Neff Corporation announced its financial results for the third quarter ended September 30, 2016, reporting a 5.8% increase in rental revenues year over year to $95.8 million compared to $90.5 million for the same period last year.
Graham Hood, chief executive officer of Neff Corporation, commented, “The third quarter of 2016 was another solid quarter for Neff’s rental business as we generated record third quarter results for rental revenues, which increased by 5.8% year-over-year. This performance reflects our ability to execute our strategy and take advantage of the ongoing strength in the construction markets we serve. We expect this strength to continue for the remainder of 2016 and into 2017.”
Third Quarter 2016 Highlights
- Total revenues increased 6.1% year-over-year to $105.5 million in the third quarter of 2016.
- Rental revenues increased 5.8% year-over-year to $95.8 million in the third quarter of 2016 from $90.5 million.
- Time utilization decreased to 69.0% from 69.2% in the prior year period.
- Rental rates decreased 0.2% year-over-year in the third quarter of 2016.
- The average original equipment cost ("OEC") of our rental fleet increased by 6.3% to $829.2 million year over year.
- Net income attributable to Neff Corporation decreased to $2.9 million or $0.31 per diluted share in the third quarter of 2016, from $3.2 million or $0.27 per diluted share in the prior year period.
- Adjusted EPS for the quarter was $0.41 per diluted share versus $0.51 per diluted share in the prior year period.
- Adjusted EBITDA increased 2.1% to $51.9 million in the third quarter of 2016 from $50.8 million in the prior year period.
- Adjusted EBITDA margin was 49.2% compared with 51.1% in the prior year period.
