refresher (8-Hour) Course Fall Protection Basic Half Day British Columbia Espacios Confinados en Construcción (CSE-C) En Linea la Push Around Vertical + 3a Aerial Scissor Lift + 3b Boomlift Operator **Certification Virtual Classroom Counterbalance & Rough Terrain Forklift Operator Recertification- ***** Blended First Aid/CPR Certification-AHA Counterbalance & Rough Terrain Forklifts Operator Recertification Rental and used equipment Generate awareness and interest Acquire new customers Capture demand through online digital transactions UR.com revenue increase of ~45% YOY in 2022 Access real-time account and equipment telematics information ■ Take self serve digital actions and setup email and SMS notifications Desktop access through Total Control® and mobile access through the United Rentals Mobile app ~65% of revenue engaged digitally in Q4 2022 ■ Conduct Safety training and manage certifications through United Academy (UA) ■ Service owned fleet with Customer Equipment Services (CES) UA and/or CES are used by customers who represent ~70% of revenue United Rentals® Work United® | 21#22Enhance customer experience: Digital Tools Rental Fleet Management platform which enables: • Open and close rental contracts • View invoices and pay bills Total Control® • Locate GPS enabled equipment • Customize alerts to proactively manage utilization • Customize reports and KPIs • Estimate greenhouse gas and engine emissions On the go functionality: • View equipment catalogue and pricing. United Rentals View upcoming deliveries View current contracts, extend rentals, or call off rent Mobile App . Locate GPS enabled equipment and view utilization Easily locate branches and contact information GENERATOR 250-299 KVA Digital tools provide 24x7 account access wherever customers work United Rentals® Work United® www | 22#23Telematics & FAST Telematics & Related Technologies Internal Benefits: - Performance monitoring and service alerts More efficient location and pick-up capabilities Overtime and revenue recovery ■ Customer Benefits: Visibility into equipment utilization Ability to more easily locate equipment Billing and account access Fuel alerts Field Automation Systems & Technologies (FAST) Internal Benefits: - - - Increased driver and dispatcher productivity Improved fleet efficiency Reduced fuel consumption - Safety benefits - Environmental benefits Using technology to drive greater efficiencies and improve customer experience United Rentals® Work United® | 23#24Investing in Specialty solutions to complement GenRent THE SIGHT TOOL R United Rentals 2.K Trench Safety Excavation support solutions, confined space entry equipment and customer training Used for construction, utility installs, manhole work, and other underground Power & HVAC ■ Complete solutions for mobile power and air flow Used for disaster response, plant shut downs, commercial renovations, and seasonal climate control Fluid Solutions Full range of equipment to contain, transfer, and treat fluids Used by municipalities, industrial plants, and mining, construction, municipal and agri- business customers Tool Solutions Tool trailers stocked with hoisting, torqueing, pipe fitting, and air tools Used during refinery and other industrial shutdowns, and also at large construction sites Onsite Services Plastic port-a- potties, luxury restroom trailers, sinks, and showers ■ Core rental item used across all types of special events, construction sites, and industrial projects ☐ Portable Storage & Modular Space Portable storage, mobile offices, and modular space solutions Core rental item used across all types of industrial and construction sites, commercial applications, and many other end- markets applications Aggressive growth in Specialty competitively differentiates our product and solution offering to customers, improves full-cycle returns, and helps reduce business volatility United Rentals® Work United® | 24#25Specialty provides strong growth opportunities (1) millions Specialty Revenue $3,445 $3,500 $3,250 $3,000 $2,692 $2,750 $2,500 2012-2022 CAGR: 27.8% $2,165 $2,250 $2,089 $2,000 $1,720 $1,750 $1,500 $1,254 $1,250 $1,021 $931 $1,000 $823 $750 $471 $500 $297 $250 $0 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Specialty as % of Total 7.2% 9.5% 14.5% 16.0% 17.7% 18.9% 21.4% 23.2% 24.5% 27.7% 29.6% Rev: Specialty represented almost 30% of total revenue in 2022 at over $3.4 billion 1) Tool Solutions was added in 2013, Fluid Solutions was added in April 2014 and Mobile Storage was added in May 2021. Note: Data includes 1) Specialty reporting segment (comprised of our Fluid Solutions, Fluid Solutions Europe, Trench Safety, Power & HVAC, Mobile Storage and Mobile Storage International regions) and 2) Reliable Onsite Services and Tools revenues, which are included in our General Rentals reporting segment. United Rentals® Work United® | 25#26Long-term capital allocation strategy ■ ■ ■ Manage Leverage Target leverage range over the cycle of 2.0x-3.0x. Net leverage (1,2): 1.8x Total liquidity(2): $2.706 billion Next long-term note maturity: 2027 Credit ratings (3): S&P: BB+/Stable Moody's: Ba1/Stable Invest in Growth Organic Continued organic investments to support growth and boost productivity. Opened 35 specialty branches in 2022 vs. 30 in 2021, 15 in 2020 and ~30 in both 2018- 2019. Targeting 40+ in 2023. M&A Balance sheet strategy creates flexibility to pursue strategic assets as opportunities arise. Specialty: National Pump, BakerCorp, and General Finance to augment Specialty. GenRent: NES, Neff, BlueLine and Ahern to support "grow the core" strategy. Return Excess Cash to Investors Began repurchases under $1.25 billion share repurchase program in the first quarter of 2023 and $500 million has been repurchased through June 30, 2023. Since 2012, United Rentals returned $5.5 billion to shareholders via share repurchases, representing -41% of total issued shares. ■ Our first quarterly dividend program was initiated in the first quarter of 2023, and we paid year-to-date dividends of $205 million ($2.96 per share) through June 30, 2023. ■ Board of Directors declared third quarter 2023 dividend of $1.48 per share, payable on August 23, 2023 to shareholders of record on August 9, 2023. Disciplined, prudent, efficient, and opportunistic approach to capital allocation Leverage ratio calculated as net debt divided by LTM adjusted EBITDA. Net debt calculated as the balance sheet value of debt less cash and cash equivalents. 1) 2) As of June 30, 2023. 3) As of July 24, 2023. United Rentals® Work United® | 26#27M&A strategy: Disciplined and opportunistic Strategic Proactively supports growth in attractive markets Difficult to replicate organically Financial • Invest capital at attractive returns over cycle Revenue growth Safety Cultural . Talent . • • Access to new customers Margin opportunities Ethics and integrity • Manage leverage . Management philosophy . • Enhance cross-selling Internal Rate of Return • Customer focus • Best practice adoption • ROIC . Geographic coverage Community • Volatility · Diversification Proven integration capabilities are a key advantage in realizing greater value from M&A United Rentals® Work United® | 27#28Record of value creation through M&A • • RSC (2012) Size: $4.2B transaction value (cash and stock) Type: 'Grow-the- core' gen rent acquisition Rationale: Positions URI as leader in North American rental industry Value: Targeted $200M cost savings from branch consolidation and overhead rationalization Exceeded initial cost savings estimates - Raised target to $230M - National Pump (2014) Size: $780M transaction value (cash) Type: Specialty adjacency in the pump rental sector Rationale: Expand offerings in higher margin return assets Value: Delivered on growth thesis by capitalizing on cross-selling opportunity Secured foothold in energy-related end markets Diversified into core construction and