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Heavy Weather, Oil Patch Slump Lower H&E Profit

Baton Rouge-based construction-equipment supplier H&E Equipment Services Inc. says heavy rains in May and a slumping oil industry put a damper on the second-quarter results.

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BATON ROUGE, La. (AP) — Baton Rouge-based construction-equipment supplier H&E Equipment Services Inc. says heavy rains in May and a slumping oil industry put a damper on the second-quarter results.

H&E's profit dipped to $11.5 million, or 33 cents per share, compared to $15.7 million, or 45 cents per share, a year ago.

An increase in equipment rental revenue of close to 10 percent partially offset a $26 million drop in new equipment sales. But total revenue slipped to $262.4 million compared to $280.4 million a year ago.

Despite the extreme weather and a soft oil patch, The Advocate reports H&E managed to beat Wall Street's expectations. Analysts surveyed by Zacks Investment Research had forecast earnings of 32 cents per share.

H&E Chief Executive Officer John Engquist said most market indicators remain positive.