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Significant Accounting Policies

(2) Significant Accounting Policies

We describe our significant accounting policies in note 2 of the notes to consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2018. During the three and six month periods ended June 30, 2019, there were no significant changes to those accounting policies, other than those policies impacted by our adoption of the new lease accounting standard, which is further described below in “Recently Adopted Accounting Pronouncements”.

Use of Estimates

We prepare our consolidated financial statements in accordance with accounting principles generally accepted in the United States of America, which requires management to use its judgment to make estimates and assumptions that affect the reported amounts of assets and liabilities and related disclosures at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reported period. These assumptions and estimates could have a material effect on our condensed consolidated financial statements. Actual results may differ materially from those estimates. We review our estimates on an ongoing basis based on information currently available, and changes in facts and circumstances may cause us to revise these estimates.

Recent Accounting Pronouncements

Pronouncements Not Yet Adopted

In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). This standard adds to U.S. GAAP an impairment model (known as the current expected credit loss (“CECL”) model) that is based on expected losses rather than incurred losses. Under the new guidance, an entity recognizes as an allowance its estimate of expected credit losses, which is intended to result in the more timely recognition of losses. Under the CECL model, entities will estimate credit losses over the entire contractual term of the instrument (considering estimated prepayments, but not expected extensions or modifications) from the date of initial recognition of the financial instrument. Measurement of expected credit losses are to be based on relevant forecasts that affect collectability. The scope of financial assets within the CECL methodology is broad and includes trade receivables from certain revenue transactions and certain off-balance sheet credit exposures. Different components of the guidance require modified retrospective or prospective adoption. In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments-Credit Losses. ASU 2018-19 clarifies that receivables arising from operating leases are not within the scope of the credit losses standard, but rather, should be accounted for in accordance with the leases standard (Topic 842). Instead, entities would need to apply other U.S. GAAP, namely Topic 842 (Leases), to account for changes in the collectability assessment for operating leases. Other than operating lease receivables, our trade receivables include receivables from equipment sales, parts and service sales. Under Topic 606 (Revenue from Contracts with Customers), revenue is recognized when, among other criteria, it is probable that the entity will collect the consideration to which it is entitled for goods or services transferred to a customer. At the point that these trade receivables are recorded, they become subject to the CECL model and estimates of expected credit losses over their contractual life will be required to be recorded at inception based on historical information, current conditions, and reasonable and supportable forecasts. While our review is ongoing, it is possible that the implementation of ASU 2016-13 will result in a significantly different methodology for estimating non-operating lease credit losses under Topic 326 when compared to our methodology for estimating credit losses on our operating lease receivables under Topic 842. In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, which amends and clarifies several provisions of Topic 326. In May 2019, the FASB issued ASU 2019-05, Financial Instruments-Credit Losses (Topic 326): Targeted Transition Relief, which amends Topic 326 to allow the fair value option to be elected for certain financial instruments upon adoption. ASU 2016-13 will be effective for us as of January 1, 2020. We continue to evaluate whether the new guidance, including the subsequent updates to Topic 326, will have an impact on our consolidated financial statements and related disclosures or our existing internal controls.

In January 2017, the FASB issued ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment (“ASU 2017-04”), which removes Step 2 of the current goodwill impairment test, which was required if there was an indication that an impairment may exist, and the second step required calculating the potential impairment by comparing the implied fair value of the reporting unit’s goodwill with the carrying amount of the goodwill. Under the new guidance, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount, and then recognizing an impairment charge for the amount by which the reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of the reporting unit’s goodwill. ASU 2017-04 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2019, with early adoption permitted and requires prospective adoption. Based upon our review of ASU 2017-04, we do not expect the guidance to have a material impact on our consolidated financial statements.

In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other – Internal-Use Software (Subtopic 350-40). This update aligns the requirements for capitalizing implementation costs incurred in a cloud computing arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. This update will be effective for us in the first quarter of 2020. We do not expect the adoption of this guidance to have a material impact on our consolidated financial statements.

In August 2018, the FASB issued ASU No. 2018-13, "Fair Value Measurement - Disclosure Framework," or ASU 2018-13. ASU 2018-13 modifies the disclosure requirements for fair value measurements. Entities will no longer be required to disclose the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, but public companies will be required to disclose the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. The guidance is effective for all entities for fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years, but entities are permitted to early adopt the entire standard or only the provisions that eliminate or modify the requirements. We will adopt ASU 2018-13 when effective. We are currently evaluating the impact of ASU 2018-13 on our consolidated financial statements.

Recently Adopted Accounting Pronouncements

Leases

We adopted ASU No. 2016-02, Leases (Topic 842), on January 1, 2019. Topic 842 is an update to Topic 840, which was the lease accounting standard in effect through December 31, 2018. Topic 842 applies to us from both a lessor and a lessee perspective, as further described below.

Lessor Accounting

Our equipment rental business involves rental contracts with customers whereby we are the lessor in the transaction and therefore, we believe that such transactions are subject to Topic 842. We account for such rental contracts as operating leases pursuant to Topic 842, as well as pursuant to previous lease accounting guidance (Topic 840) in effect for periods prior to the effective date of Topic 842.

In accordance with Topic 842, certain ancillary fees that we charge our equipment rental customers result in a different presentation within our consolidated statements of income compared to our historical presentation of those items under previous lease accounting guidance. Specifically, amounts we charge our customers for loss damage waiver fees, environmental fees, and fuel and other recovery fees, upon adoption of Topic 842, are to be included within our Equipment Rentals segment rather than included within non-segmented Other Revenues as we have historically presented those items under previous lease accounting guidance. Likewise, the related cost of revenues for these ancillary items under Topic 842 are to be presented within our Equipment Rentals segment rather than included in non-segmented Other Cost of Revenues as we have historically presented under previous lease accounting guidance.

We adopted Topic 842 on January 1, 2019 using the transition method that allowed us to initially apply Topic 842 as of January 1, 2019 and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. As such, Topic 842 will not be applied to periods prior to January 1, 2019. Therefore, the above changes as described are not reflected in our condensed consolidated statements of income for the three and six month periods ended June 30, 2018. While the above changes resulting from our adoption of Topic 842 do not impact total consolidated revenues or total consolidated gross profit, the change does impact the comparability of our total Rental Revenues gross profit and total Other Revenues gross profit and resulting gross margins for 2019 compared to our previously reported gross profit and resulting gross margins for periods prior to January 1, 2019.

Lessee Accounting

Topic 842 requires leases with durations greater than twelve months to be recognized on the balance sheet. We adopted Topic 842 using the modified retrospective approach with an effective date as of the beginning of our fiscal year, January 1, 2019. Therefore, prior year financial statements were not recast under the new standard. We recognized an adjustment of less than $0.1 million to retained earnings upon adoption of Topic 842.

We elected the package of transition provisions available for expired or existing leases, which allowed us to carryforward our historical assessments of (1) whether contracts are or contain leases, (2) lease classification and (3) initial direct costs. We did not elect the use-of-hindsight practical expedient or the practical expedient pertaining to land easements. We elected not to apply Topic 842 to arrangements with lease terms of 12 months or less.

The adoption of Topic 842 had a material impact on our consolidated balance sheet related to operating leases. Upon adoption of Topic 842, we recognized additional operating lease liabilities, net of deferred rent, of $162.8 million. We also recognized corresponding right-of-use operating lease assets of $162.8 million. Finance lease liabilities recognized upon adoption of Topic 842 were $0.8 million and finance right-of-use lease assets were $0.5 million.

Topic 842 significantly expanded the disclosure requirements related to our leasing activities. Additional information and disclosures required by Topic 842 are presented in note 10 to these condensed consolidated financial statements.

Revenue Recognition

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). Under Topic 606, revenue is recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Entities may use a full retrospective approach or report on the cumulative effect as of the date of adoption. We adopted this standard effective January 1, 2018 using the full retrospective transition method. As described above and in note 10 to these condensed consolidated financial statements, we adopted Topic 842 on January 1, 2019. We recognize revenue in accordance with two different accounting standards: 1) Topic 606 and 2) Topic 842. Under Topic 606, revenue from contracts with customers is measured based on the consideration specified in the contract with the customer, and excludes any sales incentives and amounts collected on behalf of third parties. A performance obligation is a promise in a contract to transfer a distinct good or service to a customer, and is the unit of account under Topic 606. Our contracts

with customers generally do not include multiple performance obligations. We recognize revenue when we satisfy a performance obligation by transferring control over a product or service to a customer. The amount of revenue recognized reflects the consideration we expect to be entitled to in exchange for such products or services.

In the table below, revenues as presented in our condensed consolidated statements of income for the three and six month periods ended June 30, 2019 and 2018 are summarized by type and by the applicable accounting standard.

	Three Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	167,072	$	245	$	167,317	$	138,434	$	394	$	138,828
Re-rent revenue		6,520		—		6,520		5,001		—		5,001
Ancillary and other rental revenues:
Delivery and pick-up		—		10,313		10,313		—		8,885		8,885
Other		8,152		—		8,152		—		—		—
Total ancillary rental revenues		8,152		10,313		18,465		—		8,885		8,885
Total equipment rental revenues		181,744		10,558		192,302		143,435		9,279		152,714
New equipment sales		—		53,596		53,596		—		68,539		68,539
Used equipment sales		—		36,128		36,128		—		32,140		32,140
Parts sales		—		31,871		31,871		—		30,281		30,281
Service revenues		—		16,725		16,725		—		16,788		16,788
Other		—		2,975		2,975		6,787		3,115		9,902
Total revenues	$	181,744	$	151,853	$	333,597	$	150,222	$	160,142	$	310,364

	Six Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	320,422	$	519	$	320,941	$	262,169	$	915	$	263,084
Re-rent revenue		12,556		—		12,556		10,106		—		10,106
Ancillary and other rental revenues:
Delivery and pick-up		—		19,295		19,295		—		16,562		16,562
Other		15,639		—		15,639		—		—		—
Total ancillary rental revenues		15,639		19,295		34,934		—		16,562		16,562
Total equipment rental revenues		348,617		19,814		368,431		272,275		17,477		289,752
New equipment sales		—		112,699		112,699		—		115,032		115,032
Used equipment sales		—		65,762		65,762		—		56,993		56,993
Parts sales		—		62,299		62,299		—		58,432		58,432
Service revenues		—		32,293		32,293		—		31,824		31,824
Other		—		5,751		5,751		13,054		5,759		18,813
Total revenues	$	348,617	$	298,618	$	647,235	$	285,329	$	285,517	$	570,846

Revenues by reporting segment are presented in note 11 of our condensed consolidated financial statements, using the revenue captions reflected in our consolidated statements of income. We believe that the disaggregation of our revenues from contracts to customers as reflected above, coupled with further discussion below and the reporting segments in note 11, depict how the nature, amount, timing and uncertainty of our revenues and cash flows are affected by economic factors.

Lease revenues (Topic 842)

Owned Equipment Rentals: Owned equipment rentals represent revenues from renting equipment. We account for these rental contracts as operating leases. We recognize revenue from equipment rentals in the period earned, regardless of the timing of billing to customers. A rental contract includes rates for daily, weekly or monthly use, and rental revenues are earned on a daily basis as rental contracts remain outstanding. Because the rental contracts can extend across multiple reporting periods, we record unbilled rental revenues and deferred rental revenues at the end of reporting periods so rental revenues earned is appropriately stated for the periods presented.

Re-rent revenue: Re-rent revenue reflects revenues from equipment that we rent from vendors and then rent to our customers. We account for such rentals as subleases. The accounting for re-rent revenue is the same as the accounting for owned equipment rentals described above.

“Other” equipment rental revenue is primarily comprised of (i) revenue from customers who purchase insurance to protect against potential damages or loss the equipment they rent, (ii) environmental charges associated with the rental of equipment, and (iii) fuel recovery fees charged to customers. Fuel consumption charges are recognized upon return of the rental equipment when fuel consumption by the customer, if any, can be measured. Income from environmental fees and damage waiver insurance policies are recognized when earned over the period the equipment is rented. Prior to our adoption of Topic 842 on January 1, 2019, these revenue items were included in other revenues as shown in the tables above for the three and six month periods ended June 30, 2018.

Revenues from contracts with customers (Topic 606)

The accounting for the types of revenues accounted for pursuant to Topic 606 are discussed below. Substantially all of our revenues under Topic 606 are recognized at a point-in-time rather than over time.

Rental revenues: An insignificant portion of our total equipment rental revenues are recognized pursuant to Topic 606 rather than pursuant to Topic 842. These revenues represent services performed by us in connection with the rental of equipment and are comprised of customer training fees on rented equipment and erection and dismantling services on rental equipment. Revenues for these services are recognized upon completion of such services. See discussion above regarding rental revenues recognized pursuant to Topic 842.

Delivery and pick-up: Delivery and pick-up revenue associated with renting equipment is recognized when the service is performed.

New equipment sales: Revenues from the sales of new equipment are recognized at the time of delivery to, or pick-up by, the customer, which is when the customer obtains control of the promised good.

Used equipment sales: Revenues from the sales of used equipment are recognized at the time of delivery to, or pick-up by, the customer, which is when the customer obtains control of the promised good.

Parts sales: Revenues from the sales of equipment parts are recognized at the time of pick-up by the customer for parts counter sales transactions. For parts that are shipped to a customer, we elected to use a practical expedient of Topic 606 and treat such shipping activities as fulfillment costs, thereby recognizing revenues at the time of shipment.

Services revenues: We derive our services primarily from maintenance and repair services to customers for their owned equipment. We recognize services revenues at the time such services are completed, which is when the customer obtains control of the promised service.

Other revenues: Other revenues relate primarily to hauling fees for transporting equipment sold to and from the customer and ancillary charges associated with equipment maintenance and repair services. Such revenues are recognized at the time the services are performed.

Receivables and contract assets and liabilities

We manage credit risk associated with our accounts receivables at the customer level. Because the same customers typically generate the revenues that are accounted for under both Topic 606 and Topic 842, the discussions below on credit risk and our allowance for doubtful accounts address our total revenues from Topic 606 and Topic 842.

We believe concentration of credit risk with respect to our receivables is limited because our customer base is comprised of a large number of geographically diverse customers. No single customer accounted for more than 10% of our revenues on an overall or segment basis for any of the periods presented in this Quarterly Report on Form 10-Q. We manage credit risk through credit approvals, credit limits and other monitoring procedures.

We maintain an allowance for doubtful accounts that reflects our estimate of the amount of our receivables that we will be unable to collect. We develop our estimate of this allowance based on our historical experience with specific customers, our understanding of our current economic circumstances and our own judgment as to the likelihood of ultimate payment. Our largest exposure to doubtful accounts is in our rental operations. We perform credit evaluations of customers and establish credit limits based on reviews of our customers’ current credit information and payment histories. We believe our credit risk is somewhat mitigated by our geographically diverse customer base and our credit evaluation procedures. During the year, we write-off customer account balances when we have exhausted reasonable collection efforts and determined that the likelihood of collection is remote. Such write-offs are charged against our allowance for doubtful accounts. Bad debt expense as a percentage of total revenues for the six month periods ended June 30,

2019 and 2018 were approximately 0.4% and 0.3%, respectively. The actual rate of future credit losses, however, may not be similar to past experience. Our estimate of doubtful accounts could change based on changing circumstances, including changes in the economy or in the particular circumstances of individual customers. Accordingly, we may be required to increase or decrease our allowance for doubtful accounts.

We do not have material contract assets, impairment losses associated therewith, or material contract liabilities associated with contracts with customers. Our contracts with customers do not generally result in material amounts billed to customers in excess of recognizable revenue. We did not recognize material revenues during the three and six month periods ended June 30, 2019 or 2018 that were included in the contract liability balance as of the beginning of such periods.

Performance obligations

Most of our Topic 606 revenue is recognized at a point-in-time, rather than over time. Accordingly, in any particular period, we do not generally recognize a significant amount of revenue from performance obligations satisfied (or partially satisfied) in previous periods, and the amount of such revenues recognized during the three and six month periods ended June 30, 2019 and 2018 were not material. We also do not expect to recognize material revenues in the future related to performance obligations that are unsatisfied (or partially unsatisfied) as of June 30, 2019.

Payment terms

Our Topic 606 revenues do not include material amounts of variable consideration. Our payment terms vary by the type and location of our customer and the products or services offered. The time between invoicing and when payment is due is not significant. Our contracts do not generally include a significant financing component. Our contracts with customers do not generally result in significant obligations associated with returns, refunds or warranties. See above for a discussion of how we manage credit risk.

Sales tax amounts collected from customers are recorded on a net basis.

Contract costs

We do not recognize any assets associated with the incremental costs of obtaining a contract with a customer (for example, a sales commission) that we expect to recover. Most of our revenue is recognized at a point-in-time or over a period of one year or less, and we use the practical expedient that allows us to recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that we otherwise would have recognized is one year or less.

Contract estimates and judgments

Our revenues accounted for under Topic 606 generally do not require significant estimates or judgments as the transaction price is generally fixed and stated on our contracts. Our contracts generally do not include multiple performance obligations, and accordingly do not generally require estimates of the standalone selling price for each performance obligation. Also, our revenues do not include material amounts of variable consideration. Substantially all of our revenues are recognized at a point-in-time and the timing of the satisfaction of the applicable performance obligations is readily determinable. As noted above, our Topic 606 revenues are generally recognized at the time of delivery to, or pick-up by, the customer.

Acquisitions

6 Months Ended

Jun. 30, 2019

Business Combinations [Abstract]

Acquisitions

(3) Acquisitions

2018 Acquisitions

Contractors Equipment Center (“CEC”)

Effective January 1, 2018, we completed the acquisition of CEC, a non-residential construction focused equipment rental company with three branches located in the greater Denver, Colorado area. The acquisition significantly expands our presence in the Denver area and surrounding markets.

The aggregate consideration paid to the pre-acquisition owners of CEC was approximately $132.4 million. The acquisition and related fees and expenses were funded through available cash. The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date.

	$’s in thousands
Cash	$	1,244
Accounts receivable		7,583
Inventory		504
Prepaid expenses and other assets		324
Rental equipment		55,342
Property and equipment		2,700
Intangible assets (1)		21,500
Total identifiable assets acquired		89,197
Accounts payable		(1,023	)
Accrued expenses payable and other liabilities		(876	)
Total liabilities assumed		(1,899	)
Net identifiable assets acquired		87,298
Goodwill (2)		45,092
Net assets acquired	$	132,390

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	21,000		10
Tradenames		300		1
Leasehold interests		200		10
	$	21,500

(2)

We have allocated the $45.1 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	25,233
Rental Component 2		18,391
New Equipment		217
Used Equipment		632
Parts		379
Service		240
	$	45,092

The level of goodwill that resulted from the CEC acquisition is primarily reflective of CEC’s going-concern value, the value of CEC’s assembled workforce, new customer relationships expected to arise from the acquisition and expected synergies from combining operations. We currently expect the goodwill recognized to be 100% deductible for income tax purposes.

Total CEC acquisition costs were $1.0 million. Since our acquisition of CEC on January 1, 2018, significant amounts of equipment rental fleet have been moved between H&E locations and the acquired CEC locations, and it is impractical to reasonably estimate the amount of CEC revenues and earnings since the acquisition date.

Rental, LLC (dba “Rental Inc.”)

Effective April 1, 2018, we completed the acquisition of Rental Inc., a non-residential equipment rental and distribution company with five branches located in Alabama, Florida and Western Georgia. The acquisition expands our presence in the surrounding markets.

The aggregate consideration paid to the owners of Rental Inc. was approximately $68.6 million. The acquisition and related fees and expenses were funded through available cash and from borrowings under our Credit Facility (as defined below). The following table summarizes the fair value of the assets acquired and liabilities assumed as of the acquisition date.

	$’s in thousands
Cash	$	260
Accounts receivable		2,873
Inventory		5,324
Prepaid expenses and other assets		47
Rental equipment		22,578
Property and equipment		1,935
Intangible assets (1)		10,200
Total identifiable assets acquired		43,217
Accounts payable		(439	)
Manufacturer flooring plans payable		(3,293	)
Accrued expenses payable and other liabilities		(469	)
Total liabilities assumed		(4,201	)
Net identifiable assets acquired		39,016
Goodwill (2)		29,554
Net assets acquired	$	68,570

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	10,000		10
Tradenames		200		1
	$	10,200

(2)

We have allocated the $29.6 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	9,064
Rental Component 2		5,445
New Equipment		10,217
Used Equipment		1,692
Parts		2,171
Service		965
	$	29,554

Included in the total goodwill amount of $29.6 million is approximately $3.4 million of accrued purchase price consideration that is to be paid to the sellers pursuant to the terms of the purchase agreement among the parties named thereto. The level of goodwill that resulted from the Rental Inc. acquisition is primarily reflective of Rental Inc.’s going-concern value, the value of Rental Inc.’s assembled workforce, new customer relationships expected to arise from the acquisition and expected synergies from combining operations. We currently expect the goodwill recognized to be 100% deductible for income tax purposes.

Total Rental Inc. acquisition costs were approximately $0.3 million. Since our acquisition of Rental Inc. on April 1, 2018, significant amounts of equipment rental fleet have been moved between H&E locations and the acquired Rental Inc. locations, and it is impractical to reasonably estimate the amount of Rental Inc. revenues and earnings since the acquisition date.

2019 Acquisition

Cobra Equipment Rentals LLC (dba “We-Rent-It”)

Effective February 1, 2019, we completed the acquisition of We-Rent-It (“WRI”), an equipment rental company with six branches located in central Texas. The acquisition expands our presence in the surrounding markets.

The aggregate consideration paid to the owners of WRI was approximately $108.5 million. The acquisition and related fees and expenses were funded from borrowings under our Credit Facility (defined below). The following table summarizes the fair value of the assets acquired and liabilities assumed as of the acquisition date. The amounts presented below are not expected to change. As indicated in our quarterly reporting on Form 10-Q for the quarter ended March 31, 2019, the amounts previously presented therein were preliminary and subject to change, primarily as a result of the finalization of the fair values assigned to the acquired personal property and intangible assets.

	$’s in thousands
Cash	$	1,745
Accounts receivable		5,119
Inventory		731
Prepaid expenses and other assets		544
Rental equipment		51,747
Property and equipment		3,207
Other assets		21
Intangible assets (1)		8,700
Total identifiable assets acquired		71,814
Accounts payable		(115	)
Accrued expenses payable and other liabilities		(991	)
Total liabilities assumed		(1,106	)
Net identifiable assets acquired		70,708
Goodwill		37,783
Net assets acquired	$	108,491

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	8,500		10
Tradenames		200		1
	$	8,700

The analysis of assigning the above $37.8 million goodwill among our six goodwill reporting units has not been finalized. The level of goodwill that resulted from the WRI acquisition is primarily reflective of WRI’s going-concern value, the value of WRI’s assembled workforce, new customer relationships expected to arise from the acquisition and expected synergies from combining operations. We currently expect the goodwill recognized to be 100% deductible for income tax purposes.

Total WRI acquisition costs were $0.4 million. Since our acquisition of WRI on February 1, 2019, significant amounts of equipment rental fleet have been moved between H&E locations and the acquired WRI locations, and it is impractical to reasonably estimate the amount of WRI revenues and earnings since the acquisition date.

Pro forma financial information

We completed the CEC acquisition on January 1, 2018. Therefore, the operating results of CEC are included in our reported condensed consolidated statements of income for the full three and six month periods ended June 30, 2019 and 2018. We completed the Rental Inc. acquisition on April 1, 2018. Therefore, our reported condensed consolidated statements of income for the six month period ended June 30, 2018 do not include Rental Inc. for the period January 1, 2018 through March 31, 2018. We completed the We-Rent-It acquisition on February 1, 2019. Therefore, our reported condensed consolidated statements for the six month period ended June 30, 2019 include We-Rent-It for the period of February 1, 2019 through June 30, 2019.

Pursuant to Accounting Standards Codification (“ASC”) 805, pro forma disclosures should be repeated whenever the year or interim period of the acquisition is presented. Since the CEC acquisition was completed in the first quarter of 2018 and the Rental Inc. acquisition was completed in the second quarter of 2018, the pro forma information below gives effect to the CEC and the Rental Inc. acquisitions as if the acquisitions occurred on January 1, 2017 (the CEC and Rental Inc. pro forma acquisition date) for the three and six month periods ended June 30, 2017.

	(amounts in thousands)
	Three Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	249,363	$	8,140		$	8,979		$	266,482
Pretax income		15,668		1,448			2,105			19,221
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(809	)		(738	)		(1,547	)
Intangible asset amortization (2)		—		(705	)		(275	)		(980	)
Interest expense (3)		—		—			(475	)		(475	)
Elimination of historic interest expense (4)		—		139			102			241
Pro forma pretax income		15,668		73			719			16,460
Income tax expense		5,790		27			262			6,079
Net income	$	9,878	$	46		$	457		$	10,381
Net income per share – basic	$	0.28	$	—		$	0.01		$	0.29
Net income per share – diluted	$	0.28	$	—		$	0.01		$	0.29

	(amounts in thousands)
	Six Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	476,191	$	16,529		$	17,225		$	509,945
Pretax income		24,198		2,889			4,158			31,245
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(1,712	)		(1,381	)		(3,093	)
Intangible asset amortization (2)		—		(1,410	)		(550	)		(1,960	)
Interest expense (3)		—		—			(995	)		(995	)
Elimination of historic interest expense (4)		—		263			202			465
Pro forma pretax income		24,198		30			1,434			25,662
Income tax expense		8,930		11			523			9,464
Net income	$	15,268	$	19		$	911		$	16,198
Net income per share – basic	$	0.43	$	—		$	0.03		$	0.46
Net income per share – diluted	$	0.43	$	—		$	0.03		$	0.45

(1)

Depreciation of rental equipment and non-rental equipment were adjusted for the fair value markups, and the changes in useful lives and salvage values of the equipment acquired in the CEC and Rental Inc. acquisitions.

(2)

Represents the amortization of the intangible assets acquired in the CEC and Rental Inc. acquisitions.

(3)

A portion of the consideration paid for Rental Inc. was funded with borrowings from our senior secured credit facility. Interest expense was adjusted to reflect the additional debt resulting from the acquisitions.

(4)

Historic debt of CEC and Rental Inc. that is not part of the combined entity was eliminated.

The pro forma information below gives effect to the WRI acquisition as if it had been completed on January 1, 2018 (the WRI pro forma acquisition date). The pro forma information below is not necessarily indicative of our results of operations had the acquisitions been completed on the above date, nor is it necessarily indicative of our future results. The pro forma information does not reflect any cost savings from operating efficiencies or synergies that could result from the acquisitions, nor does it reflect additional revenue opportunities following the acquisition. The pro forma adjustments reflected in the tables below are subject to change as additional analysis is performed. The tables below present unaudited pro forma consolidated statements of operations information for the three and six month periods ended June 30, 2018 as if WRI was included in our consolidated results for the entire periods presented.

	(amounts in thousands, except per share data)
	Three Month Period Ended June 30, 2018
	H&E(1)		We-Rent-It			Total
Total revenues	$	310,364	$	9,640		$	320,004
Pretax income		27,869		2,432			30,301
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(1,976	)		(1,976	)
Intangible asset amortization (3)		—		(313	)		(313	)
Interest expense (4)		—		(1,476	)		(1,476	)
Elimination of historic interest expense (5)		—		126			126
Pro forma pretax income (loss)		27,869		(1,207	)		26,662
Income tax expense (benefit)		7,098		(301	)		6,797
Net income (loss)	$	20,771	$	(906	)	$	19,865
Net income (loss) per share – basic	$	0.58	$	(0.03	)	$	0.56
Net income (loss) per share – diluted	$	0.58	$	(0.03	)	$	0.55

	(amounts in thousands, except per share data)
	Six Month Period Ended June 30, 2018
	H&E(1)		Rental Inc.(6)			We-Rent-It			Total
Total revenues	$	570,846	$	7,408		$	17,227		$	595,481
Pretax income		40,937		1,020			3,216			45,173
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(749	)		(2,226	)		(2,975	)
Intangible asset amortization (3)		—		(275	)		(435	)		(710	)
Interest expense (4)		—		(480	)		(2,832	)		(3,312	)
Elimination of historic interest expense (5)		—		82			206			288
Pro forma pretax income (loss)		40,937		(402	)		(2,071	)		38,464
Income tax expense (benefit)		10,688		(105	)		(536	)		10,047
Net income (loss)	$	30,249	$	(297	)	$	(1,535	)	$	28,417
Net income (loss) per share – basic	$	0.85	$	(0.01	)	$	(0.04	)	$	0.80
Net income (loss) per share – diluted	$	0.84	$	(0.01	)	$	(0.04	)	$	0.79

(1)

Amounts presented above for “H&E” are derived from the Company’s consolidated statements of income in this Quarterly Report on Form 10-Q for the three and six month period ended June 30, 2018.

(2)

Depreciation of rental equipment and non-rental equipment were adjusted for the fair value markups, and the changes in useful lives and salvage values of the equipment acquired in the acquisition.

(3)

Represents the amortization of the intangible assets acquired in the acquisition.

(4)

Interest expense was adjusted to reflect the additional debt resulting from the acquisition.

(5)

Represents the elimination of historic debt of WRI that is not part of the combined entity.

