Wabash income skyrockets, expects trailer shipments to rise
Wabash National Corporation Wednesday reported second quarter 2013 net income of $14.1 million, compared to second quarter 2012 net income of $1.9 million.
The Company reported operating income totaling $30.5 million for the second quarter of 2013, compared to operating income of $8.6 million for the second quarter of 2012.
New trailer shipments for the second quarter were approximately 11,400.
“We are very pleased to report such a strong second quarter,” Dick Giromini, president and chief executive officer says. “The benefits of our diversification initiatives are evident in our second quarter results including a more balanced contribution from each of our segments to both our top-line and bottom-line.”
Wabash’s composite products exceeded expectations and recorded the strongest quarter in its history, Giromini says, adding he expects trailer orders to continue to stream in.
“We anticipate a significant increase in customer pickups during the third quarter with trailer shipments expected to be between 12,500 to 13,500 trailers,” he says.
Wabash now expects full year trailer shipments to be between 45,500 and 47,500 units as its backlog increased slightly during the quarter and continues to hold at $680 million as of June 30.
“Longer-term, we believe the demand environment for trailers remains strong as fleet age, customer profitability, used trailer values, regulatory compliance and improved access to financing all support continued demand for new trailers,” Giromini adds.
Commercial Trailer Products’ net sales decreased $14.9 million or 5.3 percent, on 10,700 trailers, or 1,000 fewer trailers than the prior year period. However, the company’s average selling prices increased $500, or 2.3 percent compared to the prior year period.
Retail’s net sales increased $10 million, or 26.1 percent, and gross profit improved $1.4 million during the second quarter of 2013 as compared to the previous year quarter. Results were favorably impacted by the contribution of the Walker parts and service business as well as an increase in new trailer shipments of approximately 200 units, the company says.