The second quarter was flat for an auctioneer and online marketplace operator of used vehicles and construction site equipment, RB Global Inc.
The corporate, which operates the equipment and vehicle auction and buy-now marketplaces at IronPlanet.com, Mascus.com and related brands, posted gross transaction volume of $4.104 billion. That’s a 1% drop from gross transaction volume of $4.144 billion in Q2 2023 for RB Global.
RB Global Q2 results
For its fiscal Q2 ended June 30, RB Global net income was $111.0 million. That compares with $86.8 million within the prior 12 months.
Service revenue increased 7% year-over-year to $859.1 million from $806.1 million. Meanwhile, inventory sales revenue decreased 21% 12 months over 12 months to $237.0 million from $300.4 million.
Along with marketplaces, RB Global’s brand portfolio includes:
- Rouse Services, which provides an asset management, data-driven intelligence, and performance benchmarking system.
- SmartEquip Inc. (“SmartEquip”), a digital technology platform that supports customers’ management of the equipment lifecycle and integrates parts procurement with each OEMs and dealers.
“As business conditions proceed to evolve, large fleet owners are evaluating their equipment disposal needs for the rest of the 12 months,” CEO Jim Kessler told analysts on an earnings call. “The upper rate of interest environment and the upper alternative costs are leading some customers inside the region’s business to postpone investments in latest equipment, reducing their immediate need for our suite of transaction solutions for his or her used equipment.”
The corporate is also implementing a big cost savings initiative to save lots of greater than $110 million annually, he told analysts.
“We have now now actioned roughly $110 million in cost synergies and can reach the total run rate well ahead of what we committed in the course of the transaction,” Kessler told analysts.
Check back for more earnings reports. Click here to read last quarter‘s RB Global earnings article.
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