PACCAR achieves good first quarter revenues and profits increasing global truck deliveries and record PACCAR Parts profits drive results

April 25, 2017, Bellevue, Washington – “PACCAR reported good revenues and net income for the first quarter of 2017,” said Ron Armstrong, chief executive officer. “PACCAR benefited from increasing truck production in North America and Europe, as well as record quarterly PACCAR Parts pretax profits. I am very proud of our 23,000 employees who have delivered industry-leading products and services to our customers.”

First quarter 2017 net sales and financial services revenues were $4.24 billion compared to $4.30 billion for the first quarter of 2016. PACCAR earned net income of $310.3 million ($.88 per diluted share) in the first quarter of this year compared to a net loss of $594.6 million ($1.69 per diluted share) in the same period last year. PACCAR earned adjusted net income (non-GAAP)1 of $348.0 million ($.99 per diluted share) in the first quarter of 2016, excluding a $942.6 million non-recurring charge for a European Commission (EC) settlement.

Ron Armstrong added, “PACCAR’s strong balance sheet and positive operating cash flow, which has averaged $2.3 billion per year in the last five years, have enabled the company to invest $3.1 billion in new facilities, products and services during the same period. New Kenworth, Peterbilt and DAF vehicles, an expanded PACCAR engine range, innovative PACCAR Parts aftermarket programs, advanced driver assistance systems (ADAS), and PACCAR Financial Services mobile applications are contributing to the company’s long-term growth.”

Highlights – First Quarter 2017

Highlights of PACCAR’s financial results during the first quarter of 2017 include:

• Consolidated net sales and revenues of $4.24 billion.

• Net income of $310.3 million.

• Truck, Parts and Other gross margins of 14.1%.

• PACCAR Parts revenues of $786.7 million and record pretax profits of $151.7 million.

• Cash generated from operations of $610.5 million.

• Research and development expenses of $61.0 million.

• Manufacturing cash and marketable securities of $2.89 billion.

• Stockholders’ equity of $7.08 billion.