During the second quarter of 2018, the company incurred an additional pre-tax charge to amortization expense and a charge to selling, general and administrative expense totaling of $10.7 million, or $0.20per diluted share, associated with the upgrade and replacement of certain components of the company’s Enterprise Resource Planning software platform (ERP Platform). Excluding the charge related to the ERP Platform, the company’s adjusted net income in the second quarter of 2018 was $37.7 million or $0.92 per diluted share. Additionally, the company’s Board of Directors declared a cash dividend of $0.13 per share of Class A and Class B Common Stock, to be paid on September 10, 2019, to all shareholders of record as of August 9, 2019.
“We are proud of our solid financial results and everyone at the Company who worked hard to achieve such a successful quarter,” said W.M. “Rusty” Rush, chairman, president and CEO of Rush Enterprises. “A healthy economy, widespread activity in the commercial vehicle market and the continued execution of our aftermarket strategic initiatives positively impacted our results in the second quarter. Our truck sales outpaced the commercial vehicle market in both Class 8 and Class 4-7, and we achieved record performance in medium-duty truck sales this quarter.”
Aftermarket products and services accounted for approximately 65% of the Company’s total gross profit in the second quarter of 2019, with parts, service and collision center revenues reaching $448.2 million, up 6.0% compared to the second quarter of 2018. The company achieved a quarterly absorption ratio of 122.4% in the second quarter of 2019.
The company sold 4,119 Class 8 trucks in the second quarter, an increase of 28.0% compared to the second quarter of 2018, and accounted for 5.7% of the new U.S. Class 8 truck market.
The company sold 3,866 Class 4-7 medium-duty commercial vehicles in the second quarter of 2019, an increase of 11.3% compared to the second quarter of 2018, and accounted for 5.5% of the U.S. Class 4-7 commercial vehicle market.
The company expanded its network in the second quarter with the addition of Rush Truck Center – Jacksonville East, a full service Peterbilt dealership.
The company increased its lease and rental revenues by 4.4% in the second quarter of 2019, compared to the second quarter of 2018, primarily due to healthy lease fleet demand, management of operating costs and execution of its lease fleet service model.
When it comes right down to it, the vendor finance segment of the equipment leasing and finance business has become stale, boring and bereft of innovative products and services. Six years ago I wrote an article predicting the future of... read more
Monitor’s Top 25 Vendor Players broke the $40 billion mark in new originations this year, but while most saw positive growth, the overall percentage increase slipped slightly from 6.4% in 2017 to 6.1% in 2018. The top eight companies from... read more