(6)

Represents Rental Inc. pro forma operating results for the three month period ended March 31, 2018. We completed the Rental Inc. acquisition on April 1, 2018.

Fair Value of Financial Instruments

6 Months Ended

Jun. 30, 2019

Fair Value of Financial Instruments

(4) Fair Value of Financial Instruments

Fair value is defined as the amount that would be received for selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The FASB fair value measurement guidance established a fair value hierarchy that prioritizes the inputs used to measure fair value. The three broad levels of the fair value hierarchy are as follows:

Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2 – Quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly

Level 3 – Unobservable inputs for which little or no market data exists, therefore requiring a company to develop its own assumptions

The carrying value of financial instruments reported in the accompanying condensed consolidated balance sheets for cash, accounts receivable, accounts payable and accrued expenses payable and other liabilities approximate fair value due to the immediate or short-term nature or maturity of these financial instruments. The fair value of our letter of credit is based on fees currently charged for similar agreements. The carrying amounts and fair values of our other financial instruments subject to fair value disclosures as of June 30, 2019 and December 31, 2018 are presented in the table below (amounts in thousands) and have been calculated based upon market quotes and present value calculations based on market rates.

	June 30, 2019
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	25,066	$	21,196
Senior unsecured notes with interest computed at 5.625% (Level 2)		945,173		978,500
Letter of credit (Level 3)		—		97

	December 31, 2018
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	23,666	$	19,870
Senior unsecured notes with interest computed at 5.625% (Level 2)		944,780		871,625
Capital leases payable with interest computed at 5.929% to 9.55% (Level 3)		726		330
Letter of credit (Level 3)		—		116

During the three and six month periods ended June 30, 2019 and 2018, there were no transfers of financial assets or liabilities in or out of Level 1, Level 2 or Level 3 of the fair value hierarchy.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Stockholders' Equity

6 Months Ended

Jun. 30, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Stockholders' Equity

(5) Stockholders’ Equity

The following table summarizes the activity in Stockholders’ Equity for the three and six month periods ended June 30, 2019 and June 30, 2018, respectively (amounts in thousands, except share data):

	Common Stock					Additional									Total
	Shares Issued			Amount		Paid-in Capital			Treasury Stock			Retained Earnings			Stockholders’ Equity
Balances at December 31, 2018		39,748,562		$	396	$	231,174		$	(63,099	)	$	88,332		$	256,803
Stock-based compensation		—			—		1,188			—			—			1,188
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,793	)		(9,793	)
Issuance of common stock, net of restricted stock forfeitures		59,510			1					—			—			1
Repurchase of 14,272 shares of restricted common stock		—			—		—			(387	)		—			(387	)
Cumulative effect adjustment pursuant to the adoption of ASC 842		—			—		—			—			(56	)		(56	)
Net income		—			—		—			—			14,243			14,243
Balances at March 31, 2019		39,808,072			397		232,362			(63,486	)		92,726			261,999
Stock-based compensation							835									835
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,857	)		(9,857	)
Restricted stock forfeitures		(2,666	)													—
Net income		—			—		—			—			22,614			22,614
Balances at June 30, 2019		39,805,406		$	397	$	233,197		$	(63,486	)	$	105,483		$	275,591

Balances at December 31, 2017		39,623,773		$	395	$	227,070		$	(61,749	)	$	51,077		$	216,793
Stock-based compensation		—			—		1,319			—			—			1,319
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,845	)		(9,845	)
Issuance of common stock, net of restricted stock forfeitures		9,534			—		—			—			—			—
Net income		—			—		—			—			9,478			9,478
Balances at March 31, 2018		39,633,307			395		228,389			(61,749	)		50,710			217,745
Stock-based compensation		—			—		762			—			—			762
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,813	)		(9,813	)
Issuance of common stock, net of restricted stock forfeitures		29,033			1		(110	)		—			—			(109	)
Net income		—			—		—			—			20,771			20,771
Balances at June 30, 2018		39,662,340		$	396	$	229,041		$	(61,749	)	$	61,668		$	229,356

Stock-Based Compensation

6 Months Ended

Jun. 30, 2019

Stock-Based Compensation

(6) Stock-Based Compensation

We account for our stock-based compensation plans using the fair value recognition provisions of ASC 718, Stock Compensation (“ASC 718”). Under the provisions of ASC 718, stock-based compensation is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the requisite employee service period (generally the vesting period of the grant). Shares available for future stock-based payment awards under our 2016 Stock-Based Incentive Compensation Plan were 1,761,846 shares as of June 30, 2019.

Non-vested Stock

The following table summarizes our non-vested stock activity for the six months ended June 30, 2019:

	Number of Shares			Weighted Average Grant Date Fair Value
Non-vested stock at December 31, 2018		379,559		$	25.87
Granted		20,923		$	26.77
Vested		(57,296	)	$	21.60
Forfeited		(27,786	)	$	20.87
Non-vested stock at June 30, 2019		315,400		$	27.15

As of June 30, 2019, we had unrecognized compensation expense of approximately $3.5 million related to non-vested stock that we expect to be recognized over a weighted-average period of approximately 1.6 years. The following table summarizes compensation expense related to non-vested stock, which is included in selling, general and administrative expenses in the accompanying condensed consolidated statements of income for the three and six month periods ended June 30, 2019 and 2018 (amounts in thousands):

For the Three Months Ended

June 30,

For the Six Months Ended

June 30,

2019

2018

2019

2018

Compensation expense

835

762

2,023

2,081

Income per Share

6 Months Ended

Jun. 30, 2019

Income per Share

(7) Income per Share

Income per common share for the three and six month periods ended June 30, 2019 and 2018 are based on the weighted average number of common shares outstanding during the periods. The effects of potentially dilutive securities that are anti-dilutive are not included in the computation of dilutive income per share. We include all common shares granted under our incentive compensation plan which remain unvested (“restricted common shares”) and contain non-forfeitable rights to dividends or dividend equivalents, whether paid or unpaid (“participating securities”), in the number of shares outstanding in our basic and diluted EPS calculations using the two-class method. All of our restricted common shares are currently participating securities.

Under the two-class method, earnings per common share are computed by dividing the sum of distributed earnings allocated to common shareholders and undistributed earnings allocated to common shareholders by the weighted average number of common shares outstanding for the period. In applying the two-class method, distributed and undistributed earnings are allocated to both common shares and restricted common shares based on the total weighted average shares outstanding during the period. The number of restricted common shares outstanding was approximately 0.7% of total outstanding shares for each of the three and six month periods ended June 30, 2019 and 2018, and, consequently, was immaterial to the basic and diluted EPS calculations. Therefore, use of the two-class method had no impact on our basic and diluted EPS calculations for the periods presented. The following table sets forth the computation of basic and diluted net income per common share for the three and six month periods ended June 30, 2019 and 2018 (amounts in thousands, except per share amounts):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2019		2018		2019		2018
Basic net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Net income per share of common stock – basic	$	0.63	$	0.58	$	1.03	$	0.85
Diluted net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Effect of dilutive securities:
Effect of dilutive non-vested restricted stock		190		272		187		280
Weighted average number of common shares outstanding – diluted		36,016		35,906		35,994		35,893
Net income per share of common stock – diluted	$	0.63	$	0.58	$	1.02	$	0.84
Common shares excluded from the denominator as anti-dilutive:
Non-vested restricted stock		—		—		19		—

Senior Secured Credit Facility

6 Months Ended

Jun. 30, 2019

Secured Debt [Member]

(8) Senior Secured Credit Facility

We and our subsidiaries are parties to a $750.0 million Credit Facility with Wells Fargo Capital Finance, LLC as administrative agent, and the lenders named therein (the “Credit Facility”).

On December 22, 2017, we amended, extended and restated the Credit Facility by entering into the Fifth Amended and Restated Credit Agreement (the “Amended and Restated Credit Agreement”) by and among the Company, Great Northern Equipment, Inc., H&E Equipment Services (California), LLC, the other credit parties named therein, the lenders named therein, Wells Fargo Capital Finance, LLC, as administrative agent, the other credit parties named therein, the lenders named therein, and the joint lead arrangers, joint book runners, co-syndication agents and documentation agent named therein.

The Amended and Restated Credit Agreement, among other things, (i) extended the maturity date of the Credit Facility from May 21, 2019 to December 22, 2022, (ii) increased the commitments under the senior secured asset based revolver provided for therein from $602.5 million to $750 million, (iii) increased the uncommitted incremental revolving capacity from $150 million to $250 million, (iv) provided that the unused line fee margin will be either 0.375% or 0.25%, depending on the Average Revolver Usage (as defined in the Amended and Restated Credit Agreement) of the borrowers, (v) lowered the interest rate (a) in the case of base rate revolving loans, to the base rate plus an applicable margin of 0.50% to 1.00% depending on the Average Availability (as defined in the Amended and Restated Credit Agreement) and (b) in the case of LIBOR revolving loans, to LIBOR (as defined in the Amended and Restated Credit Agreement) plus an applicable margin of 1.50% to 2.00%, depending on the Average Availability, (vi) lowered the margin applicable to the letter of credit fee to between 1.50% and 2.00%, depending on the Average Availability, and (vii) permitted, subject to certain conditions, an unlimited amount of Permitted Acquisitions, Restricted Payments and prepayments of Indebtedness (in each case, as defined in the Amended and Restated Credit Agreement).

On February 1, 2019, we further amended and extended the Amended and Restated Credit Agreement with the First Amendment to the Fifth Amended and Restated Credit Agreement (the “First Amendment”) by and among the Company, Great Northern Equipment, Inc., H&E Equipment Services (California), LLC, H&E Equipment Services (Mid-Atlantic), LLC, the other credit parties named therein, the lenders named therein, Wells Fargo Capital Finance, LLC, as administrative agent, the other credit parties named therein, the lenders named therein, and the joint lead arrangers, joint book runners, co-syndication agents and documentation agent named therein.

The First Amendment, among other things, (i) extended the maturity date of the credit facility from December 22, 2022 to January 31, 2024, and (ii) lowered the interest rate in the case of LIBOR revolving loans, to LIBOR plus an applicable margin of 1.25% to 1.75%, depending on the Average Availability and (iii) lowered the interest rate in the case of Base Rate loans, to the Base Rate (as defined in the Amended and Restated Credit Agreement) plus an applicable margin of 0.25% to 0.75%, depending on the Average Availability.

The Amended and Restated Credit Agreement continues to provide for, among other things, a $30 million letter of credit sub-facility, and a guaranty by certain of the Company’s subsidiaries of the obligations under the Credit Facility. In addition, the Credit Facility remains secured by substantially all of the assets of the Company and certain of its subsidiaries.

As of June 30, 2019, we were in compliance with our financial covenants under the Amended and Restated Credit Agreement. At June 30, 2019, we had $282.7 million of borrowings outstanding under the Credit Facility and could borrow up to approximately $459.5 million and remain in compliance with the debt covenants under the Credit Facility. At July 18, 2019, we had $471.3 million of available borrowings under our Credit Facility, net of a $7.7 million outstanding letter of credit.

Senior Unsecured Notes

6 Months Ended

Jun. 30, 2019

(9) Senior Unsecured Notes

On August 24, 2017, we completed an offering of $750 million aggregate principal amount of 5.6250% senior notes due 2025 (the “New Notes”) and the settlement of a cash tender offer (the “Tender Offer”) with respect to our 7% senior notes due 2022 (the “Old Notes”). Net proceeds, after deducting $10.3 million of estimated offering expenses, from the sale of the New Notes totaled approximately $739.7 million. We used a portion of the net proceeds from the sale of the New Notes to repurchase $329.7 million of aggregate principal amount of the Old Notes in early settlement of the Tender Offer, which the Company launched on August 17, 2017. Holders who tendered their Old Notes prior to the early tender deadline received $1,038.90 per $1,000 principal amount of Old Notes tendered, plus accrued and unpaid interest up to, but not including, the payment date of August 24, 2017. Effective as of August 24, 2017, we (i) provided notice of the redemption of all remaining Old Notes that were not validly tendered in the Tender Offer at the expiration time and (ii) satisfied and discharged the indenture governing the Old Notes in accordance with its terms. On September 25, 2017, we redeemed the remaining $300.3 million principal amount outstanding of the Old Notes at a redemption price equal to 103.50% of the principal amount thereof, plus accrued and unpaid interest up to, but not including, the date of redemption.

The New Notes were issued at par and require semiannual interest payments on March 1st and September 1st of each year, commencing on March 1, 2018. No principal payments are due until maturity (September 1, 2025).

The New Notes are redeemable, in whole or in part, at any time on or after September 1, 2020 at specified redemption prices plus accrued and unpaid interest to the date of redemption. We may redeem up to 40% of the aggregate principal amount of the New Notes before September 1, 2020 with the net cash proceeds from certain equity offerings. We may also redeem the New Notes prior to September 1, 2020 at a specified “make-whole” redemption price plus accrued and unpaid interest to the date of redemption.

The New Notes rank equally in right of payment to all of our existing and future senior indebtedness and rank senior to any of our subordinated indebtedness. The New Notes are unconditionally guaranteed on a senior unsecured basis by all of our current and future significant domestic restricted subsidiaries. In addition, the New Notes are effectively subordinated to all of our and the guarantors’ existing and future secured indebtedness, including the Credit Facility, to the extent of the assets securing such indebtedness, and are structurally subordinated to all of the liabilities and preferred stock of any of our subsidiaries that do not guarantee the New Notes.

If we experience a change of control, we will be required to offer to purchase the New Notes at a repurchase price equal to 101% of the principal amount, plus accrued and unpaid interest to the date of repurchase.

The indenture governing the New Notes contains certain covenants that, among other things, limit our ability and the ability of our restricted subsidiaries to: (i) incur additional indebtedness, assume a guarantee or issue preferred stock; (ii) pay dividends or make other equity distributions or payments to or affecting our subsidiaries; (iii) purchase or redeem our capital stock; (iv) make certain investments; (v) create liens; (vi) sell or dispose of assets or engage in mergers or consolidations; (vii) engage in certain transactions with subsidiaries or affiliates; (viii) enter into sale-leaseback transactions; and (ix) engage in certain business activities. Each of the covenants is subject to exceptions and qualifications. As of June 30, 2019, we were in compliance with these covenants.

On November 22, 2017, we closed on an offering of $200 million aggregate principal amount of 5.625% senior notes due 2025 (the “Add-on Notes”) in an unregistered offering through a private placement. The Add-on Notes were priced at 104.25% of the principal amount. Net proceeds from the offering of the Add-on Notes, including accrued interest from August 24, 2017 totaled approximately $209.2 million. The net proceeds of the offering, was used to repay indebtedness outstanding under the Credit Facility and for the payment of fees and expenses related to the offering. The remainder of the net proceeds will be used for general corporate purposes and to fund potential acquisitions in connection with our ongoing strategy of acquiring rental companies to complement our existing business and footprint.

The Add-on Notes were issued as additional notes under an indenture dated as of August 24, 2017, pursuant to which we previously issued the New Notes as described above. The Add-on Notes have identical terms to, rank equally with and form a part of a single class of securities with the New Notes.

Pursuant to a registration rights agreement entered into between us, the guarantors of the New Notes and the initial purchasers of the New Notes, we agreed to make an offer to exchange (the “Exchange Offer”) the New Notes and guarantees for registered, publicly tradable notes and guarantees that have terms identical in all material respects to the New Notes (except that the exchange notes will not contain any transfer restrictions) within a certain period of time following the completion of the offering. On January 17, 2018, the Company filed a registration statement on Form S-4 with respect to an offer to exchange the New and Add-on Notes and guarantees for registered, publicly tradable notes and guarantees that have terms identical in all material respects to the New and Add-on Notes (except that the exchange notes do not contain any transfer restrictions). This exchange offer closed on March 27, 2018.

The following table reconciles our Senior Unsecured Notes to our Condensed Consolidated Balance Sheets (amounts in thousands):

Balance at December 31, 2017	$	944,088
Accretion of discount through December 31, 2018		1,539
Amortization of note premium through December 31, 2018		(1,062	)
Additional deferred financing costs on New Notes		(97	)
Amortization of deferred financing costs through December 31, 2018		312
Balance at December 31, 2018	$	944,780
Accretion of discount through June 30, 2019		770
Amortization of note premium through June 30, 2019		(531	)
Amortization of deferred financing costs through June 30, 2019		154
Balance at June 30, 2019	$	945,173

Leases

6 Months Ended

Jun. 30, 2019

Leases

(10) Leases

We adopted Topic 842 on January 1, 2019. Because we adopted Topic 842 using the transition method that allowed us to initially apply Topic 842 as of January 1, 2019 and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption, prior year financial statements were not recast under the new standard and, therefore, those prior year amounts are not presented below.

Our lease portfolio is substantially comprised of operating leases related to leases of real estate and improvements at 84 of our 96 branch locations as of June 30, 2019. From time to time, we may also lease various types of small equipment and vehicles. Such leases are typically immaterial to our consolidated financial statements.

For leases with terms greater than 12 months, we record the related asset and obligation at the present value of lease payments over the term. Many of our leases include rental escalation clauses, renewal options and/or termination options that are factored into our determination of lease payments when such renewal options and/or termination options are reasonably certain of exercise. We do not separate lease and nonlease components of contracts.

When available, we use the rate implicit in the lease to discount lease payments to present value; however, most of our leases do not provide a readily determinable implicit rate. Therefore, we must estimate our incremental borrowing rate to discount the lease payments based on information available at lease commencement.

At June 30, 2019, as disclosed in our condensed consolidated balance sheet, we had net operating lease right-of-use assets of $163.8 million and net finance lease right-of-use assets of $0.4 million. Our operating lease liabilities at June 30, 2019 were $166.2 million and finance lease liabilities were $0.7 million. The weighted average remaining lease term for operating leases was approximately 10.9 years and the weighted average remaining lease term for finance leases was approximately 2.75 years. The weighted average discount rate for operating and finance leases was approximately 6.9% and 5.9%, respectively.

The table below presents certain information related to lease costs for our operating and finance leases for the three and six month periods ended June 30, 2019 (in thousands).

		Three Month			Six Month
		Period Ended			Period Ended
	Classification	June 30, 2019			June 30, 2019
Operating lease cost	SG&A expenses	$	5,680		$	11,255
Finance lease cost
Amortization of leased assets	SG&A expenses		40			81
Interest on lease liabilities	Interest expense		10			21
Variable lease cost	SG&A expenses		150			274
Sublease income	Other income		(130	)		(250	)
Total lease cost		$	5,750		$	11,381

The table below presents supplemental cash flow information related to leases for the three and six month periods ended June 30, 2019 (in thousands).

	Three Month		Six Month
	Period Ended		Period Ended
Cash paid for amounts included in the measurement of lease liabilities:	June 30, 2019		June 30, 2019
Operating cash flows for operating leases	$	5,532	$	10,961
Operating cash flows for finance leases		10		21
Finance cash flows for finance leases		57		114

The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities recorded on our condensed consolidated balance sheet as of June 30, 2019 (in thousands).

	Operating			Finance
	Leases			Leases
2019	$	11,098		$	135
2020		22,126			270
2021		22,064			270
2022		21,899			45
2023		21,803			—
Thereafter		137,953			—
Total minimum lease payments		236,943			720
Less: amount of lease payments representing interest		(70,757	)		(52	)
Present value of future minimum lease payments	$	166,186		$	668

Segment Information

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Segment Information

(11) Segment Information

We have identified five reportable segments: equipment rentals, new equipment sales, used equipment sales, parts sales and services revenues. These segments are based upon how management of the Company allocates resources and assesses performance. Non-segmented revenues and non-segmented costs relate to equipment support activities including transportation, hauling, parts freight and damage-waiver charges and are not allocated to the other reportable segments. There were no sales between segments for any of the periods presented. Selling, general and administrative expenses as well as all other income and expense items below gross profit are not generally allocated to reportable segments.

We do not compile discrete financial information by segments other than the information presented below. The following table presents information about our reportable segments (amounts in thousands):

	Three Months Ended June 30,					Six Months Ended June 30,
	2019			2018		2019			2018
Segment Revenues:
Equipment rentals	$	192,302		$	152,714	$	368,431		$	289,752
New equipment sales		53,596			68,539		112,699			115,032
Used equipment sales		36,128			32,140		65,762			56,993
Parts sales		31,871			30,281		62,299			58,432
Services revenues		16,725			16,788		32,293			31,824
Total segmented revenues		330,622			300,462		641,484			552,033
Non-segmented revenues		2,975			9,902		5,751			18,813
Total revenues	$	333,597		$	310,364	$	647,235		$	570,846
Segment Gross Profit:
Equipment rentals	$	86,002		$	65,940	$	163,940		$	123,137
New equipment sales		6,532			7,313		13,536			12,961
Used equipment sales		12,807			10,368		23,429			18,284
Parts sales		8,581			8,350		16,720			15,884
Services revenues		11,366			11,036		21,930			21,022
Total segmented gross profit		125,288			103,007		239,555			191,288
Non-segmented gross profit (loss)		(507	)		5,096		(1,074	)		9,400
Total gross profit	$	124,781		$	108,103	$	238,481		$	200,688

	Balances at
	June 30,		December 31,
	2019		2018
Segment identified assets:
Equipment sales	$	108,053	$	86,583
Equipment rentals		1,244,499		1,141,498
Parts and services		19,708		18,015
Total segment identified assets		1,372,260		1,246,096
Non-segment identified assets		687,987		481,085
Total assets	$	2,060,247	$	1,727,181

The Company operates primarily in the United States and our sales to international customers for both the three month periods ended June 30, 2019 and 2018 were 0.1% of total revenues, and for both the six month periods ended June 30, 2019 and 2018 were 0.2%. No one customer accounted for more than 10% of our revenues on an overall or segment basis for any of the periods presented.

Condensed Consolidating Financial Information of Guarantor Subsidiaries

6 Months Ended

Jun. 30, 2019

Condensed Consolidating Financial Information of Guarantor Subsidiaries

(12) Condensed Consolidating Financial Information of Guarantor Subsidiaries

All of the indebtedness of H&E Equipment Services, Inc. is guaranteed by GNE Investments, Inc. and its wholly‑owned subsidiary Great Northern Equipment, Inc., H&E Equipment Services (California), LLC, H&E California Holding, Inc., H&E Equipment Services (Mid-Atlantic), Inc. and H&E Finance Corp. The guarantor subsidiaries are all wholly‑owned and the guarantees, made on a joint and several basis, are full and unconditional (subject to subordination provisions and subject to a standard limitation which provides that the maximum amount guaranteed by each guarantor will not exceed the maximum amount that can be guaranteed without making the guarantee void under fraudulent conveyance laws). There are no restrictions on H&E Equipment Services, Inc.’s ability to obtain funds from the guarantor subsidiaries by dividend or loan.

The consolidating financial statements of H&E Equipment Services, Inc. and its subsidiaries are included below. The financial statements for H&E Finance Corp. are not included within the consolidating financial statements because H&E Finance Corp. has no assets or operations.

CONDENSED CONSOLIDATING BALANCE SHEET

	As of June 30, 2019
	H&E Equipment Services		Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Assets:
Cash	$	6,701	$	—		$	—		$	6,701
Receivables, net		169,019		30,956			—			199,975
Inventories, net		116,215		11,547			—			127,762
Prepaid expenses and other assets		13,290		208			—			13,498
Rental equipment, net		1,082,560		161,939			—			1,244,499
Property and equipment, net		104,221		17,515			—			121,736
Operating lease right-of-use assets, net		142,499		21,265			—			163,764
Finance lease right-of-use assets, net		—		447			—			447
Deferred financing costs, net		3,207		—			—			3,207
Investment in guarantor subsidiaries		247,927		—			(247,927	)		—
Intangible assets, net		35,032		—			—			35,032
Goodwill		114,100		29,526			—			143,626
Total assets	$	2,034,771	$	273,403		$	(247,927	)	$	2,060,247
Liabilities and Stockholders’ Equity:
Amounts due on senior secured credit facility		282,710	$	—		$	—		$	282,710
Accounts payable		113,021		5,784			—			118,805
Manufacturer flooring plans payable		25,066		—			—			25,066
Accrued expenses payable and other liabilities		81,220		(2,680	)		—			78,540
Dividends payable		168		(56	)		—			112
Senior unsecured notes, net		945,173		—			—			945,173
Operating lease right-of-use liabilities		144,426		21,760			—			166,186
Finance lease right-of-use liabilities		—		668			—			668
Deferred income taxes		165,352		—			—			165,352
Deferred compensation payable		2,044		—			—			2,044
Total liabilities		1,759,180		25,476			—			1,784,656
Stockholders’ equity		275,591		247,927			(247,927	)		275,591
Total liabilities and stockholders’ equity	$	2,034,771	$	273,403		$	(247,927	)	$	2,060,247

CONDENSED CONSOLIDATING BALANCE SHEET

	As of December 31, 2018
	H&E Equipment Services		Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Assets:
Cash	$	16,677	$	—		$	—		$	16,677
Receivables, net		166,393		35,163			—			201,556
Inventories, net		94,483		10,115			—			104,598
Prepaid expenses and other assets		10,382		126			—			10,508
Rental equipment, net		983,281		158,217			—			1,141,498
Property and equipment, net		98,251		16,870			—			115,121
Deferred financing costs, net		3,000		—			—			3,000
Investment in guarantor subsidiaries		246,309		—			(246,309	)		—
Intangible assets, net		28,380		—			—			28,380
Goodwill		76,317		29,526			—			105,843
Total assets	$	1,723,473	$	250,017		$	(246,309	)	$	1,727,181
Liabilities and Stockholders’ Equity:
Amounts due under senior secured credit facility	$	170,761	$	—		$	—		$	170,761
Accounts payable		95,866		5,974			—			101,840
Manufacturer flooring plans payable		23,178		488			—			23,666
Accrued expenses payable and other liabilities		76,798		(3,427	)		—			73,371
Dividends payable		185		(53	)		—			132
Senior unsecured notes, net		944,780		—			—			944,780
Capital leases payable		—		726			—			726
Deferred income taxes		153,113		—			—			153,113
Deferred compensation payable		1,989		—			—			1,989
Total liabilities		1,466,670		3,708			—			1,470,378
Stockholders’ equity		256,803		246,309			(246,309	)		256,803
Total liabilities and stockholders’ equity	$	1,723,473	$	250,017		$	(246,309	)	$	1,727,181

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Three Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	169,106		$	23,196		$	—		$	192,302
New equipment sales		47,040			6,556			—			53,596
Used equipment sales		30,369			5,759			—			36,128
Parts sales		27,488			4,383			—			31,871
Services revenues		14,141			2,584			—			16,725
Other		(291	)		3,266			—			2,975
Total revenues		287,853			45,744			—			333,597
Cost of revenues:
Rental depreciation		53,361			8,073			—			61,434
Rental expense		23,143			3,876			—			27,019
Rental other		17,847			—			—			17,847
		94,351			11,949			—			106,300
New equipment sales		41,179			5,885			—			47,064
Used equipment sales		19,622			3,699			—			23,321
Parts sales		20,220			3,070			—			23,290
Services revenues		4,558			801			—			5,359
Other		361			3,121			—			3,482
Total cost of revenues		180,291			28,525			—			208,816
Gross profit:
Equipment rentals		74,755			11,247			—			86,002
New equipment sales		5,861			671			—			6,532
Used equipment sales		10,747			2,060			—			12,807
Parts sales		7,268			1,313			—			8,581
Services revenues		9,583			1,783			—			11,366
Other		(652	)		145			—			(507	)
Gross profit		107,562			17,219			—			124,781
Selling, general and administrative expenses		67,858			9,982			—			77,840
Merger costs		148			—			—			148
Equity in earnings of guarantor subsidiaries		4,230			—			(4,230	)		—
Gain on sales of property and equipment, net		556			324			—			880
Income from operations		44,342			7,561			(4,230	)		47,673
Other income (expense):
Interest expense		(13,886	)		(3,381	)		—			(17,267	)
Other, net		439			50			—			489
Total other expense, net		(13,447	)		(3,331	)		—			(16,778	)
Income before income taxes		30,895			4,230			(4,230	)		30,895
Income tax expense		8,281			—			—			8,281
Net income	$	22,614		$	4,230		$	(4,230	)	$	22,614

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Three Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	130,785		$	21,929		$	—		$	152,714
New equipment sales		55,700			12,839			—			68,539
Used equipment sales		26,162			5,978			—			32,140
Parts sales		26,087			4,194			—			30,281
Services revenues		13,979			2,809			—			16,788
Other		8,449			1,453			—			9,902
Total revenues		261,162			49,202			—			310,364
Cost of revenues:
Rental depreciation		43,950			7,221			—			51,171
Rental expense		18,866			3,207			—			22,073
Rental other		11,163			2,367			—			13,530
		73,979			12,795			—			86,774
New equipment sales		49,712			11,514			—			61,226
Used equipment sales		17,559			4,213			—			21,772
Parts sales		18,987			2,944			—			21,931
Services revenues		4,755			997			—			5,752
Other		4,166			640			—			4,806
Total cost of revenues		169,158			33,103			—			202,261
Gross profit:
Equipment rentals		56,806			9,134			—			65,940
New equipment sales		5,988			1,325			—			7,313
Used equipment sales		8,603			1,765			—			10,368
Parts sales		7,100			1,250			—			8,350
Services revenues		9,224			1,812			—			11,036
Other		4,283			813			—			5,096
Gross profit		92,004			16,099			—			108,103
Selling, general and administrative expenses		57,738			11,308			—			69,046
Merger costs		68			—			—			68
Equity in earnings of guarantor subsidiaries		2,490			—			(2,490	)		—
Gain on sales of property and equipment, net		4,023			91			—			4,114
Income from operations		40,711			4,882			(2,490	)		43,103
Other income (expense):
Interest expense		(13,247	)		(2,446	)		—			(15,693	)
Other, net		405			54			—			459
Total other expense, net		(12,842	)		(2,392	)		—			(15,234	)
Income before income taxes		27,869			2,490			(2,490	)		27,869
Income tax benefit		7,098			—			—			7,098
Net income	$	20,771		$	2,490		$	(2,490	)	$	20,771

