PACCAR Parts Achieves Strong Performance
“PACCAR’s aftermarket parts business achieved excellent revenue in 2012,” said Bob Christensen, chief financial officer and PACCAR executive vice president. “The ongoing growth in PACCAR’s aftermarket part sales has been driven by investment in parts processes and distribution, technology and products, including the emergence of our global TRP brand. The company will begin reporting the Parts division as a separate segment in PACCAR’s 2012 annual report,” added Christensen.
“Improving truck utilization and an aging North American truck fleet are helping to generate excellent parts and service business. PACCAR utilizes 15 strategically located parts distribution centers supported by over 1,900 DAF, Kenworth and Peterbilt dealer locations to deliver industry-leading customer service,” said Darrin Siver, PACCAR Parts general manager and PACCAR vice president. “A new 280,000-square-foot distribution center in Eindhoven, the Netherlands, is due to open in April 2013 to enhance support to DAF customers and dealers in Europe.”
In December 2012, PACCAR received certification from the U.S. Environmental Protection Agency (EPA) for its range of proprietary engines for 2013. The California Air Resources Board (CARB) also certified PACCAR engines for the 2013 on-board diagnostics (OBD) requirement. “PACCAR has installed over 30,000 MX engines in Kenworth and Peterbilt trucks in North America since the start of production in 2010. The PACCAR MX-13 engines include a new high pressure common rail fuel injection system, enhanced on-board diagnostics and an expanded rating of 500 hp,” said Craig Brewster, PACCAR vice president.
Increased Capital Investments
In 2012, capital investments of $511.0 million and research and development expenses of $279.3 million were invested in global expansion initiatives, to enhance manufacturing efficiency, and accelerate new PACCAR product development. PACCAR’s capital investments in 2013 are focused on the completion of the DAF factory in Brasil. “Capital investments are projected to be $400-$500 million and research and development expenses are estimated at $225-$275 million in 2013,” said George West, PACCAR vice president. “Kenworth, Peterbilt and DAF are designing new products and services to enable our customers to continue to improve profitability of their businesses.”