Toromont Industries, whose equipment group owns the Caterpillar dealer for Ontario, Manitoba, Eastern Labrador, Newfoundland and Nunavut, last week announced record results for the first quarter. Net earnings were 14-percent higher at $7.4 million Canadian, on a 12 percent year-over-year revenue increase. Total first quarter revenues were $310 million Canadian.
“Despite some continued challenges in product availability, the equipment group had solid growth in most sectors and we continue to focus on maintaining market share in this very competitive market,” said president and CEO Hugo Sorensen.
On the 12 percent first-quarter revenue increase, the equipment group was up 18 percent, while Toromont’s compression group rose 4 percent. New machine sales, rentals and product support business all registered double-digit first-quarter growth.
Toromont owns Stoney Creek, Ont.-based Battlefield Equipment Rentals, which operates 32 locations in Ontario. Battlefield grossed U.S. $60 million rental revenue in 2004. Rental revenues were up 29 percent on same-store improvements, one new location and the late 2004 acquisition of Access Rentals. Organic growth resulted from improved utilization of rental assets and higher rental rates, the company said. Battlefield began construction on a new Barrie, Ontario, Cat Rental Store facility, scheduled for completion in the third quarter.
Toromont last week also announced the regular quarterly dividend of 8 cents per share on outstanding common shares, payable July 4, 2005, to shareholders of record at the close of business on June 16, 2005. Battlefield was No. 22 on the 2004 RER 100 ranking. The new RER 100 ranking will be released in early May.