Toromont Industries Ltd. (TIH) Q2 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning. Today is Wednesday, July 29, 2026. Welcome to the Tournament Industries Ltd. Second Quarter 2026 Results Conference Call. Please be advised that the call is being recorded and all lines have been played on mute to prevent any background noise. Your host for today will be Mr. John Doolittle, Executive Vice President and Chief Financial Officer. Please go ahead, sir. Very good. Thank you, Angeline. Good morning, everyone. Thank you for joining us today to discuss Harmont's results for the second quarter of 2026. Also on the call with me this morning is Mike McMillan, President and Chief Executive Officer. Mike and I will be referring to the presentation that is available on our website. To start, I'd like to refer our listeners to slide two, which contain our advisory regarding forward-looking statements and specified financial metrics. After our prepared remarks, We are pleased with our second quarter and first half performance. Revenue and earnings increased, reflecting solid execution across the business. The equipment group delivered growth in new and used equipment sales, enclosures, rentals, and product support. The equipment group's operating income was 47% higher in the second quarter as the higher revenue and improved gross profit margins were partially offset by higher expense levels. AVL continued to expand production. During the quarter, we increased our ownership in AVL to 80% and acquired land in Canada to support future manufacturing growth. PIMCO's results were slightly lower in the quarter. Operating income decreased, largely reflecting the lower package revenue due to project timing, lower gross profit margins, and higher expense levels and investments for future growth. Let's turn to slide four for some other financial highlights. Inves...