Ritchie Bros. Net Earnings Drop Slightly While Auction Revenues Increase
Ritchie Bros. Auctioneers posted net earnings of $30 million for the second quarter, compared to $31.3 million for the previous year’s second quarter, a 4-percent decrease. However, the company’s auction revenues for the second quarter grew 1 percent year over year to $128.3 million, compared to $127.2 million for the same period in 2012.
During the second quarter of 2013, Ritchie Bros. conducted 72 unreserved industrial auctions in 14 countries throughout North America, Central America, Europe, the Middle East and Australia.
“While we were pleased with our strong revenue rate performance in the quarter, our gross auction proceeds are down year over year as our business continues to contend with a reduced supply of used equipment within the three-to-five year age bracket — a particularly strong segment of our auction business,” said Ritchie Bros. CEO Peter Blake. “We expect this supply shortage will dissipate in the future as larger inventories of newer machinery become available for resale. Although this macro challenge has created headwinds for our business, we are focusing on what we can control and executing strategies to drive our growth.”
Ritchie Bros. Auctioneers, the world’s largest industrial auction firm, is based in Vancouver, B.C., Canada.
