U-Haul Holding Co. 10-Q Summary: Quarter Ended June 30, 2026
Business Context and Reporting Period
This is a Quarterly Report (Form 10-Q) for U-Haul Holding Company for the period ended June 30, 2026 (First Quarter of Fiscal 2027). The company operates three primary segments: Moving and Storage (rental trucks, trailers, self-storage), Property and Casualty Insurance, and Life Insurance. The Moving and Storage segment is the primary revenue driver, while the insurance segments provide ancillary coverage and long-term capital growth.
Key Financial Metrics
| Metric | Q1 2026 (Current) | Q1 2025 (Prior Year) |
|---|---|---|
| Total Revenues | $1,682.0 million | $1,630.5 million |
| Net Earnings (Common Stockholders) | $122.9 million | $142.3 million |
| Earnings Per Share (Voting Common) | $0.58 | $0.68 |
| Operating Cash Flow | $630.3 million | $598.4 million |
| Cash and Cash Equivalents | $1,097.3 million | $1,120.1 million (Mar 31, 2026) |
| Total Debt (Notes, Loans, Finance Liabilities) | $8,105.4 million | $8,083.4 million (Mar 31, 2026) |
| Capital Expenditures (Gross) | $822.4 million | $916.6 million |
Material Changes vs. Prior Period
- Revenue Growth: Total revenue increased by $51.6 million (3.2%). Self-moving equipment rental revenue rose $29.3 million, and self-storage revenue increased $15.9 million due to occupancy gains and new capacity (1.1 million sq. ft. added).
- Profitability Decline: Net earnings decreased by $19.4 million (13.6%). This was primarily driven by a $15.6 million increase in interest expense (due to higher debt levels and rates) and increased operating costs in the Moving and Storage segment.
- Operating Expenses: Total costs and expenses rose $58.4 million. Key drivers included a $22.4 million increase in freight/shipping costs, a $10.2 million increase in personnel expenses, and a $13.5 million increase in depreciation on the rental fleet.
- Asset Disposal Gains: The company recorded a net gain of $1.8 million on the disposal of rental equipment, a significant improvement from a $21.9 million loss in the prior year quarter, attributed to improved sales proceeds.
Guidance, Outlook, and Risks
- Capital Allocation: The Board authorized a $350 million stock repurchase program in May 2026. During the quarter, the company repurchased $48.0 million in stock ($15.6 million Voting, $32.4 million Non-Voting). Additional repurchases of $53.1 million occurred between July 1 and August 3, 2026.
- Investment Outlook: Management plans to reinvest approximately $855 million in the rental fleet for Fiscal 2027. Real estate capital expenditures are expected to remain stable, though spending on new development may decrease.
- Risks and Contingencies:
- Interest Rate Risk: The company has $827.3 million in variable rate debt. A 100 basis point increase in SOFR would increase annual interest expense by approximately $5.5 million.
- Supply Chain: Risks related to the availability of new rental equipment from manufacturers could impact fleet rotation and increase repair costs.
- Insurance Liabilities: Self-insured liability costs increased by $6.2 million. The company monitors actuarial evaluations for claims reserves.
Investor Verification Checklist
- Debt Servicing: Verify the impact of rising interest rates on the $8.1 billion debt load and the sufficiency of operating cash flow to cover interest payments ($97.9 million in Q1).
- Fleet Economics: Confirm the sustainability of the improved gains on equipment disposals and the cost of acquiring new trucks to replace aging fleet.
- Self-Storage Occupancy: Monitor the trend in average revenue per occupied foot and occupancy rates, which are critical to the $250 million quarterly storage revenue stream.
- Stock Repurchase Execution: Track the remaining balance of the $350 million buyback authorization and the pace of future repurchases.
- Insurance Segment Performance: Review the Life Insurance segment's net withdrawals ($43.2 million as of March 31, 2026) and the impact of interest rate changes on fixed maturity investment portfolios.