H&E Equipment Services, Inc. (NASDAQ:HEES) Q4 2023 Earnings Call Transcript

Seth Weber: Hi. Thanks for taking the follow up. Just, Brad, on used equipment pricing, used equipment margins were surprisingly high here in the fourth quarter. Any guidance on how we should be thinking about used sale margins for 2024 and just what you’re seeing in the market? Thanks.

Bradley Barber: Yes. Seth, we’re going to stick with our 50%-plus gross margin expectation on the year. At some point in time, we expect to see moderation. It’s been interesting as we’ve deployed technology to help us isolate the assets to sell, the pricing to sell them, and the markets to sell them through. We’ve at some level exceeded our own initial expectations and we’ve recalibrated those expectations. I suspect that Q1 will probably be closer to 60%, but our view for the full year is 50%-plus.

Seth Weber: Got it. Okay. Thank you, guys. Appreciate it.

Bradley Barber: Thank you.

Operator: This concludes the question-and-answer session. I would like to turn the conference back over to Jeff Chastain for any closing remarks.

Jeffrey Chastain: Okay, then. With that, we’ll conclude today’s call. We do appreciate everyone taking the time to join us today and for your continued interest in H&E. We look forward to speaking with you again. And Betsy, thank you for your assistance on today’s call. Good day, everyone.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.