Wabash Second-Quarter Results Decline Compared With Best-Ever Levels Last Year
Second-quarter net income and revenue declined for diversified trailer maker Wabash National Corp. because last year’s three-month period was the OEM’s best second quarter ever, whereas this year’s was the second best, the company said in a July 25 report.
Wabash generated net income of $22.9 million, or 36 cents a share, on quarterly sales of $435.9 million. In the year-ago period, the Lafayette, Ind.-based original equipment manufacturer posted a profit of $35.5 million, or 53 cents, on revenue of $471.4 million.
Bloomberg News said the consensus estimate for quarterly earnings was 42.2 cents a share.
“Backlog totaling $762 million as of June 30, 2017, remains seasonally and historically strong, supporting our long-standing belief that trailer fleet age, regulatory compliance requirements and customer profitability support a continued favorable demand environment,” CEO Richard Giromini said in the earnings report.
Wabash shipped 13,600 new dry van, refrigerated and flatbed trailers during the quarter ended June 30, producing $329.4 million in revenue. During the same time in 2016, the company shipped 15,300 units from its commercial trailers division for $359.8 million in revenue.
Operating margin at commercial trailers was 12.1% for the recent quarter, down from 14.9% a year ago.
The company also makes tank trailers in its diversified products division. In the quarter just ended, Wabash shipped 550 units for $33.3 million. A year earlier, quarterly shipments were 550 tank trailers for $34.2 million in revenue.
Operating margin at diversified products was 5.6% for the 2017 quarter, down from 11% the year before. The report said increases in commodity costs contributed to lower margins for the division.
