Navistar International Corporation (NAV) surpassed market expectations on both revenue and earnings for the fourth quarter of 2018. The stock was up 9% in premarket trade on Tuesday.
Revenues grew 28% to $3.3 billion versus the same period a year ago, driven mainly by a 45% increase in the company’s core volumes, which represents sales of Class 6-8 trucks and buses in the US and Canada.
Net income was $188 million, or $1.89 per share, compared to $135 million, or $1.36 per share, in the prior-year period.
During the quarter, Navistar launched the International CV Series line of Class 4/5 trucks and saw a year-over-year growth of 2.5 share points in heavy retail market share, which was attributable to strong sales of the International LT Series on-highway truck and the 12.4-liter A26 engine. Navistar’s IC Bus school buses also improved retail share by 1.3 share points.
Earnings Preview: Strong truck demand expected to fuel Navistar’s Q4 growth
Earlier this month, Navistar announced the sale of a majority interest in its Navistar Defense business to affiliates of Cerberus Capital Management. The agreement includes a long-term supply agreement for commercial parts and chassis. The transaction is expected to close in the first quarter of 2019, following which Cerberus will become a 70% owner and Navistar will remain a 30% owner.
For the full year of 2019, revenues are expected to be between $10.75 billion and $11.25 billion. Industry retail deliveries of Class 6-8 trucks and buses in the US and Canada are forecast to be 395,000 to 425,000 units, with Class 8 retail deliveries of 265,000 to 295,000 units. After completing the partial sale of Navistar Defense, the company will update its 2019 guidance.
Get access to timely and accurate verbatim transcripts that are published within hours of the event.
Most Popular
CCL Earnings: Carnival Corp. Q4 2024 revenue rises 10%
Carnival Corporation & plc. (NYSE: CCL) Friday reported strong revenue growth for the fourth quarter of 2024. The cruise line operator reported a profit for Q4, compared to a loss
Key metrics from Nike’s (NKE) Q2 2025 earnings results
NIKE, Inc. (NYSE: NKE) reported total revenues of $12.4 billion for the second quarter of 2025, down 8% on a reported basis and down 9% on a currency-neutral basis. Net
FDX Earnings: FedEx Q2 2025 adjusted profit increases; revenue dips
Cargo giant FedEx Corporation (NYSE: FDX), which completed an organizational restructuring recently, announced financial results for the second quarter of 2025. Second-quarter earnings, excluding one-off items, were $4.05 per share,