Ritchie Bros. Revenue Leaps 7 Percent in Third Quarter
Ritchie Bros. Auctioneers generated $109.3 million of revenue in the third quarter, a 7 percent increase compared to $102.2 million in the third quarter of 2014. Net earnings jumped 118 percent to $20.3 million compared to $9.3 million in the year-ago quarter.
“Our teams continued to focus on driving revenue growth, with meaningful improvement in the performance of our underwritten business and continued growth of fee-based revenue,” said Ravi Saligram, CEO of Ritchie Bros. “We achieved 28-percent revenue growth from our U.S. operations, and saw strong local currency contributions from Canada, Australia, and the Middle East. We’re also pleased to announce that we’re acquired a 75-percent stake in Xeira LLC, a leader in simulcast auction technology. Xeira’s market-leading platform and approach to online auction innovations were key factors that led to this acquisition. The strength of their systems was and continues to be, an important contributor to Ritchie Brothers’ success. In fact, nearly $1.7 billion of equipment and other assets sold through Ritchie Bros. auctions during 2014 transacted on Xeira’s ‘Online Ringman’ software platform.”
Ritchie Bros.’ gross auction proceeds were $894.5 million for the third quarter of 2015, a quarterly record and a 1-percent increase compared to the third quarter of 2015. EquipmentOne, the company’s online equipment marketplace, contributed $30.4 million of gross transaction value to GAP in the third quarter of 2015 compared to $23.2 million in the third quarter of 2014, a 31-percent leap.
Revenue grew 11 percent during the first nine months of 2015 to $380.4 million, compared to $342.6 million in the first nine months of 2014.
The newly acquired ‘Online Ringman’ software was used in more than 23,750 auction events globally during 2014, and facilitated online auction bidding for nearly $62 billion in auction sales in more than 25 countries.
Ritchie Bros. Auctioneers is based in Vancouver, B.C., Canada.
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.