We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
PACCAR (PCAR) Q3 Earnings Miss on Weak Profits From Trucks Unit
Read MoreHide Full Article
PACCAR Inc. (PCAR - Free Report) reported earnings of $1.08 per share for third-quarter 2021, missing the Zacks Consensus Estimate of $1.21. Lower-than-anticipated sales and profit from the Trucks segment resulted in this underperformance.
Consolidated revenues (including trucks and financial services) came in at $5,146.8 million, up from $4,936 million recorded in the corresponding quarter of 2020. Sales from Trucks, Parts and Others came in at $4,737.7 million, topping the consensus mark of $4,487 million.
Revenues from the Trucks segment totaled $3,452.6 million for the September-end quarter, lower than the prior-year quarter’s $3,504 million. The figure also lagged the consensus mark of $3,761 million. The segment’s pre-tax income came in at $78.5 million, tanking 62.8% year over year. The reported figure also missed the consensus mark of $188 million.
Revenues from the Parts segment totaled $1,260 million for the reported quarter, increasing from the year-earlier period’s $1,016.2 million and topping the consensus mark of $1,189 million. The segment’s pre-tax income came in at $280.8 million, up from $210.2 million recorded in the year-ago period. The reported figure also topped the consensus mark of $258 million.
Revenues in the Financial Services segment increased to $409.1 million from the year-earlier quarter’s $397.6 million but fell short of the consensus estimate of $464 million. Pre-tax income rose to $120.1 million from $55.5 million recorded in the year-earlier period, beating the consensus mark of $107 million.
Selling, general and administrative expenses for third-quarter 2021 rose to $134.7 million from the prior-year period’s $100.4 million. Research & Development (R&D) expenses were $72.5 million for third-quarter 2021 compared with the year-earlier period’s $64.7 million.
PACCAR’s cash and marketable debt securities amounted to $3,647.8 million as of Sep 30, 2021 compared with $4,834 million on Dec 31, 2020.
For 2021, capex is projected at $525-$550 million, while R&D expenses are estimated in the $320-$340 million band. This Zacks Rank #4 (Sell) player envisions spending $425-$475 million in capex in 2022 and $350-$400 million in R&D activities. Some better-ranked players in the auto space include Tesla (TSLA - Free Report) , AutoNation (AN - Free Report) and Stellantis (STLA - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
PACCAR (PCAR) Q3 Earnings Miss on Weak Profits From Trucks Unit
PACCAR Inc. (PCAR - Free Report) reported earnings of $1.08 per share for third-quarter 2021, missing the Zacks Consensus Estimate of $1.21. Lower-than-anticipated sales and profit from the Trucks segment resulted in this underperformance.
Consolidated revenues (including trucks and financial services) came in at $5,146.8 million, up from $4,936 million recorded in the corresponding quarter of 2020. Sales from Trucks, Parts and Others came in at $4,737.7 million, topping the consensus mark of $4,487 million.
PACCAR Inc. Price, Consensus and EPS Surprise
PACCAR Inc. price-consensus-eps-surprise-chart | PACCAR Inc. Quote
Key Takeaways
Revenues from the Trucks segment totaled $3,452.6 million for the September-end quarter, lower than the prior-year quarter’s $3,504 million. The figure also lagged the consensus mark of $3,761 million. The segment’s pre-tax income came in at $78.5 million, tanking 62.8% year over year. The reported figure also missed the consensus mark of $188 million.
Revenues from the Parts segment totaled $1,260 million for the reported quarter, increasing from the year-earlier period’s $1,016.2 million and topping the consensus mark of $1,189 million. The segment’s pre-tax income came in at $280.8 million, up from $210.2 million recorded in the year-ago period. The reported figure also topped the consensus mark of $258 million.
Revenues in the Financial Services segment increased to $409.1 million from the year-earlier quarter’s $397.6 million but fell short of the consensus estimate of $464 million. Pre-tax income rose to $120.1 million from $55.5 million recorded in the year-earlier period, beating the consensus mark of $107 million.
Selling, general and administrative expenses for third-quarter 2021 rose to $134.7 million from the prior-year period’s $100.4 million. Research & Development (R&D) expenses were $72.5 million for third-quarter 2021 compared with the year-earlier period’s $64.7 million.
PACCAR’s cash and marketable debt securities amounted to $3,647.8 million as of Sep 30, 2021 compared with $4,834 million on Dec 31, 2020.
For 2021, capex is projected at $525-$550 million, while R&D expenses are estimated in the $320-$340 million band. This Zacks Rank #4 (Sell) player envisions spending $425-$475 million in capex in 2022 and $350-$400 million in R&D activities. Some better-ranked players in the auto space include Tesla (TSLA - Free Report) , AutoNation (AN - Free Report) and Stellantis (STLA - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.