PACCAR INC Reports Fourth Quarter Earnings for FY 2022 on January 24, 2023.

Earnings Overview

PACCAR INC ($NASDAQ:PCAR) released their financial results for the fourth quarter of FY2022, ending on December 31 2022, on January 24 2023. It was revealed that their total revenue had increased by 80.2% year-over-year to USD 921.3 million, while their reported net income was up 21.6% compared to the same period in the previous year at USD 8129.5 million.

Transcripts Simplified

PACCAR had record annual revenues of $28.8 billion and record net income of $3.01 billion in 2022. They declared dividends of $4.19 per share and announced a 50% stock dividend. In the fourth quarter, revenues were a record $8.1 billion and net income increased by 78% to a record $921 million. PACCAR Parts achieved fourth quarter revenues of $1.47 billion and record pretax profits of $380 million. US and Canadian class 8 truck retail sales were 283,500 units with PACCAR’s market share increasing to 29.8%.

In 2023, deliveries are forecast to be in a range of 49,000 to 53,000. European above 16-ton truck registrations were 298,000 last year with DAF market share at 17.3%. South American above 16-ton truck market was 138,300 in 2022 and is projected to be in the range of 125,000 to 135,000 in 2023. Truck, Parts and Other gross margins expanded to 15.9% in the fourth quarter.

About the Company

Income Snapshot

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Cash Flow Snapshot

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Balance Sheet Snapshot

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Key Ratios Snapshot

Some of the financial key ratios for Paccar Inc are shown below. More…

Market Price

The stock opened at $105.0 and closed at $111.1, a rise of 8.6% from the previous day’s close of $102.2. This marks the tenth consecutive quarter that PACCAR INC has reported increasing profits, a result of its successful focus on trucking and transportation solutions. The solid financial performance of PACCAR INC was driven by strong sales and production growth in China, the US and Europe, where PACCAR INC has been expanding its presence in recent years.

Overall, investors reacted positively to the news, with PACCAR INC stock continuing to rise through the day and closing 8.6% higher than the previous day’s close. With the company’s successful focus on trucking and transportation solutions and its plans for increased investments in research and development, it seems that PACCAR INC is well on its way to another successful year. Live Quote…

Analysis

At GoodWhale, we have conducted an analysis of PACCAR INC‘s wellbeing. Our Risk Rating has placed PACCAR INC as a medium risk investment when considering both financial and business aspects. We have detected two risk warnings in the income sheet and balance sheet. A more in-depth understanding of these warnings can be gained by registering on goodwhale.com. Through detailed analysis, users can uncover further insights into the overall financial health of PACCAR INC and make more informed investment decisions. More…

Peers

PACCAR Inc is one of the world’s leading truck manufacturers. The company’s main competitors are Oshkosh Corp, Daimler Truck Holding AG, Caterpillar Inc. PACCAR Inc manufactures and sells a wide range of trucks and related parts and services. The company operates in three segments: Truck, Parts, and Financial Services. PACCAR Inc is headquartered in Bellevue, Washington, and has manufacturing facilities in the United States, Mexico, Australia, the Netherlands, and the United Kingdom.

– Oshkosh Corp ($NYSE:OSK)

Oshkosh Corporation is a leading manufacturer and marketer of access equipment, specialty vehicles and vehicle bodies for the primary markets of defense, concrete placement, refuse hauling, access equipment, and fire & emergency. Oshkosh Corporation manufactures, sells and services products under the brands of Oshkosh®, JLG®, Pierce®, McNeilus®, Jerr-Dan®, Frontline™, CON-E-CO®, London® and IMT®.

– Daimler Truck Holding AG ($OTCPK:DTRUY)

Daimler Truck Holding AG is a holding company that provides trucks and services for the transportation sector. The company has a market capitalization of 21.1 billion as of 2022 and a return on equity of 8.52%. Daimler Truck Holding AG operates in three segments: Daimler Trucks, Daimler Buses, and Daimler Financial Services. The company offers a range of trucks for different applications, including heavy-duty trucks, medium-duty trucks, and light-duty trucks. Daimler Truck Holding AG also provides financing, leasing, and insurance services for its customers.

– Caterpillar Inc ($NYSE:CAT)

Caterpillar Inc.’s market capitalization is 97.35 billion as of 2022. Its return on equity is 33.83%. The company manufactures construction and mining equipment, diesel and natural gas engines, and industrial gas turbines. It also provides financing and leasing services through its subsidiaries.

Summary

PACCAR Inc. had a successful fourth quarter of FY2022, with revenue increasing by 80.2% and net income increasing by 21.6%. On January 24 2023, the stock price saw a positive reaction to these strong results. For investors, the company represents an attractive opportunity due to its impressive growth and profitability. The company has proven itself to be a reliable and profitable source of income, making it an attractive option for long-term investments.

Additionally, considering the impressive quarter-over-quarter growth, as well as strong fundamentals, PACCAR Inc. is well-positioned to continue to perform well in the future.