RSC Holdings announced second-quarter rental revenue of $405 million, a 5.3-percent increase from $385 million in rental volume during the second quarter of 2007. Rentals represented 90 percent of RSC's revenue, which totaled $449 million for the quarter, a 1.4-percent year-over-year increase.
Equipment rental volume for the first six months of 2008 was $777.2 million, a 6.1-percent increase compared with $732.6 million in the same period in 2007, with total revenues increasing 2.6 percent from $849.2 percent last year to $871.1 percent this year.
Same-store rental revenue growth was 4.4 percent and the company's industrial business continued to outperform the rest of the business in revenue growth. Rental rates rose 0.9 percent on a sequential basis from the first quarter, but were down 0.5 percent year over year. Utilization of fleet increased to 71.6 percent in the second quarter, compared with 68.6 percent during the second quarter of 2008.
“Our strong performance is a direct result of proactively managing the operating levers of our business by focusing on sustained rental rates and high utilization through reduced capex and fleet redeployment,” said Erik Olsson, RSC president and CEO.
Based in Scottsdale, Ariz., RSC Equipment Rental is No. 2 on the RER 100.
United Rentals announced second-quarter 2008 income from continuing operations of $47 million, compared with $67 million for the second quarter of 2007, a 44.8-percent drop. The decrease is primarily the result of lower gross profit in a softening rental environment as well as a $14 million after-tax provision relating to the Securities and Exchange Commission inquiry.
Rental revenue for the second quarter was $621 million, a 5.8-percent decrease compared with the second quarter of 2007. Total revenue plunged 13.6 percent, from $962 million in the second quarter of 2007 to $831 million for the same period in 2008. Rental revenue for first six months of 2008 was $1.19 billion, compared to $1.23 billion for the first half of 2007, a 2.8-percent slide. Total revenue for the six-month period was $1.6 billion, a 10.9-percent decrease from the first half of 2007's total of $1.8 billion.
“Our second-quarter performance reflects the impact of expected market weakness on our core rental business, counteracted in part by the proactive implementation of our profit improvement strategy,” said United Rentals CEO Michael Kneeland.
Based in Greenwich, Conn., United Rentals is No. 1 on the RER 100.
H&E Equipment Services' second-quarter revenues jumped 21.2 percent to $282.6 million compared with $233.1 for the same period last year. The Mid-Atlantic region, created after H&E's recent acquisition of Burress Equipment, contributed $40.6 million of the $49.5 million increase, thus making same-store revenue increase relatively minimal.
Equipment rental revenue increased from $69.6 million to $75.2 million, an 8-percent hike. For the first six months of 2008, equipment rental jumped from $132.8 in 2007 to $146.4 million, a 10.2-percent hike. Total revenue increased 19.3 percent, from $442.9 million in the year-ago period, to $528.4 for the first six months of 2008.
“We are pleased with our performance during the second quarter given the increasing macro-economic challenges and the trickle-down affects on the non-residential construction markets,” said John Engquist, H&E's president and CEO.
Based in Baton Rouge, La., H&E Equipment Services is No. 9 on the RER 100.
Volvo Rents said revenue for its North American franchise network grew 16 percent year over year to $143.5 million, compared with the first six months of 2007. Based in Asheville, N.C., Volvo Rents is No. 17 on the RER 100.
Hertz Global Holdings last week reported record second-quarter 2008 worldwide revenues of $2.3 billion, an increase of 4.6 percent over the prior year on strong international growth.
Revenues from worldwide equipment rental were a record for the second quarter at $443.3 million, up 2.4 percent over the prior-year period. HERC achieved solid growth outside of the non-residential construction business in the U.S. as well as strong double-digit growth in Canada, especially Western Canada where economic activity related to the oil industry remains strong.
Park Ridge, N.J.-based HERC is No. 3 on the RER 100.
Ahern Rentals increased second-quarter total revenue 19.3 percent, posting $98.1 million, compared with $82.2 million for the same period in 2007. Rental revenue increased 19.8 percent year over year, with $83.9 million for the second quarter this year, compared with $70 million for the same period last year.
Average rental rates dropped 5 percent, although average time utilization of the company's aerial equipment increased to 70 percent in Q2 2008 compared with 69 percent for the second quarter of 2007.
Total revenues jumped 24.9 percent for the first six months of 2008, with $191.6 million in total volume compared with $153.3 million for the same period in 2007. Rental revenues leaped 21.6 for the first half, posting $162.4 million in rental volume compared with $133.6 million for the same period last year.
Last month Las Vegas-based Ahern Rentals, No. 8 on the RER 100, opened two new branches — in Bernalillo, N.M., and Gardnerville, Nev. — giving the company 46 locations.
Finning International reported record quarterly revenue of CA $1.53 billion (about U.S. $1.44 billion), a 2.3-percent year-over-year increase compared with $1.497 billion in last year's second quarter. Revenues for the first six months of 2008 were CA $2.96 billion, a 3.1-percent increase compared with last year's first-six-months revenue total of CA $2.87 billion.
Equipment rental volume in Canada was CA $65 million, a 5-percent decrease from CA $68.6 million in last year's second quarter. International rental volume dropped year-over-year in the second quarter, from CA $390.4 million in 2007 to $352.2 million in Q208, a 9.8-percent decrease. For the first six months of 2008, equipment rental in Canada was flat year-over-year, posting CA $134.1 million in 2007 and $133.7 million this year.
Finning is No. 10 on the RER 100.
Vancouver, B.C., Canada-based WesternOne Equity Income Fund posted a 56-percent total revenue jump in the first six months of 2008, an increase based largely on several acquisitions, with existing operations also posting same-store revenue growth. Total revenue of CA $15.32 million (U.S. $14.4 million) increased from CA $9.79 million in the same period of 2007.
Essex Crane Rental Corp. posted a 28.7 percent second-quarter revenue increase, with $20.2 million in revenue compared with $15.7 million for the second quarter of 2007. Hyde Park Acquisition Corp. acquired the Buffalo Grove, Ill.-based Essex March 6.
The increase in revenue was driven primarily by a 34.6 percent increase in crane rental revenue, Hyde Park management said, posting $15.8 million in the second quarter compared with $11.7 million in the same period in 2007.
For the first half of 2008, Essex's total revenues, including revenue from rentals, repair and maintenance and transportation services jumped 23.8 percent to $37.4 million compared to $30.2 million in the first half of 2007, driven by a 32.1 percent increase in rental revenue to $29.7 million from $22.5 million for the same period in 2007.
Essex Crane Rental is No. 32 on the RER 100.
