Herc Holdings Inc. (NYSE:HRI) Q4 2022 Earnings Call Transcript

Brian Sponheimer: All right. And if we were to think about your current level of revenue and what may be a normalized CapEx, steady-state growth would look like for the business of this size. What do you think that would be somewhere in the — what do you think that would be?

Mark Irion: Well, I mean, I think we’re in a — we’re certainly looking to catch up in terms of market share and grow faster than the overall market. It’s an opportunity for us as the strategy that we outlined in 2021 just to get in front of the cycle and really take advantage of the early growth opportunities. That’s worked out even better than we could have imagined. Growing at 30% is not sustainable over the whole lifecycle of this company if it was to sort of slow down to maybe 10% sort of 15% at the end of the cycle, that would probably be more normalized level and that would create a lot more free cash flow than what we’re currently throwing off.

Brian Sponheimer: All right. Terrific. Well, congratulations on another great year. I look forward to seeing what the 2023 hold.

Larry Silber: Thanks Brian.

Operator: And there are no further questions at this time. Ms. Leslie Hunziker, I’ll turn the call back over to you for some final closing comments.

Leslie Hunziker: Great. Thank you everyone for joining us on the call today. We look forward to updating you on our progress in the quarters to come. Of course, if you have any further questions, please don’t hesitate to reach out to us. Have a great day.

Operator: This concludes today’s conference call. Thank you for your participation. You may now disconnect.