industrial markets NES (2017) Neff Rentals (2017) Size: $965M transaction value (cash) Type: 'Grow-the- core' gen rent acquisition Rationale: Strengthened aerial capabilities and added two-way cross-selling opportunities Value: Targeted $40M cost savings and $35M of revenue cross-sell opportunity, as well as $125M NPV of tax benefits Size: $1.3B transaction value (cash) Type: 'Grow-the- core' gen rent acquisition Rationale: Introduced new dirt capabilities and expertise in infrastructure; provided two-way cross-selling opportunities Value: Targeted $35M cost savings and $15M of revenue cross-sell opportunity, as well as $220M NPV of tax benefits BakerCorp (2018) Size: $720M transaction value (cash) Type: Specialty adjacency in the fluid control sector Rationale: Expand offerings in higher return and lower volatility assets Value: Targeted $19M cost savings and $60M of cross- sell revenue opportunity BlueLine (2018) Size: $2.1B transaction value (cash) Type: 'Grow-the- core' gen rent acquisition Rationale: Bolstered URI'S position as a leader in the North American rental industry while also adding to presence with local and mid- sized customer segment Value: Targeted $45M cost savings and $35M of cross- sell revenue opportunity, as well as $169M NPV of tax benefits General Finance (2021) Size: $1.0B transaction value (cash) Type: Specialty adjacency in the mobile storage and portable office sector Rationale: Expanded product and solution offering via higher return and lower volatility assets while further differentiating URI's ability to provide one-stop shopping Value: Targeted $17M cost savings and $65M of revenue synergies Ahern (2022) Size: $2.0B transaction value (cash) Type: 'Grow-the- core' gen rent acquisition Rationale: Bolstered URI'S position as a leader in the North American rental industry while also augmenting our presence with local and mid-sized customer segment in select markets Value: Targeted $40M cost savings and $60M of cross- sell revenue opportunity, as well as $426M NPV of tax benefits $250M With 25+ years of execution experience for ~300 transactions, team has successfully integrated assets in different environments and across the spectrum from bolt-ons to transformational United Rentals® Work United® | 28#29Differentiation through a focus on sustainability... Emissions Selected Highlights ✔ Goal: Reduce greenhouse gas (GHG) emissions intensity by 35% by 2030 vs. 2018 baseline ✓ Progress to date includes a 16.8% reduction in GHG emissions intensity in 2022 vs. 2018 baseline ✓ Continued to invest in low- and zero-emissions equipment and vehicles for our rental and non-rental fleets, and engage with manufacturers and customers about related opportunities ✓ Approximately 31%* of rental fleet is electric or hybrid, with the intent of growing this proportion ✓ Benefits of both route and load optimization for deliveries, as well as telematics ✓ Added emissions options chooser to website, allowing customers to choose low or zero-emissions equipment; launched customer-facing emissions estimation tool in Total Control® *as of 5/30/23 and based on number of units in classes that are motorized (excludes non-motorized and hand tools) Energy ✓ Goal: 95%** of North American locations will have lighting retrofit completed by 2025 ✓ As of 12/31/2022, 79%** of North American locations had lighting retrofits completed ✓ Energy management across entire branch network ✓ Purchased 31,250 MWh of renewable energy credits (RECs) in 2022, which is equivalent to 15,090 MT CO2e avoided and is an increase from 25,000MWh RECs purchase in 2021 ** based on footprint as of 6/30/22, and does not include locations we have acquired since then or may acquire in the future Waste ✓ Goal: Divert 70% of our waste from landfills by 2025 ✓ In 2022, 56.4% of waste was diverted from landfills, a 13.9 percentage point increase from 2021 Other ✓ Conducted monthly Sustainability Steering Committee meetings to drive progress toward our goals; committee comprised of leaders from facilities, fleet, environmental, legal, tax, HR, digital, marketing, strategy and sales ✓ Partnered with third-party to analyze our rental business and quantify the environmental benefit it brings ✓ Planet United, our sustainability-focused employee resource group, works to foster environmental awareness across the organization ✓ LEAN practices/Continuous Improvement have long been part of URI standard operating procedures GHG Emissions Intensity (MT CO2e/$M Revenue) Includes scope 3 emissions from third party haulers in addition to scope 1 and 2 emissions 2030 Goal: 39.5 MT CO2e/ $M revenue, a 35% reduction from 2018-base level 60.8 60 58.31 55.4 55.1 50.6 50 40 30 20 10 0 2018 2019 2020 2021 2022 1 GHG intensity increased by 5.3% from 2019 to 2020, which was due to absolute emissions decreasing by 4%, while total revenue decreased 8.8%, primarily due to COVID-19 impacts. Helping build a better future for all stakeholders For additional details, please see our Corporate Responsibility Report that can be found at www.ur.com. United Rentals® Work United® | 29#30... safety, diversity and culture... Selected Highlights 1.00 Safety 0.79 0.78 0.80 Goal: On journey to zero injuries, aim to reduce our Total Recordable Incident Rate (TRIR) to 0.40 by 2030 ✓ 2022 TRIR of 0.76, a 3.8% year-over-year reduction against strong 2021 performance 0.60 Diversity ✓ Goal: Achieve 40% diverse* representation in sales and management job groups by 2030 0.40 ✓ Progress to date includes a 7% year-over-year increase in diverse employees in sales and management jobs * diverse means women, black, indigenous and/or people of color 0.20 TRIR (Safety Measurement) 0.95 0.79 0.76 2030 Goal Employee experience ✓ 2022 employee experience survey: strong results with average responses ranging from 8.4 to 9.2 out of 10 in each of our four survey categories: Engagement (8.5), Diversity & Inclusion (8.7), Health & Wellbeing (8.4) and Safety Commitment (9.2), which places us in the top 10% of the Peakon Benchmark for Commercial and Professional Services Companies for each survey category Company-wide stock grants to employees ✓ Company-wide stock grant in 2022 in honor of our 25th anniversary, following company-wide stock grant in 2020 in recognition of special efforts during COVID-19 pandemic, with update in 2021 recognizing the contributions of newly hired employees since the initial 2020 grant date Giving back 0.00 2018 2019 2020 2021 2022 45% Diverse employees in sales and management positions as % of total 40% 35% 2030 Goal 33.5% 30% 29.1% 29.5% 31.3% 26.8% 25% 20% 15% 10% 5% ✔ Progress against goal: More than doubled our goal of 25,000 hours of impact in 2022, with employees logging approximately 65,000 hours of impact, focused on making a positive impact in our locations and within our communities in celebration of our 25th anniversary as a company 0% 2018 2019 2020 2021 2022 ✓ Approximately $1.02 million distributed to employees-in-need through the United Compassion Fund in 2022, largest annual distribution to date 25% Voluntary Employee Turnover* 20% Other 15% 13.5% 13.1% ✓ In 2023, named to the JUST 100, a ranking of America's largest public companies on ESG issues, determined by independent research nonprofit JUST Capital, and named one of Glassdoor's Top 100 Workplaces 11.4% 11.5% 10% 9.1% In 2023, once again named one of America's Most Responsible and Most Trusted Companies by Newsweek ✓ In 2022, received Wall Street Journal's "Best Managed Companies" recognition and listed as one of America's Best Employers by Forbes ✓ Received Gold Award from HIRE Vets Medallion Award Program (U.S. Department of Labor); veterans account for 9.4% of U.S. new hires for 2022 5% 0% 2019 2020 2021 2022 2018 *Voluntary employee turnover represents voluntary terminations during the relevant period divided by average headcount during the relevant period. Making a