News
Paccar looks to India as profits soar
Paccar president and CEO, Mark Pigott.
The company recently participated for the first time in India’s Auto Expo and has set up a technical centre in the Indian district of Pune in partnership with technology solutions company, KPIT Cummins Infosystems.
“Our focus in India right now is to successfully launch the technical centre in Pune to develop solutions for global requirements and introduce ourselves to the supplier base here,” Donald J. Schulte, Paccar’sIndiainitiative managing director, told reporters at a press conference. “We have just started getting in contact with suppliers here … and work at the technical centre has also begun. By the end of this year we will hire 200 employees.”
Despite these developments, the company has reportedly told the India Times newspaper it has no current plans to sell or assemble its products in the country.
The news on Paccar’s Indian interests comes alongside the company continuing its extraordinary history of strong financial performances, announcing a $281.6 million profit for the third quarter of 2011; a 64 percent increase over the $119.9 million profit for the same quarter in 2010.
The rise has been largely attributed to increases in North American and European truck sales of 80 and 64 percent respectively.
Better results for its financial services also helped the maker of Kenworth, Peterbilt and DAF trucks record total revenue of $4.26 billion for the quarter, which according to the company’s president and CEO, Mark Pigott, is the highest quarterly revenue in its history.
“Increased truck deliveries, higher aftermarket sales and a growing financial services business worldwide contributed to increased profits,” Pigott said in reporting the result.
Paccar’s net income for the first nine months of 2011 totalled $714.6 million ($1.95 per share), which was more than double the $287.8 million ($0.79 per share) earned in the first three quarters of 2010.