Rush Enterprises, Inc. has reported its first quarter 2024 results, with revenues reaching $1.9 billion and net income of $71.6 million, translating to earnings per diluted share of $0.88. This compares to revenues of $1.912 billion and net income of $90.5 million, or $1.07 per diluted share, in the quarter ended March 31, 2023. The challenging market conditions impacted class 8 new truck sales and overall financial performance. The company's absorption ratio stood at 130.1%.
In the aftermarket products and services segment, which accounted for approximately 60.8% of the company’s total gross profit in the first quarter of 2024, revenues reached $649.2 million, a slight increase of 0.1% compared to the first quarter of 2023. However, the absorption ratio decreased to 130.1% from 136.5% in the first quarter of 2023.
The company delivered 3,494 new heavy-duty trucks, 3,331 new medium-duty commercial vehicles, 456 new light-duty commercial vehicles, and 1,818 used commercial vehicles during the first quarter of 2024, compared to 4,365 new heavy-duty trucks, 3,038 new medium-duty commercial vehicles, 504 new light-duty commercial vehicles, and 1,684 used commercial vehicles during the first quarter of 2023.
Revenues from the Rush Truck Leasing division were up slightly compared to the first quarter of 2023. The company repurchased $5.6 million of its common stock pursuant to its stock repurchase plan and has repurchased a total of $73.2 million of the $150.0 million that was authorized by the board of directors. The board declared a cash dividend of $0.17 per share of class A and class B common stock.
New U.S. class 8 retail truck sales totaled 57,181 units in the first quarter of 2024, down 13.1% over the same period last year, and the company sold 3,494 new class 8 trucks in the first quarter, a decrease of 20.0% compared to the first quarter of 2023. On the other hand, new U.S. class 4 through 7 retail commercial vehicle sales totaled 59,786 units in the first quarter of 2024, up 6.5% over the same period last year, and the company sold 3,331 class 4 through 7 medium-duty commercial vehicles in the first quarter, an increase of 9.6% compared to the first quarter of 2023.
The market has reacted to these announcements by moving the company's shares -4.6% to a price of $46.95. If you want to know more, read the company's complete 8-K report here.
