Navistar International Corp (NYSE: NAV)
Shares of Navistar International Corporation gained more than 7% in pre-market trading hours after the company reported earnings results for the second quarter of fiscal 2018.
Navistar’s core market (Class 6-8 buses and trucks in the U.S. and Canada) helped it achieve a topline growth of 16%. The company also raised its forecast for the full year based on robust industry conditions.
NAV Earnings & Outlook
Navistar International reported net income of $55 million, or 55 cents a share during the quarter. In the same period last year, the company posted a loss of $80 million, or 86 cents a share.
Revenue during 2Q18 grew 16% to $2.4 billion, compared to the year-ago figure of $2.1 billion. Analysts expected the company to report second quarter earnings per share of 34 cents on revenue of $2.44 billion.
Navistar expects full-year revenue in the range of between $9.75 billion and $10.25 billion. In addition, it expects adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) of between $725 million and $775 million.
Navistar CEO Comments
Navistar chief executive officer Troy A. Clarke said, “We had a great second quarter, delivering stronger than expected results by taking advantage of the robust market conditions. The market continues to respond favorably to our new products, especially our LT Series on highway tractor and the 13-liter A26 engine, which helped us capture two points of year-over-year share growth in the Class 8 segment. We are also pleased to report that on a trailing 12-month basis, we were manufacturing free cash flow positive by nearly $100 million.”
“The work we’ve done in the first half of the year growing Class 8 share, building our backlog and managing costs, combined with strong industry conditions, positions us to deliver an even stronger second half,” the CEO added.
Navistar International Corporation Company Profile
Navistar International Corporation is a holding company that engages in the manufacture and sale of military and commercial diesel engines, trucks, school buses, and service parts for diesel and truck engines internationally.
It has four segments of operation: Financial Services, Parts, Truck, and Global Operations.
The company distributes and manufactures Class 4 through 8 buses and trucks in the petroleum/energy, private carrier, common carrier, government, construction, military vehicle, commercial and student transportation markets under IC brands.
In addition, it provides customers with branded products required to support the IC bus, military and International commercial truck, and engine lines.
It also manufactures and designs mid-range diesel engines, and provides customers with extra engine offerings in the marine and agriculture truck markets.
The company offers leasing financing, retail, and wholesale of products of its parts and trucks. It markets its products through a network of independent dealers, and retail distribution outlets.
It had a total of 87 outlets in Mexico, and 728 outlets in Canada and the US as of December, 2017. Navistar International Corp. was established in 1902 and its headquarters are based in Lisle, IL. –Reuters