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Six Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	323,965		$	44,466		$	—		$	368,431
New equipment sales		99,616			13,083			—			112,699
Used equipment sales		55,580			10,182			—			65,762
Parts sales		54,042			8,257			—			62,299
Services revenues		27,307			4,986			—			32,293
Other		(224	)		5,975			—			5,751
Total revenues		560,286			86,949			—			647,235
Cost of revenues:
Rental depreciation		102,623			15,959			—			118,582
Rental expense		44,295			7,492			—			51,787
Rental other		34,122			—			—			34,122
		181,040			23,451			—			204,491
New equipment sales		87,639			11,524			—			99,163
Used equipment sales		35,833			6,500			—			42,333
Parts sales		39,812			5,767			—			45,579
Services revenues		8,841			1,522			—			10,363
Other		860			5,965			—			6,825
Total cost of revenues		354,025			54,729			—			408,754
Gross profit (loss):
Equipment rentals		142,925			21,015			—			163,940
New equipment sales		11,977			1,559			—			13,536
Used equipment sales		19,747			3,682			—			23,429
Parts sales		14,230			2,490			—			16,720
Services revenues		18,466			3,464			—			21,930
Other		(1,084	)		10			—			(1,074	)
Gross profit		206,261			32,220			—			238,481
Selling, general and administrative expenses		136,413			20,074			—			156,487
Merger costs		267			—			—			267
Equity in earnings of guarantor subsidiaries		5,955			—			(5,955	)		—
Gain on sales of property and equipment, net		1,263			358			—			1,621
Income from operations		76,799			12,504			(5,955	)		83,348
Other income (expense):
Interest expense		(27,448	)		(6,674	)		—			(34,122	)
Other, net		896			125			—			1,021
Total other expense, net		(26,552	)		(6,549	)		—			(33,101	)
Income before income taxes		50,247			5,955			(5,955	)		50,247
Income tax expense		13,390			—			—			13,390
Net income	$	36,857		$	5,955		$	(5,955	)	$	36,857

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Six Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	247,968		$	41,784		$	—		$	289,752
New equipment sales		95,601			19,431			—			115,032
Used equipment sales		46,388			10,605			—			56,993
Parts sales		50,434			7,998			—			58,432
Services revenues		26,761			5,063			—			31,824
Other		16,042			2,771			—			18,813
Total revenues		483,194			87,652			—			570,846
Cost of revenues:
Rental depreciation		83,509			14,131			—			97,640
Rental expense		37,126			6,219			—			43,345
Rental other		21,052			4,578			—			25,630
		141,687			24,928			—			166,615
New equipment sales		84,795			17,276			—			102,071
Used equipment sales		31,391			7,318			—			38,709
Parts sales		36,943			5,605			—			42,548
Services revenues		9,117			1,685			—			10,802
Other		8,193			1,220			—			9,413
Total cost of revenues		312,126			58,032			—			370,158
Gross profit (loss):
Equipment rentals		106,281			16,856			—			123,137
New equipment sales		10,806			2,155			—			12,961
Used equipment sales		14,997			3,287			—			18,284
Parts sales		13,491			2,393			—			15,884
Services revenues		17,644			3,378			—			21,022
Other		7,849			1,551			—			9,400
Gross profit		171,068			29,620			—			200,688
Selling, general and administrative expenses		112,746			22,180			—			134,926
Merger costs		220			—			—			220
Equity in earnings of guarantor subsidiaries		2,948			—			(2,948	)		—
Gain on sales of property and equipment, net		4,737			150			—			4,887
Income from operations		65,787			7,590			(2,948	)		70,429
Other income (expense):
Interest expense		(25,596	)		(4,750	)		—			(30,346	)
Other, net		746			108			—			854
Total other expense, net		(24,850	)		(4,642	)		—			(29,492	)
Income before income taxes		40,937			2,948			(2,948	)		40,937
Income tax benefit		10,688			—			—			10,688
Net income	$	30,249		$	2,948		$	(2,948	)	$	30,249

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Cash flows from operating activities:
Net income	$	36,857		$	5,955		$	(5,955	)	$	36,857
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment		11,993			1,634			—			13,627
Depreciation of rental equipment		102,623			15,959			—			118,582
Amortization of finance lease right-of-use assets		—			81			—			81
Amortization of intangible assets		2,049			—			—			2,049
Amortization of deferred financing costs		504			—			—			504
Accretion of note discount, net of premium amortization		239			—			—			239
Operating lease right-of-use liabilities, net		215			67			—			282
Provision for losses on accounts receivable		2,197			283			—			2,480
Provision for inventory obsolescence		115			—			—			115
Change in deferred income taxes		12,239			—			—			12,239
Stock-based compensation expense		2,023			—			—			2,023
Gain from sales of property and equipment, net		(1,263	)		(358	)		—			(1,621	)
Gain from sales of rental equipment, net		(19,568	)		(3,671	)		—			(23,239	)
Equity in earnings of guarantor subsidiaries		(5,955	)		—			5,955			—
Changes in operating assets and liabilities:
Receivables		840			3,924			—			4,764
Inventories		(49,636	)		(6,361	)		—			(55,997	)
Prepaid expenses and other assets		(2,887	)		(82	)		—			(2,969	)
Accounts payable		16,782			(190	)		—			16,592
Manufacturer flooring plans payable		1,888			(488	)		—			1,400
Accrued expenses payable and other liabilities		5,714			1,175			—			6,889
Deferred compensation payable		55			—			—			55
Net cash provided by operating activities		117,024			17,928			—			134,952
Cash flows from investing activities:
Acquisition of business, net of cash acquired		(106,746	)		—						(106,746	)
Purchases of property and equipment		(15,723	)		(2,845	)		—			(18,568	)
Purchases of rental equipment		(153,724	)		(20,950	)		—			(174,674	)
Proceeds from sales of property and equipment		1,777			396			—			2,173
Proceeds from sales of rental equipment		51,799			9,869			—			61,668
Investment in subsidiaries		4,337			—			(4,337	)		—
Net cash used in investing activities		(218,280	)		(13,530	)		(4,337	)		(236,147	)
Cash flows from financing activities:
Borrowings on senior secured credit facility		797,029			—			—			797,029
Payments on senior secured credit facility		(685,080	)		—			—			(685,080	)
Dividends paid		(19,667	)		(3	)		—			(19,670	)
Purchases of treasury stock		(387	)		—			—			(387	)
Payment of deferred financing costs		(559	)		—			—			(559	)
Payments on finance lease obligations		(56	)		(58	)		—			(114	)
Capital contributions		—			(4,337	)		4,337			—
Net cash provided by (used in) financing activities		91,280			(4,398	)		4,337			91,219
Net decrease in cash		(9,976	)		—			—			(9,976	)
Cash, beginning of period		16,677			—			—			16,677
Cash, end of period	$	6,701		$	—		$	—		$	6,701

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Cash flows from operating activities:
Net income	$	30,249		$	2,948		$	(2,948	)	$	30,249
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment		10,606			1,479			—			12,085
Depreciation of rental equipment		83,509			14,131			—			97,640
Amortization of intangible assets		1,485			—			—			1,485
Amortization of deferred financing costs		557			—			—			557
Accretion of note discount, net of premium amortization		239			—			—			239
Provision for losses on accounts receivable		1,195			484			—			1,679
Provision for inventory obsolescence		71			—			—			71
Change in deferred income taxes		10,743			—			—			10,743
Stock-based compensation expense		2,081			—			—			2,081
Gain from sales of property and equipment, net		(4,737	)		(150	)		—			(4,887	)
Gain from sales of rental equipment, net		(14,717	)		(3,289	)		—			(18,006	)
Equity in earnings of guarantor subsidiaries		(2,948	)		—			2,948			—
Changes in operating assets and liabilities:
Receivables		5,599			3,522			—			9,121
Inventories		(90,519	)		(13,112	)		—			(103,631	)
Prepaid expenses and other assets		(95	)		(33	)		—			(128	)
Accounts payable		59,775			(70	)		—			59,705
Manufacturer flooring plans payable		7,551			(793	)		—			6,758
Accrued expenses payable and other liabilities		1,395			(1,784	)		—			(389	)
Deferred compensation payable		43			—			—			43
Net cash provided by operating activities		102,082			3,333			—			105,415
Cash flows from investing activities:
Acquisition of business, net of cash acquired		(196,027	)		—			—			(196,027	)
Purchases of property and equipment		(12,990	)		(6,571	)		—			(19,561	)
Purchases of rental equipment		(189,589	)		(28,239	)		—			(217,828	)
Proceeds from sales of property and equipment		6,537			150			—			6,687
Proceeds from sales of rental equipment		41,946			10,231			—			52,177
Investment in subsidiaries		(21,208	)		—			21,208			—
Net cash used in investing activities		(371,331	)		(24,429	)		21,208			(374,552	)
Cash flows from financing activities:
Borrowings on senior secured credit facility		735,775			—			—			735,775
Payments on senior secured credit facility		(603,112	)		—			—			(603,112	)
Dividends paid		(19,616	)		(3	)		—			(19,619	)
Payments of deferred financing costs		(97	)		—			—			(97	)
Payments on capital lease obligations		—			(109	)		—			(109	)
Capital contributions		—			21,208			(21,208	)		—
Net cash provided by financing activities		112,950			21,096			(21,208	)		112,838
Net decrease in cash		(156,299	)		—			—			(156,299	)
Cash, beginning of period		165,878			—			—			165,878
Cash, end of period	$	9,579		$	—		$	—		$	9,579

Organization and Nature of Operations (Policies)

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Basis of Presentation

	Three Month Period Ended June 30, 2018							Six Month Period Ended June 30, 2018
	As Previously Reported		Hauling Fees			As Currently Reported		As Previously Reported		Hauling Fees			As Currently Reported
REVENUES
Equipment rentals	$	143,829	$	8,885		$	152,714	$	273,190	$	16,562		$	289,752
New equipment sales		68,539		—			68,539		115,032		—			115,032
Used equipment sales		32,140		—			32,140		56,993		—			56,993
Parts sales		30,281		—			30,281		58,432		—			58,432
Services revenues		16,788		—			16,788		31,824		—			31,824
Other		18,787		(8,885	)		9,902		35,375		(16,562	)		18,813
Total revenues		310,364		—			310,364		570,846		—			570,846

COST OF REVENUES
Rental depreciation		51,171		—			51,171		97,640		—			97,640
Rental expense		22,073		—			22,073		43,345		—			43,345
Rental other		—		13,530			13,530		—		25,630			25,630
		73,244		13,530			86,774		140,985		25,630			166,615
New equipment sales		61,226		—			61,226		102,071		—			102,071
Used equipment sales		21,772		—			21,772		38,709		—			38,709
Parts sales		21,931		—			21,931		42,548		—			42,548
Services revenues		5,752		—			5,752		10,802		—			10,802
Other		18,336		(13,530	)		4,806		35,043		(25,630	)		9,413
Total cost of revenues		202,261		—			202,261		370,158		—			370,158
Gross Profit	$	108,103	$	—		$	108,103	$	200,688	$	—		$	200,688

Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2019

Recent Accounting Pronouncements

Use of Estimates

Pronouncements Not Yet Adopted

Recently Adopted Accounting Pronouncements

Leases

Lessor Accounting

Lessee Accounting

Revenue Recognition

	Three Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	167,072	$	245	$	167,317	$	138,434	$	394	$	138,828
Re-rent revenue		6,520		—		6,520		5,001		—		5,001
Ancillary and other rental revenues:
Delivery and pick-up		—		10,313		10,313		—		8,885		8,885
Other		8,152		—		8,152		—		—		—
Total ancillary rental revenues		8,152		10,313		18,465		—		8,885		8,885
Total equipment rental revenues		181,744		10,558		192,302		143,435		9,279		152,714
New equipment sales		—		53,596		53,596		—		68,539		68,539
Used equipment sales		—		36,128		36,128		—		32,140		32,140
Parts sales		—		31,871		31,871		—		30,281		30,281
Service revenues		—		16,725		16,725		—		16,788		16,788
Other		—		2,975		2,975		6,787		3,115		9,902
Total revenues	$	181,744	$	151,853	$	333,597	$	150,222	$	160,142	$	310,364

	Six Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	320,422	$	519	$	320,941	$	262,169	$	915	$	263,084
Re-rent revenue		12,556		—		12,556		10,106		—		10,106
Ancillary and other rental revenues:
Delivery and pick-up		—		19,295		19,295		—		16,562		16,562
Other		15,639		—		15,639		—		—		—
Total ancillary rental revenues		15,639		19,295		34,934		—		16,562		16,562
Total equipment rental revenues		348,617		19,814		368,431		272,275		17,477		289,752
New equipment sales		—		112,699		112,699		—		115,032		115,032
Used equipment sales		—		65,762		65,762		—		56,993		56,993
Parts sales		—		62,299		62,299		—		58,432		58,432
Service revenues		—		32,293		32,293		—		31,824		31,824
Other		—		5,751		5,751		13,054		5,759		18,813
Total revenues	$	348,617	$	298,618	$	647,235	$	285,329	$	285,517	$	570,846

Lease revenues (Topic 842)

Revenues from contracts with customers (Topic 606)

Delivery and pick-up: Delivery and pick-up revenue associated with renting equipment is recognized when the service is performed.

New equipment sales: Revenues from the sales of new equipment are recognized at the time of delivery to, or pick-up by, the customer, which is when the customer obtains control of the promised good.

Receivables and contract assets and liabilities

Performance obligations

Payment terms

Sales tax amounts collected from customers are recorded on a net basis.

Contract costs

Contract estimates and judgments

Organization and Nature of Operations (Tables)

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Summary of Revenues, Cost of Revenues and Gross Profit as Previously Reported

	Three Month Period Ended June 30, 2018							Six Month Period Ended June 30, 2018
	As Previously Reported		Hauling Fees			As Currently Reported		As Previously Reported		Hauling Fees			As Currently Reported
REVENUES
Equipment rentals	$	143,829	$	8,885		$	152,714	$	273,190	$	16,562		$	289,752
New equipment sales		68,539		—			68,539		115,032		—			115,032
Used equipment sales		32,140		—			32,140		56,993		—			56,993
Parts sales		30,281		—			30,281		58,432		—			58,432
Services revenues		16,788		—			16,788		31,824		—			31,824
Other		18,787		(8,885	)		9,902		35,375		(16,562	)		18,813
Total revenues		310,364		—			310,364		570,846		—			570,846

COST OF REVENUES
Rental depreciation		51,171		—			51,171		97,640		—			97,640
Rental expense		22,073		—			22,073		43,345		—			43,345
Rental other		—		13,530			13,530		—		25,630			25,630
		73,244		13,530			86,774		140,985		25,630			166,615
New equipment sales		61,226		—			61,226		102,071		—			102,071
Used equipment sales		21,772		—			21,772		38,709		—			38,709
Parts sales		21,931		—			21,931		42,548		—			42,548
Services revenues		5,752		—			5,752		10,802		—			10,802
Other		18,336		(13,530	)		4,806		35,043		(25,630	)		9,413
Total cost of revenues		202,261		—			202,261		370,158		—			370,158
Gross Profit	$	108,103	$	—		$	108,103	$	200,688	$	—		$	200,688

Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Revenues by Type and by Applicable Accounting Standard

	Three Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	167,072	$	245	$	167,317	$	138,434	$	394	$	138,828
Re-rent revenue		6,520		—		6,520		5,001		—		5,001
Ancillary and other rental revenues:
Delivery and pick-up		—		10,313		10,313		—		8,885		8,885
Other		8,152		—		8,152		—		—		—
Total ancillary rental revenues		8,152		10,313		18,465		—		8,885		8,885
Total equipment rental revenues		181,744		10,558		192,302		143,435		9,279		152,714
New equipment sales		—		53,596		53,596		—		68,539		68,539
Used equipment sales		—		36,128		36,128		—		32,140		32,140
Parts sales		—		31,871		31,871		—		30,281		30,281
Service revenues		—		16,725		16,725		—		16,788		16,788
Other		—		2,975		2,975		6,787		3,115		9,902
Total revenues	$	181,744	$	151,853	$	333,597	$	150,222	$	160,142	$	310,364

	Six Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	320,422	$	519	$	320,941	$	262,169	$	915	$	263,084
Re-rent revenue		12,556		—		12,556		10,106		—		10,106
Ancillary and other rental revenues:
Delivery and pick-up		—		19,295		19,295		—		16,562		16,562
Other		15,639		—		15,639		—		—		—
Total ancillary rental revenues		15,639		19,295		34,934		—		16,562		16,562
Total equipment rental revenues		348,617		19,814		368,431		272,275		17,477		289,752
New equipment sales		—		112,699		112,699		—		115,032		115,032
Used equipment sales		—		65,762		65,762		—		56,993		56,993
Parts sales		—		62,299		62,299		—		58,432		58,432
Service revenues		—		32,293		32,293		—		31,824		31,824
Other		—		5,751		5,751		13,054		5,759		18,813
Total revenues	$	348,617	$	298,618	$	647,235	$	285,329	$	285,517	$	570,846

Acquisitions (Tables)

6 Months Ended

Jun. 30, 2019

CEC [Member]

Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date.

	$’s in thousands
Cash	$	1,244
Accounts receivable		7,583
Inventory		504
Prepaid expenses and other assets		324
Rental equipment		55,342
Property and equipment		2,700
Intangible assets (1)		21,500
Total identifiable assets acquired		89,197
Accounts payable		(1,023	)
Accrued expenses payable and other liabilities		(876	)
Total liabilities assumed		(1,899	)
Net identifiable assets acquired		87,298
Goodwill (2)		45,092
Net assets acquired	$	132,390

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	21,000		10
Tradenames		300		1
Leasehold interests		200		10
	$	21,500

(2)

We have allocated the $45.1 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	25,233
Rental Component 2		18,391
New Equipment		217
Used Equipment		632
Parts		379
Service		240
	$	45,092

Rental Inc [Member]

Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed

The following table summarizes the fair value of the assets acquired and liabilities assumed as of the acquisition date.

	$’s in thousands
Cash	$	260
Accounts receivable		2,873
Inventory		5,324
Prepaid expenses and other assets		47
Rental equipment		22,578
Property and equipment		1,935
Intangible assets (1)		10,200
Total identifiable assets acquired		43,217
Accounts payable		(439	)
Manufacturer flooring plans payable		(3,293	)
Accrued expenses payable and other liabilities		(469	)
Total liabilities assumed		(4,201	)
Net identifiable assets acquired		39,016
Goodwill (2)		29,554
Net assets acquired	$	68,570

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	10,000		10
Tradenames		200		1
	$	10,200

(2)

We have allocated the $29.6 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	9,064
Rental Component 2		5,445
New Equipment		10,217
Used Equipment		1,692
Parts		2,171
Service		965
	$	29,554

We-Rent-It [Member]

Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed

The following table summarizes the fair value of the assets acquired and liabilities assumed as of the acquisition date. The amounts presented below are not expected to change. As indicated in our quarterly reporting on Form 10-Q for the quarter ended March 31, 2019, the amounts previously presented therein were preliminary and subject to change, primarily as a result of the finalization of the fair values assigned to the acquired personal property and intangible assets.

	$’s in thousands
Cash	$	1,745
Accounts receivable		5,119
Inventory		731
Prepaid expenses and other assets		544
Rental equipment		51,747
Property and equipment		3,207
Other assets		21
Intangible assets (1)		8,700
Total identifiable assets acquired		71,814
Accounts payable		(115	)
Accrued expenses payable and other liabilities		(991	)
Total liabilities assumed		(1,106	)
Net identifiable assets acquired		70,708
Goodwill		37,783
Net assets acquired	$	108,491

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	8,500		10
Tradenames		200		1
	$	8,700

Unaudited Pro Forma Consolidated Statements of Income Information

The tables below present unaudited pro forma consolidated statements of operations information for the three and six month periods ended June 30, 2018 as if WRI was included in our consolidated results for the entire periods presented.

	(amounts in thousands, except per share data)
	Three Month Period Ended June 30, 2018
	H&E(1)		We-Rent-It			Total
Total revenues	$	310,364	$	9,640		$	320,004
Pretax income		27,869		2,432			30,301
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(1,976	)		(1,976	)
Intangible asset amortization (3)		—		(313	)		(313	)
Interest expense (4)		—		(1,476	)		(1,476	)
Elimination of historic interest expense (5)		—		126			126
Pro forma pretax income (loss)		27,869		(1,207	)		26,662
Income tax expense (benefit)		7,098		(301	)		6,797
Net income (loss)	$	20,771	$	(906	)	$	19,865
Net income (loss) per share – basic	$	0.58	$	(0.03	)	$	0.56
Net income (loss) per share – diluted	$	0.58	$	(0.03	)	$	0.55

	(amounts in thousands, except per share data)
	Six Month Period Ended June 30, 2018
	H&E(1)		Rental Inc.(6)			We-Rent-It			Total
Total revenues	$	570,846	$	7,408		$	17,227		$	595,481
Pretax income		40,937		1,020			3,216			45,173
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(749	)		(2,226	)		(2,975	)
Intangible asset amortization (3)		—		(275	)		(435	)		(710	)
Interest expense (4)		—		(480	)		(2,832	)		(3,312	)
Elimination of historic interest expense (5)		—		82			206			288
Pro forma pretax income (loss)		40,937		(402	)		(2,071	)		38,464
Income tax expense (benefit)		10,688		(105	)		(536	)		10,047
Net income (loss)	$	30,249	$	(297	)	$	(1,535	)	$	28,417
Net income (loss) per share – basic	$	0.85	$	(0.01	)	$	(0.04	)	$	0.80
Net income (loss) per share – diluted	$	0.84	$	(0.01	)	$	(0.04	)	$	0.79

(1)

Amounts presented above for “H&E” are derived from the Company’s consolidated statements of income in this Quarterly Report on Form 10-Q for the three and six month period ended June 30, 2018.

(2)

Depreciation of rental equipment and non-rental equipment were adjusted for the fair value markups, and the changes in useful lives and salvage values of the equipment acquired in the acquisition.

(3)

Represents the amortization of the intangible assets acquired in the acquisition.

(4)

Interest expense was adjusted to reflect the additional debt resulting from the acquisition.

(5)

Represents the elimination of historic debt of WRI that is not part of the combined entity.

(6)

Represents Rental Inc. pro forma operating results for the three month period ended March 31, 2018. We completed the Rental Inc. acquisition on April 1, 2018.

CEC and Rental Inc [Member]

Unaudited Pro Forma Consolidated Statements of Income Information

	(amounts in thousands)
	Three Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	249,363	$	8,140		$	8,979		$	266,482
Pretax income		15,668		1,448			2,105			19,221
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(809	)		(738	)		(1,547	)
Intangible asset amortization (2)		—		(705	)		(275	)		(980	)
Interest expense (3)		—		—			(475	)		(475	)
Elimination of historic interest expense (4)		—		139			102			241
Pro forma pretax income		15,668		73			719			16,460
Income tax expense		5,790		27			262			6,079
Net income	$	9,878	$	46		$	457		$	10,381
Net income per share – basic	$	0.28	$	—		$	0.01		$	0.29
Net income per share – diluted	$	0.28	$	—		$	0.01		$	0.29

	(amounts in thousands)
	Six Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	476,191	$	16,529		$	17,225		$	509,945
Pretax income		24,198		2,889			4,158			31,245
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(1,712	)		(1,381	)		(3,093	)
Intangible asset amortization (2)		—		(1,410	)		(550	)		(1,960	)
Interest expense (3)		—		—			(995	)		(995	)
Elimination of historic interest expense (4)		—		263			202			465
Pro forma pretax income		24,198		30			1,434			25,662
Income tax expense		8,930		11			523			9,464
Net income	$	15,268	$	19		$	911		$	16,198
Net income per share – basic	$	0.43	$	—		$	0.03		$	0.46
Net income per share – diluted	$	0.43	$	—		$	0.03		$	0.45

(1)

(2)

Represents the amortization of the intangible assets acquired in the CEC and Rental Inc. acquisitions.

(3)

(4)

Historic debt of CEC and Rental Inc. that is not part of the combined entity was eliminated.

Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2019

Estimated Incremental Borrowing Rates for Similar Types of Borrowing Arrangements

The carrying amounts and fair values of our other financial instruments subject to fair value disclosures as of June 30, 2019 and December 31, 2018 are presented in the table below (amounts in thousands) and have been calculated based upon market quotes and present value calculations based on market rates.

	June 30, 2019
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	25,066	$	21,196
Senior unsecured notes with interest computed at 5.625% (Level 2)		945,173		978,500
Letter of credit (Level 3)		—		97

	December 31, 2018
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	23,666	$	19,870
Senior unsecured notes with interest computed at 5.625% (Level 2)		944,780		871,625
Capital leases payable with interest computed at 5.929% to 9.55% (Level 3)		726		330
Letter of credit (Level 3)		—		116

Stockholders' Equity (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Activity in Stockholders' Equity

	Common Stock					Additional									Total
	Shares Issued			Amount		Paid-in Capital			Treasury Stock			Retained Earnings			Stockholders’ Equity
Balances at December 31, 2018		39,748,562		$	396	$	231,174		$	(63,099	)	$	88,332		$	256,803
Stock-based compensation		—			—		1,188			—			—			1,188
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,793	)		(9,793	)
Issuance of common stock, net of restricted stock forfeitures		59,510			1					—			—			1
Repurchase of 14,272 shares of restricted common stock		—			—		—			(387	)		—			(387	)
Cumulative effect adjustment pursuant to the adoption of ASC 842		—			—		—			—			(56	)		(56	)
Net income		—			—		—			—			14,243			14,243
Balances at March 31, 2019		39,808,072			397		232,362			(63,486	)		92,726			261,999
Stock-based compensation							835									835
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,857	)		(9,857	)
Restricted stock forfeitures		(2,666	)													—
Net income		—			—		—			—			22,614			22,614
Balances at June 30, 2019		39,805,406		$	397	$	233,197		$	(63,486	)	$	105,483		$	275,591

Balances at December 31, 2017		39,623,773		$	395	$	227,070		$	(61,749	)	$	51,077		$	216,793
Stock-based compensation		—			—		1,319			—			—			1,319
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,845	)		(9,845	)
Issuance of common stock, net of restricted stock forfeitures		9,534			—		—			—			—			—
Net income		—			—		—			—			9,478			9,478
Balances at March 31, 2018		39,633,307			395		228,389			(61,749	)		50,710			217,745
Stock-based compensation		—			—		762			—			—			762
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,813	)		(9,813	)
Issuance of common stock, net of restricted stock forfeitures		29,033			1		(110	)		—			—			(109	)
Net income		—			—		—			—			20,771			20,771
Balances at June 30, 2018		39,662,340		$	396	$	229,041		$	(61,749	)	$	61,668		$	229,356

Stock-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Schedule of Non-Vested Stock Activity

The following table summarizes our non-vested stock activity for the six months ended June 30, 2019:

	Number of Shares			Weighted Average Grant Date Fair Value
Non-vested stock at December 31, 2018		379,559		$	25.87
Granted		20,923		$	26.77
Vested		(57,296	)	$	21.60
Forfeited		(27,786	)	$	20.87
Non-vested stock at June 30, 2019		315,400		$	27.15

Schedule of Compensation Expense Related to Non-Vested Stock

The following table summarizes compensation expense related to non-vested stock, which is included in selling, general and administrative expenses in the accompanying condensed consolidated statements of income for the three and six month periods ended June 30, 2019 and 2018 (amounts in thousands):

For the Three Months Ended

June 30,

For the Six Months Ended

June 30,

2019

2018

2019

2018

Compensation expense

835

762

2,023

2,081

Income per Share (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Computation of Basic and Diluted Net Income Per Common Share

The following table sets forth the computation of basic and diluted net income per common share for the three and six month periods ended June 30, 2019 and 2018 (amounts in thousands, except per share amounts):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2019		2018		2019		2018
Basic net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Net income per share of common stock – basic	$	0.63	$	0.58	$	1.03	$	0.85
Diluted net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Effect of dilutive securities:
Effect of dilutive non-vested restricted stock		190		272		187		280
Weighted average number of common shares outstanding – diluted		36,016		35,906		35,994		35,893
Net income per share of common stock – diluted	$	0.63	$	0.58	$	1.02	$	0.84
Common shares excluded from the denominator as anti-dilutive:
Non-vested restricted stock		—		—		19		—

Senior Unsecured Notes (Tables)

6 Months Ended

Jun. 30, 2019

Reconciliation of Senior Unsecured Notes to Condensed Consolidated Balance Sheets

The following table reconciles our Senior Unsecured Notes to our Condensed Consolidated Balance Sheets (amounts in thousands):

Balance at December 31, 2017	$	944,088
Accretion of discount through December 31, 2018		1,539
Amortization of note premium through December 31, 2018		(1,062	)
Additional deferred financing costs on New Notes		(97	)
Amortization of deferred financing costs through December 31, 2018		312
Balance at December 31, 2018	$	944,780
Accretion of discount through June 30, 2019		770
Amortization of note premium through June 30, 2019		(531	)
Amortization of deferred financing costs through June 30, 2019		154
Balance at June 30, 2019	$	945,173

Leases (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Lease Costs for Operating and Finance Leases

The table below presents certain information related to lease costs for our operating and finance leases for the three and six month periods ended June 30, 2019 (in thousands).

