Business
Finning reports Q1 2025 results, record equipment backlog
VANCOUVER, British Columbia, May 12, 2025 (GLOBE NEWSWIRE) -- Finning International Inc. (TSX: FT...
About this update from Finning International Inc.
[{"type":"text","content":"Finning reports Q1 2025 results, record equipment backlog\n\n\n\n VANCOUVER, British Columbia, May 12, 2025 (GLOBE NEWSWIRE) -- Finning International Inc. (TSX: FTT) (“Finning”, the “Company”, “we”, “our” or “us”) reported first quarter 2025 results today. All monetary amounts are in Canadian dollars unless otherwise stated.\n \n\n\n HIGHLIGHTS\n \n\n All comparisons are to Q1 2024 results unless indicated otherwise.\n \n\n\n Q1 2025 revenue of $2.8 billion and net revenue\n \n (2)\n \n of $2.5 billion were up 9% and 7%, respectively, driven by a 7% increase in new equipment revenue and an 11% increase in product support revenue.\n \n\n Q1 2025 EPS\n \n (1)\n \n of $0.77 included a $0.22 per share impairment loss related to certain non-core assets. Excluding the impairment loss, Adjusted EPS\n \n (2)(4)\n \n of $0.99 was up 18% compared to Q1 2024.\n \n\n Q1 2025 EBIT\n \n (1)\n \n was $168 million. Excluding the impairment loss related to certain non-core assets, Q1 2025 Adjusted EBIT\n \n (3)(4)\n \n was up 6% to $213 million. Adjusted EBIT as a percentage of net revenue\n \n (2)(4)\n \n was 8.5%, down 20 basis points from Q1 2024 EBIT as a percentage of net revenue\n \n (2)\n \n .\n \n\n Q1 2025 Adjusted EBIT as a percentage of net revenue was 10.6% in South America, 8.7% in Canada and 4.7% in the UK & Ireland.\n \n\n Q1 2025 free cash flow generation was $135 million compared to a use of cash of $210 million in Q1 2024, driven by higher inventory turns (dealership) and reduced working capital to net revenue.\n \n\n Equipment backlog\n \n (2)\n \n of $2.8 billion at March 31, 2025 is an all-time high and was up 9% from December 31, 2024, primarily due to multiple large mining equipment orders in Canada.\n \n\n Subsequent to quarter end and as previously announced on May 8, 2025, Finning entered into a definitive agreement to sell 4Refuel to an affiliate of H.I.G. Capital (“H.I.G.”) for an implied transaction value of up to approximately $450 million.\n \n\n Separately, and also as previously announced on May 8, 2025, Finning and the other shareholders of Compression Technology Corporation (“ComTech”) entered into a series of agreements to sell ComTech to a third party for an aggregate purchase price of $40 million.\n \n\n\n\n...