U‑Haul Holding Company reported a net loss of $37.0 million for its third quarter of fiscal 2026, a sharp reversal from the $67.2 million profit recorded in the same period a year earlier. Earnings per share fell to a loss of $0.18, compared with a $0.35 gain in Q3 2025. Consolidated revenue for the quarter reached $1.416 billion, up 2.0 % year‑over‑year but falling short of the $1.47 billion consensus estimate by roughly $50 million.
Revenue growth was uneven across segments. The Moving and Storage division, the company’s core rental business, saw operating earnings collapse to $7.1 million from $127.3 million a year earlier, reflecting a sharp decline in rental demand and a 30 % increase in fleet depreciation and disposal losses. In contrast, the Self‑Storage segment posted a 7.9 % revenue increase, driven by higher occupancy rates and a 4 % rise in revenue per square foot. The combined effect left overall margins compressed, with operating income falling to $12.3 million from $98.6 million in Q3 2025.
The loss was largely attributable to a $23.5 million depreciation expense on rental equipment and a $4.2 million loss on the disposal of retired vehicles, both of which were one‑time charges that pushed earnings into negative territory. Management noted that the depreciation headwind is expected to bottom out later in the calendar year, but the company remains cautious about future profitability as it continues to underutilize fleet and storage capacity.
Chairman Joe Shoen emphasized that the company is focusing on cost discipline and improving market penetration in its U‑Move service and self‑storage offerings. He stated that the company’s “underutilized capacity” should improve, but he also warned that the current depreciation and disposal losses would continue to weigh on earnings until the fleet is fully redeployed. No specific quantitative guidance was issued for the remainder of the fiscal year, but analysts expect a challenging finish based on the current trajectory.
Investors reacted negatively to the earnings miss, citing the revenue shortfall and margin compression in the core Moving and Storage segment as key concerns. The market’s focus on the company’s ability to control depreciation costs and restore rental demand will shape the outlook for the remainder of the fiscal year.
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