		Three Month			Six Month
		Period Ended			Period Ended
	Classification	June 30, 2019			June 30, 2019
Operating lease cost	SG&A expenses	$	5,680		$	11,255
Finance lease cost
Amortization of leased assets	SG&A expenses		40			81
Interest on lease liabilities	Interest expense		10			21
Variable lease cost	SG&A expenses		150			274
Sublease income	Other income		(130	)		(250	)
Total lease cost		$	5,750		$	11,381

Schedule of Supplemental Cash Flow Information Related to Leases

The table below presents supplemental cash flow information related to leases for the three and six month periods ended June 30, 2019 (in thousands).

	Three Month		Six Month
	Period Ended		Period Ended
Cash paid for amounts included in the measurement of lease liabilities:	June 30, 2019		June 30, 2019
Operating cash flows for operating leases	$	5,532	$	10,961
Operating cash flows for finance leases		10		21
Finance cash flows for finance leases		57		114

Summary of Undiscounted Cash Flows and Operating Lease Liabilities Recorded on Condensed Consolidated Balance Sheet

	Operating			Finance
	Leases			Leases
2019	$	11,098		$	135
2020		22,126			270
2021		22,064			270
2022		21,899			45
2023		21,803			—
Thereafter		137,953			—
Total minimum lease payments		236,943			720
Less: amount of lease payments representing interest		(70,757	)		(52	)
Present value of future minimum lease payments	$	166,186		$	668

Segment Information (Tables)

6 Months Ended

Jun. 30, 2019

Schedule of Information about Reportable Segments

The following table presents information about our reportable segments (amounts in thousands):

	Three Months Ended June 30,					Six Months Ended June 30,
	2019			2018		2019			2018
Segment Revenues:
Equipment rentals	$	192,302		$	152,714	$	368,431		$	289,752
New equipment sales		53,596			68,539		112,699			115,032
Used equipment sales		36,128			32,140		65,762			56,993
Parts sales		31,871			30,281		62,299			58,432
Services revenues		16,725			16,788		32,293			31,824
Total segmented revenues		330,622			300,462		641,484			552,033
Non-segmented revenues		2,975			9,902		5,751			18,813
Total revenues	$	333,597		$	310,364	$	647,235		$	570,846
Segment Gross Profit:
Equipment rentals	$	86,002		$	65,940	$	163,940		$	123,137
New equipment sales		6,532			7,313		13,536			12,961
Used equipment sales		12,807			10,368		23,429			18,284
Parts sales		8,581			8,350		16,720			15,884
Services revenues		11,366			11,036		21,930			21,022
Total segmented gross profit		125,288			103,007		239,555			191,288
Non-segmented gross profit (loss)		(507	)		5,096		(1,074	)		9,400
Total gross profit	$	124,781		$	108,103	$	238,481		$	200,688

	Balances at
	June 30,		December 31,
	2019		2018
Segment identified assets:
Equipment sales	$	108,053	$	86,583
Equipment rentals		1,244,499		1,141,498
Parts and services		19,708		18,015
Total segment identified assets		1,372,260		1,246,096
Non-segment identified assets		687,987		481,085
Total assets	$	2,060,247	$	1,727,181

Condensed Consolidating Financial Information of Guarantor Subsidiaries (Tables)

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Condensed Consolidating Balance Sheet

CONDENSED CONSOLIDATING BALANCE SHEET

	As of June 30, 2019
	H&E Equipment Services		Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Assets:
Cash	$	6,701	$	—		$	—		$	6,701
Receivables, net		169,019		30,956			—			199,975
Inventories, net		116,215		11,547			—			127,762
Prepaid expenses and other assets		13,290		208			—			13,498
Rental equipment, net		1,082,560		161,939			—			1,244,499
Property and equipment, net		104,221		17,515			—			121,736
Operating lease right-of-use assets, net		142,499		21,265			—			163,764
Finance lease right-of-use assets, net		—		447			—			447
Deferred financing costs, net		3,207		—			—			3,207
Investment in guarantor subsidiaries		247,927		—			(247,927	)		—
Intangible assets, net		35,032		—			—			35,032
Goodwill		114,100		29,526			—			143,626
Total assets	$	2,034,771	$	273,403		$	(247,927	)	$	2,060,247
Liabilities and Stockholders’ Equity:
Amounts due on senior secured credit facility		282,710	$	—		$	—		$	282,710
Accounts payable		113,021		5,784			—			118,805
Manufacturer flooring plans payable		25,066		—			—			25,066
Accrued expenses payable and other liabilities		81,220		(2,680	)		—			78,540
Dividends payable		168		(56	)		—			112
Senior unsecured notes, net		945,173		—			—			945,173
Operating lease right-of-use liabilities		144,426		21,760			—			166,186
Finance lease right-of-use liabilities		—		668			—			668
Deferred income taxes		165,352		—			—			165,352
Deferred compensation payable		2,044		—			—			2,044
Total liabilities		1,759,180		25,476			—			1,784,656
Stockholders’ equity		275,591		247,927			(247,927	)		275,591
Total liabilities and stockholders’ equity	$	2,034,771	$	273,403		$	(247,927	)	$	2,060,247

CONDENSED CONSOLIDATING BALANCE SHEET

	As of December 31, 2018
	H&E Equipment Services		Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Assets:
Cash	$	16,677	$	—		$	—		$	16,677
Receivables, net		166,393		35,163			—			201,556
Inventories, net		94,483		10,115			—			104,598
Prepaid expenses and other assets		10,382		126			—			10,508
Rental equipment, net		983,281		158,217			—			1,141,498
Property and equipment, net		98,251		16,870			—			115,121
Deferred financing costs, net		3,000		—			—			3,000
Investment in guarantor subsidiaries		246,309		—			(246,309	)		—
Intangible assets, net		28,380		—			—			28,380
Goodwill		76,317		29,526			—			105,843
Total assets	$	1,723,473	$	250,017		$	(246,309	)	$	1,727,181
Liabilities and Stockholders’ Equity:
Amounts due under senior secured credit facility	$	170,761	$	—		$	—		$	170,761
Accounts payable		95,866		5,974			—			101,840
Manufacturer flooring plans payable		23,178		488			—			23,666
Accrued expenses payable and other liabilities		76,798		(3,427	)		—			73,371
Dividends payable		185		(53	)		—			132
Senior unsecured notes, net		944,780		—			—			944,780
Capital leases payable		—		726			—			726
Deferred income taxes		153,113		—			—			153,113
Deferred compensation payable		1,989		—			—			1,989
Total liabilities		1,466,670		3,708			—			1,470,378
Stockholders’ equity		256,803		246,309			(246,309	)		256,803
Total liabilities and stockholders’ equity	$	1,723,473	$	250,017		$	(246,309	)	$	1,727,181

Condensed Consolidating Statement of Income

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Three Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	169,106		$	23,196		$	—		$	192,302
New equipment sales		47,040			6,556			—			53,596
Used equipment sales		30,369			5,759			—			36,128
Parts sales		27,488			4,383			—			31,871
Services revenues		14,141			2,584			—			16,725
Other		(291	)		3,266			—			2,975
Total revenues		287,853			45,744			—			333,597
Cost of revenues:
Rental depreciation		53,361			8,073			—			61,434
Rental expense		23,143			3,876			—			27,019
Rental other		17,847			—			—			17,847
		94,351			11,949			—			106,300
New equipment sales		41,179			5,885			—			47,064
Used equipment sales		19,622			3,699			—			23,321
Parts sales		20,220			3,070			—			23,290
Services revenues		4,558			801			—			5,359
Other		361			3,121			—			3,482
Total cost of revenues		180,291			28,525			—			208,816
Gross profit:
Equipment rentals		74,755			11,247			—			86,002
New equipment sales		5,861			671			—			6,532
Used equipment sales		10,747			2,060			—			12,807
Parts sales		7,268			1,313			—			8,581
Services revenues		9,583			1,783			—			11,366
Other		(652	)		145			—			(507	)
Gross profit		107,562			17,219			—			124,781
Selling, general and administrative expenses		67,858			9,982			—			77,840
Merger costs		148			—			—			148
Equity in earnings of guarantor subsidiaries		4,230			—			(4,230	)		—
Gain on sales of property and equipment, net		556			324			—			880
Income from operations		44,342			7,561			(4,230	)		47,673
Other income (expense):
Interest expense		(13,886	)		(3,381	)		—			(17,267	)
Other, net		439			50			—			489
Total other expense, net		(13,447	)		(3,331	)		—			(16,778	)
Income before income taxes		30,895			4,230			(4,230	)		30,895
Income tax expense		8,281			—			—			8,281
Net income	$	22,614		$	4,230		$	(4,230	)	$	22,614

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Three Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	130,785		$	21,929		$	—		$	152,714
New equipment sales		55,700			12,839			—			68,539
Used equipment sales		26,162			5,978			—			32,140
Parts sales		26,087			4,194			—			30,281
Services revenues		13,979			2,809			—			16,788
Other		8,449			1,453			—			9,902
Total revenues		261,162			49,202			—			310,364
Cost of revenues:
Rental depreciation		43,950			7,221			—			51,171
Rental expense		18,866			3,207			—			22,073
Rental other		11,163			2,367			—			13,530
		73,979			12,795			—			86,774
New equipment sales		49,712			11,514			—			61,226
Used equipment sales		17,559			4,213			—			21,772
Parts sales		18,987			2,944			—			21,931
Services revenues		4,755			997			—			5,752
Other		4,166			640			—			4,806
Total cost of revenues		169,158			33,103			—			202,261
Gross profit:
Equipment rentals		56,806			9,134			—			65,940
New equipment sales		5,988			1,325			—			7,313
Used equipment sales		8,603			1,765			—			10,368
Parts sales		7,100			1,250			—			8,350
Services revenues		9,224			1,812			—			11,036
Other		4,283			813			—			5,096
Gross profit		92,004			16,099			—			108,103
Selling, general and administrative expenses		57,738			11,308			—			69,046
Merger costs		68			—			—			68
Equity in earnings of guarantor subsidiaries		2,490			—			(2,490	)		—
Gain on sales of property and equipment, net		4,023			91			—			4,114
Income from operations		40,711			4,882			(2,490	)		43,103
Other income (expense):
Interest expense		(13,247	)		(2,446	)		—			(15,693	)
Other, net		405			54			—			459
Total other expense, net		(12,842	)		(2,392	)		—			(15,234	)
Income before income taxes		27,869			2,490			(2,490	)		27,869
Income tax benefit		7,098			—			—			7,098
Net income	$	20,771		$	2,490		$	(2,490	)	$	20,771

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Six Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	323,965		$	44,466		$	—		$	368,431
New equipment sales		99,616			13,083			—			112,699
Used equipment sales		55,580			10,182			—			65,762
Parts sales		54,042			8,257			—			62,299
Services revenues		27,307			4,986			—			32,293
Other		(224	)		5,975			—			5,751
Total revenues		560,286			86,949			—			647,235
Cost of revenues:
Rental depreciation		102,623			15,959			—			118,582
Rental expense		44,295			7,492			—			51,787
Rental other		34,122			—			—			34,122
		181,040			23,451			—			204,491
New equipment sales		87,639			11,524			—			99,163
Used equipment sales		35,833			6,500			—			42,333
Parts sales		39,812			5,767			—			45,579
Services revenues		8,841			1,522			—			10,363
Other		860			5,965			—			6,825
Total cost of revenues		354,025			54,729			—			408,754
Gross profit (loss):
Equipment rentals		142,925			21,015			—			163,940
New equipment sales		11,977			1,559			—			13,536
Used equipment sales		19,747			3,682			—			23,429
Parts sales		14,230			2,490			—			16,720
Services revenues		18,466			3,464			—			21,930
Other		(1,084	)		10			—			(1,074	)
Gross profit		206,261			32,220			—			238,481
Selling, general and administrative expenses		136,413			20,074			—			156,487
Merger costs		267			—			—			267
Equity in earnings of guarantor subsidiaries		5,955			—			(5,955	)		—
Gain on sales of property and equipment, net		1,263			358			—			1,621
Income from operations		76,799			12,504			(5,955	)		83,348
Other income (expense):
Interest expense		(27,448	)		(6,674	)		—			(34,122	)
Other, net		896			125			—			1,021
Total other expense, net		(26,552	)		(6,549	)		—			(33,101	)
Income before income taxes		50,247			5,955			(5,955	)		50,247
Income tax expense		13,390			—			—			13,390
Net income	$	36,857		$	5,955		$	(5,955	)	$	36,857

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Six Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	247,968		$	41,784		$	—		$	289,752
New equipment sales		95,601			19,431			—			115,032
Used equipment sales		46,388			10,605			—			56,993
Parts sales		50,434			7,998			—			58,432
Services revenues		26,761			5,063			—			31,824
Other		16,042			2,771			—			18,813
Total revenues		483,194			87,652			—			570,846
Cost of revenues:
Rental depreciation		83,509			14,131			—			97,640
Rental expense		37,126			6,219			—			43,345
Rental other		21,052			4,578			—			25,630
		141,687			24,928			—			166,615
New equipment sales		84,795			17,276			—			102,071
Used equipment sales		31,391			7,318			—			38,709
Parts sales		36,943			5,605			—			42,548
Services revenues		9,117			1,685			—			10,802
Other		8,193			1,220			—			9,413
Total cost of revenues		312,126			58,032			—			370,158
Gross profit (loss):
Equipment rentals		106,281			16,856			—			123,137
New equipment sales		10,806			2,155			—			12,961
Used equipment sales		14,997			3,287			—			18,284
Parts sales		13,491			2,393			—			15,884
Services revenues		17,644			3,378			—			21,022
Other		7,849			1,551			—			9,400
Gross profit		171,068			29,620			—			200,688
Selling, general and administrative expenses		112,746			22,180			—			134,926
Merger costs		220			—			—			220
Equity in earnings of guarantor subsidiaries		2,948			—			(2,948	)		—
Gain on sales of property and equipment, net		4,737			150			—			4,887
Income from operations		65,787			7,590			(2,948	)		70,429
Other income (expense):
Interest expense		(25,596	)		(4,750	)		—			(30,346	)
Other, net		746			108			—			854
Total other expense, net		(24,850	)		(4,642	)		—			(29,492	)
Income before income taxes		40,937			2,948			(2,948	)		40,937
Income tax benefit		10,688			—			—			10,688
Net income	$	30,249		$	2,948		$	(2,948	)	$	30,249

Condensed Consolidating Statement of Cash Flows

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Cash flows from operating activities:
Net income	$	36,857		$	5,955		$	(5,955	)	$	36,857
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment		11,993			1,634			—			13,627
Depreciation of rental equipment		102,623			15,959			—			118,582
Amortization of finance lease right-of-use assets		—			81			—			81
Amortization of intangible assets		2,049			—			—			2,049
Amortization of deferred financing costs		504			—			—			504
Accretion of note discount, net of premium amortization		239			—			—			239
Operating lease right-of-use liabilities, net		215			67			—			282
Provision for losses on accounts receivable		2,197			283			—			2,480
Provision for inventory obsolescence		115			—			—			115
Change in deferred income taxes		12,239			—			—			12,239
Stock-based compensation expense		2,023			—			—			2,023
Gain from sales of property and equipment, net		(1,263	)		(358	)		—			(1,621	)
Gain from sales of rental equipment, net		(19,568	)		(3,671	)		—			(23,239	)
Equity in earnings of guarantor subsidiaries		(5,955	)		—			5,955			—
Changes in operating assets and liabilities:
Receivables		840			3,924			—			4,764
Inventories		(49,636	)		(6,361	)		—			(55,997	)
Prepaid expenses and other assets		(2,887	)		(82	)		—			(2,969	)
Accounts payable		16,782			(190	)		—			16,592
Manufacturer flooring plans payable		1,888			(488	)		—			1,400
Accrued expenses payable and other liabilities		5,714			1,175			—			6,889
Deferred compensation payable		55			—			—			55
Net cash provided by operating activities		117,024			17,928			—			134,952
Cash flows from investing activities:
Acquisition of business, net of cash acquired		(106,746	)		—						(106,746	)
Purchases of property and equipment		(15,723	)		(2,845	)		—			(18,568	)
Purchases of rental equipment		(153,724	)		(20,950	)		—			(174,674	)
Proceeds from sales of property and equipment		1,777			396			—			2,173
Proceeds from sales of rental equipment		51,799			9,869			—			61,668
Investment in subsidiaries		4,337			—			(4,337	)		—
Net cash used in investing activities		(218,280	)		(13,530	)		(4,337	)		(236,147	)
Cash flows from financing activities:
Borrowings on senior secured credit facility		797,029			—			—			797,029
Payments on senior secured credit facility		(685,080	)		—			—			(685,080	)
Dividends paid		(19,667	)		(3	)		—			(19,670	)
Purchases of treasury stock		(387	)		—			—			(387	)
Payment of deferred financing costs		(559	)		—			—			(559	)
Payments on finance lease obligations		(56	)		(58	)		—			(114	)
Capital contributions		—			(4,337	)		4,337			—
Net cash provided by (used in) financing activities		91,280			(4,398	)		4,337			91,219
Net decrease in cash		(9,976	)		—			—			(9,976	)
Cash, beginning of period		16,677			—			—			16,677
Cash, end of period	$	6,701		$	—		$	—		$	6,701

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Cash flows from operating activities:
Net income	$	30,249		$	2,948		$	(2,948	)	$	30,249
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment		10,606			1,479			—			12,085
Depreciation of rental equipment		83,509			14,131			—			97,640
Amortization of intangible assets		1,485			—			—			1,485
Amortization of deferred financing costs		557			—			—			557
Accretion of note discount, net of premium amortization		239			—			—			239
Provision for losses on accounts receivable		1,195			484			—			1,679
Provision for inventory obsolescence		71			—			—			71
Change in deferred income taxes		10,743			—			—			10,743
Stock-based compensation expense		2,081			—			—			2,081
Gain from sales of property and equipment, net		(4,737	)		(150	)		—			(4,887	)
Gain from sales of rental equipment, net		(14,717	)		(3,289	)		—			(18,006	)
Equity in earnings of guarantor subsidiaries		(2,948	)		—			2,948			—
Changes in operating assets and liabilities:
Receivables		5,599			3,522			—			9,121
Inventories		(90,519	)		(13,112	)		—			(103,631	)
Prepaid expenses and other assets		(95	)		(33	)		—			(128	)
Accounts payable		59,775			(70	)		—			59,705
Manufacturer flooring plans payable		7,551			(793	)		—			6,758
Accrued expenses payable and other liabilities		1,395			(1,784	)		—			(389	)
Deferred compensation payable		43			—			—			43
Net cash provided by operating activities		102,082			3,333			—			105,415
Cash flows from investing activities:
Acquisition of business, net of cash acquired		(196,027	)		—			—			(196,027	)
Purchases of property and equipment		(12,990	)		(6,571	)		—			(19,561	)
Purchases of rental equipment		(189,589	)		(28,239	)		—			(217,828	)
Proceeds from sales of property and equipment		6,537			150			—			6,687
Proceeds from sales of rental equipment		41,946			10,231			—			52,177
Investment in subsidiaries		(21,208	)		—			21,208			—
Net cash used in investing activities		(371,331	)		(24,429	)		21,208			(374,552	)
Cash flows from financing activities:
Borrowings on senior secured credit facility		735,775			—			—			735,775
Payments on senior secured credit facility		(603,112	)		—			—			(603,112	)
Dividends paid		(19,616	)		(3	)		—			(19,619	)
Payments of deferred financing costs		(97	)		—			—			(97	)
Payments on capital lease obligations		—			(109	)		—			(109	)
Capital contributions		—			21,208			(21,208	)		—
Net cash provided by financing activities		112,950			21,096			(21,208	)		112,838
Net decrease in cash		(156,299	)		—			—			(156,299	)
Cash, beginning of period		165,878			—			—			165,878
Cash, end of period	$	9,579		$	—		$	—		$	9,579

Organization and Nature of Operations - Summary of Revenues, Cost of Revenues and Gross Profit as Previously Reported (Detail) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017
Revenues:
Revenues	$ 333,597	$ 310,364	$ 249,363	$ 647,235	$ 570,846	$ 476,191
Cost of revenues:
Cost of revenues	208,816	202,261		408,754	370,158
Gross Profit	124,781	108,103		238,481	200,688
As Previously Reported [Member]
Revenues:
Revenues		310,364			570,846
Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		310,364			570,846
Cost of revenues:
Cost of revenues		202,261			370,158
Gross Profit		108,103			200,688
Equipment Rentals [Member]
Revenues:
Revenues		152,714			289,752
Equipment Rentals [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		143,829			273,190
Equipment Rentals [Member] \| Accounting Standards Update 2014-09 \| Hauling Fees [Member]
Revenues:
Revenues		8,885			16,562
New Equipment Sales [Member]
Revenues:
Revenues	53,596	68,539		112,699	115,032
Cost of revenues:
Cost of revenues		61,226			102,071
New Equipment Sales [Member] \| As Previously Reported [Member]
Revenues:
Revenues		68,539			115,032
New Equipment Sales [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		68,539			115,032
Cost of revenues:
Cost of revenues		61,226			102,071
Used Equipment Sales [Member]
Revenues:
Revenues	36,128	32,140		65,762	56,993
Cost of revenues:
Cost of revenues		21,772			38,709
Used Equipment Sales [Member] \| As Previously Reported [Member]
Revenues:
Revenues		32,140			56,993
Used Equipment Sales [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		32,140			56,993
Cost of revenues:
Cost of revenues		21,772			38,709
Parts Sales [Member]
Revenues:
Revenues	31,871	30,281		62,299	58,432
Cost of revenues:
Cost of revenues		21,931			42,548
Parts Sales [Member] \| As Previously Reported [Member]
Revenues:
Revenues		30,281			58,432
Parts Sales [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		30,281			58,432
Cost of revenues:
Cost of revenues		21,931			42,548
Parts and Services [Member]
Revenues:
Revenues	16,725	16,788		32,293	31,824
Cost of revenues:
Cost of revenues		5,752			10,802
Parts and Services [Member] \| As Previously Reported [Member]
Revenues:
Revenues		16,788			31,824
Parts and Services [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		16,788			31,824
Cost of revenues:
Cost of revenues		5,752			10,802
Other [Member]
Revenues:
Revenues	$ 2,975	9,902		$ 5,751	18,813
Cost of revenues:
Cost of revenues		4,806			9,413
Other [Member] \| As Previously Reported [Member]
Revenues:
Revenues		9,902			18,813
Other [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		18,787			35,375
Cost of revenues:
Cost of revenues		18,336			35,043
Other [Member] \| Accounting Standards Update 2014-09 \| Hauling Fees [Member]
Revenues:
Revenues		(8,885)			(16,562)
Cost of revenues:
Cost of revenues		(13,530)			(25,630)
Rental Depreciation [Member]
Cost of revenues:
Cost of revenues		51,171			97,640
Rental Depreciation [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Cost of revenues:
Cost of revenues		51,171			97,640
Rental Expense [Member]
Cost of revenues:
Cost of revenues		22,073			43,345
Rental Expense [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Cost of revenues:
Cost of revenues		22,073			43,345
Rentals Other [Member]
Cost of revenues:
Cost of revenues		13,530			25,630
Rentals Other [Member] \| Accounting Standards Update 2014-09 \| Hauling Fees [Member]
Cost of revenues:
Cost of revenues		13,530			25,630
Equipment Rentals [Member]
Cost of revenues:
Cost of revenues		86,774			166,615
Equipment Rentals [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Cost of revenues:
Cost of revenues		73,244			140,985
Equipment Rentals [Member] \| Accounting Standards Update 2014-09 \| Hauling Fees [Member]
Cost of revenues:
Cost of revenues		$ 13,530			$ 25,630

Significant Accounting Policies - Additional Information (Detail)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019 USD ($) Customer	Jun. 30, 2018 Customer	Jun. 30, 2019 USD ($) Customer	Jun. 30, 2018 Customer	Dec. 31, 2018 Customer	Jan. 01, 2019 USD ($)
Summary Of Significant Accounting Policy [Line Items]
Adjustment to retained earnings	$ 70,757,000		$ 70,757,000
Additional operating lease liabilities, net of deferred rent	166,186,000		166,186,000
Right-of-use operating lease assets	163,764,000		163,764,000
Finance lease liabilities recognized	668,000		668,000
Finance right-of-use lease assets	$ 447,000		$ 447,000
Customer accounted for more than 10% of revenue \| Customer	0	0	0	0	0
Bad debt expense as a percentage of total revenues			0.40%	0.30%
ASU 2016-02 [Member]
Summary Of Significant Accounting Policy [Line Items]
Lease term	12 months		12 months
Additional operating lease liabilities, net of deferred rent	$ 162,800,000		$ 162,800,000
Right-of-use operating lease assets	162,800,000		162,800,000
Finance lease liabilities recognized	800,000		800,000
Finance right-of-use lease assets	$ 500,000		$ 500,000
ASU 2016-02 [Member] \| Maximum [Member]
Summary Of Significant Accounting Policy [Line Items]
Adjustment to retained earnings						$ 100,000

Significant Accounting Policies - Summary of Revenues by Type and by Applicable Accounting Standard (Detail) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017
Revenues:
Revenues	$ 333,597	$ 310,364	$ 249,363	$ 647,235	$ 570,846	$ 476,191
As Previously Reported [Member]
Revenues:
Revenues		310,364			570,846
ASU 2016-02 [Member]
Revenues:
Revenues	181,744			348,617
Accounting Standards Update 2014-09
Revenues:
Revenues	151,853	160,142		298,618	285,517
Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		310,364			570,846
Topic 840 [Member]
Revenues:
Revenues		150,222			285,329
Rental Revenues [Member] \| Owned Equipment Rentals [Member]
Revenues:
Revenues	167,317			320,941
Rental Revenues [Member] \| Owned Equipment Rentals [Member] \| As Previously Reported [Member]
Revenues:
Revenues		138,828			263,084
Rental Revenues [Member] \| Owned Equipment Rentals [Member] \| ASU 2016-02 [Member]
Revenues:
Revenues	167,072			320,422
Rental Revenues [Member] \| Owned Equipment Rentals [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	245	394		519	915
Rental Revenues [Member] \| Owned Equipment Rentals [Member] \| Topic 840 [Member]
Revenues:
Revenues		138,434			262,169
Rental Revenues [Member] \| Re Rent Revenues [Member]
Revenues:
Revenues	6,520			12,556
Rental Revenues [Member] \| Re Rent Revenues [Member] \| As Previously Reported [Member]
Revenues:
Revenues		5,001			10,106
Rental Revenues [Member] \| Re Rent Revenues [Member] \| ASU 2016-02 [Member]
Revenues:
Revenues	6,520			12,556
Rental Revenues [Member] \| Re Rent Revenues [Member] \| Topic 840 [Member]
Revenues:
Revenues		5,001			10,106
Ancillary And Other Rental Revenues [Member]
Revenues:
Revenues	18,465			34,934
Ancillary And Other Rental Revenues [Member] \| As Previously Reported [Member]
Revenues:
Revenues		8,885			16,562
Ancillary And Other Rental Revenues [Member] \| ASU 2016-02 [Member]
Revenues:
Revenues	8,152			15,639
Ancillary And Other Rental Revenues [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	10,313	8,885		19,295	16,562
Ancillary And Other Rental Revenues [Member] \| Delivery and Pick-up [Member]
Revenues:
Revenues	10,313			19,295
Ancillary And Other Rental Revenues [Member] \| Delivery and Pick-up [Member] \| As Previously Reported [Member]
Revenues:
Revenues		8,885			16,562
Ancillary And Other Rental Revenues [Member] \| Delivery and Pick-up [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	10,313	8,885		19,295	16,562
Ancillary And Other Rental Revenues [Member] \| Other [Member]
Revenues:
Revenues	8,152			15,639
Ancillary And Other Rental Revenues [Member] \| Other [Member] \| ASU 2016-02 [Member]
Revenues:
Revenues	8,152			15,639
Total Equipment Rental Revenues [Member]
Revenues:
Revenues	192,302			368,431
Total Equipment Rental Revenues [Member] \| As Previously Reported [Member]
Revenues:
Revenues		152,714			289,752
Total Equipment Rental Revenues [Member] \| ASU 2016-02 [Member]
Revenues:
Revenues	181,744			348,617
Total Equipment Rental Revenues [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	10,558	9,279		19,814	17,477
Total Equipment Rental Revenues [Member] \| Topic 840 [Member]
Revenues:
Revenues		143,435			272,275
New Equipment Sales [Member]
Revenues:
Revenues	53,596	68,539		112,699	115,032
New Equipment Sales [Member] \| As Previously Reported [Member]
Revenues:
Revenues		68,539			115,032
New Equipment Sales [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	53,596	68,539		112,699	115,032
New Equipment Sales [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		68,539			115,032
Used Equipment Sales [Member]
Revenues:
Revenues	36,128	32,140		65,762	56,993
Used Equipment Sales [Member] \| As Previously Reported [Member]
Revenues:
Revenues		32,140			56,993
Used Equipment Sales [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	36,128	32,140		65,762	56,993
Used Equipment Sales [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		32,140			56,993
Parts Sales [Member]
Revenues:
Revenues	31,871	30,281		62,299	58,432
Parts Sales [Member] \| As Previously Reported [Member]
Revenues:
Revenues		30,281			58,432
Parts Sales [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	31,871	30,281		62,299	58,432
Parts Sales [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		30,281			58,432
Parts and Services [Member]
Revenues:
Revenues	16,725	16,788		32,293	31,824
Parts and Services [Member] \| As Previously Reported [Member]
Revenues:
Revenues		16,788			31,824
Parts and Services [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	16,725	16,788		32,293	31,824
Parts and Services [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		16,788			31,824
Other [Member]
Revenues:
Revenues	2,975	9,902		5,751	18,813
Other [Member] \| As Previously Reported [Member]
Revenues:
Revenues		9,902			18,813
Other [Member] \| Accounting Standards Update 2014-09
Revenues:
Revenues	$ 2,975	3,115		$ 5,751	5,759
Other [Member] \| Accounting Standards Update 2014-09 \| As Previously Reported [Member]
Revenues:
Revenues		18,787			35,375
Other [Member] \| Topic 840 [Member]
Revenues:
Revenues		$ 6,787			$ 13,054

