Paccar's revenue surges in 2011 as profit tops $1 billion
The company, which makes Kenworth, Peterbilt and DAF trucks, took in $16.36 billion in revenue last year, up 58.9 percent from 2010, as its profit totaled $1.04 billion.
Seattle Times business reporter
Buoyed by the second-highest revenues in company history, Bellevue-based Paccar reported a 2011 profit of $1.04 billion, or $2.86 a share.
The company, which make Kenworth, Peterbilt and DAF trucks, took in $16.36 billion in revenue last year from truck sales and financial services, up 58.9 percent from 2010.
In the fourth quarter, Paccar's reported net profit was $327.7 million, or 91 cents a share — nearly double its profit from the final quarter in 2010. Fourth-quarter revenues rose 58 percent, to $4.85 billion.
The quarterly results handily beat Wall Street expectations. On average, analysts had estimated that Paccar would earn 79 cents a share on $4.34 billion in revenue, according to a FactSet poll.
Paccar's results came amid a global recovery in the market for heavy-duty trucks. Industrywide sales of so-called Class 8 trucks in the United States and Canada rose 56.3 percent last year, to 197,000 units; sales for the equivalent class in Europe rose by 33 percent, to 244,000 units.
Paccar's combined revenues from the United States and Canada, which accounted for more than half its 2011 revenues, grew by nearly 76 percent last year. European revenues were up 47 percent, and revenue from the rest of the world grew by 35 percent.
Paccar estimated that the North American market, in which it holds a 28.1 percent market share, will continue to improve this year, forecasting industrywide sales in the 210,000-240,000 range. However, the company said, European truck sales will be in the same range as North America, a slowdown it attributes to economic troubles in the eurozone.
Information from The Associated Press is included in this report.
Drew DeSilver: 206-464-3145 or firstname.lastname@example.org