Navistar’s 1Q Profit Declines
Navistar International Corp. said its first-quarter profit fell to $17 million, or 23 cents per share, from $234 million, or $3.27, a year ago.
Revenue for the fiscal quarter ended Jan. 31 slipped to $2.81 billion from $2.97 billion in the same period last year, the company said late Tuesday.
Navistar reiterated its forecast that its earnings for the fiscal year ending Oct. 31 will be between $127 million and $163 million, or $1.75 to $2.25 per share.
It said that in the fiscal quarter it positioned for tighter 2010 Environmental Protection Agency emission rules, with the exhaust gas recirculation, or EGR, technology being used in its MaxxForce engines.
The company said it has submitted several MaxxForce engine types to EPA for certification. Many of its Navistar’s competitors will use selective catalytic reduction, or SCR, technology.
“Our EGR message is resonating with the marketplace as evidenced by our continued strong market share levels,” said Chairman and Chief Executive Officer Daniel Ustian.
“The breadth, depth and value of our product family is now being enhanced by an EGR solution that is gaining acceptance with the marketplace,” he said in a statement.
Navistar said that at the end of the quarter it was awarded a U.S. military contract for $752 million to provide 1,050 enhanced International MaxxPro Dash Mine Resistant Ambush Protected vehicles.
It also said it plans to launch its new Class 4-5 commercial truck later this week.
