- Finning International reported a total revenue of C$2.87 billion for the fourth quarter, marking a 7.8% increase year-over-year.
- New Equipment net revenue rose by 12% to C$921 million, outperforming the estimate of C$882.4 million.
- Used Equipment net revenue came in at C$136 million, a 0.7% increase from the previous year, and above the estimate of C$112.9 million.
- Equipment Rental net revenue declined by 15% to C$75 million, which was below the estimate of C$79.3 million.
- The company reported an adjusted EBITDA of C$318 million, surpassing the market estimate of C$305.7 million.
- Analysts have given 9 buy ratings for the company, with zero holds and zero sells.
- Management acknowledged the significant role of Jim’s leadership in strengthening and increasing the resilience of the company.
A look at Finning International Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts evaluating Finning International have assessed various aspects of the company’s performance through Smartkarma Smart Scores. With a strong Growth score of 4, the company is positioned well for long-term expansion and development. This indicates positive prospects for future revenue and market share growth, reflecting a promising trajectory for Finning International‘s business.
On the other hand, the company’s Resilience score of 2 suggests some vulnerability to economic uncertainties or market fluctuations. Despite this, with its Value, Dividend, and Momentum scores all at a moderate level of 3, Finning International demonstrates stability and a potentially steady performance in the coming years. Bearing in mind its core operations in Western Canada, the UK, and Chile, Finning International remains a key player in selling, financing, and servicing Caterpillar and related equipment in these regions.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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