Mississauga, Ont.-based Wajax last week announced a CD $36.7 million revenue increase in the third quarter, a 14-percent year-over-year jump from the same period in 2005. Net earnings for the quarter were $18.0 million, or $1.09 per unit, compared to $9.4 million, or $0.56 per unit in the year-ago period.
Compared to the previous year, mobile equipment earnings were up 23 percent to $10.3 million, industrial components increased 66 percent to $5.6 million and power systems improved by 39 percent to $6.1 million.
"Our third quarter earnings were once again very strong despite increasing weakness in the central and eastern Canada forestry and manufacturing sectors,” said Neil Manning, president and CEO. “As in the second quarter, our earnings improvement was driven not only by a robust economy in western Canada, but also by cost reduction and recovery programs and margin improvement initiatives implemented in a number of our operations. Looking forward, we do not expect the economic challenges in eastern and central Canada and the potential for reduced gas drilling activity in western Canada will have a meaningful impact on our overall fourth quarter results."
Wajax is a leading Canadian distributor and service support provider of mobile equipment, industrial components and power systems. With U.S. $16.8 million in 2005 rental volume, rental represents about 4 percent of the company’s total revenues. Wajax is ranked No. 70 on the RER 100.
