Navistar International Corp. reported record net income of $70 million for its first quarter ending January 31.
Net income for first quarter 1999 was $61 million. First quarter 2000 revenues totaled $2.2 billion, up 13% from $1.9 billion in first quarter 1999.
Manufacturing gross margins for the quarter increased 0.1 percentage point to 16.6%. The gain marked the eigth consecutive quarter, and the 12th of the last 13 quarters, in which margins improved over the year-earlier period.
Worldwide shipments of medium and heavy trucks and school buses totaled 32,600 units, up from 29,900 a year earlier. Shipments of diesel engines to other manufacturers rose 23% to 71,600 units from 58,100 units.
"While there has been an industry-wide slowdown in orders for heavy trucks, our other core businesses are doing well and are likely to moderate the impact of the heavy truck cycle on our performance," said Navistar Chairman, President and CEO John Horne. "Significantly, diesel engine shipments to other manufacturers continue at record levels and our joint venture with Maxion International Motores wil enable us to increase production by 100 engines per day beginnning in March to meet demand."