Dealer Release News of Earnings, Expansion

AgriVision, a 17-store John Deere dealership, has proposed opening a new dealership in Sioux Center, Iowa.

AgriVision Equipment CEO Jeremy Ostrander shared the announcement at a Sioux Center city council meeting, asking to purchase 15 acres of city-owned land on which to build the dealership. It will serve customers in the agricultural, residential and construction markets.

Agrivision’s previous acquisition was in June of 2018, when they acquired Van Wall Equipment’s Onawa, Iowa location.

Calgary-based Cervus Equipment, a 36-store Deere dealer, reported that its consolidated revenue for the quarter ended Sept. 30 declined by 19 percent year-over-year. Total equipment revenue for the period was down by 26 percent. For the first nine months of the year, Cervus’ total revenues were down 16 percent compared to the same period last year.

In the agriculture segment, equipment revenue declined 28 percent in the quarter and 24 percent year-to-date.

“In this environment, producers are choosing to postpone new equipment purchases as they hold late model equipment purchased in recent years,” the company said.

Cervus reduced its ag equipment inventory by 18 percent compared to the second quarter of 2019.

Rocky Mountain Dealerships Inc. reported its financial results for the third quarter ended September 30.

Sales decreased by 21.1 percent compared to the same period in 2018, due primarily to declines in new and used same-store equipment sales. These declines reflect weaker 2019 demand and a considerable delay in harvest progress across the Canadian Prairies. Gross profit dollars decreased by 23.7 percent.

Total equipment inventory increased by 8.3 percent in the third quarter. That follows a total equipment inventory decrease of 10 percent in the second quarter of this year, which was the second largest equipment inventory decrease in the company’s history.

Sources: Business Wire, Companies, Ag Equipment Intelligence