Canada's Element Fleet Q1 revenue rises on growth across revenue streams

Element Fleet Management

06/05/2026 22:20

Overview

Canada automotive fleet manager's Q1 net revenue rose 17% yr/yr, beating analyst expectations

Adjusted diluted EPS for Q1 rose 24% yr/yr, beating analyst expectations

Company repurchased 2.3 mln shares for $57 mln in Q1 under NCIB

Outlook

Element to pay C$0.15 per share dividend for Q2 2026

Company intends to remain active in share repurchases under its NCIB in 2026

Result Drivers

BROAD-BASED REVENUE GROWTH - Co said Q1 net revenue rose 17% yr/yr, driven by growth across all income streams, including services, net financing, and syndication

SERVICE REVENUE - Service revenue rose 6% yr/yr to $162 mln, attributed to continued vehicles under management (VUM) expansion

NET FINANCING & SYNDICATION - Net financing revenue increased 23% yr/yr on higher net earning assets and gains on sale; syndication revenue rose due to higher volumes and favorable client mix

Company press release: ID:nCNWVMxzZa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Revenue
Beat
$323.50 mln
$312.03 mln (8 Analysts)
Q1 Adjusted EPS
Beat
$0.35
$0.34 (10 Analysts)
Q1 EPS
$0.30
Q1 Adjusted Operating Expenses
$142 mln
Q1 Adjusted Operating Income
$181.90 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the corporate financial services peer group is "buy"

Wall Street's median 12-month price target for Element Fleet Management Corp is C$41.00, about 32.3% above its May 5 closing price of C$30.98

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 18 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)