Navistar posts 4Q loss, reports revenues up 20% for year

According to Daniel C. Ustian, Navistar chairman, president and CEO, major factors in the company’s 2008 performance were increased sales to the military, increased market share in the Class 8 segment, led by the International ProStar, growth in South American engine sales and expansion into global markets.

The Associated Press

12/31/2008

WARRENVILLE, Ill. — Navistar International Corp., which makes International-brand trucks, as well as buses and engines, posted a wider fiscal fourth-quarter loss, citing charges related to its diesel engine business with Ford Motor Co.

Navistar said late Tuesday its loss for the quarter ended Oct. 31 more than tripled to $343 million, or $4.81 per share, from $103 million, or $1.46 per share, in the same quarter last year.

The results included expenses related to its diesel engine business for Ford pickups, which totaled $358 million. Navistar did not provide per-share earnings excluding those charges and did not provide fourth-quarter revenue.

Analysts polled by Thomson Reuters called for a profit of 82 cents per share, on average, on revenue of $3.7 billion. Such estimates typically exclude one-time items.

The company reported that “despite a continuing weak truck industry,” it made a profit for 2008 compared with a loss in fiscal 2007. For its fiscal year, Navistar said it earned $134 million, or $1.82 per share, compared with a loss of $120 million, or $1.70 per share, in the same quarter last year. Revenue rose 20 percent to $14.7 billion from $12.3 billion.

Excluding one-time items, full-year earnings came to $529 million, or $7.23 per share. Analysts called for $6.74 per share, on average.

According to Daniel C. Ustian, Navistar chairman, president and CEO, major factors in the company’s 2008 performance were increased sales to the military, increased market share in the Class 8 segment, led by the International ProStar, growth in South American engine sales and expansion into global markets.

“We have achieved this substantial progress by diversifying and expanding into new business opportunities with little capital investment as well as leveraging our core strengths and the strengths of companies that have become our partners,” he said.

Kevin Jones of The Trucker staff can be reached for comment at kevinj@thetrucker.com.