Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Navistar Quarterly Loss Grows to $248 Million

Truck and engine maker Navistar International reported a wider first quarter loss than expected on Wednesday amid slower sales.

by Staff
March 5, 2014
Navistar Quarterly Loss Grows to $248 Million

 

3 min to read


Truck and engine maker Navistar International reported a wider first quarter loss than expected on Wednesday amid slower sales.

For the period ending Jan. 31 the net loss totaled $248 million, or $3.05 per share, compared to a first quarter 2013 net loss of $123 million, or $1.53 per share.  Revenues in the quarter were $2.2 billion, down from $2.6 billion in the first quarter of 2013.

Ad Loading...

Analysts polled by Bloomberg were forecasting a consensus loss of $149 million with revenue of $2.66 billion.

Lower sales volumes, primarily due to the company's medium-duty emissions strategy transition from exhaust gas recirculation technology to selective catalytic reduction technology, along with lower military sales, drove the decline.

"We signaled that this would be a tough quarter due to our mid-range product transition, the ongoing reduced sales in our military business, and because the first quarter, historically, represents the weakest operational period of the year for us. Given all this, we are encouraged we hit our cash and adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) guidance," said Troy A. Clarke, Navistar's president and chief executive officer. "Clearly, we have more hard work to do to rebuild our market share and further reduce our costs, but we continue to make progress...and we feel we're off to a solid start in 2014."

Ad Loading...

As part of its engine restructuring efforts it announced plans last month to consolidate mid-range engine manufacturing into its Melrose Park, Ill., engine plant. Once completed later this summer, these actions, which include idling the Huntsville, Ala., mid-range engine plant, are expected to reduce Navistar's operating costs by more than $22 million annually, according to the company.

Navistar says it will add selective catalytic reduction emissions technology to its high horsepower inline six-cylinder engine platforms to complement the recent launch of the Cummins ISB. The company is already taking orders with deliveries scheduled for this summer.

"These actions will help us deliver on one of our biggest opportunities—reclaiming our market position in medium-duty and bus, which historically have been important businesses for us and our dealers," Clarke said. As we fully launch our mid-range SCR portfolio in the coming months and complete this phase of our engine restructuring, we anticipate we will improve our financial performance throughout 2014."

For the first quarter 2014, Navistar’s North America truck segment recorded a loss of $207 million, compared with a year-ago first quarter loss of $101 million while its North America parts segment recorded a profit of $104 million, compared with a year-ago first quarter profit of $117 million.

During the same time its financial services segment recorded a profit of $23 million, comparable to first quarter 2013 profit of $22 million, while its global operations recorded a loss of $33 million, compared with a year-ago first quarter loss of $10 million. 

More Equipment

Gray Volvo tractor pulling trailer on open highway
Fuel Smartsby Deborah LockridgeMay 1, 2026

New High-Horsepower Natural Gas Engine Could Expand Fleet Options

Westport and Volvo are demonstrating a 500-hp truck with diesel-like efficiency — one that also offers what Westport says is a better pathway to using hydrogen fuel in trucks.

Read More →
Aurora Innovation self-driving truck.
Equipmentby News/Media ReleaseApril 30, 2026

Hirschbach Announces Plan to Deploy 500 Aurora Autonomous Trucks

Hirschbach and Aurora Innovation have inked a non-binding deal outlining a path to deploy 500 Aurora Driver-powered trucks into fleet operations.

Read More →
Bosch-Kodiak self-driving truck partnership.
Equipmentby News/Media ReleaseApril 30, 2026

Bosch, Kodiak AI Advance Toward Scaled Production of Autonomous Truck Hardware

New sensor integrations and component validation signal a shift from strategy to execution as Kodiak and Bosch push toward high-volume driverless truck deployment.

Read More →
Ad Loading...
Great American Trucks: REO
Equipmentby Jack RobertsApril 29, 2026

Great American Trucks: REO

The evolution of the modern truck was a long, slow affair. But perhaps no other company did more to establish the template for what a modern truck should be, and how it should perform, than REO.

Read More →
Western Star's Star Nation customer event.
Equipmentby News/Media ReleaseApril 27, 2026

Western Star Doubles Down on Driver Pride With 2026 Star Nation Experience

Western Star has expanded its operator-focused Star Nation competition and outreach to spotlight skill, attract new drivers, and strengthen industry ties.

Read More →
HDT Spotlight: Volvo VNR test drive.
Equipmentby Jack RobertsApril 23, 2026

Is the All-New VNR Volvo's Safest Truck Ever?

The all-new Volvo VNR is jam-packed with advanced safety features. Join HDT for a first-hand look at how Volvo is keeping drivers safer and productive on the road.

Read More →
Ad Loading...
2026 Volvo VNR
Equipmentby Jack RobertsApril 22, 2026

Volvo Redesigns the VNR With Drivers and Tight Turns in Mind

At Volvo’s New River Valley customer center, the all-new VNR proves that maneuverability, safety, and driver confidence can coexist in a regional-haul workhorse.

Read More →
Great Dane trailer.
Equipmentby News/Media ReleaseApril 21, 2026

FTR: Trailer Orders Jump in March, but Demand Still Lags

March trailer orders posted an unexpected monthly jump, but demand still trails historical norms as fleets prioritize power units over trailing equipment.

Read More →
Humble cabless autonomous freight hauler.
Equipmentby News/Media ReleaseApril 21, 2026

Autonomous Start-Up Humble Announces Cabless Autonomous Electric Hauler

A new autonomous truck startup company is targeting yard, port, and short-haul freight with a lighter, fully autonomous platform designed for dock-to-dock moves.

Read More →
Ad Loading...
Circles with trucks demonstrating sustainable features and Top Green Fleets logo
Fuel Smartsby Deborah LockridgeApril 16, 2026

Top Green Fleets of 2026: Nomination Deadline Extended

Is your company a leader in sustainability efforts among trucking fleets? If so, Heavy Duty Trucking's editors want to hear from you.

Read More →