RB Global inventory sales revenue up 23% YoY in Q3
Commercial construction, transportation lots sold down 15% YoY
RB Global, the parent company of equipment auctioneer Ritchie Bros., reported solid third quarter results with growth across all major segments, including inventory sales, as auction demand remains high.
Gross transaction value climbed 7% year over year to $3.9 billion, led by a 6% gain in automotive and a 9% increase in commercial construction and transportation, boosted by acquisition of J.M. Wood Auction Co., according to a Nov. 6 RB Global release. Excluding the acquisition, the segment’s growth reflected higher average selling prices tied to improved asset mix, partially offset by fewer large, one-time dispositions compared with last year.
The total number of lots sold rose 2% to 816,200, with automotive lots up 9%, offsetting declines of 15% in commercial construction and transportation and 10% in other categories, according to the release. Net income climbed 25% to $95.2 million, reflecting lower taxes and interest expense following the refinancing of long-term debt, which reduced borrowing costs and improved profitability.
Total revenue increased 11% to $1.1 billion, driven by an 8% rise in service revenue to $845 million and a 23% jump in inventory sales revenue to $247.7 million, according to the release. The service revenue take rate expanded 20 basis points to 21.7%, supported by a higher buyer-fee structure, while strong inventory performance in the commercial and transportation markets added momentum.
Adjusted EBITDA advanced 16% year over year to $327.7 million, benefiting from transaction growth, improved fee structures and cost discipline, according to the release. RB Global reaffirmed its full-year 2025 guidance, targeting adjusted EBITDA between $1.35 billion and $1.38 billion, GTV growth of 0% to 1%, and a 22% to 24% effective tax rate.
In addition, RB Global announced that its Australian subsidiary will acquire Smith Broughton Pt, an Australia-based auction company, for about $38 million, with closing expected in the fourth quarter, according to the release.
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