Consolidated Results
- Revenue decreased $23.1 million or 2% in the third quarter compared to the similar period last year, on lower revenue in the Equipment Group down 4%, partially offset by higher revenue at CIMCO up 22%. The Equipment Group continued to deliver against the healthy order backlog, in addition to revenues from the acquired business. Higher rental and product support revenue were offset by lower equipment sales in mining. CIMCO’s growth reflects good package revenue and higher product support revenue in Canada and the US.
- Revenue increased $66.7 million (up 2%) to $3.8 billion for the year–to–date period. Equipment Group revenues were relatively unchanged as revenue from the acquired business along with higher rental and product support activity was largely offset by lower equipment sales in mining, versus a comparatively strong quarter last year for mining equipment deliveries. CIMCO revenue increased 15% compared to 2024, on good package and product support activity.
- In the quarter, a property was sold resulting in a pre-tax gain of $13.7 million. In addition, the acquisition of AVL resulted in pre-tax earnings of $6.3 million in the third quarter ($2.2 million YTD) net of non-cash expenses related to purchase price accounting of $27 million ($57 million YTD). Both of these items are reported in the Equipment Group and impact comparability of results in both the quarter and year-to-date.
- Operating income(1) increased 8% in the quarter. Excluding the gain on property disposition, operating income increased $0.9 million or 1% compared to Q3 2024, as higher gross margins were partially offset by the lower revenue and higher expenses.
- Operating income was relatively unchanged at $458.8 million for the year–to–date period. Excluding the gain on property disposition, operating income decreased $13.9 million or 3% compared to the similar period last year, reflecting higher expenses, partially offset by improved gross margins. Operating income was 12.1% of revenue compared to 12.4% in the similar period last year.
- Net interest expense increased by $3.9 million in the quarter and $17.6 million in the first nine months of the year reflecting interest expense on higher borrowings with the new senior debentures issued in March 2025, as well as lower interest income earned on cash on hand due to lower interest rates.
- Net earnings increased $9.7 million or 7% in the quarter versus a year ago to $140.6 million. EPS was $1.73 (basic) and $1.72 (fully diluted), 8% higher compared to the same period last year.
- For the year–to–date period, net earnings decreased $10.8 million or 3% to $339.4 million compared to the similar period last year. EPS was $4.18 (basic) and $4.15 (fully diluted), 2% lower compared to last year.
- Bookings(1) for the third quarter increased 47% compared to last year with higher bookings at both CIMCO and the Equipment Group, including a significant contribution from the acquired business. On a year–to–date basis, bookings increased 13% with both groups reporting higher bookings: Equipment Group up 13% and CIMCO up 13%.
- Backlog(1) of $1.3 billion as at September 30, 2025, was up from $1.1 billion as at September 30, 2024. Backlog remains healthy, reflecting deliveries and progress on construction schedules, good new booking activity and backlog related to the acquired business.
Leave a Reply
You must be logged in to post a comment.