H&E Equipment Services, Baton Rouge, La., reported fourth-quarter sales rose 15.3 percent to $250.1 million, with a 28.9-percent leap in rental revenues to $80.7 million. The company reported net income of $10.7 million for the quarter, compared to $7.9 million a year ago.
“Demand for rental equipment continued at high levels and we successfully capitalized on the opportunity as rental revenues increased 28.9 percent compared to a year ago,” said John Engquist, H&E Equipment Services’ CEO. “While our rental business continued to benefit from the secular shift occurring, every segment of our business delivered year-over-year increases in revenue and gross profit. As a result, we delivered bottom line growth of 36.2 percent in the fourth quarter.”
Average rental rates increased 10.1 percent compared to a year ago and 0.4 percent compared to the third quarter. Average age fleet at the end of 2012 was 38.0 months, down from 38.6 months at the end of the third quarter.