Medical Equipment Rental in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: August 2024
NAICS OD4804Revenue
$5.0bn
Past 5-Year Growth
Profit
$XX.Xbn
Employees
23,316
Businesses
745
Wages
$X.Xbn
Medical Equipment Rental in the US industry analysis
Over the five years to 2023, Medical Equipment Rental industry companies have exhibited growth due to the rapid advent of high-cost equipment. As many healthcare providers have struggled with cuts to Medicare and Medicaid reimbursements, they have implemented cost-saving strategies. Some providers have chosen to rent rather than purchase medical equipment to access up-to-date technologies at a lower cost. In addition, rising total health expenditure from the expanding medical needs of an aging US population has increased demand for industry services from both hospitals and home healthcare providers. In all, over the five years to 2023, industry revenue is projected to increase at a CAGR of 1.7% to $4.9 billion, including growth of 0.3% in 2023. Industry profit, measured as earnings before interest and taxes, is expected to account for 16.3% of revenue in 2023.The onset of the COVID-19 pandemic created significant disruptions across the healthcare sector (IBISWorld report 62). As the number of patients admitted to hospitals grew exponentially, hospitals simultaneously experienced a limited supply of critical equipment while shifting resources toward a pandemic response, increasing demand for medical equipment rentals. While widespread vaccine availability reduced patient admissions in 2021, supply chain disruptions continue to restrict access to essential medical equipment, elevating industry demand above pre-pandemic levels. Recovery in total health expenditure, fueled largely by pent-up demand for health services, including elective surgeries, is expected to drive revenue growth between 2022 and 2023 as well.Over the five years to 2028, industry revenue is forecast to continue to grow. During the next five-year period, the industry will be characterized by rising demand from healthcare institutions and homecare providers to meet the medical needs of an aging population. As the ongoing shift from volume-based models to value-based care occurs, demand for medical equipment rentals is expected to rise as healthcare providers seek the latest in evolving medical technologies for patient care to improve outcomes. Overall, industry revenue is expected to rise at a CAGR of 1.7% to $5.4 billion over the five years to 2028.
Trends and Insights
- The Medical Equipment Rental industry has benefited from many healthcare providers implementing cost-cutting strategies. In particular, many healthcare providers have rented rather than purchased medical equipment that is prone to rapid technological change.
- Many industry companies have increasingly provided downstream markets, such as hospitals, with high-tech equipment. For example, many medical equipment rental companies have purchased medical devices that integrate with electronic health record (EHR) systems.
- The industry is dispersed throughout the United States. The largest markets tend to be in areas with large consumer markets, such as the Southeast and the West regions of the United States.
- The Medical Equipment Rental industry is characterized by a low level of market share concentration. In 2020, the top three companies are expected to make up just over 40.0% of industry revenue.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 1.1 % over the past five years, to reach an estimated $5.0bn in 2024.
Trends and Insights
The spread of COVID-19 has impacted downstream demand
- Many healthcare providers rent equipment to meet fluctuations in patient volumes, such as short-term spikes in the number of patients admitted into the emergency room.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Healthcare reform provides opportunities for cost saving measures
- Over the next five years, healthcare reform will provide opportunities for healthcare providers to lease, rather than purchase, medical equipment.
Biggest companies in the Medical Equipment Rental in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Agiliti Health, Inc. | 1,235.2 | 55.6 | 4.5 | |
3m Company | 503.8 | 53.8 | 10.7 | |
Hill-Rom Holdings, Inc. | 215.0 | 16.3 | 7.6 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Medical equipment rentals, excluding surgical equipment , Support services and Surgical equipment rentals. Medical equipment rentals, excluding surgical equipment is the largest segment of the Medical Equipment Rental in the US.
Trends and Insights
Medical equipment rentals, excluding surgical equipment, help healthcare providers manage short- and long-term costs
- Medical equipment is constantly evolving and requires frequent maintenance, so healthcare providers benefit from renting equipment. This enables them to keep up with trends and requirements and avoid depreciation or maintenance related to equipment purchases.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Medical Device Manufacturing in the US
Complementors
- Medical Instrument & Supply Manufacturing in the US
- Glasses & Contact Lens Manufacturing in the US
- Industrial Equipment Rental & Leasing in the US
International industries
- Global Pharmaceuticals & Medicine Manufacturing
Table of Contents
About this industry
Industry definition
Companies in this industry rent and lease medical equipment to institutional customers. This industry specifically excludes companies that primarily rent and lease medical equipment to home care customers.
What's included in this industry?
Renting medical equipmentLeasing medical equipmentProviding customer support servicesCompanies
Agiliti Health, Inc.3m CompanyHill-Rom Holdings, Inc.Purchase this report to view all 3 major companies in this industry.
Related Terms
ACUTELEASERENTIndustry Code
NAICS 53249 - Medical Equipment Rental in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The Medical Equipment Rental industry has benefited from many healthcare providers implementing cost-cutting strategies. In particular, many healthcare providers have rented ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Many industry companies have increasingly provided downstream markets, such as hospitals, with high-tech equipment. For example, many medical equipment rental companies have ...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The industry is dispersed throughout the United States. The largest markets tend to be in areas with large consumer markets, such as the Southeast and the West regions of the...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The Medical Equipment Rental industry is characterized by a low level of market share concentration. In 2020, the top three companies are expected to make up just over 40.0% ...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Agiliti Health is a public company with a notable market share in at least three industries: Industrial Equipment Rental & Leasing (IBISWorld report 53249), Electronic & Compu...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Agiliti Health, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of 3m Company's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Hill-Rom Holdings, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Agiliti Health, Inc., and factors influencing its performance in the industry
- Description and key data for 3m Company, and factors influencing its performance in the industry
- Description and key data for Hill-Rom Holdings, Inc., and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The Medical Equipment Rental industry experiences a moderate degree of regulation. Medical equipment needs to be deemed safe for use and can be recalled if not.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
The Medical Equipment Rental industry's cost structure is mainly determined by the cost of the equipment. For this reason, depreciation is one of the highest expenses.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Medical Equipment Rental in the US industry in United States in 2024?
The market size of the Medical Equipment Rental in the US industry in United States is $5.0bn in 2024.
How many businesses are there in the Medical Equipment Rental in the US industry in 2024?
There are 745 businesses in the Medical Equipment Rental in the US industry in United States, which has declined at a CAGR of 0.5 % between 2019 and 2024.
Has the Medical Equipment Rental in the US industry in United States grown or declined over the past 5 years?
The market size of the Medical Equipment Rental in the US industry in United States has been growing at a CAGR of 1.1 % between 2019 and 2024.
What is the forecast growth of the Medical Equipment Rental in the US industry in United States over the next 5 years?
Over the next five years, the Medical Equipment Rental in the US industry in United States is expected to grow.
What are the biggest companies in the Medical Equipment Rental in the US market in United States?
The biggest companies operating in the Medical Equipment Rental market in United States are Agiliti Health, Inc., 3m Company and Hill-Rom Holdings, Inc.
What does the Medical Equipment Rental in the US in United States include?
Renting medical equipment and Leasing medical equipment are part of the Medical Equipment Rental in the US industry.
Which companies have the highest market share in the Medical Equipment Rental in the US in United States?
The company holding the most market share in United States is Agiliti Health, Inc..
How competitive is the Medical Equipment Rental in the US industry in United States?
The level of competition is moderate and steady in the Medical Equipment Rental in the US industry in United States.
