24.10.2010

Revenues up 5.8% at RSC

US based rental company RSC has reported third quarter revenues up almost six percent, with rental revenues climbing 7.4 percent.

Nine month revenues were $895.5 million, down 9.9 percent on the same period last year, while pre-tax loss was $106.2 million, compared to a loss of $50.5 million last year.

Third quarter revenues climbed 5.8 percent to $333.8 million, with rental revenues climbing 7.4 percent to $291.7 million. At the same time the company’s pre-tax loss fell to $9.9 million, compared to a loss of $12.9 million for the same quarter last year.

Utilisation during the quarter improved to 68.7 percent from 63.5 percent in the second quarter. Rental rates also edged upward during the period, but are still 4.4 percent below what they were in the third quarter 2009.

The company says that with the market now improving it is re investing in its rental fleet and has spent $119 million so far this year, while selling $69 million worth of used equipment.

RSC’s chief executive Erik Olsson, said: "The positive momentum from the second quarter strengthened into the third quarter with strong volume growth of 12 percent and solid positive sequential pricing of 2.6 percent. Our leading position in serving the industrial end market, continued investments in sales activities, our quality rental fleet and increased staffing positioned us to meet increasing demand and gain market share. In addition, our superior value focus delivered through operational excellence and our focus on service allows us to continue to exceed customer expectations, as demonstrated by world class customer loyalty scores."