PACCAR announced its financial results for 2024. Despite a slight decrease in total revenue compared to the previous year, PACCAR maintained profitability across its core business segments.
Key Financial Highlights
- Annual revenue: $33.66 billion, a 4.2% decrease from $35.13 billion in 2023
- Net income: $4.16 billion, down 9.6% from $4.60 billion in 2023
- Q4 revenue: $7.91 billion, a 12.9% decrease from $9.08 billion in Q4/23
- Q4 net income: $872.0 million, down 38.6% from $1.42 billion in Q4 2023
- PACCAR Parts revenue: $6.67 billion, up 4.1% from $6.41 billion in 2023
- PACCAR Financial Services pretax income: $435.6 million, down 19.4% from $540.3 million in 2023
- Total Financial Services assets: $22.41 billion, an increase of 6.9% from $20.96 billion in 2023
According to CEO Preston Feight, the company’s latest generation of DAF, Peterbilt and Kenworth trucks, along with PACCAR Parts revenues, contributed to the financial performance of the year.
Market Performance & Forecast
Kenworth and Peterbilt maintained a 30.7% U.S. and Canada Class 8 retail market share. The total U.S. and Canada Class 8 truck market reached 268,000 units in 2024, with projections for 2025 estimated between 250,000 and 280,000 units.
In Europe, DAF trucks continue to expand their market share. The European above 16-tonne truck market reached 316,000 units in 2024 and is expected to range between 270,000 and 300,000 units in 2025.
PACCAR Captive Finance Division: Year-Over-Year Growth and Performance
PACCAR Financial Services (PFS), the company’s captive finance division, reported $2.10 billion in revenues in 2024, a 16% increase from $1.81 billion in 2023, reflecting its role in supporting PACCAR’s truck sales through flexible financing and leasing solutions.
The division achieved $435.6 million in pretax income, a 19.4% decrease from $540.3 million in 2023, while maintaining total assets of $22.41 billion, an increase of 6.9% from $20.96 billion in 2023.
PFS plays a critical role in providing financial products to Kenworth, Peterbilt and DAF customers, enabling businesses to manage their fleet investments efficiently. The division has continued to expand its reach, offering financing in 26 countries and supporting customers with competitive retail lending, leasing options and fleet management solutions.
PFS also successfully issued $3.65 billion in medium-term notes in 2024, demonstrating strong access to capital markets. The division’s portfolio consists of 237,000 trucks and trailers, with PacLease, PACCAR’s full-service truck leasing subsidiary, operating a fleet of approximately 41,000 vehicles across North America and Europe.
PACCAR Financial Services and Investment
PACCAR invested $1.25 billion in capital projects and research and development in 2024.
The expansion of PacLease, PACCAR’s full-service truck leasing company, continued, with a fleet of approximately 41,000 vehicles in North America and Europe.
Outlook for 2025
PACCAR plans to continue investments in electric truck production, powertrain advancements, and digital fleet management solutions. The company’s financial services division is expected to continue financing fleet upgrades and vehicle acquisitions.
