H&E Equipment Services, Inc. (NASDAQ:HEES) Files An 8-K Results of Operations and Financial Condition
Item2.02
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Results of Operations and Financial Condition. |
On February23, 2017, we issued a press release announcing our
financial results for the quarter and year ended December31,
2016. A copy of the press release is attached as Exhibit 99.1.
The information in this Form 8-K and the attached exhibit shall
not be deemed filed for purposes of Section18 of the Securities
Exchange Act of 1934 (the Exchange Act) or otherwise subject to
the liabilities of that section, nor shall it be deemed
incorporated by reference into any filing under the Securities
Act of 1933 or the Exchange Act, except as shall be expressly set
forth by specific reference in such filing.
| Item8.01 | Other Events |
We define EBITDA as net income (loss) before interest expense,
income taxes, depreciation and amortization. We use EBITDA in our
business operations to, among other things, evaluate the
performance of our business, develop budgets and measure our
performance against those budgets. We also believe that analysts
and investors use EBITDA as a supplemental measure to evaluate a
companys overall operating performance. However, EBITDA has
material limitations as an analytical tool and you should not
consider EBITDA in isolation, or as a substitute for analysis of
our results as reported under generally accepted accounting
principles in the United States (GAAP). We consider EBITDA a
useful tool to assist us in evaluating performance because it
eliminates items related to capital structure, taxes and non-cash
charges. The items that we have eliminated in determining EBITDA
for the periods presented are interest expense, income taxes,
depreciation of fixed assets (which includes rental equipment and
property and equipment), and amortization of intangible assets.
However, some of these eliminated items are significant to our
business. For example, (i)interest expense is a necessary element
of our costs and ability to generate revenue because we incur a
significant amount of interest expense related to our outstanding
indebtedness; (ii)payment of income taxes is a necessary element
of our costs; and (iii)depreciation is a necessary element of our
costs and ability to generate revenue because rental equipment is
the single largest component of our total assets and we recognize
a significant amount of depreciation expense over the estimated
useful life of this equipment. Any measure that eliminates
components of our capital structure and costs associated with
carrying significant amounts of fixed assets on our consolidated
balance sheet has material limitations as a performance measure.
In light of the foregoing limitations, we do not rely solely on
EBITDA as a performance measure and also consider our GAAP
results. EBITDA is not a measurement of our financial performance
under GAAP and should not be considered an alternative to net
income (loss), operating income (loss) or any other measures
derived in accordance with GAAP. Because EBITDA is not calculated
in the same manner by all companies, it may not be comparable to
other similarly titled measures used by other companies.
| Item9.01 | Financial Statements and Exhibits. |
99.1Press Release, dated February23, 2017, announcing financial
results for the quarter and year ended December31, 2016.
About H&E Equipment Services, Inc. (NASDAQ:HEES)
H&E Equipment Services, Inc. is an integrated equipment services company. The Company rents, sells and provides parts and services support for approximately four core categories of specialized equipment, such as hi-lift or aerial work platform equipment; cranes; earthmoving equipment, and industrial lift trucks. The Company’s segments include equipment rentals, which rents various types of construction and industrial equipment; new equipment sales, which sells new equipment in its core product categories; used equipment sales, which sells used equipment from its rental fleet, as well as from sales of inventoried equipment that it acquires through trade-ins from its equipment customers and through purchases of used equipment; parts sales, which sells new and used parts for the equipment the Company sells and also provides parts to its own rental fleet, and services, which provides maintenance and repair services for its customers’ equipment and to its own rental fleet. H&E Equipment Services, Inc. (NASDAQ:HEES) Recent Trading Information
H&E Equipment Services, Inc. (NASDAQ:HEES) closed its last trading session up +0.27 at 24.44 with 337,886 shares trading hands.