Navistar International Corp. said Wednesday its fiscal third-quarter profit improved on higher military sales and better performance in its core truck segment.
The company’s profit rose to $137 million, or $1.83 per share, compared with a loss of $12 million, or 16 cents, a year ago.
Revenue for the quarter ended July 31 jumped 29% to $3.22 billion, the company said in a statement. A year ago, its revenue had plunged 37%.
Its truck segment had a profit of $227 million, compared with a loss of $28 million a year ago. The sector was boosted by higher military sales, and commercial units sold in the its traditional North American Class 6-8 truck and school bus businesses rose by 7%.
The engine segment posted a $1 million loss, compared with a profit of $45 million a year ago, while its parts segment’s earnings fell to $52 million, from $93 million.
Navistar reduced its overall revenue guidance, mainly as a result of deferring military revenue to fiscal 2011, but said it “found other measures to stay within previously anticipated earnings guidance” in reaffirming its guidance of $2.75 to $3.25 per share on full-year revenue of $12 billion.
North American trucking industry demand is expected to be between 190,000 to 195,000 units for Navistar’s fiscal year ending Oct. 31 — 9% to 12% higher than fiscal 2009, the company said.