difference for our employees, their families, and our communities For additional details, please see our Form 10-K and Corporate Responsibility Report that can be found at www.ur.com. United Rentals® Work United® | 30#31...and corporate governance Corporate Governance Highlights Board Independence 9 of 11 Directors are independent Lead Independent Director Required committees are fully independent Other Board Highlights Separate Chair and CEO No hedging or pledging of company shares Robust stock ownership guidelines Authority to retain outside advisors Director overboarding policy Director retirement age policy Diverse in gender, ethnicity, experience and perspectives Board Performance • • • • Risk oversight Robust Board evaluations Commitment to Board refreshment Focus on management succession planning Shareholder Rights • • Proxy access Shareholder right to call special meetings Shareholder right to act by written consent No poison pill Simple majority voting requirements Annual election of all Directors Majority voting for Director elections Executive Compensation Overview As shown below, the significant majority of NEO pay was variable for 2022: CEO 14% 12% Time-Based RSUs 56%- Performance- Based RSUs 88% Variable Pay Base Salary 18% AICP Non-CEO NEO Average (excludes those not employed at 12/31/2022) 16% Time-Based RSUS -26% O 37%- Performance- Based RSUs 74% Variable Pay Base Salary -21% Note: charts above do not include any one-time grants or awards outside of annual target total direct compensation AICP Metric: Weighting: Metric Focus: Metric: Weighting: Metric Focus: 2023 Annual Incentive Compensation Plan (AICP) Strategic/ESG Factors Discretionary Adjustment of 90-110% of Funding Based on Performance Against Predetermined ESG Factors: Metric: Weighting Metric Focus: Metric: Adjusted EBITDA 50% of AICP Profitability Economic Profit Improvement (EPI) 50% of AICP Returns - GHG emissions intensity reduction employee safety, diversity, retention and experience - customer experience and digital adoption individual key objectives, tied to area of responsibility Long Term Incentive Plan (LTIP) Total Revenue 50% of LTIP Growth Metric Focus: Return on Invested Capital (ROIC) 50% of LTIP Returns Weighting: Board of Directors Overview The strength of our Board is highlighted by our directors' skills and expertise, as illustrated by the following matrix presenting the prioritized Board competencies: Skills and Experience Public Company CEO P&L Owner Financial Acumen & Capital Market Experience Digital Sales & Marketing Product Development & Distribution Rental Industry Capital Intensive Industry International Experience Alvarez Bruno De Shon Flannery " " . " • • . . • Griffin Jones Kelly Kneeland Lopez-Balboa " . . • . Martore Singh Total . • . • . . 4 9 6 3 7 9 4 9 7 The strength of our Board is further illustrated by the diversity and other characteristics of our directors: Tenure Racial/Ethnic Diversity 45% Age Gender 6 years 61 years 27% average tenure of directors average age of directors of directors self-identify as women of directors self-identify as racially/ethnically diverse Note: racially/ethnically diverse means Hispanic, Black or African American, Native Hawaiian or Pacific Islander, Asian, Native American or Alaska Native, or Two or More Races. Policies ensure alignment of interests between management and investors For additional details, including definitions for each prioritized Board competency and individual director demographic information, see our 2023 Proxy Statement that can be found at www.ur.com. United Rentals® Work United® | 31#324 Summary of key financial data United Rentals Customer Equipment Solutions USDOT 899748 United Rentals.com#33Key financial results snapshot Total Revenue ($M) Adjusted EBITDA(¹) ($M) +11.9% 2022 5-Year CAGR: 2023 Implied Growth: +21.5% 2022 5-Year CAGR: +12.2% 2023 Implied Growth: +21.5% $15,000 $8,000 $14,000 $13,000 $7,000 $12,000 $11,000 $6,000 $10,000 $9,000 $5,000 $8,000 $4,000 $7,000 $6,000 $3,000 $5,000 $4,000 $2,000 $3,000 $2,000 $1,000 $1,000 $0 $0 2017 2018 2019 2020 2021 2022 2023F (3) 2017 Adjusted Earnings per Share (EPS)(1,2,3) 2022 5-Year CAGR: +25.1% 2020 2021 2022 וון יוווון $35 Notes: 1) Adjusted EBITDA and Adjusted EPS are non-GAAP measures. See the tables provided elsewhere in this presentation for reconciliations to the most comparable GAAP measures. 2017 Adjusted EPS excludes a one-time benefit from the Tax Act of $8.05. Periods subsequent to 2017 reflect a reduction in the U.S. federal corporate statutory rate from 35% to 21% as a result of the Tax Act. 2023F reflects the mid-point of guidance. Adjusted EPS is not forecasted. 2) 3) United Rentals® Work United® | 33#34Structural changes are key to increased margins Adjusted EBITDA Margin (1) (%) 60% Adjusted EBITDA margin ~1,500 bps above prior peak (3) 50% 40% 30% 20% 10% . • 0% • 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023F Notes: 1) 2) 3) Key Drivers of Margin Gains Strong fixed-cost absorption • Cyclical leverage (e.g., SG&A as % of sales) M&A cost synergies (e.g., RSC, NES, Neff) Operational efficiency gains • Process improvements (e.g., LEAN, 5S, etc.) Technology (e.g., logistics, CORE, telematics) Improved mix • Shift towards higher margin Specialty Improved segment/end-market mix ⚫ De-emphasis of low margin/return businesses. Improved used equipment sales strategies Dramatic cycle-over-cycle margin improvement Adjusted EBITDA is a non-GAAP measure. Adjusted EBITDA margin represents adjusted EBITDA divided by total revenue. See the tables provided elsewhere in this presentation for reconciliations to the most comparable GAAP measures. 2023F reflects the mid-point of guidance. Reflects change between 2008 and 2023F. United Rentals® Work United® | 34#35Consistent free cash flow generation $2,500 $2,100 $1,700 $1,300 $900 Free Cash Flow ($M) (1) 10-Yr Average (2) 5-Yr Average (3) $2,454 $1,768 $1,592 $1,527 $1,334 $1,195 $983 $924 $574 $421 $2,400 $500 $335 $367 $227 $100 $23 ($73) -$300 (4) (4) (4) (4), (5) 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023F ~$8.7B of free cash flow generated over last 5 years" (3) Notes: 1) 2) 3) 4) 5) Free cash flow is a non-GAAP measure. See tables provided elsewhere in this presentation for reconciliations to the most comparable GAAP measure. Merger and restructuring related payments were first reported for 2012. The information required to determine the amount of merger and restructuring related payments for periods prior to 2012 is unavailable without unreasonable effort. Free cash flow for 2012 and subsequent periods above excludes merger and restructuring related payments. Reflects 10 year period from 2013 to 2022, excluding merger and restricting related payments. Reflects 5 year period from 2018 to 2022, excluding merger and restructuring related payments. 2020 reflects a $1.2 billion year-over-year decrease in net rental capital expenditures, while 2021 reflects a -$1.9 billion year-over-year increase in net rental capital expenditures. 2022 net rental capital expenditures exceeded 2021 levels and 2023F net rental capital expenditures are expected to decrease from 2022, primarily due to increased used equipment sales. 