Toromont Industries Q2 Profit Flat Despite 16% Revenue Growth

Earnings
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Toromont Industries reported flat second-quarter net earnings of C$124.5 million, or C$1.53 per share, compared with C$124.3 million, or C$1.53 per share, a year earlier, as a C$54.3 million purchase commitment expense tied to acquiring a larger stake in AVL Manufacturing Inc. offset a 16% revenue increase to C$1.598 billion. Excluding that expense, net earnings rose 42% to C$178.8 million, or C$2.20 per share, while operating income climbed 41% to C$242.5 million. Revenue grew from C$1.377 billion in the prior-year quarter. Toromont shares closed down 0.66% at C$209.23 in Toronto on Tuesday.

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Flat net earnings due to a C$54.3 million purchase commitment expense, despite 16% revenue growth.