Acquisitions - Additional Information (Detail) $ in Thousands				3 Months Ended		6 Months Ended
	Feb. 01, 2019 USD ($) Branch ReportingUnit	Apr. 01, 2018 USD ($) Branch ReportingUnit	Jan. 01, 2018 USD ($) Branch ReportingUnit	Jun. 30, 2019 USD ($) Location	Jun. 30, 2018 USD ($)	Jun. 30, 2019 USD ($) Location	Jun. 30, 2018 USD ($)	Dec. 31, 2018 USD ($)
Business Acquisition [Line Items]
Number of branches located \| Location				96		96
Acquisition costs				$ 148	$ 68	$ 267	$ 220
Goodwill				$ 143,626		$ 143,626		$ 105,843
CEC [Member]
Business Acquisition [Line Items]
Business acquisition, completion date			Jan. 01, 2018
Number of branches located \| Branch			3
Aggregate consideration paid to the owners			$ 132,400
Percentage of goodwill deductible for income tax purposes			100.00%
Acquisition costs			$ 1,000
Goodwill			$ 45,092
Number of goodwill reporting units \| ReportingUnit			6
Rental Inc [Member]
Business Acquisition [Line Items]
Business acquisition, completion date		Apr. 01, 2018
Number of branches located \| Branch		5
Aggregate consideration paid to the owners		$ 68,600
Percentage of goodwill deductible for income tax purposes		100.00%
Acquisition costs		$ 300
Goodwill		$ 29,554
Number of goodwill reporting units \| ReportingUnit		6
Rental Inc [Member] \| Purchase Agreement [Member]
Business Acquisition [Line Items]
Accrued purchase price consideration included in goodwill		$ 3,400
We-Rent-It [Member]
Business Acquisition [Line Items]
Business acquisition, completion date	Feb. 01, 2019
Number of branches located \| Branch	6
Aggregate consideration paid to the owners	$ 108,500
Percentage of goodwill deductible for income tax purposes	100.00%
Acquisition costs	$ 400
Goodwill	$ 37,783
Number of goodwill reporting units \| ReportingUnit	6

Acquisitions - Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Feb. 01, 2019	Dec. 31, 2018	Apr. 01, 2018	Jan. 01, 2018
Business Acquisition [Line Items]
Goodwill	$ 143,626		$ 105,843
CEC [Member]
Business Acquisition [Line Items]
Cash					$ 1,244
Accounts receivable					7,583
Inventory					504
Prepaid expenses and other assets					324
Rental equipment					55,342
Property and equipment					2,700
Intangible assets					21,500
Total identifiable assets acquired					89,197
Accounts payable					(1,023)
Accrued expenses payable and other liabilities					(876)
Total liabilities assumed					(1,899)
Net identifiable assets acquired					87,298
Goodwill					45,092
Net assets acquired					$ 132,390
Rental Inc [Member]
Business Acquisition [Line Items]
Cash				$ 260
Accounts receivable				2,873
Inventory				5,324
Prepaid expenses and other assets				47
Rental equipment				22,578
Property and equipment				1,935
Intangible assets				10,200
Total identifiable assets acquired				43,217
Accounts payable				(439)
Manufacturer flooring plans payable				(3,293)
Accrued expenses payable and other liabilities				(469)
Total liabilities assumed				(4,201)
Net identifiable assets acquired				39,016
Goodwill				29,554
Net assets acquired				$ 68,570
We-Rent-It [Member]
Business Acquisition [Line Items]
Cash		$ 1,745
Accounts receivable		5,119
Inventory		731
Prepaid expenses and other assets		544
Rental equipment		51,747
Property and equipment		3,207
Other assets		21
Intangible assets		8,700
Total identifiable assets acquired		71,814
Accounts payable		(115)
Accrued expenses payable and other liabilities		(991)
Total liabilities assumed		(1,106)
Net identifiable assets acquired		70,708
Goodwill		37,783
Net assets acquired		$ 108,491

Acquisitions - Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed (Parenthetical) (Detail) $ in Thousands	Feb. 01, 2019 USD ($) ReportingUnit	Apr. 01, 2018 USD ($) ReportingUnit	Jan. 01, 2018 USD ($) ReportingUnit	Jun. 30, 2019 USD ($)	Dec. 31, 2018 USD ($)
Business Acquisition [Line Items]
Goodwill				$ 143,626	$ 105,843
CEC [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)			$ 21,500
Goodwill			$ 45,092
Number of goodwill reporting units \| ReportingUnit			6
CEC [Member] \| Rental Component 1 [Member]
Business Acquisition [Line Items]
Goodwill			$ 25,233
CEC [Member] \| Rental Component 2 [Member]
Business Acquisition [Line Items]
Goodwill			18,391
CEC [Member] \| New Equipment [Member]
Business Acquisition [Line Items]
Goodwill			217
CEC [Member] \| Used Equipment [Member]
Business Acquisition [Line Items]
Goodwill			632
CEC [Member] \| Parts [Member]
Business Acquisition [Line Items]
Goodwill			379
CEC [Member] \| Service [Member]
Business Acquisition [Line Items]
Goodwill			240
Rental Inc [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)		$ 10,200
Goodwill		$ 29,554
Number of goodwill reporting units \| ReportingUnit		6
Rental Inc [Member] \| Rental Component 1 [Member]
Business Acquisition [Line Items]
Goodwill		$ 9,064
Rental Inc [Member] \| Rental Component 2 [Member]
Business Acquisition [Line Items]
Goodwill		5,445
Rental Inc [Member] \| New Equipment [Member]
Business Acquisition [Line Items]
Goodwill		10,217
Rental Inc [Member] \| Used Equipment [Member]
Business Acquisition [Line Items]
Goodwill		1,692
Rental Inc [Member] \| Parts [Member]
Business Acquisition [Line Items]
Goodwill		2,171
Rental Inc [Member] \| Service [Member]
Business Acquisition [Line Items]
Goodwill		965
We-Rent-It [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)	$ 8,700
Goodwill	$ 37,783
Number of goodwill reporting units \| ReportingUnit	6
Customer Relationships [Member] \| CEC [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)			$ 21,000
Life (years)			10 years
Customer Relationships [Member] \| Rental Inc [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)		$ 10,000
Life (years)		10 years
Customer Relationships [Member] \| We-Rent-It [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)	$ 8,500
Life (years)	10 years
Tradenames [Member] \| CEC [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)			$ 300
Life (years)			1 year
Tradenames [Member] \| Rental Inc [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)		$ 200
Life (years)		1 year
Tradenames [Member] \| We-Rent-It [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)	$ 200
Life (years)	1 year
Leasehold Interests [Member] \| CEC [Member]
Business Acquisition [Line Items]
Fair Value (amounts in thousands)			$ 200
Life (years)			10 years

Acquisitions - Unaudited Pro Forma Consolidated Statements of Income Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017
Business Acquisition [Line Items]
Total revenues	$ 333,597	$ 310,364	$ 249,363	$ 647,235	$ 570,846	$ 476,191
Pretax income	$ 30,895	27,869	15,668	$ 50,247	40,937	24,198
Pro forma pretax income (loss)		27,869	15,668		40,937	24,198
Income tax expense (benefit)		7,098	5,790		10,688	8,930
Net income (loss)		$ 20,771	$ 9,878		$ 30,249	$ 15,268
Net income (loss) per share – basic		$ 0.58	$ 0.28		$ 0.85	$ 0.43
Net income (loss) per share - diluted		$ 0.58	$ 0.28		$ 0.84	$ 0.43
Pro forma adjustments to pretax income:
Total revenues		$ 320,004	$ 266,482		$ 595,481	$ 509,945
Pretax income		30,301	19,221		45,173	31,245
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation		(1,976)	(1,547)		(2,975)	(3,093)
Intangible asset amortization		(313)	(980)		(710)	(1,960)
Interest expense		(1,476)	(475)		(3,312)	(995)
Elimination of historic interest expense		126	241		288	465
Pro forma pretax income (loss)		26,662	16,460		38,464	25,662
Income tax expense (benefit)		6,797	6,079		10,047	9,464
Net income (loss)		$ 19,865	$ 10,381		$ 28,417	$ 16,198
Net income (loss) per share – basic		$ 0.56	$ 0.29		$ 0.80	$ 0.46
Net income (loss) per share - diluted		$ 0.55	$ 0.29		$ 0.79	$ 0.45
CEC [Member]
Business Acquisition [Line Items]
Total revenues			$ 8,140			$ 16,529
Pretax income			1,448			2,889
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation			(809)			(1,712)
Intangible asset amortization			(705)			(1,410)
Elimination of historic interest expense			139			263
Pro forma pretax income (loss)			73			30
Income tax expense (benefit)			27			11
Net income (loss)			46			19
Rental Inc [Member]
Business Acquisition [Line Items]
Total revenues			8,979		$ 7,408	17,225
Pretax income			2,105		1,020	4,158
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation			(738)		(749)	(1,381)
Intangible asset amortization			(275)		(275)	(550)
Interest expense			(475)		(480)	(995)
Elimination of historic interest expense			102		82	202
Pro forma pretax income (loss)			719		(402)	1,434
Income tax expense (benefit)			262		(105)	523
Net income (loss)			$ 457		$ (297)	$ 911
Net income (loss) per share – basic			$ 0.01		$ (0.01)	$ 0.03
Net income (loss) per share - diluted			$ 0.01		$ (0.01)	$ 0.03
We-Rent-It [Member]
Business Acquisition [Line Items]
Total revenues		$ 9,640			$ 17,227
Pretax income		2,432			3,216
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation		(1,976)			(2,226)
Intangible asset amortization		(313)			(435)
Interest expense		(1,476)			(2,832)
Elimination of historic interest expense		126			206
Pro forma pretax income (loss)		(1,207)			(2,071)
Income tax expense (benefit)		(301)			(536)
Net income (loss)		$ (906)			$ (1,535)
Net income (loss) per share – basic		$ (0.03)			$ (0.04)
Net income (loss) per share - diluted		$ (0.03)			$ (0.04)

Fair Value of Financial Instruments - Estimated Incremental Borrowing Rates for Similar Types of Borrowing Arrangements (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Level 3 [Member] \| Carrying Amount [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$ 25,066	$ 23,666
Capital leases payable with interest computed at 5.929% to 9.55% (Level 3)		726
Level 3 [Member] \| Fair Value [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	21,196	19,870
Capital leases payable with interest computed at 5.929% to 9.55% (Level 3)		330
Letter of credit (Level 3)	97	116
Level 2 [Member] \| Carrying Amount [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior unsecured notes with interest computed at 5.625% (Level 2)	945,173	944,780
Level 2 [Member] \| Fair Value [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior unsecured notes with interest computed at 5.625% (Level 2)	$ 978,500	$ 871,625

Fair Value of Financial Instruments - Estimated Incremental Borrowing Rates for Similar Types of Borrowing Arrangements (Parenthetical) (Detail)	Jun. 30, 2019	Dec. 31, 2018
Level 3 [Member] \| Carrying Amount [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Manufacturer flooring plans payable, interest rate	5.50%	5.50%
Capital lease payable, interest rate, minimum		5.929%
Capital lease payable interest rate, maximum		9.55%
Level 3 [Member] \| Fair Value [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Manufacturer flooring plans payable, interest rate	5.50%	5.50%
Capital lease payable, interest rate, minimum		5.929%
Capital lease payable interest rate, maximum		9.55%
Level 2 [Member] \| Carrying Amount [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior unsecured notes, interest rate	5.625%	5.625%
Level 2 [Member] \| Fair Value [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior unsecured notes, interest rate	5.625%	5.625%

Fair Value of Financial Instruments - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Fair Value Disclosures [Abstract]
Transfer of financial assets	$ 0	$ 0	$ 0	$ 0
Transfer of financial liabilities	$ 0	$ 0	$ 0	$ 0

Stockholders' Equity - Summary of Activity in Stockholders' Equity (Detail) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Schedule of Capitalization, Equity [Line Items]
Beginning Balances	$ 261,999	$ 256,803	$ 217,745	$ 216,793	$ 256,803	$ 216,793
Beginning Balances, shares		39,748,562			39,748,562
Stock-based compensation	835	$ 1,188	762	1,319
Cash dividends declared on common stock ($0.275 per share)	(9,857)	(9,793)	(9,813)	(9,845)
Issuance of common stock, net of restricted stock forfeitures		1	(109)
Repurchase of 14,272 shares of restricted common stock		(387)
Cumulative effect adjustment pursuant to the adoption of ASC 842		(56)
Net income	22,614	14,243	20,771	9,478	$ 36,857	30,249
Ending Balances	$ 275,591	261,999	229,356	217,745	$ 275,591	229,356
Ending Balances, shares	39,805,406				39,805,406
Common Stock [Member]
Schedule of Capitalization, Equity [Line Items]
Beginning Balances	$ 397	$ 396	$ 395	$ 395	$ 396	$ 395
Beginning Balances, shares	39,808,072	39,748,562	39,633,307	39,623,773	39,748,562	39,623,773
Issuance of common stock, net of restricted stock forfeitures		$ 1	$ 1
Issuance of common stock, net of restricted stock forfeitures, shares		59,510	29,033	9,534
Restricted stock forfeitures, shares	(2,666)
Ending Balances	$ 397	$ 397	$ 396	$ 395	$ 397	$ 396
Ending Balances, shares	39,805,406	39,808,072	39,662,340	39,633,307	39,805,406	39,662,340
Additional Paid-in Capital [Member]
Schedule of Capitalization, Equity [Line Items]
Beginning Balances	$ 232,362	$ 231,174	$ 228,389	$ 227,070	$ 231,174	$ 227,070
Stock-based compensation	835	1,188	762	1,319
Issuance of common stock, net of restricted stock forfeitures			(110)
Ending Balances	233,197	232,362	229,041	228,389	233,197	229,041
Treasury Stock [Member]
Schedule of Capitalization, Equity [Line Items]
Beginning Balances	(63,486)	(63,099)	(61,749)	(61,749)	(63,099)	(61,749)
Repurchase of 14,272 shares of restricted common stock		(387)
Ending Balances	(63,486)	(63,486)	(61,749)	(61,749)	(63,486)	(61,749)
Retained Earnings [Member]
Schedule of Capitalization, Equity [Line Items]
Beginning Balances	92,726	88,332	50,710	51,077	88,332	51,077
Cash dividends declared on common stock ($0.275 per share)	(9,857)	(9,793)	(9,813)	(9,845)
Cumulative effect adjustment pursuant to the adoption of ASC 842		(56)
Net income	22,614	14,243	20,771	9,478
Ending Balances	$ 105,483	$ 92,726	$ 61,668	$ 50,710	$ 105,483	$ 61,668

Stockholders' Equity - Summary of Activity in Stockholders' Equity (Parenthetical) (Detail) - $ / shares	3 Months Ended				6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Schedule of Capitalization, Equity [Line Items]
Cash dividends declared on common stock, per share	$ 0.275		$ 0.275		$ 0.55	$ 0.55
Repurchase of restricted common stock, shares		14,272
Retained Earnings [Member]
Schedule of Capitalization, Equity [Line Items]
Cash dividends declared on common stock, per share	$ 0.275	$ 0.275	$ 0.275	$ 0.275

Stock-Based Compensation - Additional Information (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2019 USD ($) shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized compensation expense related to non-vested stock \| $	$ 3.5
Expected non-vested stock recognized over a weighted-average period	1 year 7 months 6 days
2016 Stock-Based Incentive Compensation Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-Based incentive compensation plan \| shares	1,761,846

Stock-Based Compensation - Schedule of Non-Vested Stock Activity (Detail)	6 Months Ended
	Jun. 30, 2019 $ / shares shares
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Non-vested stock, beginning balance, Number of Shares \| shares	379,559
Granted, Number of Shares \| shares	20,923
Vested, Number of Shares \| shares	(57,296)
Forfeited, Number of Shares \| shares	(27,786)
Non-vested stock, ending balance, Number of Shares \| shares	315,400
Non-vested stock, beginning balance, Weighted Average Grant Date Fair Value \| $ / shares	$ 25.87
Granted, Weighted Average Grant Date Fair Value \| $ / shares	26.77
Vested, Weighted Average Grant Date Fair Value \| $ / shares	21.60
Forfeited, Weighted Average Grant Date Fair Value \| $ / shares	20.87
Non-vested stock, ending balance, Weighted Average Grant Date Fair Value \| $ / shares	$ 27.15

Stock-Based Compensation - Schedule of Compensation Expense Related to Non-Vested Stock (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Compensation expense	$ 835	$ 762	$ 2,023	$ 2,081

Income per Share - Additional Information (Detail)	3 Months Ended		6 Months Ended
Income per Share - Additional Information (Detail)	Mar. 31, 2019	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Earnings Per Share [Abstract]
Restricted common shares, percentage	0.70%	0.70%	0.70%	0.70%

Income per Share - Summary of Computation of Basic and Diluted Net Income Per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Basic net income per share:
Net income	$ 22,614	$ 14,243	$ 20,771	$ 9,478	$ 36,857	$ 30,249
Weighted average number of common shares outstanding	35,826		35,634		35,807	35,613
Net income per share of common stock – basic	$ 0.63		$ 0.58		$ 1.03	$ 0.85
Diluted net income per share:
Net income	$ 22,614	$ 14,243	$ 20,771	$ 9,478	$ 36,857	$ 30,249
Weighted average number of common shares outstanding	35,826		35,634		35,807	35,613
Effect of dilutive securities:
Weighted average number of common shares outstanding – diluted	36,016		35,906		35,994	35,893
Net income per share of common stock – diluted	$ 0.63		$ 0.58		$ 1.02	$ 0.84
Non-vested restricted stock [Member]
Effect of dilutive securities:
Effect of dilutive stock options and non-vested restricted stock	190		272		187	280
Common shares excluded from the denominator as anti-dilutive:
Common shares excluded from the denominator as anti-dilutive					19

Senior Secured Credit Facility - Additional Information (Detail) - USD ($)				6 Months Ended
	Feb. 01, 2019	Dec. 22, 2017	Dec. 21, 2017	Jun. 30, 2019	Jul. 18, 2019
Wells Fargo Capital Finance, LLC [Member] \| Credit Facility [Member]
Debt Instrument [Line Items]
Existing credit facility with its lenders				$ 750,000,000.0
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Existing credit facility with its lenders		$ 750,000,000	$ 602,500,000
Debt instrument maturity date description	extended the maturity date of the credit facility from December 22, 2022 to January 31, 2024			extended the maturity date of the Credit Facility from May 21, 2019 to December 22, 2022
Debt instrument maturity date	Jan. 31, 2024	Dec. 22, 2022	May 21, 2019
Uncommitted incremental revolving capacity		$ 250,000,000	$ 150,000,000
Outstanding letters of credit				$ 282,700,000
Available borrowings under our senior secured credit facility				$ 459,500,000
Revolving Credit Facility [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Outstanding letters of credit					$ 7,700,000
Available borrowings under our senior secured credit facility					$ 471,300,000
Revolving Credit Facility [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Unused commitment fee margin percentage				0.375%
Revolving Credit Facility [Member] \| Maximum [Member] \| Letter of Credit [Member]
Debt Instrument [Line Items]
Margin rate lowered in applicable to Letter of Credit				2.00%
Revolving Credit Facility [Member] \| Maximum [Member] \| Base Rate [Member]
Debt Instrument [Line Items]
Applicable margin Percentage	0.75%			1.00%
Revolving Credit Facility [Member] \| Maximum [Member] \| London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument [Line Items]
Applicable margin Percentage	1.75%			2.00%
Revolving Credit Facility [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Unused commitment fee margin percentage				0.25%
Revolving Credit Facility [Member] \| Minimum [Member] \| Letter of Credit [Member]
Debt Instrument [Line Items]
Margin rate lowered in applicable to Letter of Credit				1.50%
Revolving Credit Facility [Member] \| Minimum [Member] \| Base Rate [Member]
Debt Instrument [Line Items]
Applicable margin Percentage	0.25%			0.50%
Revolving Credit Facility [Member] \| Minimum [Member] \| London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument [Line Items]
Applicable margin Percentage	1.25%			1.50%
Letter of Credit Sub-Facility, and Guaranty [Member]
Debt Instrument [Line Items]
Existing credit facility with its lenders	$ 30,000,000

Senior Unsecured Notes - Additional Information (Detail) - USD ($)	Nov. 22, 2017	Sep. 25, 2017	Aug. 24, 2017	Jun. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Estimated offering expenses				$ 3,207,000	$ 3,000,000
Add-on Notes [Member]
Debt Instrument [Line Items]
Aggregate principal amount	$ 200,000,000
Senior unsecured notes, interest rate	5.625%
Senior unsecured notes, maturity year	2025
Net proceeds from sale of notes	$ 209,200
Price percentage for Add-on Notes, Principal amount	104.25%
5.6250% Senior Notes [Member]
Debt Instrument [Line Items]
Aggregate principal amount			$ 750,000,000
Senior unsecured notes, interest rate			5.625%
Senior unsecured notes, maturity year			2025
Estimated offering expenses			$ 10,300,000
Net proceeds from sale of notes			$ 739,700,000
Redemption price percentage as equal to principal amount of old notes to be redeemed			101.00%
Principal payments due until maturity			$ 0
Maturity date of notes			Sep. 01, 2025
Debt instrument, Payment terms			The New Notes were issued at par and require semiannual interest payments on March 1st and September 1st of each year, commencing on March 1, 2018. No principal payments are due until maturity (September 1, 2025).
Debt Instrument, Redemption description			The New Notes are redeemable, in whole or in part, at any time on or after September 1, 2020 at specified redemption prices plus accrued and unpaid interest to the date of redemption. We may redeem up to 40% of the aggregate principal amount of the New Notes before September 1, 2020 with the net cash proceeds from certain equity offerings. We may also redeem the New Notes prior to September 1, 2020 at a specified “make-whole” redemption price plus accrued and unpaid interest to the date of redemption.
5.6250% Senior Notes [Member] \| Maximum [Member] \| Before September 1, 2020 [Member]
Debt Instrument [Line Items]
Percentage of principal amount of new notes may be redeemed			40.00%
7% Senior Notes [Member]
Debt Instrument [Line Items]
Senior unsecured notes, interest rate			7.00%
Senior unsecured notes, maturity year			2022
Repurchase of notes			$ 329,700,000
Early tender deadline amount received on debt instrument			1,038.90
Principal amount of old notes			$ 1,000
Remaining principal amount outstanding of old notes redeemed		$ 300,300,000
Redemption price percentage as equal to principal amount of old notes to be redeemed		103.50%

Senior Unsecured Notes - Reconciliation of Senior Unsecured Notes to Condensed Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands	6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Debt Instrument [Line Items]
Senior unsecured notes, beginning balance	$ 944,780
Amortization of deferred financing costs	504	$ 557
Senior unsecured notes, ending balance	945,173		$ 944,780
Senior Unsecured Notes [Member]
Debt Instrument [Line Items]
Senior unsecured notes, beginning balance	944,780	$ 944,088	944,088
Accretion of discount	770		1,539
Amortization of note premium	(531)		(1,062)
Amortization of deferred financing costs	154		312
Senior unsecured notes, ending balance	$ 945,173		944,780
Senior Unsecured Notes [Member] \| 5.6250% Senior Notes [Member]
Debt Instrument [Line Items]
Additional deferred financing costs			$ (97)

Leases - Additional Information (Detail) $ in Thousands	Jun. 30, 2019 USD ($) Location
Leases [Abstract]
Number of operating leases locations related to real estate and improvements \| Location	84
Number of branch locations \| Location	96
Net operating lease right-of-use assets	$ 163,764
Net finance lease right-of-use assets	447
Operating lease liabilities	166,186
Finance lease liabilities	$ 668
Weighted average remaining lease term for operating leases	10 years 10 months 24 days
Weighted average remaining lease term for finance leases	2 years 9 months
Weighted average discount rate for operating leases	6.90%
Weighted average discount rate for finance leases	5.90%

Leases - Summary of Lease Costs for Operating and Finance Leases (Detail) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2019
Finance lease cost
Amortization of leased assets		$ 81
Total lease cost	$ 5,750	11,381
SG&A Expenses [Member]
Lessee Lease Description [Line Items]
Operating lease cost	5,680	11,255
Finance lease cost
Amortization of leased assets	40	81
Variable lease cost	150	274
Interest Expense [Member]
Finance lease cost
Interest on lease liabilities	10	21
Other Income [Member]
Finance lease cost
Sublease income	$ (130)	$ (250)

Leases - Summary of Supplemental Cash Flow Information Related to Leases (Detail) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$ 5,532	$ 10,961
Operating cash flows for finance leases	10	21
Finance cash flows for finance leases	$ 57	$ 114

Leases - Summary of Undiscounted Cash Flows and Operating Lease Liabilities Recorded on Condensed Consolidated Balance Sheet (Detail) $ in Thousands	Jun. 30, 2019 USD ($)
Operating Leases
2019	$ 11,098
2020	22,126
2021	22,064
2022	21,899
2023	21,803
Thereafter	137,953
Total minimum lease payments	236,943
Less: amount of lease payments representing interest	(70,757)
Additional operating lease liabilities, net of deferred rent	166,186
Finance Leases
2019	135
2020	270
2021	270
2022	45
Total minimum lease payments	720
Less: amount of lease payments representing interest	(52)
Finance lease liabilities recognized	$ 668

Segment Information - Additional Information (Detail)	3 Months Ended		6 Months Ended		12 Months Ended
Segment Information - Additional Information (Detail)	Jun. 30, 2019 Customer	Jun. 30, 2018 Customer	Jun. 30, 2019 Customer Segment	Jun. 30, 2018 Customer	Dec. 31, 2018 Customer
Segment Reporting [Abstract]
Number of reportable segment \| Segment			5
Sales to international customers	0.10%	0.10%	0.20%	0.20%
Customer accounted for more than 10% of revenue \| Customer	0	0	0	0	0