2023F reflects the mid-point of guidance. United Rentals® Work United® | 35#36Q2 2023 Results Total Revenue Net Income Adjusted EBITDA** Net Rental Capital Expenditures (Year-to-Date) Net Cash Provided by Operating Activities (Year-to-Date) Free Cash Flow** (Year-to-Date) • • $3.554 billion (+28.3% Y/Y as reported; 18.6% on a pro forma basis*) $591 million (16.6% margin; -120 bps Y/Y as reported; flat Y/Y on a pro forma basis*) $1.695 billion (47.7% margin; +40 bps Y/Y as reported; +130 bps Y/Y on a pro forma basis*) $1.278 billion, after gross purchases of $2.048 billion $2.228 billion $823 million *** Pro forma includes the standalone, pre-acquisition results of Ahern. See the tables provided elsewhere in this presentation for reconciliations of pro forma margins to the most comparable GAAP measures. Adjusted EBITDA and Free Cash Flow are non-GAAP measures. See the tables provided elsewhere in this presentation for reconciliations to the most comparable GAAP measures. *** Excludes aggregate merger and restructuring related payments of $5 million. United Rentals® Work United® | 36#372023 Financial Outlook Total Revenue $14.0 billion to $14.3 billion Adjusted EBITDA* Net Rental Capital Expenditures Net Cash Provided by Operating Activities $6.75 billion to $6.9 billion $1.9 billion to $2.1 billion, after gross purchases of $3.35 billion to $3.55 billion $4.5 billion to $4.8 billion Free Cash Flow* $2.3 billion to $2.5 billion ** *Adjusted EBITDA and Free Cash Flow are non-GAAP measures. See the table provided elsewhere in this presentation for a reconciliation of forecasted Free Cash Flow to the most comparable GAAP measure. Information reconciling forecasted adjusted EBITDA to the most comparable GAAP financial measures is unavailable to the company without unreasonable effort, as discussed in the "Introductory Information" slide. **Excludes aggregate merger and restructuring related payments. FCF outlook assumptions include 2023 cash taxes of $500M and cash interest of $620M. United Rentals® Work United® | 37#38Fleet productivity: overview Fleet Productivity provides greater insight into the interplay and combined impact of key decisions made by managers every day across (a) rental rates, (b) time utilization, and (c) changes in mix on our Owned Equipment Rental Revenue (i.e., the revenue we generate with our owned rental assets). Mix includes impact of changes in customer mix, fleet mix, geographic mix and business mix (i.e., Specialty). Fleet Productivity is a metric that better explains how the combined changes in rental rates, time utilization, and mix come together to produce revenue and how management flexes the combination of these factors to drive. efficient growth and benefits returns. Fleet Productivity is a comprehensive measure that combines the impact of the change in rental rates plus the impact of changes in time utilization plus the revenue impact from changes in mix in one metric. Fleet Productivity provides better insight into the decisions made to optimize growth and returns United Rentals® Work United® | 38#39Fleet productivity: historical results (1) 1Q 2020 Actual YoY Change in Average OEC 2.2% Assumed YoY Impact of OEC Inflation on Rent Rev Fleet Productivity (2) Contribution from Ancillary and Re-Rent Reported YoY Change in Rental Revenue (1.5%) (1.2%) (0.2%) (0.7%) 2Q 2020 (0.7%) (1.5%) (13.6%)(4) (0.4%) (16.2%) 3Q 2020 (4.6%) (1.5%) (8.0%)(4) 0.8% (13.3%) 4Q 2020 (5.6%) (1.5%) (3.8%)(4) 0.8% (10.1%) Q1 2021 (5.7%) (1.5%) (0.5%)(4) 1.2% (6.5%) Q2 2021(3) 0.2% (1.5%) 17.8% 2.3% 18.8% Q3 2021 8.7% (1.5%) 13.5% 1.7% 22.4% Q4 2021 13.3% (1.5%) 10.3% 2.6% 24.7% Q1 2022 16.4% (1.5%) 13.0% 2.6% 30.5% Q2 2022 13.6% (1.5%) 11.3% 2.8% 26.2% Q3 2022 10.6% (1.5%) 8.9% 2.0% 20.0% Q4 2022(3) 14.2% (1.5%) 5.9% (5) 0.2% 18.8% Q1 2023 25.6% (1.5%) 2.0% (0.1%) 26.0% Q2 2023 25.5% (1.5%) (2.0%) (0.9%) 21.1% Q2 2023 PF(6) 12.5% (1.5%) 2.1% (0.7%) 12.4% Q2 2023 pro forma fleet productivity solid at 2.1% 3) 1) Provided on an As Reported basis, except when otherwise noted. 2) Fleet Productivity reflects the combined impact of changes in rental rates, time utilization, and mix that contribute to Owned Equipment Rental revenue (OER). 4) Denotes quarter in which URI closed a material acquisition (General Finance = 2Q21; Ahern = 4Q22). The negative fleet productivity above includes the impact of COVID-19. 5) 6) 4Q22 Fleet Productivity was 6.5% on a standalone basis (i.e. excluding the impact of Ahern in the quarter). Provided on a pro forma basis, as if Ahern was acquired January 1, 2022. United Rentals® Work United® | 39#40Balance sheet strength has improved Leverage Ratio (1) 3.6x (2) (4) 3.0x 3.0x 2.9x 2.9x (3) 2.8x 2.7x 2.6x 2.4x 2.2x (5) (6) 2.0x 1.8x 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Q2 2023 2.0x-3.0x targeted leverage range across the cycle Leverage Ratio calculated as net debt divided by LTM adjusted EBITDA. 1) 2) Pro Forma assumes RSC acquisition occurred on January 1, 2012. 3) 4) 5) Reflects leverage as reported, which includes borrowings related to the acquisitions of both NES and Neff without full-year benefits of EBITDA contribution. Reflects leverage as reported, which includes borrowings related to the acquisitions of both Baker and Blue Line without full-year benefits of EBITDA contribution. Reflects leverage as reported, which includes borrowings related to the acquisition of General Finance without full-year benefits of EBITDA contribution. 6) Reflects leverage as reported, which includes borrowings related to the acquisition of Ahern without full-year benefits of EBITDA contribution. United Rentals® Work United® | 40#41No long-term note maturities until 2027 Millions $6,000 $5,000 $4,000 $3,000 $1,400 $2,000 $26 unused $5,500 $2,453 Unused ABL Facility $1,797 Used ABL Facility (2) $1,673 $1,500 Total Liquidity of $2.706B (1) Fixed vs. Floating Ratio: 66%/34% $1,500 6% Senior Secured Notes $750 4.00% Senior Unsecured $1,100 Notes $750 $750 5.25% Senior Unsecured Notes 3.875% Senior Unsecured Notes 3.750% Senior Unsecured Notes 2030 2031 2032 $953 $1,000 $1,274 Used A/R Facility $0 $100 Repurchase Facility Term Loan B $750 3.875% Senior Notes $500 4.875% Senior Unsecured Notes (3) 5.5% Senior Unsecured Notes 2023 2024 2025 2026 2027 2028 2029 Aggressive management of long-term maturity towers Includes total cash, cash equivalents and availability under ABL and A/R facilities as of June 30, 2023. Note: As of June 30, 2023. 1) 2) Includes $65M in Letters of Credit. 3) Comprised of two separate 4.875% notes, a note with $1.669B principal amount and a note with $4M principal amount. United Rentals® Work United® | 41#425 Appendix United Rentals 数 Work United® | 42#43Adjusted Earnings Per Share GAAP Reconciliation We define "earnings per share - adjusted" as the sum of earnings per share - GAAP, as-reported plus the impact of the following special items: merger related intangible asset amortization, impact on depreciation related to acquired fleet and property and equipment, impact of the fair value mark-up of acquired fleet, restructuring charge, asset impairment charge and loss on repurchase/redemption of debt securities. See below for further detail on each special item. Management believes that earnings per share adjusted provides useful information concerning future profitability. However, earnings per share - adjusted is not a measure of financial performance under GAAP. Accordingly, earnings per share - adjusted should not be considered an alternative to GAAP earnings per share. The table below provides a reconciliation between earnings per share - GAAP, as-reported, and earnings per share - adjusted. Earnings per share - GAAP, as-reported After-tax (1) impact of: Three Months Ended June 30, Six Months Ended June 30, 2023 2022 $ 8.58 $6.90 2023 $15.04 2022 $11.93 Merger related intangible asset amortization (2) 0.55 0.45 1.26 0.96 Impact on depreciation related to acquired fleet and property and equipment (3) Impact of the fair value mark-up of acquired fleet (4) 0.30 0.26 0.62 0.36 0.25 0.05 0.69 0.12 Restructuring charge (5) 0.20 0.21 0.01 Asset impairment charge (6) Loss on repurchase/redemption of debt securities (7) Earnings per share adjusted Tax rate applied to above adjustments (1) 0.02 0.02 0.18 0.18 $ 9.88 $7.86 $17.82 $13.58 25.3 % 25.3 % 25.3 % 25.3 % Reflects the amortization of the intangible assets acquired in the major acquisitions completed since 2012 that significantly impact our operations (the "major acquisitions," each of which had annual revenues of over $200 million prior to acquisition). The increase in 2023 primarily reflects the impact of the Ahern Rentals acquisition. 