Overview

* Toromont Q3 revenue declined 2% yr/yr, missing analyst expectations

* Net earnings for Q3 rose 7% aided by a property sale

* CIMCO revenue increased 22% in Q3, driven by strong demand

Outlook

* Company focuses on long-term growth through investments in workforce and capabilities

* Company monitors economic and political environment, focusing on cost management

* Healthy order backlog and strong balance sheet position company well for future

Result Drivers

* EQUIPMENT GROUP - Revenue decreased 4% due to lower mining equipment sales

* CIMCO GROWTH - Revenue increased 22% driven by strong demand and disciplined execution in Canada and the US

* PROPERTY SALE - Net earnings rose due to a property sale, contributing to the 7% increase in net income

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss C$1.31 C$1.38

Revenue bln bln (7

Analysts

)

Q3 Net C$140.60

Income mln

Q3 C$189.50

Operatin mln

g Income

Q3 14.40%

Operatin

g Income

Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the heavy machinery & vehicles peer group is "buy"

* Wall Street's median 12-month price target for Toromont Industries Ltd ( TMTNF ) is C$164.00, about 3.2% above its October 29 closing price of C$158.77

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)