Segment Information - Schedule of Information about Reportable Segments (Detail) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2018
Segment Revenues:
Revenues	$ 333,597	$ 310,364	$ 249,363	$ 647,235	$ 570,846	$ 476,191
Segment Gross Profit:
Total gross profit	124,781	108,103		238,481	200,688
Segment identified assets:
Total assets	2,060,247			2,060,247			$ 1,727,181
Equipment Rentals [Member]
Segment Revenues:
Revenues	192,302	152,714		368,431	289,752
Segment Gross Profit:
Total gross profit	86,002	65,940		163,940	123,137
New Equipment Sales [Member]
Segment Revenues:
Revenues	53,596	68,539		112,699	115,032
Segment Gross Profit:
Total gross profit	6,532	7,313		13,536	12,961
Used Equipment Sales [Member]
Segment Revenues:
Revenues	36,128	32,140		65,762	56,993
Segment Gross Profit:
Total gross profit	12,807	10,368		23,429	18,284
Parts Sales [Member]
Segment Revenues:
Revenues	31,871	30,281		62,299	58,432
Segment Gross Profit:
Total gross profit	8,581	8,350		16,720	15,884
Services Revenues [Member]
Segment Revenues:
Revenues	16,725	16,788		32,293	31,824
Segment Gross Profit:
Total gross profit	11,366	11,036		21,930	21,022
Operating Segments [Member]
Segment Revenues:
Revenues	330,622	300,462		641,484	552,033
Segment Gross Profit:
Total gross profit	125,288	103,007		239,555	191,288
Segment identified assets:
Total assets	1,372,260			1,372,260			1,246,096
Operating Segments [Member] \| Equipment Rentals [Member]
Segment Revenues:
Revenues	192,302	152,714		368,431	289,752
Segment Gross Profit:
Total gross profit	86,002	65,940		163,940	123,137
Segment identified assets:
Total assets	1,244,499			1,244,499			1,141,498
Operating Segments [Member] \| New Equipment Sales [Member]
Segment Revenues:
Revenues	53,596	68,539		112,699	115,032
Segment Gross Profit:
Total gross profit	6,532	7,313		13,536	12,961
Operating Segments [Member] \| Used Equipment Sales [Member]
Segment Revenues:
Revenues	36,128	32,140		65,762	56,993
Segment Gross Profit:
Total gross profit	12,807	10,368		23,429	18,284
Segment identified assets:
Total assets	108,053			108,053			86,583
Operating Segments [Member] \| Parts Sales [Member]
Segment Revenues:
Revenues	31,871	30,281		62,299	58,432
Segment Gross Profit:
Total gross profit	8,581	8,350		16,720	15,884
Operating Segments [Member] \| Services Revenues [Member]
Segment Revenues:
Revenues	16,725	16,788		32,293	31,824
Segment Gross Profit:
Total gross profit	11,366	11,036		21,930	21,022
Operating Segments [Member] \| Parts and Services [Member]
Segment identified assets:
Total assets	19,708			19,708			18,015
Non-Segmented [Member]
Segment Revenues:
Revenues	2,975	9,902		5,751	18,813
Segment Gross Profit:
Total gross profit	(507)	$ 5,096		(1,074)	$ 9,400
Segment identified assets:
Total assets	$ 687,987			$ 687,987			$ 481,085

Condensed Consolidating Financial Information of Guarantor Subsidiaries - Condensed Consolidating Balance Sheet (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017
Assets:
Cash	$ 6,701		$ 16,677
Receivables, net	199,975		201,556
Inventories, net	127,762		104,598
Prepaid expenses and other assets	13,498		10,508
Rental equipment, net	1,244,499		1,141,498
Property and equipment, net	121,736		115,121
Operating lease right-of-use assets, net	163,764
Finance lease right-of-use assets, net	447
Deferred financing costs, net	3,207		3,000
Intangible assets, net	35,032		28,380
Goodwill	143,626		105,843
Total assets	2,060,247		1,727,181
Liabilities and Stockholders’ Equity:
Amounts due on senior secured credit facility	282,710		170,761
Accounts payable	118,805		101,840
Manufacturer flooring plans payable	25,066		23,666
Accrued expenses payable and other liabilities	78,540		73,371
Dividends payable	112		132
Senior unsecured notes, net	945,173		944,780
Capital leases payable			726
Operating lease right-of-use liabilities	166,186
Finance lease right-of-use liabilities	668
Deferred income taxes	165,352		153,113
Deferred compensation payable	2,044		1,989
Total liabilities	1,784,656		1,470,378
Stockholders’ equity	275,591	$ 261,999	256,803	$ 229,356	$ 217,745	$ 216,793
Total liabilities and stockholders’ equity	2,060,247		1,727,181
Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Assets:
Cash	6,701		16,677
Receivables, net	169,019		166,393
Inventories, net	116,215		94,483
Prepaid expenses and other assets	13,290		10,382
Rental equipment, net	1,082,560		983,281
Property and equipment, net	104,221		98,251
Operating lease right-of-use assets, net	142,499
Deferred financing costs, net	3,207		3,000
Investment in guarantor subsidiaries	247,927		246,309
Intangible assets, net	35,032		28,380
Goodwill	114,100		76,317
Total assets	2,034,771		1,723,473
Liabilities and Stockholders’ Equity:
Amounts due on senior secured credit facility	282,710		170,761
Accounts payable	113,021		95,866
Manufacturer flooring plans payable	25,066		23,178
Accrued expenses payable and other liabilities	81,220		76,798
Dividends payable	168		185
Senior unsecured notes, net	945,173		944,780
Operating lease right-of-use liabilities	144,426
Deferred income taxes	165,352		153,113
Deferred compensation payable	2,044		1,989
Total liabilities	1,759,180		1,466,670
Stockholders’ equity	275,591		256,803
Total liabilities and stockholders’ equity	2,034,771		1,723,473
Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Assets:
Receivables, net	30,956		35,163
Inventories, net	11,547		10,115
Prepaid expenses and other assets	208		126
Rental equipment, net	161,939		158,217
Property and equipment, net	17,515		16,870
Operating lease right-of-use assets, net	21,265
Finance lease right-of-use assets, net	447
Goodwill	29,526		29,526
Total assets	273,403		250,017
Liabilities and Stockholders’ Equity:
Accounts payable	5,784		5,974
Manufacturer flooring plans payable			488
Accrued expenses payable and other liabilities	(2,680)		(3,427)
Dividends payable	(56)		(53)
Capital leases payable			726
Operating lease right-of-use liabilities	21,760
Finance lease right-of-use liabilities	668
Total liabilities	25,476		3,708
Stockholders’ equity	247,927		246,309
Total liabilities and stockholders’ equity	273,403		250,017
Elimination [Member]
Assets:
Investment in guarantor subsidiaries	(247,927)		(246,309)
Total assets	(247,927)		(246,309)
Liabilities and Stockholders’ Equity:
Stockholders’ equity	(247,927)		(246,309)
Total liabilities and stockholders’ equity	$ (247,927)		$ (246,309)

Condensed Consolidating Financial Information of Guarantor Subsidiaries - Condensed Consolidating Statement of Income (Detail) - USD ($) $ in Thousands	3 Months Ended					6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2017	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2017
Revenues:
Revenues	$ 333,597		$ 310,364		$ 249,363	$ 647,235	$ 570,846	$ 476,191
Cost of revenues:
Cost of revenues	208,816		202,261			408,754	370,158
Gross profit (loss):
Gross profit	124,781		108,103			238,481	200,688
Selling, general and administrative expenses	77,840		69,046			156,487	134,926
Merger costs	148		68			267	220
Gain on sales of property and equipment, net	880		4,114			1,621	4,887
Income from operations	47,673		43,103			83,348	70,429
Other income (expense):
Interest expense	(17,267)		(15,693)			(34,122)	(30,346)
Other, net	489		459			1,021	854
Total other expense, net	(16,778)		(15,234)			(33,101)	(29,492)
Income before provision for income taxes	30,895		27,869		$ 15,668	50,247	40,937	$ 24,198
Income tax expense	8,281		7,098			13,390	10,688
Net income	22,614	$ 14,243	20,771	$ 9,478		36,857	30,249
Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Revenues:
Revenues	287,853		261,162			560,286	483,194
Cost of revenues:
Cost of revenues	180,291		169,158			354,025	312,126
Gross profit (loss):
Gross profit	107,562		92,004			206,261	171,068
Selling, general and administrative expenses	67,858		57,738			136,413	112,746
Merger costs	148		68			267	220
Equity in earnings of guarantor subsidiaries	4,230		2,490			5,955	2,948
Gain on sales of property and equipment, net	556		4,023			1,263	4,737
Income from operations	44,342		40,711			76,799	65,787
Other income (expense):
Interest expense	(13,886)		(13,247)			(27,448)	(25,596)
Other, net	439		405			896	746
Total other expense, net	(13,447)		(12,842)			(26,552)	(24,850)
Income before provision for income taxes	30,895		27,869			50,247	40,937
Income tax expense	8,281		7,098			13,390	10,688
Net income	22,614		20,771			36,857	30,249
Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Revenues:
Revenues	45,744		49,202			86,949	87,652
Cost of revenues:
Cost of revenues	28,525		33,103			54,729	58,032
Gross profit (loss):
Gross profit	17,219		16,099			32,220	29,620
Selling, general and administrative expenses	9,982		11,308			20,074	22,180
Gain on sales of property and equipment, net	324		91			358	150
Income from operations	7,561		4,882			12,504	7,590
Other income (expense):
Interest expense	(3,381)		(2,446)			(6,674)	(4,750)
Other, net	50		54			125	108
Total other expense, net	(3,331)		(2,392)			(6,549)	(4,642)
Income before provision for income taxes	4,230		2,490			5,955	2,948
Net income	4,230		2,490			5,955	2,948
Elimination [Member]
Gross profit (loss):
Equity in earnings of guarantor subsidiaries	(4,230)		(2,490)			(5,955)	(2,948)
Income from operations	(4,230)		(2,490)			(5,955)	(2,948)
Other income (expense):
Income before provision for income taxes	(4,230)		(2,490)			(5,955)	(2,948)
Net income	(4,230)		(2,490)			(5,955)	(2,948)
Equipment Rentals [Member]
Revenues:
Revenues	192,302		152,714			368,431	289,752
Cost of revenues:
Cost of revenues	106,300		86,774			204,491	166,615
Gross profit (loss):
Gross profit	86,002		65,940			163,940	123,137
Equipment Rentals [Member] \| Rentals Other [Member]
Cost of revenues:
Cost of revenues	17,847		13,530			34,122	25,630
Equipment Rentals [Member] \| Rental Depreciation [Member]
Cost of revenues:
Cost of revenues	61,434		51,171			118,582	97,640
Equipment Rentals [Member] \| Rental Expense [Member]
Cost of revenues:
Cost of revenues	27,019		22,073			51,787	43,345
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Revenues:
Revenues	169,106		130,785			323,965	247,968
Cost of revenues:
Cost of revenues	94,351		73,979			181,040	141,687
Gross profit (loss):
Gross profit	74,755		56,806			142,925	106,281
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| H & E Equipment Services [Member] \| Rentals Other [Member]
Cost of revenues:
Cost of revenues	17,847		11,163			34,122	21,052
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Revenues:
Revenues	23,196		21,929			44,466	41,784
Cost of revenues:
Cost of revenues	11,949		12,795			23,451	24,928
Gross profit (loss):
Gross profit	11,247		9,134			21,015	16,856
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member] \| Rentals Other [Member]
Cost of revenues:
Cost of revenues			2,367				4,578
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| Rental Depreciation [Member] \| H & E Equipment Services [Member]
Cost of revenues:
Cost of revenues	53,361		43,950			102,623	83,509
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| Rental Depreciation [Member] \| Guarantor Subsidiaries [Member]
Cost of revenues:
Cost of revenues	8,073		7,221			15,959	14,131
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| Rental Expense [Member] \| H & E Equipment Services [Member]
Cost of revenues:
Cost of revenues	23,143		18,866			44,295	37,126
Equipment Rentals [Member] \| Reportable Legal Entities [Member] \| Rental Expense [Member] \| Guarantor Subsidiaries [Member]
Cost of revenues:
Cost of revenues	3,876		3,207			7,492	6,219
New Equipment Sales [Member]
Revenues:
Revenues	53,596		68,539			112,699	115,032
Cost of revenues:
Cost of revenues	47,064		61,226			99,163	102,071
Gross profit (loss):
Gross profit	6,532		7,313			13,536	12,961
New Equipment Sales [Member] \| Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Revenues:
Revenues	47,040		55,700			99,616	95,601
Cost of revenues:
Cost of revenues	41,179		49,712			87,639	84,795
Gross profit (loss):
Gross profit	5,861		5,988			11,977	10,806
New Equipment Sales [Member] \| Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Revenues:
Revenues	6,556		12,839			13,083	19,431
Cost of revenues:
Cost of revenues	5,885		11,514			11,524	17,276
Gross profit (loss):
Gross profit	671		1,325			1,559	2,155
Used Equipment Sales [Member]
Revenues:
Revenues	36,128		32,140			65,762	56,993
Cost of revenues:
Cost of revenues	23,321		21,772			42,333	38,709
Gross profit (loss):
Gross profit	12,807		10,368			23,429	18,284
Used Equipment Sales [Member] \| Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Revenues:
Revenues	30,369		26,162			55,580	46,388
Cost of revenues:
Cost of revenues	19,622		17,559			35,833	31,391
Gross profit (loss):
Gross profit	10,747		8,603			19,747	14,997
Used Equipment Sales [Member] \| Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Revenues:
Revenues	5,759		5,978			10,182	10,605
Cost of revenues:
Cost of revenues	3,699		4,213			6,500	7,318
Gross profit (loss):
Gross profit	2,060		1,765			3,682	3,287
Parts Sales [Member]
Revenues:
Revenues	31,871		30,281			62,299	58,432
Cost of revenues:
Cost of revenues	23,290		21,931			45,579	42,548
Gross profit (loss):
Gross profit	8,581		8,350			16,720	15,884
Parts Sales [Member] \| Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Revenues:
Revenues	27,488		26,087			54,042	50,434
Cost of revenues:
Cost of revenues	20,220		18,987			39,812	36,943
Gross profit (loss):
Gross profit	7,268		7,100			14,230	13,491
Parts Sales [Member] \| Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Revenues:
Revenues	4,383		4,194			8,257	7,998
Cost of revenues:
Cost of revenues	3,070		2,944			5,767	5,605
Gross profit (loss):
Gross profit	1,313		1,250			2,490	2,393
Services Revenues [Member]
Revenues:
Revenues	16,725		16,788			32,293	31,824
Cost of revenues:
Cost of revenues	5,359		5,752			10,363	10,802
Gross profit (loss):
Gross profit	11,366		11,036			21,930	21,022
Services Revenues [Member] \| Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Revenues:
Revenues	14,141		13,979			27,307	26,761
Cost of revenues:
Cost of revenues	4,558		4,755			8,841	9,117
Gross profit (loss):
Gross profit	9,583		9,224			18,466	17,644
Services Revenues [Member] \| Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Revenues:
Revenues	2,584		2,809			4,986	5,063
Cost of revenues:
Cost of revenues	801		997			1,522	1,685
Gross profit (loss):
Gross profit	1,783		1,812			3,464	3,378
Other [Member]
Revenues:
Revenues	2,975		9,902			5,751	18,813
Cost of revenues:
Cost of revenues	3,482		4,806			6,825	9,413
Gross profit (loss):
Gross profit	(507)		5,096			(1,074)	9,400
Other [Member] \| Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Revenues:
Revenues	(291)		8,449			(224)	16,042
Cost of revenues:
Cost of revenues	361		4,166			860	8,193
Gross profit (loss):
Gross profit	(652)		4,283			(1,084)	7,849
Other [Member] \| Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Revenues:
Revenues	3,266		1,453			5,975	2,771
Cost of revenues:
Cost of revenues	3,121		640			5,965	1,220
Gross profit (loss):
Gross profit	$ 145		$ 813			$ 10	$ 1,551

Condensed Consolidating Financial Information of Guarantor Subsidiaries - Condensed Consolidating Statement of Cash Flows (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Cash flows from operating activities:
Net income			$ 36,857	$ 30,249
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment			13,627	12,085
Depreciation of rental equipment			118,582	97,640
Amortization of finance lease right-of-use assets			81
Amortization of intangible assets			2,049	1,485
Amortization of deferred financing costs			504	557
Accretion of note discount, net of premium amortization			239	239
Operating lease right-of-use liabilities, net			282
Provision for losses on accounts receivable			2,480	1,679
Provision for inventory obsolescence			115	71
Change in deferred income taxes			12,239	10,743
Stock-based compensation expense			2,023	2,081
Gain from sales of property and equipment, net	$ (880)	$ (4,114)	(1,621)	(4,887)
Gain from sales of rental equipment, net			(23,239)	(18,006)
Changes in operating assets and liabilities, net of acquisitions:
Receivables			4,764	9,121
Inventories			(55,997)	(103,631)
Prepaid expenses and other assets			(2,969)	(128)
Accounts payable			16,592	59,705
Manufacturer flooring plans payable			1,400	6,758
Accrued expenses payable and other liabilities			6,889	(389)
Deferred compensation payable			55	43
Net cash provided by operating activities			134,952	105,415
Cash flows from investing activities:
Acquisition of business, net of cash acquired			(106,746)	(196,027)
Purchases of property and equipment			(18,568)	(19,561)
Purchases of rental equipment			(174,674)	(217,828)
Proceeds from sales of property and equipment			2,173	6,687
Proceeds from sales of rental equipment			61,668	52,177
Net cash used in investing activities			(236,147)	(374,552)
Cash flows from financing activities:
Borrowings on senior secured credit facility			797,029	735,775
Payments on senior secured credit facility			(685,080)	(603,112)
Dividends paid			(19,670)	(19,619)
Purchases of treasury stock			(387)
Payment of deferred financing costs			(559)	(97)
Payments on finance lease obligations			(114)
Payments on capital lease obligations				(109)
Net cash provided by (used in) financing activities			91,219	112,838
Net decrease in cash			(9,976)	(156,299)
Cash, beginning of period			16,677	165,878	$ 165,878
Cash, end of period	6,701	9,579	6,701	9,579	16,677
Reportable Legal Entities [Member] \| H & E Equipment Services [Member]
Cash flows from operating activities:
Net income			36,857	30,249
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment			11,993	10,606
Depreciation of rental equipment			102,623	83,509
Amortization of intangible assets			2,049	1,485
Amortization of deferred financing costs			504	557
Accretion of note discount, net of premium amortization			239	239
Operating lease right-of-use liabilities, net			215
Provision for losses on accounts receivable			2,197	1,195
Provision for inventory obsolescence			115	71
Change in deferred income taxes			12,239	10,743
Stock-based compensation expense			2,023	2,081
Gain from sales of property and equipment, net	(556)	(4,023)	(1,263)	(4,737)
Gain from sales of rental equipment, net			(19,568)	(14,717)
Equity in earnings of guarantor subsidiaries	(4,230)	(2,490)	(5,955)	(2,948)
Changes in operating assets and liabilities, net of acquisitions:
Receivables			840	5,599
Inventories			(49,636)	(90,519)
Prepaid expenses and other assets			(2,887)	(95)
Accounts payable			16,782	59,775
Manufacturer flooring plans payable			1,888	7,551
Accrued expenses payable and other liabilities			5,714	1,395
Deferred compensation payable			55	43
Net cash provided by operating activities			117,024	102,082
Cash flows from investing activities:
Acquisition of business, net of cash acquired			(106,746)	(196,027)
Purchases of property and equipment			(15,723)	(12,990)
Purchases of rental equipment			(153,724)	(189,589)
Proceeds from sales of property and equipment			1,777	6,537
Proceeds from sales of rental equipment			51,799	41,946
Investment in subsidiaries			4,337	(21,208)
Net cash used in investing activities			(218,280)	(371,331)
Cash flows from financing activities:
Borrowings on senior secured credit facility			797,029	735,775
Payments on senior secured credit facility			(685,080)	(603,112)
Dividends paid			(19,667)	(19,616)
Purchases of treasury stock			(387)
Payment of deferred financing costs			(559)	(97)
Payments on finance lease obligations			(56)
Net cash provided by (used in) financing activities			91,280	112,950
Net decrease in cash			(9,976)	(156,299)
Cash, beginning of period			16,677	165,878	165,878
Cash, end of period	6,701	9,579	6,701	9,579	$ 16,677
Reportable Legal Entities [Member] \| Guarantor Subsidiaries [Member]
Cash flows from operating activities:
Net income			5,955	2,948
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment			1,634	1,479
Depreciation of rental equipment			15,959	14,131
Amortization of finance lease right-of-use assets			81
Operating lease right-of-use liabilities, net			67
Provision for losses on accounts receivable			283	484
Gain from sales of property and equipment, net	(324)	(91)	(358)	(150)
Gain from sales of rental equipment, net			(3,671)	(3,289)
Changes in operating assets and liabilities, net of acquisitions:
Receivables			3,924	3,522
Inventories			(6,361)	(13,112)
Prepaid expenses and other assets			(82)	(33)
Accounts payable			(190)	(70)
Manufacturer flooring plans payable			(488)	(793)
Accrued expenses payable and other liabilities			1,175	(1,784)
Net cash provided by operating activities			17,928	3,333
Cash flows from investing activities:
Purchases of property and equipment			(2,845)	(6,571)
Purchases of rental equipment			(20,950)	(28,239)
Proceeds from sales of property and equipment			396	150
Proceeds from sales of rental equipment			9,869	10,231
Net cash used in investing activities			(13,530)	(24,429)
Cash flows from financing activities:
Dividends paid			(3)	(3)
Payments on finance lease obligations			(58)
Payments on capital lease obligations				(109)
Capital contributions			(4,337)	21,208
Net cash provided by (used in) financing activities			(4,398)	21,096
Elimination [Member]
Cash flows from operating activities:
Net income			(5,955)	(2,948)
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in earnings of guarantor subsidiaries	$ 4,230	$ 2,490	5,955	2,948
Cash flows from investing activities:
Investment in subsidiaries			(4,337)	21,208
Net cash used in investing activities			(4,337)	21,208
Cash flows from financing activities:
Capital contributions			4,337	(21,208)
Net cash provided by (used in) financing activities			$ 4,337	$ (21,208)

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2019	Jul. 18, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Trading Symbol	HEES
Entity Registrant Name	H&E Equipment Services, Inc.
Entity Central Index Key	0001339605
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity File Number	000-51759
Entity Tax Identification Number	810553291
Entity Address, Address Line One	7500 Pecue Lane
Entity Address, City or Town	Baton Rouge
Entity Address, State or Province	Louisiana
Entity Address, Postal Zip Code	70809
City Area Code	225
Local Phone Number	298-5200
Entity Common Stock, Shares Outstanding		35,777,804

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
ASSETS
Cash	$ 6,701	$ 16,677
Receivables, net of allowance for doubtful accounts of $4,188 and $4,094, respectively	199,975	201,556
Inventories, net of reserves for obsolescence of $314 and $368, respectively	127,762	104,598
Prepaid expenses and other assets	13,498	10,508
Rental equipment, net of accumulated depreciation of $629,451 and $582,520, respectively	1,244,499	1,141,498
Property and equipment, net of accumulated depreciation and amortization of $149,609 and $142,662, respectively	121,736	115,121
Operating lease right-of-use assets, net of accumulated amortization of $5,566 at June 30, 2019	163,764
Finance lease right-of-use assets, net of accumulated amortization of $1,970 at June 30, 2019	447
Deferred financing costs, net of accumulated amortization of $14,070 and $13,717, respectively	3,207	3,000
Intangible assets, net of accumulated amortization of $5,368 and $3,320, respectively	35,032	28,380
Goodwill	143,626	105,843
Total assets	2,060,247	1,727,181
Liabilities:
Amounts due on senior secured credit facility	282,710	170,761
Accounts payable	118,805	101,840
Manufacturer flooring plans payable	25,066	23,666
Accrued expenses payable and other liabilities	78,540	73,371
Dividends payable	112	132
Senior unsecured notes, net of unaccreted discount of $2,929 and $3,168 and deferred financing costs of $1,898 and $2,052, respectively	945,173	944,780
Operating lease right-of-use liabilities	166,186
Finance lease right-of-use liabilities	668
Capital leases payable		726
Deferred income taxes	165,352	153,113
Deferred compensation payable	2,044	1,989
Total liabilities	1,784,656	1,470,378
Commitments and Contingencies
Stockholders' equity:
Preferred stock, $0.01 par value, 25,000,000 shares authorized; no shares issued
Common stock, $0.01 par value, 175,000,000 shares authorized; 39,805,406 and 39,748,562 shares issued at June 30, 2019 and December 31, 2018, respectively, and 35,776,141 and 35,733,569 shares outstanding at June 30, 2019 and December 31, 2018, respectively	397	396
Additional paid-in capital	233,197	231,174
Treasury stock at cost, 4,029,265 and 4,014,993 shares of common stock held at June 30, 2019 and December 31, 2018, respectively	(63,486)	(63,099)
Retained earnings	105,483	88,332
Total stockholders’ equity	275,591	256,803
Total liabilities and stockholders’ equity	$ 2,060,247	$ 1,727,181

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Statement Of Financial Position [Abstract]
Allowance for doubtful accounts receivables	$ 4,188	$ 4,094
Reserves for obsolescence inventories	314	368
Accumulated depreciation, rental equipment	629,451	582,520
Accumulated depreciation and amortization, property and equipment	149,609	142,662
Accumulated amortization, operating lease right-of-use assets	5,566
Accumulated amortization, financing lease right-of-use assets	1,970
Accumulated amortization, deferred financing costs	14,070	13,717
Accumulated amortization, intangible assets	5,368	3,320
Unaccreted discount, net	2,929	3,168
Deferred financing costs	$ 1,898	$ 2,052
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	25,000,000	25,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	175,000,000	175,000,000
Common stock, shares issued	39,805,406	39,748,562
Common stock, shares outstanding	35,776,141	35,733,569
Treasury stock, shares	4,029,265	4,014,993

Condensed Consolidated Statements of Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Revenues:
Revenues	$ 333,597	$ 310,364	$ 647,235	$ 570,846
Cost of revenues:
Cost of revenues	208,816	202,261	408,754	370,158
Gross profit	124,781	108,103	238,481	200,688
Selling, general and administrative expenses	77,840	69,046	156,487	134,926
Merger costs	148	68	267	220
Gain on sales of property and equipment, net	880	4,114	1,621	4,887
Income from operations	47,673	43,103	83,348	70,429
Other income (expense):
Interest expense	(17,267)	(15,693)	(34,122)	(30,346)
Other, net	489	459	1,021	854
Total other expense, net	(16,778)	(15,234)	(33,101)	(29,492)
Income before provision for income taxes	30,895	27,869	50,247	40,937
Provision for income taxes	8,281	7,098	13,390	10,688
Net income	$ 22,614	$ 20,771	$ 36,857	$ 30,249
Net income per common share:
Basic	$ 0.63	$ 0.58	$ 1.03	$ 0.85
Diluted	$ 0.63	$ 0.58	$ 1.02	$ 0.84
Weighted average common shares outstanding:
Basic	35,826	35,634	35,807	35,613
Diluted	36,016	35,906	35,994	35,893
Dividends declared per common share outstanding	$ 0.275	$ 0.275	$ 0.55	$ 0.55
Equipment Rentals [Member]
Revenues:
Revenues	$ 192,302	$ 152,714	$ 368,431	$ 289,752
Cost of revenues:
Cost of revenues	106,300	86,774	204,491	166,615
Gross profit	86,002	65,940	163,940	123,137
Equipment Rentals [Member] \| Rentals Other [Member]
Cost of revenues:
Cost of revenues	17,847	13,530	34,122	25,630
Equipment Rentals [Member] \| Rental Depreciation [Member]
Cost of revenues:
Cost of revenues	61,434	51,171	118,582	97,640
Equipment Rentals [Member] \| Rental Expense [Member]
Cost of revenues:
Cost of revenues	27,019	22,073	51,787	43,345
New Equipment Sales [Member]
Revenues:
Revenues	53,596	68,539	112,699	115,032
Cost of revenues:
Cost of revenues	47,064	61,226	99,163	102,071
Gross profit	6,532	7,313	13,536	12,961
Used Equipment Sales [Member]
Revenues:
Revenues	36,128	32,140	65,762	56,993
Cost of revenues:
Cost of revenues	23,321	21,772	42,333	38,709
Gross profit	12,807	10,368	23,429	18,284
Parts Sales [Member]
Revenues:
Revenues	31,871	30,281	62,299	58,432
Cost of revenues:
Cost of revenues	23,290	21,931	45,579	42,548
Gross profit	8,581	8,350	16,720	15,884
Services Revenues [Member]
Revenues:
Revenues	16,725	16,788	32,293	31,824
Cost of revenues:
Cost of revenues	5,359	5,752	10,363	10,802
Gross profit	11,366	11,036	21,930	21,022
Other [Member]
Revenues:
Revenues	2,975	9,902	5,751	18,813
Cost of revenues:
Cost of revenues	3,482	4,806	6,825	9,413
Gross profit	$ (507)	$ 5,096	$ (1,074)	$ 9,400

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash flows from operating activities:
Net income	$ 36,857	$ 30,249
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization of property and equipment	13,627	12,085
Depreciation of rental equipment	118,582	97,640
Amortization of finance lease right-of-use assets	81
Amortization of intangible assets	2,049	1,485
Amortization of deferred financing costs	504	557
Accretion of note discount, net of premium amortization	239	239
Operating right-of-use lease liabilities, net	282
Provision for losses on accounts receivable	2,480	1,679
Provision for inventory obsolescence	115	71
Change in deferred income taxes	12,239	10,743
Stock-based compensation expense	2,023	2,081
Gain from sales of property and equipment, net	(1,621)	(4,887)
Gain from sales of rental equipment, net	(23,239)	(18,006)
Changes in operating assets and liabilities, net of acquisitions:
Receivables	4,764	9,121
Inventories	(55,997)	(103,631)
Prepaid expenses and other assets	(2,969)	(128)
Accounts payable	16,592	59,705
Manufacturer flooring plans payable	1,400	6,758
Accrued expenses payable and other liabilities	6,889	(389)
Deferred compensation payable	55	43
Net cash provided by operating activities	134,952	105,415
Cash flows from investing activities:
Acquisition of businesses, net of cash acquired	(106,746)	(196,027)
Purchases of property and equipment	(18,568)	(19,561)
Purchases of rental equipment	(174,674)	(217,828)
Proceeds from sales of property and equipment	2,173	6,687
Proceeds from sales of rental equipment	61,668	52,177
Net cash used in investing activities	(236,147)	(374,552)
Cash flows from financing activities:
Borrowings on senior secured credit facility	797,029	735,775
Payments on senior secured credit facility	(685,080)	(603,112)
Dividends paid	(19,670)	(19,619)
Purchases of treasury stock	(387)
Payments of deferred financing costs	(559)	(97)
Payments of finance lease obligations	(114)
Payments of capital lease obligations		(109)
Net cash provided by (used in) financing activities	91,219	112,838
Net decrease in cash	(9,976)	(156,299)
Cash, beginning of period	16,677	165,878
Cash, end of period	6,701	9,579
Supplemental schedule of noncash investing and financing activities:
Accrued acquisition purchase price consideration	3,432	3,432
Noncash asset purchases:
Assets transferred from new and used inventory to rental fleet	33,591	21,618
Purchases of property and equipment included in accrued expenses payable and other liabilities	453	24
Operating lease right-of-use assets and lease liabilities recorded upon adoption of ASC 842	162,814
Finance lease right-of-use assets and lease liabilities recorded upon adoption of ASC 842	782
Operating lease assets obtained in exchange for new operating lease liabilities	8,841
Cash paid during the period for:
Interest	32,954	30,040
Income taxes paid, net of refunds received	$ 1,765	$ 1,254

