NES Rental Holdings released first-quarter results showing solid revenue growth and improvement in operating income. Total revenues improved 17 percent from last year’s first quarter, to $140 million.
Rental revenues were $110 million for the quarter, a 12-percent year-over-year increase. Same-store rental revenues increased 17 percent, and revenues from equipment sales, parts, supplies, and services improved 27 percent to $30 million.
NES Rentals reported operating income of $4 million for the first quarter of 2006, a $12 million improvement from an $8 million operating loss in last year’s first quarter.
“Revenues are up and customer satisfaction surveys are extremely positive,” said CEO Andrew Studdert. “These factors and a strong construction season combine to position us favorably for continued growth.”
Studdert added that since the company’s announcement earlier this year that it was embarking on a strategic alternatives process that could result in a sale of the company, merger, acquisition or other transaction, there has been significant interest from the marketplace and a number of interested parties are engaged in due diligence. The company said it hopes to finalize the process by early summer and announce a new investor shortly thereafter.
Based in Chicago, NES Rentals is No. 7 on the new RER 100.