For those that are invested in the Uhaul Investors Club Amerco (UHAL)has announced earnings for the quarter ending 6/30/2020.
While earnings were off a fair amount from the year ago quarter the balance sheet remains very strong.
Earnings available to common holders was $87 million as compared to $132 a year ago as revenues fell about 10% from $1.079 billion to $987 million because of Covid 19.
While earnings fell the company grew their cash balance from 1 year ago from $494 million to $825 million as they slashed their investment in new equipment. I note that the company has huge, non cash, depreciation expenses (last quarter $165 million) so for the quarter the cash flow was quite strong.
Amerco spends dramatic amounts on equipment–the year ago quarter they spent $847 million in the quarter as compared to just $249 million this year–wise cash management in times of uncertainty.
I do note that the company shows $2.3 billion in investments on the balance sheet. These investment are for the benefit of their insurance divisions and generally is not available to the other businesses.
The SEC 10 Q can be read here.
Disclosure–I started investing new IRA money in the Uhaul Investors Club about 2 1/2 years ago and currently have around $35,000 in their notes.