Caterpillar Dealer Toromont Posts 67.2-Percent Fourth Quarter Revenue Boost
Toromont Industries, owner of one of the world’s largest Caterpillar dealers, posted CDN $822.8 in fourth quarter revenue compared to $492.2 million in the fourth quarter of 2016, a 67.2-percent increase. For the full year, Toromont reported $2,350.2 million compared to $1,912 million a year ago, a 22.9-percent hike.
Toromont includes two business segments – the far larger Equipment Group and CIMCO, a refrigeration systems group. The Equipment Group includes a Caterpillar dealership that covers the Canadian provinces of Newfoundland and Labrador, Nova Scotia, New Brunswick, Prince Edward Island, Quebec, Ontario and Manitoba, and most of the territory of Nunavut.
“Toromont delivered strong results for the fourth quarter and full year of 2017, with solid organic growth in the Equipment Group and CIMCO, coupled with two months of operations at our acquired businesses,” said Scott Medhurst, president and CEO, Toromont Industries. “The Equipment Group executed well, and CIMCO had another record year, a testament to the team’s dedication and commitment to excellence during a period of elevated focus on completing the Hewitt acquisition. Entering 2018, the company, supported by a strong balance sheet, is well positioned to continue to build value for shareholders.”
Toromont completed the acquisition of businesses and net operating assets on Oct. 27, 2017, for a total purchase price of $1.02 billion. The acquisition strengthens Toromont’s position and provides significant opportunity for profitable growth and expanded market diversification. Also, Toromont became the authorize Caterpillar dealer for Quebec, Western Labrador and the Maritimes, the Caterpillar lift truck dealer for Quebec and most of Ontario and the Mark engine dealer for Quebec, the Maritimes and the eastern seaboard of the United States from Maine to Virginia.
Toromont also includes Battlefield Equipment Rentals, one of Canada’s top equipment rental companies, No. 18 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.