72 1) The tax rates applied to the adjustments reflect the statutory rates in the applicable entities. 2) 3) 4) 5) Reflects the impact of extending the useful lives of equipment acquired in certain major acquisitions, net of the impact of additional depreciation associated with the fair value mark-up of such equipment. The increase in 2023 primarily reflects the impact of the Ahern Rentals acquisition. Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold. The increase in 2023 primarily reflects the impact of the Ahern Rentals acquisition. Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed six restructuring programs. In the first quarter of 2023, we initiated a restructuring program following the closing of the Ahern Rentals acquisition, which is our only open restructuring program as of June 30, 2023. The increase in 2023 reflects charges associated with the restructuring program initiated following the closing of the Ahern Rentals acquisition. We have cumulatively incurred total restructuring charges of $371 million under our restructuring programs. 6) Reflects write-offs of leasehold improvements and other fixed assets. 7) Primarily reflects the difference between the net carrying amount and the total purchase price of the redeemed notes. United Rentals® Work United® | 43#44EBITDA and Adjusted EBITDA GAAP Reconciliations EBITDA represents the sum of net income, provision for income taxes, interest expense, net, depreciation of rental equipment, and non-rental depreciation and amortization. Adjusted EBITDA represents EBITDA plus the sum of the restructuring charges, stock compensation expense, net, and the impact of the fair value mark-up of acquired fleet. See below for further detail on each adjusting item. These items are excluded from adjusted EBITDA internally when evaluating our operating performance and for strategic planning and forecasting purposes, and allow investors to make a more meaningful comparison between our core business operating results over different periods of time, as well as with those of other similar companies. The net income and adjusted EBITDA margins represent net income or adjusted EBITDA divided by total revenue. Management believes that EBITDA and adjusted EBITDA, when viewed with the company's results under GAAP and the accompanying reconciliation, provide useful information about operating performance and period-over-period growth, and provide additional information that is useful for evaluating the operating performance of our core business without regard to potential distortions. Additionally, management believes that EBITDA and adjusted EBITDA help investors gain an understanding of the factors and trends affecting our ongoing cash earnings, from which capital investments are made and debt is serviced. The table below provides a reconciliation between net income and EBITDA and adjusted EBITDA. $ millions Net income Provision for income taxes Interest expense, net Depreciation of rental equipment Non-rental depreciation and amortization EBITDA Restructuring charge (1) Stock compensation expense, net (2) Impact of the fair value mark-up of acquired fleet (3) Adjusted EBITDA Net income margin Adjusted EBITDA margin Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 $ 591 $ 493 $1,042 $ 860 181 115 324 231 161 113 311 207 592 457 1,167 892 104 91 222 188 $1,629 $1,269 $3,066 $2,378 18 1 19 1 25 36 49 60 23 5 $1,695 $1,311 64 $3,198 11 $2,450 16.6 % 47.7 % 17.8 % 47.3 % 15.2 % 16.2 % 46.8 % 46.3 % 1) Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed six restructuring programs. In the first quarter of 2023, we initiated a restructuring program following the closing of the Ahern Rentals acquisition, which is our only open restructuring program as of June 30, 2023. The increase in 2023 reflects charges associated with the restructuring program initiated following the closing of the Ahern Rentals acquisition. We have cumulatively incurred total restructuring charges of $371 million under our restructuring programs. 2) 3) Represents non-cash, share-based payments associated with the granting of equity instruments. Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold. The increase in 2023 primarily reflects the impact of the Ahern Rentals acquisition. United Rentals® Work United® | 44#45EBITDA and Adjusted EBITDA GAAP Reconciliations (cont'd) The table below provides a reconciliation between net cash provided by operating activities and EBITDA and adjusted EBITDA. $ millions Three Months Ended June 30, Six Months Ended June 30, 2023 2022 United Rentals® 2023 2022 Net cash provided by operating activities $ 1,289 $ 1,154 $ 2,228 $ 2,040 Adjustments for items included in net cash provided by operating activities but excluded from the calculation of EBITDA: Amortization of deferred financing costs and original issue discounts (3) (3) (7) (6) Gain on sales of rental equipment 196 97 386 213 Gain on sales of non-rental equipment 6 2 10 4 Insurance proceeds from damaged equipment 10 10 19 17 Restructuring charge (1) (18) (1) (19) Stock compensation expense, net (2) (25) (36) (49) (60) Loss on repurchase/redemption of debt securities (4) (17) (17) Changes in assets and liabilities (136) (118) (152) Cash paid for interest 127 39 305 188 Cash paid for income taxes, net EBITDA Add back: Restructuring charge (1) Stock compensation expense, net (2) Impact of the fair value mark-up of acquired fleet (3) Adjusted EBITDA 183 142 212 152 $ 1,629 $ 1,269 $ 3,066 $ 2,378 1) Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed six restructuring programs. In the first quarter of 2023, we initiated a restructuring program following the closing of the Ahern Rentals acquisition, which is our only open restructuring program as of June 30, 2023. The increase in 2023 reflects charges associated with the restructuring program initiated following the closing of the Ahern Rentals acquisition. We have cumulatively incurred total restructuring charges of $371 million under our restructuring programs. Work United® 4) 18 1 19 1 25 36 49 60 23 5 64 11 $ 1,695 $ 1,311 $ 3,198 $ 2,450 2) 3) Represents non-cash, share-based payments associated with the granting of equity instruments. Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold. The increase in 2023 primarily reflects the impact of the Ahern Rentals acquisition. Primarily reflects the difference between the net carrying amount and the total purchase price of the redeemed notes. | 45#46EBITDA and Adjusted EBITDA GAAP Reconciliations (cont'd) The pro forma information below reflects the combination of United Rentals and Ahern Rentals. Prior to the acquisition, Ahern Rentals management used different EBITDA and adjusted EBITDA definitions than those used by United Rentals. The information below reflects the historical information for Ahern Rentals presented in accordance with United Rentals' definitions of EBITDA and adjusted EBITDA. See below for further detail on each adjusting item. The management of Ahern Rentals historically did not view EBITDA and adjusted EBITDA as liquidity measures, and accordingly the information required to reconcile these measures to the statement of cash flows is unavailable to the company. The table below provides a calculation of as-reported and pro forma net income and EBITDA and adjusted EBITDA. Three Months Ended United Rentals® June 30, Six Months Ended June 30, $ millions 2023 2022 2022 2022 2023 2022 2022 2022 As reported As reported Net income (loss) $ 591 $ 493 Ahern Rentals $ 3 Pro forma As reported As reported Ahern Rentals Pro forma $ 496 $1,042 $ 860 $ (6) $ 854 Provision for income taxes 181 115 115 324 231 231 Interest expense, net 161 113 14 127 311 207 27 234 Depreciation of rental equipment 592 457 22 479 1,167 892 45 937 Non-rental depreciation and amortization EBITDA 104 91 6 97 222 188 12 200 $ 1,629 $ 1,269 $ 45 $1,314 $3,066 $ 2,378 $ 78 $ 2,456 Restructuring charge (1) 18 1 1 19 1 1 Stock compensation expense, net (2) 25 36 36 49 60 60 Impact of the fair value mark-up of acquired fleet (3) 23 5 5 64 11 11 Ahern Rentals adjustments (4) Adjusted EBITDA $ 1,695 $ 1,311 $ 35 80 35 69 69 $1,391 $3,198 $ 2,450 $ 147 $ 2,597 Net income (loss) margin Adjusted EBITDA margin 16.6 % 47.7 % 17.8 % 47.3 % 1.3 % 35.6 % 16.6 % 46.4 % 15.2 % 46.8 % 16.2 % 46.3 % (1.4) % 14.9 % 34.3 % 45.4 % 1) 2) Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed six restructuring programs. In the first quarter of 2023, we initiated a restructuring program following the closing of the Ahern Rentals acquisition, which is our only open restructuring program as of June 30, 2023. The increase in 2023 reflects charges associated with the restructuring program initiated following the closing of the Ahern Rentals acquisition. We have cumulatively incurred total restructuring charges of $371 million under our restructuring programs. Represents non-cash, share-based payments associated with the granting of equity instruments. 