Evercore ISI 12th Annual Industrial Conference

Mar 3, 2020

Next presenters, very happy to have United Rentals joining us. We're fortunate to have the CEO, Matt Flannery. See marketplace, obviously a little premature to have real impact from coronavirus yet, but I'd be curious if any conversations you have with customers are at least starting to contemplate incremental equipment needs earlier to get the work done versus maybe slowing things up, and really just give a little lay of the land, what you're seeing in the marketplace. Well, I'd say generally, let's talk about the marketplace first. We're in a similar place that we were when we talked about on our January call. We still see a slowing but still growing environment for us, mostly driven by the construction end markets, and we haven't seen anything that makes us change our view on that. We feel that the industrial end markets will be a little more choppy, where embedded within our guidance is counting on a flat industrial market, and that flatness is with absorbing about a 10% year-over-year decline in upstream oil and gas. We haven't changed our view, nor would a typical first quarter being the smallest quarter seasonally for us in the space, really infer us to think stronger or lighter about the overall year. The coronavirus question is an interesting one. Very interesting times here. We're fortunate enough to not have had that much exposure to it. We'll see what the coming weeks and days even bring. But we're not expecting a huge impact right now. I don't think our crystal ball is any clearer than anybody else's on this. Personally, we're more focused on making sure our employees and then their-