TOROMONT INDUSTRIES LTD. $26.75 - Toronto symbol TIH

Earnings gained 5.8%, to $28.9 million from $27.3 million. Per-share earnings increased 2.8%, to $0.37 from $0.36, on more shares outstanding.

Dividend on the rise

The company’s financial position is strong: its $130.5 million of long-term debt—down from $169.4 million a year ago—represents just 6.2% of its market cap.

Toromont raised its quarterly dividend by 15.4% with the April 2014

TOROMONT INDUSTRIES LTD. $26.75 (Toronto symbol TIH; TSINetwork Rating: Extra Risk) (416-667- 5511; www.toromont.com; Shares outstanding: 77.1 million; Market cap: $2.1 billion; Dividend yield: 2.2%) distributes a broad range of industrial equipment, including machinery made by Caterpillar Inc. It also makes refrigeration systems through its CIMCO division.

The company completed the spinoff of Enerflex Ltd. (see right) in July 2011. Shareholders received shares of both the new Toromont Industries and Enerflex.

In the three months ended June 30, 2014, Toromont’s revenue rose 10.9%, to $415.6 million from $374.7 million a year earlier.

payment, to $0.15 a share from $0.13. The stock now yields 2.2%. The company needs an improving global economy to fuel demand from its mining customers. But it’s well-positioned to profit when those markets rebound. Meanwhile, it’s benefiting from strong construction and power markets. The stock trades at 16.7 times Toromont’s forecast 2014 earnings of $1.60 a share.

Toromont is still a buy.

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