Equipment Rental Revenue Jumps 4.3 Percent in Second Quarter for Finning

Finning, one of the world's largest Caterpillar dealers, posted $2.609 billion in revenue in the second quarter of 2025 compared to $2.599 billion in the second quarter of 2025, essentially flat year over year. Equipment rental revenue totaled $73 million, compared to $70 million in the year-ago quarter, a 4.3-percent increase.

Product support revenue for the quarter was $1.469 billion, compared to $1.401 billion a year ago, a 4.9-percent increase. New equipment sales were essentially flat, $982 million in sales compared to $979 million in the second quarter a year ago. Used equipment sales dropped from $146 million a year ago to $83 million this year, a 43.1-percent plunge.

Equipment backlog was $3 billion on June 30, 2025, an all-time high, and a 6-percent increase from the end of the first quarter. The backlog includes more than $1.0 billion of power systems orders.

“We are pleased to see the results of the consistent execution of our strategy, which coupled with the geographic and end market diversity of our business, led to another solid quarter of results,” said Kevin Parkes, president and CEO. “Product support revenue grew by 5 percent, with growth in all three regions, continuing the momentum in 2025. We also built our backlog to a record level of $3 billion, while at the same time delivering nearly $1 billion of new equipment in the quarter. Our strong cost and capital discipline continued, with SG&A margin of 15.5 percent, and invested capital turnover from continuing operations of approximately 2.3 times. We also took action to streamline our operations and position our business for further sustainable cost savings in Canada through the end of this year and beyond. 

“And lastly, we completed the sale of 4Refuel and ComTech ahead of plan, which we expect will improve our return on invested capital and allow us to continue to sharpen focus on our core dealership operations. Our focus on strategy execution continues to strengthen and we will continue to maximize product support, drive full-cycle resilience and grow our used, rental and power businesses to improve our return on invested capital.”

Results around the world
In Canada, revenue decreased by 3 percent on lower used and new equipment sales, primarily in the construction sector, partially offset by higher product support and rental revenues. Product support revenue rose 4 percent, primarily reflecting higher spending by mining customers.

In Finning’s South American operations, revenue increased 5 percent, higher across all lines of business except rental. New equipment revenue was up 6 percent, driven by strong mining deliveries to Child. Product support revenue rose 4 percent, with strong demand from mining customers and higher rebuild activities in the construction sector. 

In the U.K. and Ireland, revenue decreased 6 percent, driven by lower new equipment sales in power systems because of project timing, partially offset by higher new construction equipment sales. Product support revenue was up by 1 percent with higher activity levels in the power system sector offset by slower activity in construction.