Organization and Nature of Operations

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Organization and Nature of Operations

(1) Organization and Nature of Operations

Basis of Presentation

	Three Month Period Ended June 30, 2018							Six Month Period Ended June 30, 2018
	As Previously Reported		Hauling Fees			As Currently Reported		As Previously Reported		Hauling Fees			As Currently Reported
REVENUES
Equipment rentals	$	143,829	$	8,885		$	152,714	$	273,190	$	16,562		$	289,752
New equipment sales		68,539		—			68,539		115,032		—			115,032
Used equipment sales		32,140		—			32,140		56,993		—			56,993
Parts sales		30,281		—			30,281		58,432		—			58,432
Services revenues		16,788		—			16,788		31,824		—			31,824
Other		18,787		(8,885	)		9,902		35,375		(16,562	)		18,813
Total revenues		310,364		—			310,364		570,846		—			570,846

COST OF REVENUES
Rental depreciation		51,171		—			51,171		97,640		—			97,640
Rental expense		22,073		—			22,073		43,345		—			43,345
Rental other		—		13,530			13,530		—		25,630			25,630
		73,244		13,530			86,774		140,985		25,630			166,615
New equipment sales		61,226		—			61,226		102,071		—			102,071
Used equipment sales		21,772		—			21,772		38,709		—			38,709
Parts sales		21,931		—			21,931		42,548		—			42,548
Services revenues		5,752		—			5,752		10,802		—			10,802
Other		18,336		(13,530	)		4,806		35,043		(25,630	)		9,413
Total cost of revenues		202,261		—			202,261		370,158		—			370,158
Gross Profit	$	108,103	$	—		$	108,103	$	200,688	$	—		$	200,688

Nature of Operations

Significant Accounting Policies

6 Months Ended

Jun. 30, 2019

Significant Accounting Policies

(2) Significant Accounting Policies

Use of Estimates

Recent Accounting Pronouncements

Pronouncements Not Yet Adopted

Recently Adopted Accounting Pronouncements

Leases

Lessor Accounting

Lessee Accounting

Revenue Recognition

	Three Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	167,072	$	245	$	167,317	$	138,434	$	394	$	138,828
Re-rent revenue		6,520		—		6,520		5,001		—		5,001
Ancillary and other rental revenues:
Delivery and pick-up		—		10,313		10,313		—		8,885		8,885
Other		8,152		—		8,152		—		—		—
Total ancillary rental revenues		8,152		10,313		18,465		—		8,885		8,885
Total equipment rental revenues		181,744		10,558		192,302		143,435		9,279		152,714
New equipment sales		—		53,596		53,596		—		68,539		68,539
Used equipment sales		—		36,128		36,128		—		32,140		32,140
Parts sales		—		31,871		31,871		—		30,281		30,281
Service revenues		—		16,725		16,725		—		16,788		16,788
Other		—		2,975		2,975		6,787		3,115		9,902
Total revenues	$	181,744	$	151,853	$	333,597	$	150,222	$	160,142	$	310,364

	Six Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	320,422	$	519	$	320,941	$	262,169	$	915	$	263,084
Re-rent revenue		12,556		—		12,556		10,106		—		10,106
Ancillary and other rental revenues:
Delivery and pick-up		—		19,295		19,295		—		16,562		16,562
Other		15,639		—		15,639		—		—		—
Total ancillary rental revenues		15,639		19,295		34,934		—		16,562		16,562
Total equipment rental revenues		348,617		19,814		368,431		272,275		17,477		289,752
New equipment sales		—		112,699		112,699		—		115,032		115,032
Used equipment sales		—		65,762		65,762		—		56,993		56,993
Parts sales		—		62,299		62,299		—		58,432		58,432
Service revenues		—		32,293		32,293		—		31,824		31,824
Other		—		5,751		5,751		13,054		5,759		18,813
Total revenues	$	348,617	$	298,618	$	647,235	$	285,329	$	285,517	$	570,846

Lease revenues (Topic 842)

Revenues from contracts with customers (Topic 606)

Delivery and pick-up: Delivery and pick-up revenue associated with renting equipment is recognized when the service is performed.

New equipment sales: Revenues from the sales of new equipment are recognized at the time of delivery to, or pick-up by, the customer, which is when the customer obtains control of the promised good.

Receivables and contract assets and liabilities

Performance obligations

Payment terms

Sales tax amounts collected from customers are recorded on a net basis.

Contract costs

Contract estimates and judgments

Acquisitions

6 Months Ended

Jun. 30, 2019

Business Combinations [Abstract]

Acquisitions

(3) Acquisitions

2018 Acquisitions

Contractors Equipment Center (“CEC”)

	$’s in thousands
Cash	$	1,244
Accounts receivable		7,583
Inventory		504
Prepaid expenses and other assets		324
Rental equipment		55,342
Property and equipment		2,700
Intangible assets (1)		21,500
Total identifiable assets acquired		89,197
Accounts payable		(1,023	)
Accrued expenses payable and other liabilities		(876	)
Total liabilities assumed		(1,899	)
Net identifiable assets acquired		87,298
Goodwill (2)		45,092
Net assets acquired	$	132,390

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	21,000		10
Tradenames		300		1
Leasehold interests		200		10
	$	21,500

(2)

We have allocated the $45.1 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	25,233
Rental Component 2		18,391
New Equipment		217
Used Equipment		632
Parts		379
Service		240
	$	45,092

Rental, LLC (dba “Rental Inc.”)

	$’s in thousands
Cash	$	260
Accounts receivable		2,873
Inventory		5,324
Prepaid expenses and other assets		47
Rental equipment		22,578
Property and equipment		1,935
Intangible assets (1)		10,200
Total identifiable assets acquired		43,217
Accounts payable		(439	)
Manufacturer flooring plans payable		(3,293	)
Accrued expenses payable and other liabilities		(469	)
Total liabilities assumed		(4,201	)
Net identifiable assets acquired		39,016
Goodwill (2)		29,554
Net assets acquired	$	68,570

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	10,000		10
Tradenames		200		1
	$	10,200

(2)

We have allocated the $29.6 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	9,064
Rental Component 2		5,445
New Equipment		10,217
Used Equipment		1,692
Parts		2,171
Service		965
	$	29,554

2019 Acquisition

Cobra Equipment Rentals LLC (dba “We-Rent-It”)

	$’s in thousands
Cash	$	1,745
Accounts receivable		5,119
Inventory		731
Prepaid expenses and other assets		544
Rental equipment		51,747
Property and equipment		3,207
Other assets		21
Intangible assets (1)		8,700
Total identifiable assets acquired		71,814
Accounts payable		(115	)
Accrued expenses payable and other liabilities		(991	)
Total liabilities assumed		(1,106	)
Net identifiable assets acquired		70,708
Goodwill		37,783
Net assets acquired	$	108,491

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	8,500		10
Tradenames		200		1
	$	8,700

Pro forma financial information

	(amounts in thousands)
	Three Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	249,363	$	8,140		$	8,979		$	266,482
Pretax income		15,668		1,448			2,105			19,221
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(809	)		(738	)		(1,547	)
Intangible asset amortization (2)		—		(705	)		(275	)		(980	)
Interest expense (3)		—		—			(475	)		(475	)
Elimination of historic interest expense (4)		—		139			102			241
Pro forma pretax income		15,668		73			719			16,460
Income tax expense		5,790		27			262			6,079
Net income	$	9,878	$	46		$	457		$	10,381
Net income per share – basic	$	0.28	$	—		$	0.01		$	0.29
Net income per share – diluted	$	0.28	$	—		$	0.01		$	0.29

	(amounts in thousands)
	Six Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	476,191	$	16,529		$	17,225		$	509,945
Pretax income		24,198		2,889			4,158			31,245
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(1,712	)		(1,381	)		(3,093	)
Intangible asset amortization (2)		—		(1,410	)		(550	)		(1,960	)
Interest expense (3)		—		—			(995	)		(995	)
Elimination of historic interest expense (4)		—		263			202			465
Pro forma pretax income		24,198		30			1,434			25,662
Income tax expense		8,930		11			523			9,464
Net income	$	15,268	$	19		$	911		$	16,198
Net income per share – basic	$	0.43	$	—		$	0.03		$	0.46
Net income per share – diluted	$	0.43	$	—		$	0.03		$	0.45

(1)

(2)

Represents the amortization of the intangible assets acquired in the CEC and Rental Inc. acquisitions.

(3)

(4)

Historic debt of CEC and Rental Inc. that is not part of the combined entity was eliminated.

	(amounts in thousands, except per share data)
	Three Month Period Ended June 30, 2018
	H&E(1)		We-Rent-It			Total
Total revenues	$	310,364	$	9,640		$	320,004
Pretax income		27,869		2,432			30,301
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(1,976	)		(1,976	)
Intangible asset amortization (3)		—		(313	)		(313	)
Interest expense (4)		—		(1,476	)		(1,476	)
Elimination of historic interest expense (5)		—		126			126
Pro forma pretax income (loss)		27,869		(1,207	)		26,662
Income tax expense (benefit)		7,098		(301	)		6,797
Net income (loss)	$	20,771	$	(906	)	$	19,865
Net income (loss) per share – basic	$	0.58	$	(0.03	)	$	0.56
Net income (loss) per share – diluted	$	0.58	$	(0.03	)	$	0.55

	(amounts in thousands, except per share data)
	Six Month Period Ended June 30, 2018
	H&E(1)		Rental Inc.(6)			We-Rent-It			Total
Total revenues	$	570,846	$	7,408		$	17,227		$	595,481
Pretax income		40,937		1,020			3,216			45,173
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(749	)		(2,226	)		(2,975	)
Intangible asset amortization (3)		—		(275	)		(435	)		(710	)
Interest expense (4)		—		(480	)		(2,832	)		(3,312	)
Elimination of historic interest expense (5)		—		82			206			288
Pro forma pretax income (loss)		40,937		(402	)		(2,071	)		38,464
Income tax expense (benefit)		10,688		(105	)		(536	)		10,047
Net income (loss)	$	30,249	$	(297	)	$	(1,535	)	$	28,417
Net income (loss) per share – basic	$	0.85	$	(0.01	)	$	(0.04	)	$	0.80
Net income (loss) per share – diluted	$	0.84	$	(0.01	)	$	(0.04	)	$	0.79

(1)

Amounts presented above for “H&E” are derived from the Company’s consolidated statements of income in this Quarterly Report on Form 10-Q for the three and six month period ended June 30, 2018.

(2)

Depreciation of rental equipment and non-rental equipment were adjusted for the fair value markups, and the changes in useful lives and salvage values of the equipment acquired in the acquisition.

(3)

Represents the amortization of the intangible assets acquired in the acquisition.

(4)

Interest expense was adjusted to reflect the additional debt resulting from the acquisition.

(5)

Represents the elimination of historic debt of WRI that is not part of the combined entity.

(6)

Represents Rental Inc. pro forma operating results for the three month period ended March 31, 2018. We completed the Rental Inc. acquisition on April 1, 2018.

Fair Value of Financial Instruments

6 Months Ended

Jun. 30, 2019

Fair Value of Financial Instruments

(4) Fair Value of Financial Instruments

Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2 – Quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly

Level 3 – Unobservable inputs for which little or no market data exists, therefore requiring a company to develop its own assumptions

	June 30, 2019
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	25,066	$	21,196
Senior unsecured notes with interest computed at 5.625% (Level 2)		945,173		978,500
Letter of credit (Level 3)		—		97

	December 31, 2018
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	23,666	$	19,870
Senior unsecured notes with interest computed at 5.625% (Level 2)		944,780		871,625
Capital leases payable with interest computed at 5.929% to 9.55% (Level 3)		726		330
Letter of credit (Level 3)		—		116

During the three and six month periods ended June 30, 2019 and 2018, there were no transfers of financial assets or liabilities in or out of Level 1, Level 2 or Level 3 of the fair value hierarchy.

- Definition

+ References + Details

Stockholders' Equity

6 Months Ended

Jun. 30, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Stockholders' Equity

(5) Stockholders’ Equity

	Common Stock					Additional									Total
	Shares Issued			Amount		Paid-in Capital			Treasury Stock			Retained Earnings			Stockholders’ Equity
Balances at December 31, 2018		39,748,562		$	396	$	231,174		$	(63,099	)	$	88,332		$	256,803
Stock-based compensation		—			—		1,188			—			—			1,188
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,793	)		(9,793	)
Issuance of common stock, net of restricted stock forfeitures		59,510			1					—			—			1
Repurchase of 14,272 shares of restricted common stock		—			—		—			(387	)		—			(387	)
Cumulative effect adjustment pursuant to the adoption of ASC 842		—			—		—			—			(56	)		(56	)
Net income		—			—		—			—			14,243			14,243
Balances at March 31, 2019		39,808,072			397		232,362			(63,486	)		92,726			261,999
Stock-based compensation							835									835
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,857	)		(9,857	)
Restricted stock forfeitures		(2,666	)													—
Net income		—			—		—			—			22,614			22,614
Balances at June 30, 2019		39,805,406		$	397	$	233,197		$	(63,486	)	$	105,483		$	275,591

Balances at December 31, 2017		39,623,773		$	395	$	227,070		$	(61,749	)	$	51,077		$	216,793
Stock-based compensation		—			—		1,319			—			—			1,319
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,845	)		(9,845	)
Issuance of common stock, net of restricted stock forfeitures		9,534			—		—			—			—			—
Net income		—			—		—			—			9,478			9,478
Balances at March 31, 2018		39,633,307			395		228,389			(61,749	)		50,710			217,745
Stock-based compensation		—			—		762			—			—			762
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,813	)		(9,813	)
Issuance of common stock, net of restricted stock forfeitures		29,033			1		(110	)		—			—			(109	)
Net income		—			—		—			—			20,771			20,771
Balances at June 30, 2018		39,662,340		$	396	$	229,041		$	(61,749	)	$	61,668		$	229,356

Stock-Based Compensation

6 Months Ended

Jun. 30, 2019

Stock-Based Compensation

(6) Stock-Based Compensation

Non-vested Stock

The following table summarizes our non-vested stock activity for the six months ended June 30, 2019:

	Number of Shares			Weighted Average Grant Date Fair Value
Non-vested stock at December 31, 2018		379,559		$	25.87
Granted		20,923		$	26.77
Vested		(57,296	)	$	21.60
Forfeited		(27,786	)	$	20.87
Non-vested stock at June 30, 2019		315,400		$	27.15

For the Three Months Ended

June 30,

For the Six Months Ended

June 30,

2019

2018

2019

2018

Compensation expense

835

762

2,023

2,081

Income per Share

6 Months Ended

Jun. 30, 2019

Income per Share

(7) Income per Share

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2019		2018		2019		2018
Basic net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Net income per share of common stock – basic	$	0.63	$	0.58	$	1.03	$	0.85
Diluted net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Effect of dilutive securities:
Effect of dilutive non-vested restricted stock		190		272		187		280
Weighted average number of common shares outstanding – diluted		36,016		35,906		35,994		35,893
Net income per share of common stock – diluted	$	0.63	$	0.58	$	1.02	$	0.84
Common shares excluded from the denominator as anti-dilutive:
Non-vested restricted stock		—		—		19		—

Senior Secured Credit Facility

6 Months Ended

Jun. 30, 2019

Secured Debt [Member]

(8) Senior Secured Credit Facility

We and our subsidiaries are parties to a $750.0 million Credit Facility with Wells Fargo Capital Finance, LLC as administrative agent, and the lenders named therein (the “Credit Facility”).

Senior Unsecured Notes

6 Months Ended

Jun. 30, 2019

(9) Senior Unsecured Notes

The following table reconciles our Senior Unsecured Notes to our Condensed Consolidated Balance Sheets (amounts in thousands):

Balance at December 31, 2017	$	944,088
Accretion of discount through December 31, 2018		1,539
Amortization of note premium through December 31, 2018		(1,062	)
Additional deferred financing costs on New Notes		(97	)
Amortization of deferred financing costs through December 31, 2018		312
Balance at December 31, 2018	$	944,780
Accretion of discount through June 30, 2019		770
Amortization of note premium through June 30, 2019		(531	)
Amortization of deferred financing costs through June 30, 2019		154
Balance at June 30, 2019	$	945,173

Leases

6 Months Ended

Jun. 30, 2019

Leases

(10) Leases

The table below presents certain information related to lease costs for our operating and finance leases for the three and six month periods ended June 30, 2019 (in thousands).

		Three Month			Six Month
		Period Ended			Period Ended
	Classification	June 30, 2019			June 30, 2019
Operating lease cost	SG&A expenses	$	5,680		$	11,255
Finance lease cost
Amortization of leased assets	SG&A expenses		40			81
Interest on lease liabilities	Interest expense		10			21
Variable lease cost	SG&A expenses		150			274
Sublease income	Other income		(130	)		(250	)
Total lease cost		$	5,750		$	11,381

The table below presents supplemental cash flow information related to leases for the three and six month periods ended June 30, 2019 (in thousands).

	Three Month		Six Month
	Period Ended		Period Ended
Cash paid for amounts included in the measurement of lease liabilities:	June 30, 2019		June 30, 2019
Operating cash flows for operating leases	$	5,532	$	10,961
Operating cash flows for finance leases		10		21
Finance cash flows for finance leases		57		114

	Operating			Finance
	Leases			Leases
2019	$	11,098		$	135
2020		22,126			270
2021		22,064			270
2022		21,899			45
2023		21,803			—
Thereafter		137,953			—
Total minimum lease payments		236,943			720
Less: amount of lease payments representing interest		(70,757	)		(52	)
Present value of future minimum lease payments	$	166,186		$	668

Segment Information

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Segment Information

(11) Segment Information

We do not compile discrete financial information by segments other than the information presented below. The following table presents information about our reportable segments (amounts in thousands):

	Three Months Ended June 30,					Six Months Ended June 30,
	2019			2018		2019			2018
Segment Revenues:
Equipment rentals	$	192,302		$	152,714	$	368,431		$	289,752
New equipment sales		53,596			68,539		112,699			115,032
Used equipment sales		36,128			32,140		65,762			56,993
Parts sales		31,871			30,281		62,299			58,432
Services revenues		16,725			16,788		32,293			31,824
Total segmented revenues		330,622			300,462		641,484			552,033
Non-segmented revenues		2,975			9,902		5,751			18,813
Total revenues	$	333,597		$	310,364	$	647,235		$	570,846
Segment Gross Profit:
Equipment rentals	$	86,002		$	65,940	$	163,940		$	123,137
New equipment sales		6,532			7,313		13,536			12,961
Used equipment sales		12,807			10,368		23,429			18,284
Parts sales		8,581			8,350		16,720			15,884
Services revenues		11,366			11,036		21,930			21,022
Total segmented gross profit		125,288			103,007		239,555			191,288
Non-segmented gross profit (loss)		(507	)		5,096		(1,074	)		9,400
Total gross profit	$	124,781		$	108,103	$	238,481		$	200,688

	Balances at
	June 30,		December 31,
	2019		2018
Segment identified assets:
Equipment sales	$	108,053	$	86,583
Equipment rentals		1,244,499		1,141,498
Parts and services		19,708		18,015
Total segment identified assets		1,372,260		1,246,096
Non-segment identified assets		687,987		481,085
Total assets	$	2,060,247	$	1,727,181

Condensed Consolidating Financial Information of Guarantor Subsidiaries

6 Months Ended

Jun. 30, 2019

Condensed Consolidating Financial Information of Guarantor Subsidiaries

(12) Condensed Consolidating Financial Information of Guarantor Subsidiaries

CONDENSED CONSOLIDATING BALANCE SHEET

	As of June 30, 2019
	H&E Equipment Services		Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Assets:
Cash	$	6,701	$	—		$	—		$	6,701
Receivables, net		169,019		30,956			—			199,975
Inventories, net		116,215		11,547			—			127,762
Prepaid expenses and other assets		13,290		208			—			13,498
Rental equipment, net		1,082,560		161,939			—			1,244,499
Property and equipment, net		104,221		17,515			—			121,736
Operating lease right-of-use assets, net		142,499		21,265			—			163,764
Finance lease right-of-use assets, net		—		447			—			447
Deferred financing costs, net		3,207		—			—			3,207
Investment in guarantor subsidiaries		247,927		—			(247,927	)		—
Intangible assets, net		35,032		—			—			35,032
Goodwill		114,100		29,526			—			143,626
Total assets	$	2,034,771	$	273,403		$	(247,927	)	$	2,060,247
Liabilities and Stockholders’ Equity:
Amounts due on senior secured credit facility		282,710	$	—		$	—		$	282,710
Accounts payable		113,021		5,784			—			118,805
Manufacturer flooring plans payable		25,066		—			—			25,066
Accrued expenses payable and other liabilities		81,220		(2,680	)		—			78,540
Dividends payable		168		(56	)		—			112
Senior unsecured notes, net		945,173		—			—			945,173
Operating lease right-of-use liabilities		144,426		21,760			—			166,186
Finance lease right-of-use liabilities		—		668			—			668
Deferred income taxes		165,352		—			—			165,352
Deferred compensation payable		2,044		—			—			2,044
Total liabilities		1,759,180		25,476			—			1,784,656
Stockholders’ equity		275,591		247,927			(247,927	)		275,591
Total liabilities and stockholders’ equity	$	2,034,771	$	273,403		$	(247,927	)	$	2,060,247

CONDENSED CONSOLIDATING BALANCE SHEET

	As of December 31, 2018
	H&E Equipment Services		Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Assets:
Cash	$	16,677	$	—		$	—		$	16,677
Receivables, net		166,393		35,163			—			201,556
Inventories, net		94,483		10,115			—			104,598
Prepaid expenses and other assets		10,382		126			—			10,508
Rental equipment, net		983,281		158,217			—			1,141,498
Property and equipment, net		98,251		16,870			—			115,121
Deferred financing costs, net		3,000		—			—			3,000
Investment in guarantor subsidiaries		246,309		—			(246,309	)		—
Intangible assets, net		28,380		—			—			28,380
Goodwill		76,317		29,526			—			105,843
Total assets	$	1,723,473	$	250,017		$	(246,309	)	$	1,727,181
Liabilities and Stockholders’ Equity:
Amounts due under senior secured credit facility	$	170,761	$	—		$	—		$	170,761
Accounts payable		95,866		5,974			—			101,840
Manufacturer flooring plans payable		23,178		488			—			23,666
Accrued expenses payable and other liabilities		76,798		(3,427	)		—			73,371
Dividends payable		185		(53	)		—			132
Senior unsecured notes, net		944,780		—			—			944,780
Capital leases payable		—		726			—			726
Deferred income taxes		153,113		—			—			153,113
Deferred compensation payable		1,989		—			—			1,989
Total liabilities		1,466,670		3,708			—			1,470,378
Stockholders’ equity		256,803		246,309			(246,309	)		256,803
Total liabilities and stockholders’ equity	$	1,723,473	$	250,017		$	(246,309	)	$	1,727,181

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Three Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	169,106		$	23,196		$	—		$	192,302
New equipment sales		47,040			6,556			—			53,596
Used equipment sales		30,369			5,759			—			36,128
Parts sales		27,488			4,383			—			31,871
Services revenues		14,141			2,584			—			16,725
Other		(291	)		3,266			—			2,975
Total revenues		287,853			45,744			—			333,597
Cost of revenues:
Rental depreciation		53,361			8,073			—			61,434
Rental expense		23,143			3,876			—			27,019
Rental other		17,847			—			—			17,847
		94,351			11,949			—			106,300
New equipment sales		41,179			5,885			—			47,064
Used equipment sales		19,622			3,699			—			23,321
Parts sales		20,220			3,070			—			23,290
Services revenues		4,558			801			—			5,359
Other		361			3,121			—			3,482
Total cost of revenues		180,291			28,525			—			208,816
Gross profit:
Equipment rentals		74,755			11,247			—			86,002
New equipment sales		5,861			671			—			6,532
Used equipment sales		10,747			2,060			—			12,807
Parts sales		7,268			1,313			—			8,581
Services revenues		9,583			1,783			—			11,366
Other		(652	)		145			—			(507	)
Gross profit		107,562			17,219			—			124,781
Selling, general and administrative expenses		67,858			9,982			—			77,840
Merger costs		148			—			—			148
Equity in earnings of guarantor subsidiaries		4,230			—			(4,230	)		—
Gain on sales of property and equipment, net		556			324			—			880
Income from operations		44,342			7,561			(4,230	)		47,673
Other income (expense):
Interest expense		(13,886	)		(3,381	)		—			(17,267	)
Other, net		439			50			—			489
Total other expense, net		(13,447	)		(3,331	)		—			(16,778	)
Income before income taxes		30,895			4,230			(4,230	)		30,895
Income tax expense		8,281			—			—			8,281
Net income	$	22,614		$	4,230		$	(4,230	)	$	22,614

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Three Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	130,785		$	21,929		$	—		$	152,714
New equipment sales		55,700			12,839			—			68,539
Used equipment sales		26,162			5,978			—			32,140
Parts sales		26,087			4,194			—			30,281
Services revenues		13,979			2,809			—			16,788
Other		8,449			1,453			—			9,902
Total revenues		261,162			49,202			—			310,364
Cost of revenues:
Rental depreciation		43,950			7,221			—			51,171
Rental expense		18,866			3,207			—			22,073
Rental other		11,163			2,367			—			13,530
		73,979			12,795			—			86,774
New equipment sales		49,712			11,514			—			61,226
Used equipment sales		17,559			4,213			—			21,772
Parts sales		18,987			2,944			—			21,931
Services revenues		4,755			997			—			5,752
Other		4,166			640			—			4,806
Total cost of revenues		169,158			33,103			—			202,261
Gross profit:
Equipment rentals		56,806			9,134			—			65,940
New equipment sales		5,988			1,325			—			7,313
Used equipment sales		8,603			1,765			—			10,368
Parts sales		7,100			1,250			—			8,350
Services revenues		9,224			1,812			—			11,036
Other		4,283			813			—			5,096
Gross profit		92,004			16,099			—			108,103
Selling, general and administrative expenses		57,738			11,308			—			69,046
Merger costs		68			—			—			68
Equity in earnings of guarantor subsidiaries		2,490			—			(2,490	)		—
Gain on sales of property and equipment, net		4,023			91			—			4,114
Income from operations		40,711			4,882			(2,490	)		43,103
Other income (expense):
Interest expense		(13,247	)		(2,446	)		—			(15,693	)
Other, net		405			54			—			459
Total other expense, net		(12,842	)		(2,392	)		—			(15,234	)
Income before income taxes		27,869			2,490			(2,490	)		27,869
Income tax benefit		7,098			—			—			7,098
Net income	$	20,771		$	2,490		$	(2,490	)	$	20,771

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Six Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	323,965		$	44,466		$	—		$	368,431
New equipment sales		99,616			13,083			—			112,699
Used equipment sales		55,580			10,182			—			65,762
Parts sales		54,042			8,257			—			62,299
Services revenues		27,307			4,986			—			32,293
Other		(224	)		5,975			—			5,751
Total revenues		560,286			86,949			—			647,235
Cost of revenues:
Rental depreciation		102,623			15,959			—			118,582
Rental expense		44,295			7,492			—			51,787
Rental other		34,122			—			—			34,122
		181,040			23,451			—			204,491
New equipment sales		87,639			11,524			—			99,163
Used equipment sales		35,833			6,500			—			42,333
Parts sales		39,812			5,767			—			45,579
Services revenues		8,841			1,522			—			10,363
Other		860			5,965			—			6,825
Total cost of revenues		354,025			54,729			—			408,754
Gross profit (loss):
Equipment rentals		142,925			21,015			—			163,940
New equipment sales		11,977			1,559			—			13,536
Used equipment sales		19,747			3,682			—			23,429
Parts sales		14,230			2,490			—			16,720
Services revenues		18,466			3,464			—			21,930
Other		(1,084	)		10			—			(1,074	)
Gross profit		206,261			32,220			—			238,481
Selling, general and administrative expenses		136,413			20,074			—			156,487
Merger costs		267			—			—			267
Equity in earnings of guarantor subsidiaries		5,955			—			(5,955	)		—
Gain on sales of property and equipment, net		1,263			358			—			1,621
Income from operations		76,799			12,504			(5,955	)		83,348
Other income (expense):
Interest expense		(27,448	)		(6,674	)		—			(34,122	)
Other, net		896			125			—			1,021
Total other expense, net		(26,552	)		(6,549	)		—			(33,101	)
Income before income taxes		50,247			5,955			(5,955	)		50,247
Income tax expense		13,390			—			—			13,390
Net income	$	36,857		$	5,955		$	(5,955	)	$	36,857

