AMERCO (Nasdaq: UHAL), parent of U-Haul International, Inc., Oxford Life Insurance Company, Repwest Insurance Company and Amerco Real Estate Company, today reported net earnings available to shareholders for its third quarter ended December 31, 2013, of $52.2 million, or $2.67 per share, compared with net earnings of $36.8 million, or $1.89 per share, for the same period last year.
For the nine-month period ended December 31, 2013, net earnings available to shareholders were $303.2 million, or $15.50 per share compared with net earnings of $226.8 million, or $11.62 per share, for the same period last year.
“In multiple very competitive marketplaces, U-Haul team members are working to increase our service to the customer,” stated AMERCO chairman Joe Shoen.
Highlights of Third Quarter Fiscal 2014 Results
- Self-moving equipment rental revenues increased $41.3 million or 10% during the third quarter of fiscal 2014, compared with the third quarter of fiscal 2013 largely due to transaction growth. Our ability to serve these additional customers has been made possible through the continued expansion of the rental equipment fleet combined with incremental utilization improvements along with the convenience of additional retail locations.
- Self-storage revenues increased $7.0 million during the third quarter of fiscal 2014, compared with the third quarter of fiscal 2013. Over the last twelve months we have added approximately 2.1 million net rentable square feet to our owned self-storage portfolio. These additions along with improvements in occupancy at our existing locations combined to drive our increased storage revenue.
- Operating earnings at our Moving and Storage operating segment increased $19.4 million in the third quarter of fiscal 2014 compared with the same period last year. Total revenues improved by $63.4 million with total costs and expenses increasing by $44.0 million. Personnel expense, rental equipment maintenance, operating costs associated with the U-Box program, equipment depreciation and commissions on rental equipment transactions increased during the quarter.
- For the first nine months of fiscal 2014 compared with the first nine months of fiscal 2013 gross truck and trailer capital expenditures were approximately $512 million compared with approximately $422 million. Proceeds from sales of rental equipment were approximately $204 million compared with approximately $159 million and spending on real estate related acquisitions and projects increased approximately $126 million to $256 million.
- Cash, cash equivalents and credit availability at the Moving and Storage operating segment was $646.4 million at December 31, 2013 compared with $543.6 million at March 31, 2013. Subsequent to the quarter end, we entered into two new revolving loans for a combined total of $175 million.
- In the third quarter of fiscal 2014, the Company declared a special cash dividend of $1.00 per share on its stock for holders of record as of January 10, 2014 and payable on February 14, 2014.
AMERCO will hold its investor call for the third quarter of fiscal 2014 on Thursday, February 6, 2014, at 8 a.m. Arizona Time (10 a.m. Eastern). The call will be broadcast live over the Internet at www.amerco.com. To hear a simulcast of the call, or a replay, visit www.amerco.com.
AMERCO is the parent company of U-Haul International, Inc., Oxford Life Insurance Company, Repwest Insurance Company and Amerco Real Estate Company. U-Haul is in the shared use business and was founded on the fundamental philosophy that the division of use and specialization of ownership is good for both U-Haul customers and the environment.
Certain of the statements made in this press release regarding our business constitute forward-looking statements as contemplated under the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those anticipated as a result of various risks and uncertainties. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof. The Company undertakes no obligation to publish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as required by law. For a brief discussion of the risks and uncertainties that may affect AMERCO’s business and future operating results, please refer to our Form 10-Q for the quarter ended December 31, 2013, which is on file with the SEC.