Strategic Execution and Platform Optimization

• The integration of H&E Equipment Services is now complete, marking the successful absorption of the largest acquisition in the company's history and adding 2,500 employees.

• Management is shifting focus from integration to leveraging its 30% larger branch network to drive network density and capture scale-driven operating efficiencies.

• Specialty Solutions achieved double-digit revenue growth in Q1, supported by a 25% increase in specialty locations and strong demand from mega projects.

• Performance in the first quarter was characterized by a deliberate pro forma fleet reduction of approximately 1% to ensure the right equipment mix was in the right markets.

• The market remains bifurcated, with strong government, infrastructure, and data center demand offsetting a moderate commercial construction sector.

• Digital adoption reached a record high in Q1, with e-commerce revenue signaling a structural shift in how customers interact with the rental platform.

• The company is prioritizing a shift in customer mix toward a long-term target of 60% local and 40% national accounts to enhance both growth and resiliency.

Second-Half Acceleration and Deleveraging Path

• Management expects a performance inflection point in Q2, with revenue growth and margin expansion accelerating significantly in the second half of 2026.

• Full-year guidance is affirmed, assuming that the foundation built in the first half will deliver growth as specialty locations mature and utilization tightens.

• The company expects to return to the top of its 2x to 3x leverage ratio target by year-end 2027, driven by EBITDA growth and synergy capture.

• Capital expenditures are planned to ramp up in late Q2 and Q3 to support seasonal peak demand and the growth of new specialty locations.

• Revenue synergies of $100 million to $120 million for 2026 remain intact, with the impact heavily weighted toward the third and fourth quarters.

Synergy Realization and Risk Management

• Cost synergies are running ahead of schedule, with management on track to secure an incremental $90 million this year to reach the $125 million total target.

• Fleet disposals increased 20% year-over-year as part of life cycle rotation, with 70% of sales flowing through higher-margin retail and wholesale channels.

• Rising fuel costs are being managed through an indexed surcharge and customer refueling fees to mitigate impacts on logistics and service margins.

• The pro forma leverage ratio of 3.96x is expected to remain consistent through most of the year before improving at year-end as EBITDA contributions scale.