Navistar Posts Surprise 2Q Profit
WARRENVILLE, Ill. (AP) — Navistar International posted a surprise profit for the second quarter Wednesday on strong sales of trucks and a new structure that lowered material costs and shifted plant operations.
Navistar more than doubled its net income, even as revenue dipped.
"Our expectations are to be profitable across the business cycle," Chairman and CEO Daniel C. Ustian said in a statement. "The plans we have put in place for our core businesses are on track through the second quarter. We are confident that the foundation is in place to continue to support our profitability and grow our business."
For the three-month period that ended on April 30, Navistar had a net income of $30 million, or 42 cents per share. That's up from net income of $12 million, or 16 cents per share, during the same period last year.
Revenue slipped 2.3 percent to $2.74 billion, down from $2.81 billion last year.
That still beat Wall Street expectations and Navistar's net income blew past predictions of a 5 cent per-share loss, according to a survey of analysts by Thomson Reuters.
The manufacturer also affirmed its previous full-year forecast, saying it expects a profit between $2.75 and $3.25 per share.
Based in Warrenville, Ill., Navistar International Corp. makes brands like International trucks, MaxxForce diesel engines and Monaco RVs among others.