Full-year rental revenues down at Finning

By Helen Wright23 February 2015

Scott Thomson, president and CEO of Finning International.

Scott Thomson, president and CEO of Finning International.

Finning International, Caterpillar’s largest dealer, has reported a 9% year-on-year decrease in rental revenues for 2014 to CA$358 million (€251 million).

It said the reduction was mainly due to lower volumes in Canada – a market in which it had seen strong rental demand in 2013 – along with increased competition in the short-term rental market relative to a year ago.

Finning, which operates in Western Canada, Chile, Argentina, Bolivia, Uruguay, the UK and Ireland, reported overall revenues of CA$6.92 billion (€4.86 billion), down 2% compared to 2013.

Of this, sales of used equipment dropped 11% compared to 2013 to CA$271 million (€190 million), while new equipment sales stood at CA$2.89 billion (€2.02 billion), down 1% year-on-year.

Net income dropped 5% compared to 2013 to CA$318 million (€223 million).

President and CEO Scott Thomson said, “In order to maintain profitability during soft market conditions, we are taking steps to align our cost base and invested capital to reduced demand, similar to the actions we took in South America a year ago.

“As part of our efforts to reduce costs in Canada, we will reduce our workforce by about 500 employees – roughly 9% of our Canadian workforce. While this is a difficult decision, it is a necessary step to adjust to expected business levels.”

Latest News
100 largest crane companies in North America
American Cranes & Transport’s 18th annual ACT100 index of North America’s top crane-owning companies.
Palfinger unveils new North American headquarters
Palfinger is continuing to expand its North American fooprint with the grand opening of its new, state-of-the-art headquarters in Schaumburg, IL.
U.S. DOL introduces construction safety, health committee
Fifteen people appointed to new U.S. Department of Labor Advisory Committee on Construction Safety and Health