15.08.2010

Ahern slips 6% but improves in the second quarter

Las Vegas based Ahern rentals has reported first half revenues of $132.8 million, down six percent on the same period in 2009. Same store rental revenues were down 15 percent, but was boosted by $5.4 million of revenue from 15 new locations opened since last year.

The second quarter showed an improvement with total revenues up by almost two percent to $72.2 million. Physical utilisation for the period increased from 55 to 57 percent, while a nine percent fall in rental rates caused financial utilisation to slip from 29.8 to 29.5 percent.

The company posted a pre-tax loss of $47.5 million for the first half compared to $31.6 million. For the quarter the losses were $27.2 million compared to $18 million last year.

Capital expenditure for the year so far was $8.7 million, compared to $15.7 million last year. The company also sold $8.3 million of used equipment from its fleet, compared to $5.9 million in 2009.

Net debt remained at similar levels to last year at $610 million but interest costs were up by 43 percent, due to a refinancing cost which took interest rates to eight percent, compared to 5.7 percent last year.