Paccar’s 2Q Income Dips on Lower Sales

Heavy-duty truck maker Paccar Inc. said Tuesday its second-quarter profit fell 19% as North American heavy-duty truck demand declined due to new U.S. clean air regulations.

Paccar’s net income fell to $298.3 million or $1.19 a share, from $369.9 million or $1.47 a year ago.

Paccar, the parent of U.S. truck makers Kenworth Truck Co. and Peterbilt Motors Co. and Europe-based DAF Trucks, said its net sales and financial services revenue dipped to $7.7 billion from $8.02 billion last year.

“The U.S. and Canada truck industry ‘pre-buy’ experienced in the second half of 2006 continues to impact new vehicle purchases,” said Paccar President Tom Plimpton.

“However, steady GDP growth and regular replacement demand should positively influence demand in the second half of the year,” he said in a statement.