AMERCO Reports Third Quarter Fiscal 2018 Financial Results

February 7, 2018 Download

RENO, Nev. (February 7, 2018)--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, 2017, of $528.9 million, or $27.00 per share, compared with net earnings of $65.2 million, or $3.33 per share, for the same period last year. Included in the results for the quarter ended December 31, 2017 was a $17.32 per share, or $339.2 million benefit resulting from the Tax Reform Act and an additional after-tax benefit of $7.34 per share or $143.8 million resulting from the sale of a portion of our Chelsea, NY property. Excluding these items, adjusted earnings were $2.34 per share for the quarter ended December 31, 2017.

For the nine-month period ended December 31, 2017, net earnings available to shareholders were $779.7 million, or $39.81 per share, compared with net earnings of $388.9 million, or $19.85 per share, for the same period last year. Included in the results for the nine-month period ended December 31, 2017, was a $17.32 per share, or $339.2 million benefit resulting from the Tax Reform Act and an additional after-tax benefit of $7.34 per share or $143.8 million resulting from the sale of a portion of our Chelsea, NY property. Excluding these items, adjusted earnings were $15.15 per share for the nine-month period ended December 31, 2017. Included in the results for the nine-month period ended December 31, 2016, was an after tax benefit of $0.79 per share associated with our settlement of the PEI litigation that resulted in a reduction in operating expenses of $24.6 million. Excluding this after tax benefit, adjusted earnings were $19.06 per share for the nine-month period ended December 31, 2016.

“Tax reform is a real benefit. While accounting rules required us to recognize a large book gain in the quarter, significant cash flow benefits will accrue to us over time,” stated Joe Shoen, chairman of AMERCO. “We have already been investing savings from bonus tax depreciation back into increased rental equipment. The new depreciation rules will allow us to accelerate investments in the future. The tax rate changes allow U-Haul to invest still more in our people and in facility and equipment upgrades. I was pleased with the growth in both equipment and self-storage revenues. We are still challenged to better manage the sales of our pickups and cargo vans.”