3) 4) Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold. The increase in 2023 primarily reflects the impact of the Ahern Rentals acquisition. Includes various adjustments reflected in historic adjusted EBITDA for Ahern Rentals, primarily representing (1) lease costs associated with equipment that has been purchased by United Rentals (after purchase, the associated expense would be recognized as depreciation which is excluded in the EBITDA calculation) and (2) costs that do not relate to the combined entity (such as legal costs incurred by Ahern Rentals related to a particular lawsuit, certain freight costs to move equipment from closed locations in excess of normal operating movement, costs related to an attempted financing, and exit costs on lease terminations). Work United® | 46#47Free Cash Flow GAAP Reconciliation (In millions, except footnotes) We define "free cash flow" as net cash provided by operating activities less purchases of, and plus proceeds from, equipment and intangible assets. The equipment and intangible asset purchases and proceeds are included in cash flows from investing activities. Management believes that free cash flow provides useful additional information concerning cash flow available to meet future debt service obligations and working capital requirements. However, free cash flow is not a measure of financial performance or liquidity under GAAP. Accordingly, free cash flow should not be considered an alternative to net income or cash flow from operating activities as an indicator of operating performance or liquidity. The table below provides a reconciliation between net cash provided by operating activities and free cash flow. Three Months Ended Six Months Ended June 30, June 30, Net cash provided by operating activities Purchases of rental equipment Purchases of non-rental equipment and intangible assets Proceeds from sales of rental equipment Proceeds from sales of non-rental equipment 2023 $ 1,289 2022 2023 2022 $ 1,154 $ 2,228 $ 2,040 (1,251) (872) (2,048) (1,354) (106) (68) (179) (123) 382 164 770 375 16 4 28 9 Insurance proceeds from damaged equipment 10 10 19 17 Free cash flow (1) $ 340 $ 392 $ 818 $ 964 1) Free cash flow included aggregate merger and restructuring related payments of $4 million and $2 million for the three months ended June 30, 2023 and 2022, respectively, and $5 million and $3 million for the six months ended June 30, 2023 and 2022, respectively. The table below provides a reconciliation between 2023 forecasted net cash provided by operating activities and free cash flow. Net cash provided by operating activities Purchases of rental equipment Proceeds from sales of rental equipment Purchases of non-rental equipment and intangible assets, net of proceeds from sales and insurance proceeds from damaged equipment Free cash flow (excluding the impact of merger and restructuring related payments) $4,500-$4,800 $(3,350)-$(3,550) $1,350-$1,550 $(200)-$(300) $2,300- $2,500 United Rentals® Work United® | 47#48Historical Adjusted Earnings Per Share GAAP Reconciliation Adjusted EPS (earnings per share) is a non-GAAP measure that reflects diluted earnings (loss) per share from continuing operations excluding the impact of the special items described below. Management believes that adjusted EPS provides useful information concerning future profitability. However, adjusted EPS is not a measure of financial performance under GAAP. Accordingly, adjusted EPS should not be considered an alternative to GAAP earnings per share. The table below provides a reconciliation between diluted earnings (loss) per share and adjusted EPS. YTD 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Diluted earnings (loss) per share (EPS) from continuing operations EPS adjustments (after-tax): $ (12.62) $ (0.98) $ (0.38) $ 1.38 $ 0.79 $ 3.64 $ 5.15 $ 6.07 $ 6.45 $ 15.73 $ 13.12 $ 15.11 $ 12.20 $ 19.04 $ 29.65 $ 2023 15.04 Merger related costs (1) Merger related intangible asset amortization (2) Impact on depreciation related to acquired fleet and property and equipment (3) Impact of the fair value mark-up of acquired fleet (4) Pre-close RSC merger related interest expense (5) Impact on interest expense related to fair value adjustment of acquired RSC indebtedness (6) 0.25 0.72 0.05 0.06 (0.17) 0.36 0.32 0.01 0.03 0.74 0.94 1.10 1.15 1.12 1.15 1.76 2.48 2.22 1.98 1.79 1.26 (0.03) (0.04) (0.03) (0.02) 0.08 0.16 0.56 0.62 0.05 0.19 0.39 0.24 0.25 0.21 0.19 0.25 0.59 0.59 0.72 0.51 0.38 0.29 0.69 0.19 | Restructuring charge (7) Asset impairment charge (8) (Gain) loss on extinguishment of debt securities, including subordinated convertible debentures, and amendments of debt facilities (9) Gain on sale of software subsidiary (10) I 0.17 0.29 0.34 0.06 0.12 0.09 0.16 0.04 (0.03) (0.04) (0.03) (0.02) (0.01) 0.64 0.07 (0.01) 0.04 0.11 0.10 0.02 0.36 0.28 0.18 0.18 0.02 www 0.21 0.03 0.01 0.05 0.37 0.14 0.03 (0.32) (0.19) 0.28 0.04 0.45 0.02 0.46 0.78 0.70 0.39 0.58 1.88 0.31 0.18 3.19 Goodwill impairment charge (11) 12.19 Charge related to settlement of SEC inquiry (12) 0.19 (0.05) | ☐ I | ☐ ☐ 1 I | ☐ ☐ ☐ Foreign tax credit valuation allowance and other (14) 0.10 - Total EPS adjustments Adjusted EPS 2017 Tax Act impact (15) $ 15.58 $ 0.22 $ 0.71 $ 0.49 $ 2.97 $ 1.27 $ 1.76 $ 1.95 $ 2.20 $ 2.91 $ 3.14 $ 2.96 $(0.76) $ 0.33 $ 1.87 $ 3.76 $ 4.91 $ 6.91 $ 8.02 $ 8.65 $ 18.64 $ $ 8.05 16.26 $ 4.41 $ 19.52 $ 5.24 $ $ 17.44 $ 22.06 3.02 $ 2.85 $ 2.78 $ 32.50 $ 17.82 Preferred stock redemption charge (13) Total revenues ($M) (16) United Rentals® Work United® $ 3,267 $ 2,358 $ 2,237 $ 2,611 $ 4,117 $ 4,955 $ 5,685 $ 5,817 $ 5,762 $ 6,641 $ 8,047 $ 9,351 $ 8,530 $ 9,716 $ 11,642 $6,839 | 48#49Historical Adjusted Earnings Per Share GAAP Reconciliation (cont'd) (1) We have made a number of acquisitions in the past and may continue to make acquisitions in the future. Merger related costs only include costs associated with major acquisitions that significantly impacted our operations (the "major acquisitions," each of which had annual revenues of over $200 million prior to acquisition). (2) Reflects the amortization of the intangible assets acquired in the major acquisitions. (3) Reflects the impact of extending the useful lives of equipment acquired in certain major acquisitions, net of the impact of additional depreciation associated with the fair value mark-up of such equipment. (4) Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold. (5) In March 2012, we issued $2.825 billion of debt in connection with the RSC acquisition. The pre-close RSC merger related interest expense reflects the interest expense recorded on this debt prior to the acquisition of RSC on April 30, 2012. (6) Reflects a reduction