Summary
PACCAR Inc (PCAR) reported its second-quarter and first-half results for 2017, showing increased revenues driven by higher truck and parts sales. Net income for the second quarter was $373.0 million ($1.06 per diluted share), compared to $481.3 million ($1.37 per diluted share) in the prior year, which included a favorable adjustment for a European Commission charge. For the first six months, net income was $683.3 million ($1.94 per diluted share), a significant improvement from a net loss of $113.3 million in the same period of 2016, which was heavily impacted by the aforementioned European Commission charge. The Truck segment saw increased deliveries, particularly in the U.S. and Canada, and the Parts segment achieved record sales. However, the Financial Services segment experienced a decline in income before taxes due to lower results on returned lease assets and higher borrowing rates, alongside a decrease in new loan and lease volume. The company also highlighted ongoing investments in R&D and capital expenditures for future growth and efficiency.
Financial Highlights
32 data points| Revenue | $4.70B |
| Net Income | $373.00M |
| EPS (Basic) | $0.71 |
| EPS (Diluted) | $0.71 |
| Shares Outstanding (Basic) | 527.70M |
| Shares Outstanding (Diluted) | 529.05M |
Key Highlights
- 1Worldwide net sales and revenues increased to $4.70 billion in Q2 2017 from $4.41 billion in Q2 2016.
- 2Truck sales grew to $3.55 billion in Q2 2017 from $3.34 billion in Q2 2016, driven by higher deliveries in the U.S. and Canada.
- 3Parts sales reached a record $823.1 million in Q2 2017, up from $756.4 million in Q2 2016.
- 4Net income for Q2 2017 was $373.0 million ($1.06 per diluted share), a decrease from $481.3 million ($1.37 per diluted share) in Q2 2016, partly due to a favorable one-time adjustment in the prior year's quarter.
- 5For the first six months of 2017, net income was $683.3 million ($1.94 per diluted share), a substantial increase from a net loss of $113.3 million ($-0.32 per diluted share) in the first six months of 2016.
- 6Financial Services segment income before taxes decreased in both Q2 and the first six months of 2017 compared to 2016, attributed to lower results on returned lease assets and increased borrowing rates.
- 7Company continues to invest in R&D and capital expenditures, with projected 2017 capital investments between $375-$425 million and R&D expenses between $250-$270 million.