Ritchie Bros Reports Fourth-Quarter Profit

Ritchie Bros. Auctioneers said its fourth-quarter profit increased from a year ago on higher auction revenue.

Net income rose to $33.7 million, or 31 cents a share, from $22.1 million, or 21 cents, a year ago. The Vancouver, British Columbia, firm reports its earnings in U.S. dollars. Revenue rose 12% to $131.2 million.

“Our performance this quarter demonstrated the operating leverage inherent to Ritchie Bros.’ business model. The record $1.1 billion of gross auction proceeds generated during the fourth quarter, combined with a strong revenue rate and a 38% earnings before deduction of interest, tax and amortization expenses, produced more earnings for the company than we’ve ever achieved in the fourth quarter before,” Ritchie Bros. CEO Peter Blake said in a statement.

Full-year net earnings increased to $93.8 million, or 88 cents, from $79.6 million, or 74 cents, in 2012. Revenue for 2013 increased 7% to $467.4 million.

“Over the course of 2013, we maintained a disciplined approach to our underwritten business, the results of which bolstered our revenue rate to a record level for the fiscal year,” Blake said.

Ritchie Bros. describes itself as the world’s largest seller of used equipment for industries including construction, transportation, agricultural, material handling, energy, mining, forestry and marine.