Paccar Inc
Q1 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +6.33%.
Did PCAR Beat Earnings? Q1 2025 Results
PACCAR turned in a mixed first quarter for 2025, beating revenue expectations while falling short on earnings, as a hefty litigation charge clouded otherwise resilient operating results. The Bellevue-based truck maker posted adjusted earnings of $1.46 per diluted share, missing the $1.59 consensus by 8.43%, while revenue of $7.44 billion cleared analyst estimates of $7.09 billion by 4.93%, though it still represented a steep 14.9% decline from the year-ago period. The central story was a $350 million pretax charge tied to European civil litigation stemming from EC-related damages claims, which compressed GAAP net income to $505.10 million from $1.20 billion a year earlier. Lower truck deliveries compounded the pressure, with global unit volumes falling to 40,100 from 48,100, including a sharp North American drop to 22,200 from 29,500. PACCAR Parts provided a notable counterweight, delivering quarterly revenue of $1.69 billion. Looking ahead, PACCAR projected 2025 North American Class 8 retail sales of 235,000 to 265,000 units, flagging tariff uncertainty and softening economic conditions as ongoing headwinds for fleet buying patterns.
- PACCAR Parts achieved record quarterly revenue of $1.69 billion
- PACCAR Financial Services pretax income rose 6% year-over-year driven by high-quality portfolio
- $264.5 million after-tax charge for EU civil litigation reduced GAAP earnings significantly
- Lower global truck deliveries (40,100 vs 48,100 year-over-year) impacted Truck segment revenue
- North American truck deliveries declined sharply from 29,500 to 22,200 units
“PACCAR reported good revenues and net income in the first quarter of 2025. Peterbilt, Kenworth and DAF delivered good results, PACCAR Parts delivered record revenue and strong profits, and PACCAR Financial Services achieved good results due to its high-quality portfolio. I am very proud of our employees and dealers who have delivered outstanding trucks and transportation solutions to our customers.”
Paccar CEO, on the earnings call
Forward Guidance & Outlook
U.S. and Canada Class 8 truck industry retail sales are estimated at 235,000–265,000 trucks in 2025. European truck industry registrations for the above 16-tonne market are projected at 270,000–300,000 trucks. The South American above 16-tonne truck market is projected at 100,000–110,000 trucks. Capital expenditures are projected at $700–$800 million and R&D expenses at $450–$480 million in 2025. The company plans to invest $600–$900 million total in its Amplify Cell Technologies battery joint venture. The North American truck market is being affected by uncertain economic conditions and the impact of new tariffs.
PCAR YoY Financials
PCAR Revenue by Segment
PCAR Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.