EquipmentShare EQPT (NASDAQ:EQPT) executives told investors the company delivered what CEO Jabbok Schlacks called a “banner year” in 2025, driven by organic expansion, strong customer demand, and increased adoption of its proprietary technology platform, T3. Management also outlined expectations for continued rental revenue growth in 2026, while emphasizing disciplined investment in new locations and a capital-efficient fleet sourcing strategy through its OWN Program.
2025 performance and 2026 outlook
Schlacks said the company’s top priority remains “solving problems for customers,” positioning EquipmentShare’s growth as customer-driven rather than acquisition-driven. In 2025, the company reported several operating and financial milestones:
- Rental segment revenue of $2.7 billion, up 34% year-over-year.
- 95 locations added, ending 2025 with 385 locations.
- Adjusted core EBITDA of $1.7 billion, up 32% year-over-year.
- Mature site rental segment adjusted EBITDA margin of 54%, which management said was in line with its target of over 50%.
- Mature site return on invested capital (ROIC) of 16.5%.
Organic expansion and new market startup costs
Management repeatedly emphasized that EquipmentShare’s growth strategy is built around opening locations in response to customer demand. Schlacks said the company continues to invest in organic growth because sites opened to meet demand have “consistently generated strong returns and attractive unit economics as they mature.”
He also highlighted the near-term cost of expansion. In 2025, EquipmentShare incurred $252 million of one-time new market startup costs tied to new site openings. Schlacks said these costs are concentrated in a location’s first 12 months and are intended to create “a long-term earnings generating asset” within the network as sites ramp and mature.
Technology platform T3 and customer consolidation
Schlacks framed EquipmentShare’s opportunity in the context of a fragmented equipment rental industry and what he described as growing complexity on modern job sites, particularly on large “mega projects” across data centers, advanced manufacturing, energy, and infrastructure. He said customers increasingly want an integrated partner that can provide equipment, service, technology, and specialty solutions.
Schlacks pointed to growth in other parts of the business as evidence of that demand, noting that in 2025 the specialty division scaled 34% year-over-year and revenue from T3 and the materials business grew over 100%.
He also cited customer behavior tied to platform engagement. According to Schlacks, national customers that are highly engaged with T3 spend roughly six times more in rental than rental customers who do not use T3. He added that when the company opens a new location, more than 75% of first-year revenue comes from existing customers already renting from EquipmentShare in other markets.
President Willy Schlacks expanded on T3’s functionality, describing it as a “sensor to server” platform that unifies data across people, machines, and job sites. He said T3 supports EquipmentShare’s operations with remote monitoring, predictive maintenance, preventative alerts, and real-time fleet visibility, while also giving customers tools to understand utilization and improve productivity.
Willy Schlacks said the platform is “OEM-agnostic,” integrates across equipment regardless of manufacturer, and spans asset categories from small inventory to large serialized machines. He also said the company is increasingly focused on using AI and large language models on top of more than a decade of structured job site and machine data to surface insights for customers.
Unit economics and the site maturity curve
EVP of Finance and Chief Data Officer Mark Wopata walked through the company’s approach to site ramp and how management evaluates returns as locations mature. He said EquipmentShare has more than 350 organic rental starts since founding, including 85 new rental locations in 2025.
Wopata said the company typically invests about $2.5 million over a new site’s first 12 months, expensed through the income statement and reported as new market startup costs. He outlined a typical maturity pattern:
- Year one: revenue ramps as the company invests in people, property, and fleet.
- Year two: sites generally break even.
- By month 24: sites are considered mature and begin contributing meaningfully to revenue, margins, and ROIC.
Wopata reiterated the company’s key operating metrics as rental segment revenue growth, mature site adjusted EBITDA margins, and mature site ROIC. He said a “large portion of the network is already built” and that as ramping sites mature, the company expects added earnings and cash flow with limited incremental investment. He also said EquipmentShare is targeting progress toward a long-term goal of over 20% ROIC per mature site as it builds out a broader job site platform.
OWN Program growth and capital strategy
Wopata described the OWN Program as a core strategic pillar and a capital-efficient way to source fleet while meeting customer demand. He said EquipmentShare ended 2025 with more than $4.9 billion of original equipment cost (OEC) in the OWN Program, up from $3.4 billion in 2024.
Under the program, EquipmentShare buys new equipment, places it into its rental fleet, then sells equipment into the OWN Program under asset management and revenue-sharing agreements. Rental revenues are shared with participants and recorded as OWN Program payouts within cost of goods sold. At the end of the term, the company has the option to purchase equipment at appraised value or help remarket it for sale.
Wopata said participants include high-net-worth individuals, family offices, and institutional investors, funded through traditional lending and the ABS market. He said the program is “significantly oversubscribed.” In the fourth quarter, EquipmentShare completed another ABS-funded OWN transaction and executed additional transactions in the high-net-worth and family office channel, totaling $680 million of OWN sales in Q4 and $1.3 billion for the full year. He said the appraised value of the OWN Program fleet at year-end was $4.1 billion.
Looking forward, Wopata said the company expects OWN Program OEC to remain roughly half of fleet under management over the medium to long term, plus or minus 10%, and anticipates 55% to 60% of OEC in the OWN Program by the end of 2026.
Chief Financial Officer David Marquardt said the company’s results reflect continued organic growth and footprint expansion. He reported fourth-quarter rental segment revenue of $772 million, up over 35% year-over-year, and full-year rental segment revenue of more than $2.7 billion, up 34%. Total consolidated revenue was more than $1.5 billion in the fourth quarter, roughly flat year-over-year, which Marquardt said reflected a 22% year-over-year decrease in equipment sales into the OWN Program that the company “execute[s] opportunistically and selectively.” Full-year total revenue was nearly $4.4 billion, up 16%.
Marquardt also reported net income of $65 million in Q4 compared with $50 million in the prior-year quarter, and full-year net income of $40 million compared with $3 million in 2024. He said adjusted core EBITDA is intended to reflect underlying operating performance by excluding items tied to organic growth and fleet sourcing strategy, including OWN Program payouts and new market startup costs, and described it as a key measure for evaluating core earnings power and comparability with peers.
About EQPT (NASDAQ:EQPT)
EquipmentShare.com Inc provides integrated, full-service construction solutions across equipment rental, sales and technology. EquipmentShare.com Inc is based in Columbia, Missouri.
