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Tickers in this Article: PCAR
PACCAR (Nasdaq:PCAR) announced its results for the third quarter on October 25, 2012. PACCAR is a technology company that designs and manufactures light, medium, and heavy duty commercial trucks and related aftermarket parts.

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The Numbers: PACCAR announced 66 cents per share versus the 66 cents per share estimate. The company's net income for the quarter was $233.6 million. This is a 17% decline from last year. With last quarter's falling profit, the company ends a run of four consecutive quarters of year-over-year profit increases.

Management Quote: "PACCAR reported good quarterly revenues and net income for the third quarter of 2012," said Mark Pigott, chairman and chief executive officer. "PACCAR's third quarter results reflect lower industry truck orders in North America and Europe due to the uneven global economy. PACCAR's dealers and customers have benefited from good freight demand in North America and Europe as evidenced by strong aftermarket parts and services business and excellent PACCAR Financial Services performance. I am very proud of our 22,500 employees who have delivered industry-leading products and services to our customers worldwide."

A Look Back: Net income has increased 60.8% year-over-year on average across the last five quarters. The biggest gain came in the third quarter of the last fiscal year, when income climbed more than twofold from the year-earlier quarter.

Looking Ahead: The outlook for the company's results in the upcoming quarter is unfavorable. The average estimate for the fourth quarter is 71 cents per share, down from 77 cents 90 days ago. Decreasing earnings estimates is generally a negative sign as it suggests analyst believe future earnings to be weaker than previously anticipated. For the fiscal year, the average estimate has moved down from $3.24 a share to $3.11 over the last 90 days.

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