NAVISTAR REPORTS FIRST QUARTER 1992 FINANCIAL RESULTS
NAVISTAR REPORTS FIRST QUARTER 1992 FINANCIAL RESULTS CHICAGO, Feb. 20 /PRNewswire/ -- Navistar International Corp.
(NYSE: NAV) today reported a net loss of $32 million, or $.16 per common share, for the first quarter of fiscal 1992, ended Jan. 31. This compares with a net loss of $38 million, or $.18 per common share, for the first quarter of fiscal 1991.
Consolidated sales and revenues from the company's manufacturing and financial services operations totalled $902 million, an increase of seven percent over the $842 million reported for the first quarter of 1991. Navistar truck shipments of 17,100 units in the first quarter of 1992 were up three percent from a year ago, principally because of higher school bus chassis shipments to customers who normally take delivery later in the year. Shipments of medium range diesel engines to original equipment manufacturers increased 11 percent, reflecting higher retail demand for diesel powered trucks and vans that use these engines. Sales of replacement parts improved five percent. Industry retail sales of medium and heavy trucks in North America totalled 52,800 units in the first quarter of fiscal 1992, a nine percent decline from the 57,800 units sold in the same period last year. Navistar increased its share of the combined North American retail market for medium and heavy trucks to 28.1 percent in the first quarter of fiscal 1992, from 26.5 percent in the first quarter of 1991. James C. Cotting, chairman and chief executive officer of Navistar, said that margins improved slightly from the 1991 first quarter as a result of the additional sales volume and the impact of cost reduction programs. He also said that the loss for the quarter reflects the low level of truck industry demand and continuing high levels of expense associated with health care, pension and insurance benefits for active and retired employees. In commenting on the outlook for the year, Cotting said, "We have not as yet seen sustained improvement in the key sectors of the economy which normally drive medium and heavy truck demand. However, we expect a moderate strengthening as the year progresses." The company projects that the industry demand for medium trucks and buses will total approximately 118,000 units in fiscal 1992 -- one percent below 1991's level. The company forecasts a nine percent increase in industry demand for heavy trucks to approximately 119,000 units. Navistar expects shipments of medium range diesel engines to original equipment manufacturers to increase 14 percent in 1992, and sales of truck and engine replacement parts to grow two percent over 1991 levels. At current demand levels, the company expects to report a loss for the second quarter. In continuing to balance truck production and dealer inventory with retail demand, the company currently plans to suspend production for two weeks at its Springfield, Ohio assembly plant during the second quarter, a week more than in the first quarter. Navistar has led the North American combined medium and heavy truck market for 11 consecutive years, and is the world's largest supplier of medium diesel engines in the 130 to 270 horsepower range. NAVISTAR INTERNATIONAL CORPORATION AND CONSOLIDATED SUBSIDIARIES Financial Highlights (Millions of dollars, except per share data) Three months ended Jan. 31 1992 1991 Sales and Revenues: Manufacturing $848 $791 Financial Services 54 51 Total $902 $842 Net Loss $(32) $(38) Net Loss Per Common Share $(.16) $(.18) Average Common and Dilative Common Equivalent Shares Outstanding (millions) 252 251 AS OF JANUARY 31 1992 1991 Consolidated: Assets $3,358 $3,418 Total Debt $1,090 $1,109 Shareowners' Equity $537 $770 Manufacturing: Assets $2,185 $2,243 Short-Term Debt $9 $12 Long-Term Debt $144 $151 Shareowners' Equity $537 $770 Capitalization (Long-Term Debt and Shareowners' Equity) $681 $921 Long-Term Debt as a percent of Total Capitalization 21 16 Financial Services: Assets $1,425 $1,426 Total Debt $937 $946 Shareowners' Equity $241 $238 -0- 2/20/92 /CONTACT: Mary Moster, 312-836-3240 or Deborah Spak, 312-836-3232, of Navistar International/ (NAV) CO: Navistar International Corp. ST: Illinois IN: AUT SU: ERN SM -- NY008 -- 0779 02/20/92 08:39 EST
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|Date:||Feb 20, 1992|
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