Profile: Amerco (UHAL.O)
AMERCO, incorporated on April 9, 1969, is a do-it-yourself moving and storage operator through its subsidiary U-Haul International, Inc. (U-Haul).The Company rents its distinctive orange and white U-Haul trucks and trailers as well as offer self-storage rooms through a network of approximately 1,490 Company operated retail moving centers and approximately 16,400 independent U-Haul dealers. It also sells U-Haul brand boxes, tape and other moving and self-storage products and services to do-it-yourself moving and storage customers at all of its distribution outlets and through its eMove Website.The Company’s segments include Moving and Storage, which consists of AMERCO, U-Haul, and Real Estate and the subsidiaries of U-Haul and Real Estate; Property and Casualty Insurance, consists of Repwest and its subsidiaries and ARCOA, and Life Insurance, which consists of Oxford and its subsidiaries.
These do-it-yourself movers include individuals and families moving their belongings from one home to another, college students moving their belongings and do-it-yourself home remodeling and gardening enthusiasts who need to transport materials. As of March 31, 2013, its rental fleet consisted of approximately 112,000 trucks, 90,000 trailers and 34,000 towing devices. This equipment and its U-Haul brand of self-moving products and services are available through its network of managed retail moving centers and independent U-Haul dealers. Independent U-Haul dealers receive rental equipment from the Company, act as rental agents and are paid a commission based on gross revenues generated from their U-Haul rentals.
The Company’s rental truck chassis are manufactured by domestic and foreign truck manufacturers. These chassis are joined with the U-Haul designed and manufactured van boxes primarily at U-Haul operated manufacturing and assembly facilities strategically located throughout the United States. U-Haul rental trucks feature its Lowest Deck, which provides its customers with extra ease of loading. The loading ramps on its trucks are the widest in the industry, which reduce the effort needed to move belongings. Its trucks are fitted with convenient, padded rub rails with tie downs on every interior wall. Its Gentle Ride Suspension helps its customers safely move delicate and prized possessions. Also, the engineers at its U-Haul Technical Center determined that the softest ride in its trucks was at the front of the van box. The Company designed the part of the van box that hangs over the front cab of the truck to be the location for its customers to place their fragile items during their move. The Company calls this area Mom’s Attic.
The Company’s distinctive trailers are also manufactured at these same U-Haul operated manufacturing and assembly facilities. Its engineering staff is committed to making its trailers easy to tow, safe, aerodynamic and fuel efficient. To provide its self-move customers with added value, its rental trucks and trailers are designed with fuel efficiency in mind. Many of its newer trucks are fitted with fuel economy gauges, another tool that assists its customers in conserving fuel. To help make its rental equipment more reliable, it routinely perform preventive maintenance and repairs.
The Company provides customers with equipment to transport their vehicle. It provides two towing options; auto transport, in which all four wheels are off the ground and a tow dolly, in which the front wheels of the towed vehicle are off the ground. To help customers load their boxes and larger household appliances and furniture, it offers several accessory rental items. Its utility dolly has a lightweight design and is easy to maneuver. Another rental accessory is its four wheel dolly, which provides a flat surface for moving dressers, wall units, pianos and other household items. U-Haul appliance dollies provide the leverage needed to move refrigerators, freezers, washers and dryers easily and safely. These utility, furniture and appliance dollies, along with the low decks and the wide loading ramps on U-Haul trucks and trailers, are designed for easy loading and unloading of its customers’ belongings. The total package U-Haul offers the do-it-yourself household mover doesn’t end with trucks, trailers and accessory rental items. Its moving supplies include a wide array of affordably priced U-Haul brand boxes, tape and packing materials. It also provides specialty boxes for dishes, computers and sensitive electronic equipment, as well as tape, security locks, and packing supplies. U-Haul brand boxes are specifically sized to make loading easier.
The Company's self-storage business was a natural outgrowth of its self-moving operations. Conveniently located U-Haul self-storage rental facilities provide clean, dry and secure space for storage of household and commercial goods. Storage units range in size from 6 square feet to over 1,000 square feet. It operate over 1,180 self-storage locations in North America, with nearly 445,000 rentable rooms comprising 40.0 million square feet of rentable storage space. Its self-storage centers feature a wide array of security measures, ranging from electronic property access control gates to individually alarmed storage units. At many centers, it offers climate controlled storage rooms to protect temperature sensitive goods such as video tapes, albums, photographs and precious wood furniture.
Moving and Storage Operating Segments
The Company's Moving and Storage operating segment consists of the rental of trucks, trailers, portable storage boxes, specialty rental items and self-storage spaces primarily to the household mover as well as sales of moving supplies, towing accessories and propane. Operations are conducted under the registered trade name U-Haul throughout the United States and Canada.
During the fiscalyear ended March 31, 2013( fiscal 2013), the Company placed approximately 20,800 new trucks in service. These additions and replacements to the fleet were a combination of U-Haul manufactured vehicles and purchases. Typically as new trucks are added to the fleet the Company removes older trucks from the fleet. The total number of rental trucks in the fleet increased during fiscal 2013 as the pace of new additions was slightly greater than those trucks removed for retirement and sale. Within its truck and trailer rental operation focused on expanding its independent dealer network to provide added convenience for its customers. U-Haul maximizes vehicle utilization by effective distribution of the truck and trailer fleets among the approximately 1,490 Company operated centers and approximately 16,400 independent dealers.
The Company's self-moving related products and services, such as boxes, pads and insurance, help its customers have a better moving experience and help them to protect their belongings from potential damage during the moving process. Its self-storage business operations consist of the rental of self-storage rooms, portable storage boxes, sales of self-storage related products, the facilitation of sales of services, and the management of self-storage facilities owned by others.Net revenue from its Moving and Storage operating segment was approximately 89.1% in fiscal 2013.
Property and Casualty Insurance Operating Segment
The Company's Property and Casualty Insurance operating segment provides loss adjusting and claims handling for U-Haul through regional offices across North America. Its Property and Casualty Insurance operating segment also underwrites components of the Safemove, Safetow, Super Safemove and Safestore protection packages to U-Haul customers. It continues to focus on increasing the penetration of these products into the moving and storage market. The business plan for the Property and Casualty Insurance operating segment includes offering property and casualty products in other U-Haul related programs.Net revenue from its Property and Casualty Insurance operating segment was approximately 1.9% in fiscal 2013.
Life Insurance Operating Segment
The Company's Life Insurance operating segment provides life and health insurance products primarily to the senior market through the direct writing and reinsuring of life insurance, Medicare supplement and annuity policies. Net revenue from its Life Insurance operating segment was approximately 9.0%in fiscal 2013.
The Company competes with Avis Budget Group, Inc., Penske Truck Leasing, Public Storage Inc., Extra Space Storage, Inc., and Sovran Self-Storage Inc.
Ste. 100, 1325 Airmotive Way
RENO NV 89502-3239