CONDENSED CONSOLIDATING STATEMENT OF INCOME

	Six Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Revenues:
Equipment rentals	$	247,968		$	41,784		$	—		$	289,752
New equipment sales		95,601			19,431			—			115,032
Used equipment sales		46,388			10,605			—			56,993
Parts sales		50,434			7,998			—			58,432
Services revenues		26,761			5,063			—			31,824
Other		16,042			2,771			—			18,813
Total revenues		483,194			87,652			—			570,846
Cost of revenues:
Rental depreciation		83,509			14,131			—			97,640
Rental expense		37,126			6,219			—			43,345
Rental other		21,052			4,578			—			25,630
		141,687			24,928			—			166,615
New equipment sales		84,795			17,276			—			102,071
Used equipment sales		31,391			7,318			—			38,709
Parts sales		36,943			5,605			—			42,548
Services revenues		9,117			1,685			—			10,802
Other		8,193			1,220			—			9,413
Total cost of revenues		312,126			58,032			—			370,158
Gross profit (loss):
Equipment rentals		106,281			16,856			—			123,137
New equipment sales		10,806			2,155			—			12,961
Used equipment sales		14,997			3,287			—			18,284
Parts sales		13,491			2,393			—			15,884
Services revenues		17,644			3,378			—			21,022
Other		7,849			1,551			—			9,400
Gross profit		171,068			29,620			—			200,688
Selling, general and administrative expenses		112,746			22,180			—			134,926
Merger costs		220			—			—			220
Equity in earnings of guarantor subsidiaries		2,948			—			(2,948	)		—
Gain on sales of property and equipment, net		4,737			150			—			4,887
Income from operations		65,787			7,590			(2,948	)		70,429
Other income (expense):
Interest expense		(25,596	)		(4,750	)		—			(30,346	)
Other, net		746			108			—			854
Total other expense, net		(24,850	)		(4,642	)		—			(29,492	)
Income before income taxes		40,937			2,948			(2,948	)		40,937
Income tax benefit		10,688			—			—			10,688
Net income	$	30,249		$	2,948		$	(2,948	)	$	30,249

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2019
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Cash flows from operating activities:
Net income	$	36,857		$	5,955		$	(5,955	)	$	36,857
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment		11,993			1,634			—			13,627
Depreciation of rental equipment		102,623			15,959			—			118,582
Amortization of finance lease right-of-use assets		—			81			—			81
Amortization of intangible assets		2,049			—			—			2,049
Amortization of deferred financing costs		504			—			—			504
Accretion of note discount, net of premium amortization		239			—			—			239
Operating lease right-of-use liabilities, net		215			67			—			282
Provision for losses on accounts receivable		2,197			283			—			2,480
Provision for inventory obsolescence		115			—			—			115
Change in deferred income taxes		12,239			—			—			12,239
Stock-based compensation expense		2,023			—			—			2,023
Gain from sales of property and equipment, net		(1,263	)		(358	)		—			(1,621	)
Gain from sales of rental equipment, net		(19,568	)		(3,671	)		—			(23,239	)
Equity in earnings of guarantor subsidiaries		(5,955	)		—			5,955			—
Changes in operating assets and liabilities:
Receivables		840			3,924			—			4,764
Inventories		(49,636	)		(6,361	)		—			(55,997	)
Prepaid expenses and other assets		(2,887	)		(82	)		—			(2,969	)
Accounts payable		16,782			(190	)		—			16,592
Manufacturer flooring plans payable		1,888			(488	)		—			1,400
Accrued expenses payable and other liabilities		5,714			1,175			—			6,889
Deferred compensation payable		55			—			—			55
Net cash provided by operating activities		117,024			17,928			—			134,952
Cash flows from investing activities:
Acquisition of business, net of cash acquired		(106,746	)		—						(106,746	)
Purchases of property and equipment		(15,723	)		(2,845	)		—			(18,568	)
Purchases of rental equipment		(153,724	)		(20,950	)		—			(174,674	)
Proceeds from sales of property and equipment		1,777			396			—			2,173
Proceeds from sales of rental equipment		51,799			9,869			—			61,668
Investment in subsidiaries		4,337			—			(4,337	)		—
Net cash used in investing activities		(218,280	)		(13,530	)		(4,337	)		(236,147	)
Cash flows from financing activities:
Borrowings on senior secured credit facility		797,029			—			—			797,029
Payments on senior secured credit facility		(685,080	)		—			—			(685,080	)
Dividends paid		(19,667	)		(3	)		—			(19,670	)
Purchases of treasury stock		(387	)		—			—			(387	)
Payment of deferred financing costs		(559	)		—			—			(559	)
Payments on finance lease obligations		(56	)		(58	)		—			(114	)
Capital contributions		—			(4,337	)		4,337			—
Net cash provided by (used in) financing activities		91,280			(4,398	)		4,337			91,219
Net decrease in cash		(9,976	)		—			—			(9,976	)
Cash, beginning of period		16,677			—			—			16,677
Cash, end of period	$	6,701		$	—		$	—		$	6,701

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2018
	H&E Equipment Services			Guarantor Subsidiaries			Elimination			Consolidated
	(Amounts in thousands)
Cash flows from operating activities:
Net income	$	30,249		$	2,948		$	(2,948	)	$	30,249
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization on property and equipment		10,606			1,479			—			12,085
Depreciation of rental equipment		83,509			14,131			—			97,640
Amortization of intangible assets		1,485			—			—			1,485
Amortization of deferred financing costs		557			—			—			557
Accretion of note discount, net of premium amortization		239			—			—			239
Provision for losses on accounts receivable		1,195			484			—			1,679
Provision for inventory obsolescence		71			—			—			71
Change in deferred income taxes		10,743			—			—			10,743
Stock-based compensation expense		2,081			—			—			2,081
Gain from sales of property and equipment, net		(4,737	)		(150	)		—			(4,887	)
Gain from sales of rental equipment, net		(14,717	)		(3,289	)		—			(18,006	)
Equity in earnings of guarantor subsidiaries		(2,948	)		—			2,948			—
Changes in operating assets and liabilities:
Receivables		5,599			3,522			—			9,121
Inventories		(90,519	)		(13,112	)		—			(103,631	)
Prepaid expenses and other assets		(95	)		(33	)		—			(128	)
Accounts payable		59,775			(70	)		—			59,705
Manufacturer flooring plans payable		7,551			(793	)		—			6,758
Accrued expenses payable and other liabilities		1,395			(1,784	)		—			(389	)
Deferred compensation payable		43			—			—			43
Net cash provided by operating activities		102,082			3,333			—			105,415
Cash flows from investing activities:
Acquisition of business, net of cash acquired		(196,027	)		—			—			(196,027	)
Purchases of property and equipment		(12,990	)		(6,571	)		—			(19,561	)
Purchases of rental equipment		(189,589	)		(28,239	)		—			(217,828	)
Proceeds from sales of property and equipment		6,537			150			—			6,687
Proceeds from sales of rental equipment		41,946			10,231			—			52,177
Investment in subsidiaries		(21,208	)		—			21,208			—
Net cash used in investing activities		(371,331	)		(24,429	)		21,208			(374,552	)
Cash flows from financing activities:
Borrowings on senior secured credit facility		735,775			—			—			735,775
Payments on senior secured credit facility		(603,112	)		—			—			(603,112	)
Dividends paid		(19,616	)		(3	)		—			(19,619	)
Payments of deferred financing costs		(97	)		—			—			(97	)
Payments on capital lease obligations		—			(109	)		—			(109	)
Capital contributions		—			21,208			(21,208	)		—
Net cash provided by financing activities		112,950			21,096			(21,208	)		112,838
Net decrease in cash		(156,299	)		—			—			(156,299	)
Cash, beginning of period		165,878			—			—			165,878
Cash, end of period	$	9,579		$	—		$	—		$	9,579

Organization and Nature of Operations (Policies)

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Basis of Presentation

	Three Month Period Ended June 30, 2018							Six Month Period Ended June 30, 2018
	As Previously Reported		Hauling Fees			As Currently Reported		As Previously Reported		Hauling Fees			As Currently Reported
REVENUES
Equipment rentals	$	143,829	$	8,885		$	152,714	$	273,190	$	16,562		$	289,752
New equipment sales		68,539		—			68,539		115,032		—			115,032
Used equipment sales		32,140		—			32,140		56,993		—			56,993
Parts sales		30,281		—			30,281		58,432		—			58,432
Services revenues		16,788		—			16,788		31,824		—			31,824
Other		18,787		(8,885	)		9,902		35,375		(16,562	)		18,813
Total revenues		310,364		—			310,364		570,846		—			570,846

COST OF REVENUES
Rental depreciation		51,171		—			51,171		97,640		—			97,640
Rental expense		22,073		—			22,073		43,345		—			43,345
Rental other		—		13,530			13,530		—		25,630			25,630
		73,244		13,530			86,774		140,985		25,630			166,615
New equipment sales		61,226		—			61,226		102,071		—			102,071
Used equipment sales		21,772		—			21,772		38,709		—			38,709
Parts sales		21,931		—			21,931		42,548		—			42,548
Services revenues		5,752		—			5,752		10,802		—			10,802
Other		18,336		(13,530	)		4,806		35,043		(25,630	)		9,413
Total cost of revenues		202,261		—			202,261		370,158		—			370,158
Gross Profit	$	108,103	$	—		$	108,103	$	200,688	$	—		$	200,688

Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2019

Recent Accounting Pronouncements

Use of Estimates

Pronouncements Not Yet Adopted

Recently Adopted Accounting Pronouncements

Leases

Lessor Accounting

Lessee Accounting

Revenue Recognition

	Three Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	167,072	$	245	$	167,317	$	138,434	$	394	$	138,828
Re-rent revenue		6,520		—		6,520		5,001		—		5,001
Ancillary and other rental revenues:
Delivery and pick-up		—		10,313		10,313		—		8,885		8,885
Other		8,152		—		8,152		—		—		—
Total ancillary rental revenues		8,152		10,313		18,465		—		8,885		8,885
Total equipment rental revenues		181,744		10,558		192,302		143,435		9,279		152,714
New equipment sales		—		53,596		53,596		—		68,539		68,539
Used equipment sales		—		36,128		36,128		—		32,140		32,140
Parts sales		—		31,871		31,871		—		30,281		30,281
Service revenues		—		16,725		16,725		—		16,788		16,788
Other		—		2,975		2,975		6,787		3,115		9,902
Total revenues	$	181,744	$	151,853	$	333,597	$	150,222	$	160,142	$	310,364

	Six Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	320,422	$	519	$	320,941	$	262,169	$	915	$	263,084
Re-rent revenue		12,556		—		12,556		10,106		—		10,106
Ancillary and other rental revenues:
Delivery and pick-up		—		19,295		19,295		—		16,562		16,562
Other		15,639		—		15,639		—		—		—
Total ancillary rental revenues		15,639		19,295		34,934		—		16,562		16,562
Total equipment rental revenues		348,617		19,814		368,431		272,275		17,477		289,752
New equipment sales		—		112,699		112,699		—		115,032		115,032
Used equipment sales		—		65,762		65,762		—		56,993		56,993
Parts sales		—		62,299		62,299		—		58,432		58,432
Service revenues		—		32,293		32,293		—		31,824		31,824
Other		—		5,751		5,751		13,054		5,759		18,813
Total revenues	$	348,617	$	298,618	$	647,235	$	285,329	$	285,517	$	570,846

Lease revenues (Topic 842)

Revenues from contracts with customers (Topic 606)

Delivery and pick-up: Delivery and pick-up revenue associated with renting equipment is recognized when the service is performed.

New equipment sales: Revenues from the sales of new equipment are recognized at the time of delivery to, or pick-up by, the customer, which is when the customer obtains control of the promised good.

Receivables and contract assets and liabilities

Performance obligations

Payment terms

Sales tax amounts collected from customers are recorded on a net basis.

Contract costs

Contract estimates and judgments

Organization and Nature of Operations (Tables)

6 Months Ended

Jun. 30, 2019

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Summary of Revenues, Cost of Revenues and Gross Profit as Previously Reported

	Three Month Period Ended June 30, 2018							Six Month Period Ended June 30, 2018
	As Previously Reported		Hauling Fees			As Currently Reported		As Previously Reported		Hauling Fees			As Currently Reported
REVENUES
Equipment rentals	$	143,829	$	8,885		$	152,714	$	273,190	$	16,562		$	289,752
New equipment sales		68,539		—			68,539		115,032		—			115,032
Used equipment sales		32,140		—			32,140		56,993		—			56,993
Parts sales		30,281		—			30,281		58,432		—			58,432
Services revenues		16,788		—			16,788		31,824		—			31,824
Other		18,787		(8,885	)		9,902		35,375		(16,562	)		18,813
Total revenues		310,364		—			310,364		570,846		—			570,846

COST OF REVENUES
Rental depreciation		51,171		—			51,171		97,640		—			97,640
Rental expense		22,073		—			22,073		43,345		—			43,345
Rental other		—		13,530			13,530		—		25,630			25,630
		73,244		13,530			86,774		140,985		25,630			166,615
New equipment sales		61,226		—			61,226		102,071		—			102,071
Used equipment sales		21,772		—			21,772		38,709		—			38,709
Parts sales		21,931		—			21,931		42,548		—			42,548
Services revenues		5,752		—			5,752		10,802		—			10,802
Other		18,336		(13,530	)		4,806		35,043		(25,630	)		9,413
Total cost of revenues		202,261		—			202,261		370,158		—			370,158
Gross Profit	$	108,103	$	—		$	108,103	$	200,688	$	—		$	200,688

Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Revenues by Type and by Applicable Accounting Standard

	Three Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	167,072	$	245	$	167,317	$	138,434	$	394	$	138,828
Re-rent revenue		6,520		—		6,520		5,001		—		5,001
Ancillary and other rental revenues:
Delivery and pick-up		—		10,313		10,313		—		8,885		8,885
Other		8,152		—		8,152		—		—		—
Total ancillary rental revenues		8,152		10,313		18,465		—		8,885		8,885
Total equipment rental revenues		181,744		10,558		192,302		143,435		9,279		152,714
New equipment sales		—		53,596		53,596		—		68,539		68,539
Used equipment sales		—		36,128		36,128		—		32,140		32,140
Parts sales		—		31,871		31,871		—		30,281		30,281
Service revenues		—		16,725		16,725		—		16,788		16,788
Other		—		2,975		2,975		6,787		3,115		9,902
Total revenues	$	181,744	$	151,853	$	333,597	$	150,222	$	160,142	$	310,364

	Six Month Period Ended June 30,
	2019						2018
	Topic 842		Topic 606		Total		Topic 840		Topic 606		Total
Revenues:
Rental revenues
Owned equipment rentals	$	320,422	$	519	$	320,941	$	262,169	$	915	$	263,084
Re-rent revenue		12,556		—		12,556		10,106		—		10,106
Ancillary and other rental revenues:
Delivery and pick-up		—		19,295		19,295		—		16,562		16,562
Other		15,639		—		15,639		—		—		—
Total ancillary rental revenues		15,639		19,295		34,934		—		16,562		16,562
Total equipment rental revenues		348,617		19,814		368,431		272,275		17,477		289,752
New equipment sales		—		112,699		112,699		—		115,032		115,032
Used equipment sales		—		65,762		65,762		—		56,993		56,993
Parts sales		—		62,299		62,299		—		58,432		58,432
Service revenues		—		32,293		32,293		—		31,824		31,824
Other		—		5,751		5,751		13,054		5,759		18,813
Total revenues	$	348,617	$	298,618	$	647,235	$	285,329	$	285,517	$	570,846

Acquisitions (Tables)

6 Months Ended

Jun. 30, 2019

CEC [Member]

Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date.

	$’s in thousands
Cash	$	1,244
Accounts receivable		7,583
Inventory		504
Prepaid expenses and other assets		324
Rental equipment		55,342
Property and equipment		2,700
Intangible assets (1)		21,500
Total identifiable assets acquired		89,197
Accounts payable		(1,023	)
Accrued expenses payable and other liabilities		(876	)
Total liabilities assumed		(1,899	)
Net identifiable assets acquired		87,298
Goodwill (2)		45,092
Net assets acquired	$	132,390

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	21,000		10
Tradenames		300		1
Leasehold interests		200		10
	$	21,500

(2)

We have allocated the $45.1 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	25,233
Rental Component 2		18,391
New Equipment		217
Used Equipment		632
Parts		379
Service		240
	$	45,092

Rental Inc [Member]

Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed

The following table summarizes the fair value of the assets acquired and liabilities assumed as of the acquisition date.

	$’s in thousands
Cash	$	260
Accounts receivable		2,873
Inventory		5,324
Prepaid expenses and other assets		47
Rental equipment		22,578
Property and equipment		1,935
Intangible assets (1)		10,200
Total identifiable assets acquired		43,217
Accounts payable		(439	)
Manufacturer flooring plans payable		(3,293	)
Accrued expenses payable and other liabilities		(469	)
Total liabilities assumed		(4,201	)
Net identifiable assets acquired		39,016
Goodwill (2)		29,554
Net assets acquired	$	68,570

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	10,000		10
Tradenames		200		1
	$	10,200

(2)

We have allocated the $29.6 million goodwill among our six goodwill reporting units as follows (amounts in thousands):

Rental Component 1	$	9,064
Rental Component 2		5,445
New Equipment		10,217
Used Equipment		1,692
Parts		2,171
Service		965
	$	29,554

We-Rent-It [Member]

Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed

	$’s in thousands
Cash	$	1,745
Accounts receivable		5,119
Inventory		731
Prepaid expenses and other assets		544
Rental equipment		51,747
Property and equipment		3,207
Other assets		21
Intangible assets (1)		8,700
Total identifiable assets acquired		71,814
Accounts payable		(115	)
Accrued expenses payable and other liabilities		(991	)
Total liabilities assumed		(1,106	)
Net identifiable assets acquired		70,708
Goodwill		37,783
Net assets acquired	$	108,491

(1)

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair Value (amounts in thousands)		Life (years)
Customer relationships	$	8,500		10
Tradenames		200		1
	$	8,700

Unaudited Pro Forma Consolidated Statements of Income Information

	(amounts in thousands, except per share data)
	Three Month Period Ended June 30, 2018
	H&E(1)		We-Rent-It			Total
Total revenues	$	310,364	$	9,640		$	320,004
Pretax income		27,869		2,432			30,301
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(1,976	)		(1,976	)
Intangible asset amortization (3)		—		(313	)		(313	)
Interest expense (4)		—		(1,476	)		(1,476	)
Elimination of historic interest expense (5)		—		126			126
Pro forma pretax income (loss)		27,869		(1,207	)		26,662
Income tax expense (benefit)		7,098		(301	)		6,797
Net income (loss)	$	20,771	$	(906	)	$	19,865
Net income (loss) per share – basic	$	0.58	$	(0.03	)	$	0.56
Net income (loss) per share – diluted	$	0.58	$	(0.03	)	$	0.55

	(amounts in thousands, except per share data)
	Six Month Period Ended June 30, 2018
	H&E(1)		Rental Inc.(6)			We-Rent-It			Total
Total revenues	$	570,846	$	7,408		$	17,227		$	595,481
Pretax income		40,937		1,020			3,216			45,173
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (2)		—		(749	)		(2,226	)		(2,975	)
Intangible asset amortization (3)		—		(275	)		(435	)		(710	)
Interest expense (4)		—		(480	)		(2,832	)		(3,312	)
Elimination of historic interest expense (5)		—		82			206			288
Pro forma pretax income (loss)		40,937		(402	)		(2,071	)		38,464
Income tax expense (benefit)		10,688		(105	)		(536	)		10,047
Net income (loss)	$	30,249	$	(297	)	$	(1,535	)	$	28,417
Net income (loss) per share – basic	$	0.85	$	(0.01	)	$	(0.04	)	$	0.80
Net income (loss) per share – diluted	$	0.84	$	(0.01	)	$	(0.04	)	$	0.79

(1)

Amounts presented above for “H&E” are derived from the Company’s consolidated statements of income in this Quarterly Report on Form 10-Q for the three and six month period ended June 30, 2018.

(2)

Depreciation of rental equipment and non-rental equipment were adjusted for the fair value markups, and the changes in useful lives and salvage values of the equipment acquired in the acquisition.

(3)

Represents the amortization of the intangible assets acquired in the acquisition.

(4)

Interest expense was adjusted to reflect the additional debt resulting from the acquisition.

(5)

Represents the elimination of historic debt of WRI that is not part of the combined entity.

(6)

Represents Rental Inc. pro forma operating results for the three month period ended March 31, 2018. We completed the Rental Inc. acquisition on April 1, 2018.

CEC and Rental Inc [Member]

Unaudited Pro Forma Consolidated Statements of Income Information

	(amounts in thousands)
	Three Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	249,363	$	8,140		$	8,979		$	266,482
Pretax income		15,668		1,448			2,105			19,221
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(809	)		(738	)		(1,547	)
Intangible asset amortization (2)		—		(705	)		(275	)		(980	)
Interest expense (3)		—		—			(475	)		(475	)
Elimination of historic interest expense (4)		—		139			102			241
Pro forma pretax income		15,668		73			719			16,460
Income tax expense		5,790		27			262			6,079
Net income	$	9,878	$	46		$	457		$	10,381
Net income per share – basic	$	0.28	$	—		$	0.01		$	0.29
Net income per share – diluted	$	0.28	$	—		$	0.01		$	0.29

	(amounts in thousands)
	Six Month Period Ended June 30, 2017
	H&E		CEC			Rental Inc.			Total
Total revenues	$	476,191	$	16,529		$	17,225		$	509,945
Pretax income		24,198		2,889			4,158			31,245
Pro forma adjustments to pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)		—		(1,712	)		(1,381	)		(3,093	)
Intangible asset amortization (2)		—		(1,410	)		(550	)		(1,960	)
Interest expense (3)		—		—			(995	)		(995	)
Elimination of historic interest expense (4)		—		263			202			465
Pro forma pretax income		24,198		30			1,434			25,662
Income tax expense		8,930		11			523			9,464
Net income	$	15,268	$	19		$	911		$	16,198
Net income per share – basic	$	0.43	$	—		$	0.03		$	0.46
Net income per share – diluted	$	0.43	$	—		$	0.03		$	0.45

(1)

(2)

Represents the amortization of the intangible assets acquired in the CEC and Rental Inc. acquisitions.

(3)

(4)

Historic debt of CEC and Rental Inc. that is not part of the combined entity was eliminated.

Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2019

Estimated Incremental Borrowing Rates for Similar Types of Borrowing Arrangements

	June 30, 2019
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	25,066	$	21,196
Senior unsecured notes with interest computed at 5.625% (Level 2)		945,173		978,500
Letter of credit (Level 3)		—		97

	December 31, 2018
	Carrying Amount		Fair Value
Manufacturer flooring plans payable with interest computed at 5.50% (Level 3)	$	23,666	$	19,870
Senior unsecured notes with interest computed at 5.625% (Level 2)		944,780		871,625
Capital leases payable with interest computed at 5.929% to 9.55% (Level 3)		726		330
Letter of credit (Level 3)		—		116

Stockholders' Equity (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Activity in Stockholders' Equity

	Common Stock					Additional									Total
	Shares Issued			Amount		Paid-in Capital			Treasury Stock			Retained Earnings			Stockholders’ Equity
Balances at December 31, 2018		39,748,562		$	396	$	231,174		$	(63,099	)	$	88,332		$	256,803
Stock-based compensation		—			—		1,188			—			—			1,188
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,793	)		(9,793	)
Issuance of common stock, net of restricted stock forfeitures		59,510			1					—			—			1
Repurchase of 14,272 shares of restricted common stock		—			—		—			(387	)		—			(387	)
Cumulative effect adjustment pursuant to the adoption of ASC 842		—			—		—			—			(56	)		(56	)
Net income		—			—		—			—			14,243			14,243
Balances at March 31, 2019		39,808,072			397		232,362			(63,486	)		92,726			261,999
Stock-based compensation							835									835
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,857	)		(9,857	)
Restricted stock forfeitures		(2,666	)													—
Net income		—			—		—			—			22,614			22,614
Balances at June 30, 2019		39,805,406		$	397	$	233,197		$	(63,486	)	$	105,483		$	275,591

Balances at December 31, 2017		39,623,773		$	395	$	227,070		$	(61,749	)	$	51,077		$	216,793
Stock-based compensation		—			—		1,319			—			—			1,319
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,845	)		(9,845	)
Issuance of common stock, net of restricted stock forfeitures		9,534			—		—			—			—			—
Net income		—			—		—			—			9,478			9,478
Balances at March 31, 2018		39,633,307			395		228,389			(61,749	)		50,710			217,745
Stock-based compensation		—			—		762			—			—			762
Cash dividends declared on common stock ($0.275 per share)		—			—		—			—			(9,813	)		(9,813	)
Issuance of common stock, net of restricted stock forfeitures		29,033			1		(110	)		—			—			(109	)
Net income		—			—		—			—			20,771			20,771
Balances at June 30, 2018		39,662,340		$	396	$	229,041		$	(61,749	)	$	61,668		$	229,356

Stock-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Schedule of Non-Vested Stock Activity

The following table summarizes our non-vested stock activity for the six months ended June 30, 2019:

	Number of Shares			Weighted Average Grant Date Fair Value
Non-vested stock at December 31, 2018		379,559		$	25.87
Granted		20,923		$	26.77
Vested		(57,296	)	$	21.60
Forfeited		(27,786	)	$	20.87
Non-vested stock at June 30, 2019		315,400		$	27.15

Schedule of Compensation Expense Related to Non-Vested Stock

For the Three Months Ended

June 30,

For the Six Months Ended

June 30,

2019

2018

2019

2018

Compensation expense

835

762

2,023

2,081

Income per Share (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Computation of Basic and Diluted Net Income Per Common Share

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2019		2018		2019		2018
Basic net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Net income per share of common stock – basic	$	0.63	$	0.58	$	1.03	$	0.85
Diluted net income per share:
Net income	$	22,614	$	20,771	$	36,857	$	30,249
Weighted average number of common shares outstanding		35,826		35,634		35,807		35,613
Effect of dilutive securities:
Effect of dilutive non-vested restricted stock		190		272		187		280
Weighted average number of common shares outstanding – diluted		36,016		35,906		35,994		35,893
Net income per share of common stock – diluted	$	0.63	$	0.58	$	1.02	$	0.84
Common shares excluded from the denominator as anti-dilutive:
Non-vested restricted stock		—		—		19		—

Senior Unsecured Notes (Tables)

6 Months Ended

Jun. 30, 2019

Reconciliation of Senior Unsecured Notes to Condensed Consolidated Balance Sheets

The following table reconciles our Senior Unsecured Notes to our Condensed Consolidated Balance Sheets (amounts in thousands):

Balance at December 31, 2017	$	944,088
Accretion of discount through December 31, 2018		1,539
Amortization of note premium through December 31, 2018		(1,062	)
Additional deferred financing costs on New Notes		(97	)
Amortization of deferred financing costs through December 31, 2018		312
Balance at December 31, 2018	$	944,780
Accretion of discount through June 30, 2019		770
Amortization of note premium through June 30, 2019		(531	)
Amortization of deferred financing costs through June 30, 2019		154
Balance at June 30, 2019	$	945,173

Leases (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Lease Costs for Operating and Finance Leases

The table below presents certain information related to lease costs for our operating and finance leases for the three and six month periods ended June 30, 2019 (in thousands).

		Three Month			Six Month
		Period Ended			Period Ended
	Classification	June 30, 2019			June 30, 2019
Operating lease cost	SG&A expenses	$	5,680		$	11,255
Finance lease cost
Amortization of leased assets	SG&A expenses		40			81
Interest on lease liabilities	Interest expense		10			21
Variable lease cost	SG&A expenses		150			274
Sublease income	Other income		(130	)		(250	)
Total lease cost		$	5,750		$	11,381

Schedule of Supplemental Cash Flow Information Related to Leases

The table below presents supplemental cash flow information related to leases for the three and six month periods ended June 30, 2019 (in thousands).

	Three Month		Six Month
	Period Ended		Period Ended
Cash paid for amounts included in the measurement of lease liabilities:	June 30, 2019		June 30, 2019
Operating cash flows for operating leases	$	5,532	$	10,961
Operating cash flows for finance leases		10		21
Finance cash flows for finance leases		57		114

Summary of Undiscounted Cash Flows and Operating Lease Liabilities Recorded on Condensed Consolidated Balance Sheet

	Operating			Finance
	Leases			Leases
2019	$	11,098		$	135
2020		22,126			270
2021		22,064			270
2022		21,899			45
2023		21,803			—
Thereafter		137,953			—
Total minimum lease payments		236,943			720
Less: amount of lease payments representing interest		(70,757	)		(52	)
Present value of future minimum lease payments	$	166,186		$	668

Segment Information (Tables)

6 Months Ended

Jun. 30, 2019