Ritchie Bros. Auctioneers is reporting results for the three and six months ended June 30, 2016. During the second quarter, the Company generated $158.8 million of revenue, a 2% increase compared to revenues of $155.5 million in the second quarter last year, and net income attributable to stockholders for the second quarter of $39.7 million, a 12% decrease compared to $45.1 million in the same period last year. Diluted earnings per share ("EPS") attributable to stockholders were $0.37, a 12% decrease compared to $0.42 in the same quarter last year.
During the first half of 2016, the Company generated $290.8 million of revenue, a 7% increase compared to revenues of $271.1 million in the first half of 2015, and net income attributable to stockholders for the first half of $69.1 million, a slight increase from $68.9 million in the same period last year. Diluted EPS attributable to stockholders was $0.65, a 2% increase from $0.64 in the first half of last year.
"We had a difficult second quarter with modest revenue growth and a decline in EPS versus the same period last year. Our performance was negatively impacted by the strong comparable quarter we achieved in 2015, a sudden decline in equipment pricing globally in June – across various sectors – that was driven by an imbalance between demand and supply, increasing competitive pressures, as well as higher operational and G&A costs," said Ravi Saligram, CEO of Ritchie Bros. "Nevertheless, we are encouraged by our strong July performance with GAP up 8%, indications that pricing may be stabilizing, and a robust pipeline going into the rest of the year. We are also excited that more than half of our GAP in Q2 was generated online, which reinforces that our multichannel and digital strategy is gaining momentum."
