Canadian Cat Dealer Toromont Posts Strong Second Quarter

July 30, 2015

2 min read

Rental sales and product support of Caterpillar equipment has been strong for Toromont during the first half of 2015 — Rental, sales and product support of Caterpillar equipment has been strong for Toromont during the first half of 2015.

Toromont Industries’ Equipment Group, which is one of the world’s largest Caterpillar dealers plus Battlefield Equipment, a top 20 equipment rental company, posted a 16-percent increase in revenue in the second quarter, with CDN $427.6 million (about U.S. $328 million) on strong equipment sales, product support and rental activity. For the first six months of 2015, the group rose revenue 15 percent to $724.2 million. Equipment sales jumped 14 percent, largely because of good construction, power systems and agriculture deliveries, offset by reduced mining sales.

“In a relatively competitive market environment, we delivered strong results in the second quarter,” said Scott Medhurst, president and CEO. “The Equipment Group experienced an active construction market combined with very strong product support growth. Construction activity has been healthy and the roster of projects is expected to continue. However, heightened competitive conditions, a tight pricing environment, challenges within the mining industry, stagnant economic growth and a weaker Canadian dollar are all expected to impact customers.”

Toromont also owns CIMCO, an industrial and recreational refrigeration systems business, which fared well in the first half of 2015.

Based in Concord, Ontario, Toromont operates in Ontario, Manitoba, Newfoundland, and most of Labrador and Nunavut. Its marine engines division also operates in the Great Lakes region in the United States. Its equipment rental division, Battlefield Equipment, is based in Stoney Creek, Ontario, and is No. 19 on the RER 100.

About the Author

Michael Roth

Editor

Michael Roth has covered the equipment rental industry full time for RER since 1989 and has served as the magazine’s editor in chief since 1994. He has nearly 30 years experience as a professional journalist. Roth has visited hundreds of rental centers and industry manufacturers, written hundreds of feature stories for RER and thousands of news stories for the magazine and its electronic newsletter RER Reports. Roth has interviewed leading executives for most of the industry’s largest rental companies and manufacturers as well as hundreds of smaller independent companies. He has visited with and reported on rental companies and manufacturers in Europe, Central America and Asia as well as Mexico, Canada and the United States. Roth was co-founder of RER Reports, the industry’s first weekly newsletter, which began as a fax newsletter in 1996, and later became an online newsletter. Roth has spoken at conventions sponsored by the American Rental Association, Associated Equipment Distributors, California Rental Association and other industry events and has spoken before industry groups in several countries. He lives and works in Los Angeles when he’s not traveling to cover industry events.