CanaDream Corp., an RV rental firm based in Calgary, Alberta, Canada, reported a slight drop in revenue and earnings for the first quarter of 2004, ended July 31, compared to the same period last year.
The company reported revenue of $5.5 million (Canadian) for the quarter, compared with $6.1 million last year, representing an 8.4% decrease. Earnings were $922,000 compared to $1.3 million last year.
According to CanaDream, the reduction in revenues resulted from the later-than-expected receipt of $6.8 million in new fleet vehicles plus a reduction in the company’s fleet because of substantial increases in truck rental costs.
CanaDream officials said, however, that consumer demand remained strong.
The company also reported that rental revenues for the second quarter, ending Oct. 31, have historically exceeded those in the first quarter and that CanaDream is “not currently aware of any reason that this pattern should change.”