of interest expense associated with the fair value mark-up of debt acquired in the RSC acquisition. (7) Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed six restructuring programs. In the first quarter of 2023, we initiated a restructuring program following the closing of the Ahern Rentals acquisition, which is our only open restructuring program as of June 30, 2023. We have cumulatively incurred total restructuring charges of $371 million under our restructuring programs. (8) Primarily reflects write-offs of leasehold improvements and other fixed assets. (9) Reflects gains/losses on the extinguishment of certain debt securities, including subordinated convertible debentures, and write-offs of debt issuance costs associated with amendments to our debt facilities. In 2013, we retired all outstanding subordinated convertible debentures. (10) Reflects a gain recognized upon the sale of a former subsidiary that developed and marketed software. (11) We recognized a goodwill impairment charge in the fourth quarter of 2008 that reflected the challenges of the construction cycle, as well as the broader economic and credit environment. Substantially all of the impairment charge related to goodwill arising out of acquisitions made between 1997 and 2000. (12) In the third quarter of 2008 we settled, without admitting or denying the allegations in the SEC's complaint, to the entry of a judgment requiring us to pay a civil penalty of $14 million associated with an SEC inquiry into our historical accounting practices. (13) Reflects a preferred stock redemption charge associated with the June 2008 repurchase of our Series C and D preferred stock. (14) Primarily relates to the establishment of a valuation allowance related to certain foreign tax credits that, as a result of the preferred stock redemption discussed above, were no longer expected to be realized. (15) The Tax Cuts and Jobs Act (the "Tax Act"), which was enacted in December 2017, reduced the U.S. federal corporate statutory tax rate from 35% to 21%. The benefit in 2017 reflects an aggregate benefit of $689 million, or $8.05 per diluted share, reflecting 1) a one-time non-cash tax benefit reflecting the revaluation of our net deferred tax liability using a U.S. federal corporate statutory tax rate of 21% and 2) a one-time transition tax on our unremitted foreign earnings and profits. Periods subsequent to 2017 reflect the lower 21% U. S. federal corporate statutory tax rate. (16) Total revenue is provided for context. United Rentals® Work United® | 49#50Historical EBITDA and Adjusted EBITDA GAAP Reconciliations ($M) EBITDA represents the sum of net income (loss), loss on discontinued operations, net of tax, provision (benefit) for income taxes, interest expense, subordinated convertible debentures, net, depreciation of rental equipment, and non-rental depreciation and amortization. Adjusted EBITDA represents EBITDA plus the adjusting items (determined at the time of the historic reporting) discussed below. These items are excluded from adjusted EBITDA internally when evaluating our operating performance and for strategic planning and forecasting purposes, and allow investors to make a more meaningful comparison between our core business operating results over different periods of time, as well as with those of other similar companies. The net income and adjusted EBITDA margins represent net income or adjusted EBITDA divided by total revenue. Management believes that EBITDA and adjusted EBITDA, when viewed with the Company's results under GAAP and the accompanying reconciliations, provide useful information about operating performance and period-over-period growth, and provide additional information that is useful for evaluating the operating performance of our core business without regard to potential distortions. Additionally, management believes that EBITDA and adjusted EBITDA help investors gain an understanding of the factors and trends affecting our ongoing cash earnings, from which capital investments are made and debt is serviced. The tables below provide 1) a reconciliation between net income and EBITDA and adjusted EBITDA and 2) a reconciliation between net cash provided by operating activities and EBITDA and adjusted EBITDA. - 2 4 (109) 174 226 9 Depreciation of rental equipment 455 417 Non-rental depreciation and amortization 58 EBITDA (117) 589 Merger related costs (2) Restructuring charge (3) 20 31 Charge related to settlement of SEC inquiry (4) 14 Goodwill impairment charge (5) 1,147 Impact of the fair value mark-up of acquired fleet (6) ཝིསླུ ཙེཧྰུྃ ag |ཆ | | | | (47) (41) 63 13 218 255 228 512 475 (4) 8 7 4 3 YTD 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Net income (loss) $ (704) $ (62) $ (26) $ 101 $ 75 $ 387 $ 540 $ 585 $ 566 $ 1,346 $ 1,096 $1,174 $ 890 $ 1,386 $ 2,105 $ 1,042 Loss on discontinued operations, net of tax --- - Provision (benefit) for income taxes Interest expense, net Interest expense-subordinated convertible debentures, net (1) 310 378 343 555 567 511 (298) 380 464 481 340 249 460 697 324 648 669 424 445 311 389 423 699 852 921 976 990 1,124 1,363 1,631 1,601 1,611 1,853 1,167 57 60 57 198 246 273 268 255 649 879 1,501 2,181 2,599 2,774 2,665 259 308 407 2,895 3,628 4,200 3,796 387 372 364 222 4,253 5,464 3,066 - 19 111 9 11 (26) - 34 19 99 12 (1) 6 14 | | | | | | | 37 44 35 29 29 35 82 828 550 36 1 31 18 17 32 19 | | | | 99 66 75 15 49 49 37 27 64 (Gain) loss on sale of software subsidiary (7) (8) 1 --- Stock compensation expense, net (8) 6 8 8 12 32 46 74 49 45 87 102 61 70 119 127 49 Adjusted EBITDA Net income (loss) margin $ 1,070 $ 628 $ 691 $ 929 $ 1,772 $ 2,293 (21.5)% (2.6)% (12.0)% 3.9% 1.8% 7.8% Adjusted EBITDA margin 32.8% 26.6% 30.9% 35.6% 43.0% 9.5% 10.1% 46.3% 47.8% 48.7% 9.8% $ 2,718 $ 2,832 $ 2,759 $ 3,164 $3,863 $ 4,355 $ 3,932 $ 4,414 20.3% 13.6% 12.6% 10.4% 14.3% $ 5,618 $ 3,198 18.1% 15.2% 47.9% 47.6% 48.0% 46.6% 46.1% 45.4% 48.3% 46.8% United Rentals® Work United® | 50#51Historical EBITDA and Adjusted EBITDA GAAP Reconciliations ($M) (cont'd) Net cash provided by operating activities (9) Adjustments for items included in net cash provided by operating activities but excluded from the calculation of EBITDA: Loss from discontinued operation, net of taxes Amortization of deferred financing costs and original issue discounts Gain on sales of rental equipment (Loss) gain on sales of non-rental equipment Insurance proceeds on damaged equipment (10) Gain (loss) on sale of software subsidiary (7) Merger related costs (2) Restructuring charge (3) Stock compensation expense, net (8) Gain (loss) on extinguishment of debt securities, and amendments of debt facilities Loss on retirement of subordinated convertible debentures (1) Excess tax benefits from share-based payment arrangements (11) Changes in assets and liabilities Cash paid for interest, including subordinated convertible debentures (1) Cash paid (received) for income taxes, net EBITDA Add back: Merger related costs (2) Restructuring charge (3) Stock compensation expense, net (8) Impact of the fair value mark-up of acquired fleet (6) (Gain) loss on sale of software subsidiary (7) Adjusted EBITDA United Rentals® Work United® YTD 2009 2010 2011 2012 2013 2014 2015 $ 438 $ 452 $ 612 $ 721 $ 1,551 $ 1,801 $1,987 2016 2017 2018 2019 $ 1,941 $2,209 $ 2,853 $ 3,024 2020 2021 2022 2023 $ 2,658 $ 3,689 $4,433 $ 2,228 2 4 --- (17) (23) (22) 7 (1) 41 66 སྐྱེམས། 22 1 (23) 125 176 དྱེg॰ | (21) (17 (10 (9 (9 (12) (15) (14) (13) (13) (7) 229 227 204 220 278 313 332 431 566 386 6 11 8 4 4 6 6 8 10 9 10 8 12 21 22 224 24 40 40 25 32 19 (31) (8) 7 (28) 33 13 ། ཤཱ¢ | £༅ | (19) (111) 8 (1) (9) (34) (19) (99) (12) (12) (32) ུ (11 26 I (50 (36) (1) (3) - (6 (14 (50 (31) (18) (17) (2) (19) (46) (74 (49 (45 (87 (102) (61) (70) (119) (127) (49) (3) (72) (2 ཅས (1) (80 (123 (101 (54 54 (61) (183) (30) (17) (2) | | 5 58 --- (58) 65 49 571 31 182 194 101 129 124 170 241 (328) (151) (19) 234 229 203 371 461 457 447 415 357 455 581 483 391 406 305 3 (49) 24 40 48 100 60 99 589 649 879 1,501 2,181 2,599 2,774 2,665 205 2,895 3,628 71 238 318 202 326 212 4,200 3,796 4,253 5,464 3,066 199 111 9 11 (26) 50 50 36 1 3 31 34 19 99 12 (1) 6 14 50 31 18 17 2 ---- 19 8 8 12 32 46 74 49 45 87 102 61 70 119 127 49 37 44 35 29 35 82 66 75 49 37 27 64 (8) 1 $ 628 $ 691 $ 929 $1,772 $2,293 $2,718 $ - - ---- 2,832 $ 2,759 $ 3,164 $ 3,863 $ 4,355 ---- $ 3,932 $ 4,414 $5,618 $ 3,198 | 51#52Historical EBITDA and Adjusted EBITDA GAAP Reconciliations ($M) (cont'd) (1) In 2013, we retired all outstanding subordinated convertible debentures. (2) We have made a number of acquisitions in the past and may continue to make acquisitions in the future. Merger related costs only include costs associated with the major acquisitions that significantly impacted our operations (the "major acquisitions," each of which had annual revenues of over $200 million prior to acquisition). (3) Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed six restructuring programs. In the first quarter of 2023, we initiated a restructuring program following the closing of the Ahern Rentals acquisition, which is our only open restructuring program as of June 30, 2023. We have cumulatively incurred total restructuring charges of $371 million under our restructuring programs. (4) In the third quarter of 2008 we settled, without admitting or denying the allegations in the SEC's complaint, to the entry of a judgment requiring us to pay a civil penalty of $14 million associated with an SEC inquiry into our historical accounting practices. (5) We recognized a goodwill impairment charge in the fourth quarter of 2008 that reflected the challenges of the construction cycle, as well as the broader economic and credit environment. Substantially all of the impairment charge related to goodwill arising out of acquisitions made between 1997 and 2000. (6) Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold. (7) Reflects a gain recognized upon the sale of a former subsidiary that developed and marketed software. (8) Represents non-cash, share-based payments associated with the granting of equity instruments. (9) We first reported the reconciliation between net cash provided by operating activities and EBITDA and adjusted EBITDA in 2011, and 2009 is the earliest reported period with such a reconciliation. The presentation of our statement of cash flows for periods prior to 2009 differs from the presentation used in 2011, on account of which the information required to prepare the reconciliation between net cash provided by operating activities and EBITDA and adjusted EBITDA for periods prior to 2009 is unavailable without unreasonable effort. (10) In 2018, we adopted accounting guidance that addressed the cash flow presentation for proceeds from the settlement of insurance claims. Adoption of this guidance decreased net cash provided by operating activities, relative to previously reported amounts, but did not change EBITDA or adjusted EBITDA for 2017, 2016 and 2015 in the table above. The information required to determine the amount of insurance proceeds for periods prior to 2015 is unavailable without unreasonable effort. The insurance proceeds do not impact EBITDA or adjusted EBITDA. (11) The excess tax benefits from share-based payment arrangements result from stock-based compensation windfall deductions in excess of the amounts reported for financial reporting purposes. We adopted accounting guidance in 2017 that changed the cash flow presentation of excess tax benefits from share-based payment arrangements. In the table above, the excess tax benefits from share-based payment arrangements for periods after 2016 are presented as a component of net cash provided by operating activities, while, for 2015 and 2016, they are presented as a separate line item. United Rentals® Work United® | 52#53Historical Free Cash Flow GAAP Reconciliation ($M) We define "free cash flow" as net cash provided by operating activities less purchases of, and plus proceeds from, equipment and intangible assets, and plus excess tax benefits from share-based payment arrangements. The equipment and intangible asset purchases and proceeds are included in cash flows from investing activities. Management believes that free cash flow provides useful additional information concerning cash flow available to meet future debt service obligations and working capital requirements. However, free cash flow is not a measure of financial performance or liquidity under GAAP. Accordingly, free cash flow should not be considered an alternative to net income or cash flow from operating activities as an indicator of operating performance or liquidity. The table below provides a reconciliation between net cash provided by operating activities and free cash flow. YTD 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Net cash provided by operating activities Purchases of rental equipment Purchases of non-rental equipment and intangible assets $ 764 $ 438 $ 452 $ 612 $ (624) (260) (346) (774) 721 $ 1,551 $ 1,801 $ 1,987 $ 1,941 $ (1,272) (1,580) (1,701) (1,534) (1,246) 2,209 $ 2,853 $ 3,024 (1,769) (2,106) (2,132) $ 2,658 $ 3,689 $4,433 $ 2,228 (961) (2,998) (3,436) (2,048) (80) (51) (28) (36 Proceeds from sales of rental equipment 264 229 144 208 490 544 (97) (104) (120) (102) (93) 399 (120) (185) (218) (197) (200) (254) (179) 538 496 550 664 831 858 968 965 770 Proceeds from sales of non-rental equipment Insurance proceeds from damaged 11 13 7 13 31 26 33 17 14 16 23 37 42 30 24 28 equipment (1) 8 12 21 22 24 40 25 32 19 Excess tax benefits from share-based payment arrangements (2) (2) (2) (5) 5 58 Free cash flow $ 335 $ 367 $ 227 $ 23 $ (223) $ 383 $ 557 $ 919 $ 1,182 $ 907 $ 1,271 $ 1,566 $ 2,440 $ 1,514 $ 1,764 $ 818 Merger and restructuring related payments included in free cash flow (3) 150 38 17 5 13 76 63 26 14 13 4 5 Free cash flow excluding merger and restructuring related payments (3) $ (73) $ 421 $ 574 $ 924 $ 1,195 $ 983 $ 1,334 $ 1,592 $ 2,454 $ 1,527 $1,768 823 (1) In 2018, we adopted accounting guidance that addressed the cash flow presentation for proceeds from the settlement of insurance claims. Adoption of this guidance decreased net cash provided by operating activities, relative to previously reported amounts, but did not change free cash flow, for 2017, 2016 and 2015 in the table above. The information required to determine the amount of insurance proceeds for periods prior to 2015 is unavailable without unreasonable effort. The adoption of this accounting guidance did not impact free cash flow, as the reduction to net cash provided by operating activities was offset by the increase in insurance proceeds from damaged equipment. (2) The excess tax benefits from share-based payment arrangements result from stock-based compensation windfall deductions in excess of the amounts reported for financial reporting purposes. We adopted accounting guidance in 2017 that changed the cash flow presentation of excess tax benefits from share-based payment arrangements. In the table above, the excess tax benefits from share-based payment arrangements for periods after 2016 are presented as a component of net cash provided by operating activities, while, for 2016 and prior, they are presented as a separate line item. Because we historically included the excess tax benefits from share based payment arrangements in the free cash flow calculation, the adoption of this guidance did not change the calculation of free cash flow. (3) Merger and restructuring related payments were first reported for 2012. The information required to determine the amount of merger and restructuring related payments for periods prior to 2012 is unavailable without unreasonable effort. United Rentals® Work United® | 53