Cervus Equipment Corp. posted annual net profit of $24.6 million last year, up $6.5 million, or 35.6 percent, from the previous year.
Basic earnings per share increased to $1.65, an increase of almost 30 percent, for the company that owns John Deere agricultural and construction dealerships in Western Canada, Australia and New Zealand.
Gross revenue was $734.2 million for the year, an increase of $174.6 million, or 31.2 percent, the company said in a news release.
The improvements were due to acquisitions and improved results at existing operations. Revenue from the same stores the company owned last year increased 12.7 percent. There was a shift toward more new equipment sales from used equipment.
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The company bought four Peterbilt dealerships and a collision repair center dealership in Saskatchewan, together with their respective land and buildings, for a total price of $35 million.
It added dealerships in Australia and New Zealand and completed a $34.5 million public offering of convertible debentures for net proceeds of $32.9 million.
“Cervus experienced strong overall growth in 2012, driven largely by our agricultural equipment segment and the Frontier Peterbilt transportation group we acquired in March,” said president Graham Drake.
