Las Vegas-based Ahern Rentals posted a 10.9-percent volume increase in the third quarter, with $101.4 million in total revenue compared with $91.4 million for last year’s third quarter. Rental volume jumped a robust 13.5 percent from $78.4 million a year ago to $89 million in this year’s third quarter.
Total revenue for the first nine months jumped 19.7 percent, from $244.7 million last year to $293 million this year, while rental volume for the nine-month period climbed 16.1 percent, from $212 million in 2007 to $251.4 for the first nine months of 2008.
Net income, however, dropped from $6.4 million in the third quarter of 2007 to $4.7 million in this year’s third quarter, a 36.1-percent plunge. Net income plunged 28.6 percent for the first nine months of 2008: $9.5 million this year, compared with $13.3 million for the year-ago period.
Same-branch revenues increased 12 percent of $9.1 million; the remaining $1.5 million increase in revenues resulted from three branches opened after the third quarter of 2007. The company also opened its 47th and 48th branches last month, in South Lake Tahoe, Calif., and Yuma, Ariz.
The increased revenues also resulted from an increase in the number of units available for rent as a result of capital expenditures that increased the average original cost of Ahern’s rental fleet to $815 million in 2008 compared with $650 million in 2007. Dollar utilization decreased to 44 percent in 2008 compared with 48 percent in 2007.
Average rental rates decreased 5 percent, and the average time utilization of high-reach equipment was 70 percent in 2008 compared to 72 percent in 2007.
Ahern Rentals is No. 8 on the RER 100.
