"Paccar earned record net income for the third quarter and first nine months of 2005," said Mark C. Pigott, chairman and chief executive officer.

"This outstanding result is especially noteworthy as the company is celebrating its 100-year anniversary. All facets of the business reported strong results, highlighted by DAF growing share in Europe, Paccar Financial Services excellent performance and aftermarket parts and technology generating stellar results. Kenworth and Peterbilt Class 6, 7 and 8 sales and profits were records."
"Paccar's geographic diversification, disciplined business practices and innovative product breadth have been key success factors in the company's outstanding financial performance," added Pigott. "Over the past 10 years, Paccar has invested over $1.5 billion to fund capital projects which have enhanced the company's technology leadership, resulting in the highest product quality and customer satisfaction in the industry. In addition, completion of 4,600 Six Sigma projects has contributed to the company's record manufacturing efficiency."
For the third quarter of 2005, Paccar's net profit surged 24 percent to a record $304.8 million ($1.78 per diluted share) compared to the $246.7 million ($1.41 per diluted share) earned in the third quarter of 2004. Third quarter net sales and financial services revenues were $3.54 billion, 21 percent higher than the $2.92 billion reported for the comparable period in 2004. The company's third quarter 2005 results marked the 15th consecutive quarter in which the company achieved higher net income than the same period in the prior year.
For the first nine months of 2005, Paccar reported record net income of $820.3 million ($4.73 per diluted share), a 23 percent increase compared to $665.4 million ($3.78 per diluted share) in 2004. Net sales and financial services revenues for the first nine months increased 27 percent to a record $10.42 billion compared to $8.21 billion last year. For the nine months, the company earned an industry-leading after-tax return on beginning equity (ROE) of 29.6 percent. Included in Paccar's net income for the first nine months of 2005 is a one-time charge of $64 million ($.37 per diluted share) for income taxes associated with the repatriation of $1.5 billion of cash from its subsidiaries outside the United States.