Business
Rush Enterprises, Inc. Reports Second Quarter 2024 Results, Announces $0.18 per Share Dividend
Revenues of $2.0 billion, net income of $78.7 millionEarnings per diluted share of $0.97Challenging market conditions impact aftermarket sales and overall
About this update from Rush Enterprises, Inc.
[{"type":"text","content":"Revenues of $2.0 billion, net income of $78.7 millionEarnings per diluted share of $0.97Challenging market conditions impact aftermarket sales and overall financial performanceAbsorption ratio 134%Board declares cash dividend of $0.18 per share of Class A and Class B common stock, a 5.9% increase over prior quarter SAN ANTONIO, Texas, July 31, 2024 (GLOBE NEWSWIRE) -- Rush Enterprises, Inc. (NASDAQ: RUSHA & RUSHB), which operates the largest network of commercial vehicle dealerships in North America, today announced that for the quarter ended June 30, 2024, the Company achieved revenues of $2.027 billion and net income of $78.7 million, or $0.97 per diluted share, compared with revenues of $2.003 billion and net income of $98.3 million, or $1.17 per diluted share, in the quarter ended June 30, 2023. Additionally, the Company’s Board of Directors declared a cash dividend of $0.18 per share of Class A and Class B Common Stock, to be paid on September 10, 2024, to all shareholders of record as of August 13, 2024. “Despite persistent market challenges, including weak demand for Class 8 trucks and aftermarket parts and services due to the lingering freight recession and high interest rates, we are pleased with our financial performance in the second quarter,” said W.M. “Rusty” Rush, Chairman, Chief Executive Officer, and President of Rush Enterprises. “Although low freight rates continue to plague over-the-road carriers, our largest customer segment, we are experiencing continued strength in certain other key customer segments, including the public sector and vocational segments, which positively impacted our Class 8 truck sales revenues. Class 4-7 commercial vehicle sales remained steady, and we executed well on our used truck pricing and inventory strategies,” he continued. “However, along with the rest of the industry, we experienced a decrease in demand for aftermarket parts and services during the quarter, which negatively impacted our aftermarket results. Due to our diverse customer base and continued focus on our strategic initiatives, we believe we kept pace with the market from a parts sales perspective and outperformed the industry with respect to our service sales,” he added. “Our Board of Directors approved a $0.01 increase in our quarterly cash dividend, our eighth increase since we announced our intent to begin paying a...