Brazil’s largest rental company Mills Estructuras e Serviços de Engenharía S.A. posted record revenues and EBITDA in the third quarter, the company said, with net revenue of R$222 million (about U.S. $96 million), a 28-percent jump from the third quarter of 2012. Mills posted record revenues in its Heavy Construction, Jahu and Rental business units. Equipment rental revenue was R$170.5 million (about U.S. $73.6 million), a 19.1-percent hike compared to the same period in 2012.
The net revenue for rental totaled R$93.9 million in the third quarter, a new record for a quarter, with growth of 39.4 percent year over year and 4.2 percent quarter over quarter. Mills opened a new branch in Bauru, in the state of Sao Paulo in the third quarter, its seventh new rental branch in 2013. Mills hopes to open five more branches before the end of the year, giving it 29.
EBITDA for the third quarter was R$106.1 million, a 17.5-percent leap compared with the previous year’s third quarter. Capex totaled R$129.7 million, totaling investments of R$408.2 million (about U.S. $176.3 million) for the first nine months of 2013.
Mills reported that the activity level in the heavy construction sector returned to normal in September, with a positive perspective, as indicated by the expected level of activity for the next six months according to research conducted by the National Confederation of Industry, which reached 55.2 points in October 2013. Cement sales reached 19 million tons in the third quarter, according to the National Union of Cement Industries, with a year-over-year growth rate of 6.1 percent.
The Banco Nacional de Desenvolvimiento Economico e Social dispursements for infrastructure totaled R$1.4 billion between January and July 2013, a 37-percent year-over-year increase, with the highest amount of investments related to the transportation sector. Housing credits grew 35 percent year over year in August.
Mills has signed agreements to buy motorized access equipment in the amount of R$71.3 million with deliveries beginning in January.
Mills is based in Rio de Janeiro.
