PACCAR Notches Record Quarterly Profit

PACCAR (Nasdaq:PCAR) achieved record quarterly net income in the second quarter of 2015,” said Ron Armstrong, chief executive officer.

“PACCAR’s excellent financial results reflect the benefits of increased truck sales in North America and Europe, record quarterly aftermarket parts profit and robust financial services results worldwide,” he added.

PACCAR earned $447.2 million ($1.26 per diluted share) for the second quarter of 2015, an increase of 40 percent compared to $319.2 million ($.90 per diluted share) earned in the second quarter of 2014. Second quarter net sales and financial services revenues were $5.08 billion, an 11 percent increase compared to $4.57 billion in the second quarter of 2014. For the first six months of 2015, PACCAR reported net income of $825.6 million ($2.32 per diluted share) compared to $593.1 million ($1.67 per diluted share) in 2014, an increase of 39 percent. Net sales and financial services revenues for the first six months of 2015 were $9.91 billion, 11 percent higher than the $8.95 billion last year.

Recently, Kenworth and Peterbilt launched new vehicle technologies that provide customers real-time diagnostic information to enhance their vehicles’ operating performance. Kenworth TruckTech+ and Peterbilt SmartLinq diagnostic systems are in production on new Kenworth and Peterbilt Class 8 trucks specified with the PACCAR MX-13 engine. DAF plans to launch its connected truck technology in the fourth quarter of this year.

Highlights of PACCAR’s financial results for the second quarter of 2015 include:

• Consolidated net sales and revenues of $5.08 billion.
• Record net income of $447.2 million, an 8.8% after-tax return on revenues.
• Truck, Parts and Other gross margins of 15.1%.
• Record PACCAR Parts pre-tax income of $145.7 million.
• Financial Services pre-tax income of $90.8 million.
• Manufacturing cash and marketable securities of $3.28 billion.
• Cash generated from operations of $710.9 million.

 

Category: Featured, General Update