The December Rouse Value Index™ for used equipment prices decreased to 44.2, down 0.8% from November values. The decrease is now the eighth consecutive month of declines primarily driven by weaker recoveries observed in auction transactions. While there was some softness throughout much of 2015, the December Rouse Value Index™ remains 2.0% higher than the prior peak period of 43.3 in April 2007 and 48.8% higher than the prior trough period of 29.7 in June 2009. The Rouse Value Index™ measures the average Orderly Liquidation Values for benchmark models across fourteen major rental category indices on a monthly basis.
December auction sales of rental and construction equipment tracked by Rouse averaged 5.2% lower than Rouse November FLV values. In the month of December, Rouse recorded 5,420 units that sold at 46 separate auction sales conducted across North America. The units represented a combined FLV (as of November 30th) of $147.9 million and generated $140.2 million of gross auction proceeds. Within this, it is noteworthy that categories of equipment prevalent in North American equipment rental fleets exhibited a very stable trend, with sales averaging 1.2% above Rouse November FLV values. This includes, for example, small- and mid-sized- earthmoving equipment, telehandlers, and aerial equipment.
View the full January 2016 Rouse Rental Report.