Rush Enterprises, Inc. Reports Third Quarter 2025 Results, Announces $0.19 Per Share Dividend
Rush Enterprises (NASDAQ: RUSHA) reported Q3 2025 revenues of $1.881 billion and net income of $66.7 million ($0.83 diluted EPS) for the quarter ended September 30, 2025. The Board declared a $0.19 per share cash dividend payable December 12, 2025 to shareholders of record November 12, 2025. Aftermarket products and services represented 63.7% of gross profit and generated $642.7 million in revenue; quarterly absorption was 129.3%. Leasing and rental revenue rose 4.7% to $93.3 million. The company repurchased $9.2 million of stock in the quarter, totaling $130.6 million repurchased under the $200 million authorization.
Management cited weak new Class 8 and Class 4–7 retail demand, higher SG&A from legal reserves and insurance, and continued industry overcapacity impacting replacement cycles.
Rush Enterprises (NASDAQ: RUSHA) ha riportato ricavi del terzo trimestre 2025 di 1,881 miliardi di dollari e utile netto di 66,7 milioni di dollari (EPS diluito di 0,83 dollari) per il trimestre terminato il 30 settembre 2025. Il Consiglio ha dichiarato un dividendo in contanti di 0,19 dollari per azione pagabile il 12 dicembre 2025 agli azionisti registrati al 12 novembre 2025. I prodotti e servizi aftermarket hanno rappresentato il 63,7% del profitto lordo e hanno generato 642,7 milioni di dollari di entrate; l’assorbimento trimestrale è stato del 129,3%. Le entrate da leasing e noleggio sono aumentate del 4,7% a 93,3 milioni di dollari. L’azienda ha riacquistato azioni per 9,2 milioni di dollari nel trimestre, portando l’importo totale riacquistato a 130,6 milioni di dollari nell’ambito dell’autorizzazione da 200 milioni di dollari.
La direzione ha citato una debole domanda al dettaglio recente per veicoli della Classe 8 e per la Classe 4–7, maggiori SG&A a causa di riserve legali e assicurazioni, e una continua capacità in eccesso del settore che influisce sui cicli di sostituzione.
Rush Enterprises (NASDAQ: RUSHA) reportó ingresos del tercer trimestre de 2025 de 1.881 millones de dólares y ingreso neto de 66,7 millones de dólares (EPS diluido de 0,83 dólares) para el trimestre finalizado el 30 de septiembre de 2025. La Junta declaró un dividendo en efectivo de 0,19 dólares por acción pagadero el 12 de diciembre de 2025 a los accionistas registrados al 12 de noviembre de 2025. Los productos y servicios de posventa representaron el 63,7% de la utilidad bruta y generaron 642,7 millones de dólares en ingresos; la absorción trimestral fue del 129,3%. Los ingresos por arrendamiento y alquiler subieron un 4,7% a 93,3 millones de dólares. La empresa recompró acciones por 9,2 millones de dólares en el trimestre, llevando el total recomprado a 130,6 millones de dólares bajo la autorización de 200 millones de dólares.
La dirección citó una debilidad en la demanda minorista reciente para las clases 8 y 4–7, mayores SG&A por reservas legales y seguros, y una continua sobrecapacidad de la industria que afecta a los ciclos de reemplazo.
Rush Enterprises (NASDAQ: RUSHA)는 2025년 3분기 매출 18.81억 달러와 순이익 6,670만 달러 (희석 EPS 0.83달러)를 2025년 9월 30일로 종료된 분기에 보고했다. 이사회는 주당 0.19달러의 현금 배당을 2025년 12월 12일에 지급하기로 결정했으며, 2025년 11월 12일에 등기된 주주에게 지급된다. 애프터마켓 제품 및 서비스는 총 이익의 63.7%를 차지했고 매출은 642.7백만 달러를 기록; 분기 흡수율은 129.3%였다. 임대 및 렌탈 매출은 4.7% 상승하여 93.3백만 달러에 이르렀다. 이 분기에 회사는 주식 9.2백만 달러를 재매입했고, 2억 달러 승인 하에 총 재매입액은 130.6백만 달러이다.
경영진은 새로운 Class 8 및 Class 4–7 소매 수요 약세, 법적 준비금 및 보험으로 인한 SG&A 증가, 부품 업계의 지속적인 공급 과잉으로 대체 주기가 영향을 받고 있다고 말했다.
Rush Enterprises (NASDAQ: RUSHA) a publié des revenus du troisième trimestre 2025 de 1,881 milliard de dollars et un bénéfice net de 66,7 millions de dollars (EPS dilué de 0,83 dollar) pour le trimestre clos le 30 septembre 2025. Le conseil d’administration a déclaré un dividende en espèces de 0,19 dollar par action payable le 12 décembre 2025 aux actionnaires inscrits au 12 novembre 2025. Les produits et services après-vente ont représenté 63,7 % du bénéfice brut et ont généré 642,7 millions de dollars de revenus; l’absorption trimestrielle était de 129,3 %. Les revenus de location et de leasing ont augmenté de 4,7% pour atteindre 93,3 millions de dollars. L’entreprise a racheté pour 9,2 millions de dollars d’actions au cours du trimestre, portant le total racheté à 130,6 millions de dollars dans le cadre de l’autorisation de 200 millions de dollars.
La direction a cité une faiblesse de la demande au détail récente pour les classes 8 et 4–7, des SG&A plus élevés en raison des réserves juridiques et des assurances, et une surcharge d’industrie continue impactant les cycles de remplacement.
Rush Enterprises (NASDAQ: RUSHA) meldete Umsatz im dritten Quartal 2025 von 1,881 Milliarden USD und Nettoeinkommen von 66,7 Millionen USD (verwäsertes EPS von 0,83 USD) für das Quartal zum 30.09.2025. Der Vorstand hat eine Bardividende von 0,19 USD pro Aktie angekündigt, zahlbar am 12. Dezember 2025 an die am 12. November 2025 eingetragenen Aktionäre. Nachmarktprodukte und -dienstleistungen machten 63,7% des Bruttogewinns aus und erwirtschafteten 642,7 Millionen USD Umsatz; die quartalsweise Absorption betrug 129,3%. Leasing- und Mietumsätze stiegen um 4,7% auf 93,3 Millionen USD. Das Unternehmen hat im Quartal Eigenaktien im Wert von 9,2 Millionen USD zurückgekauft, insgesamt 130,6 Millionen USD im Rahmen der 200-Millionen-USD-Genehmigung.
Die Geschäftsführung verwies auf schwache Nachfrage im Einzelhandel für Class 8 und Class 4–7, höhere SG&A durch Rechtsrückstellungen und Versicherungen sowie anhaltende Kapazitätsüberschüsse in der Branche, die die Austauschzyklen beeinflussen.
Rush Enterprises (NASDAQ: RUSHA) أبلغت إيرادات الربع الثالث 2025 بلغت 1.881 مليار دولار و صافي دخل قدره 66.7 مليون دولار (EPS مخفف 0.83 دولار) للربع المنتهي في 30 سبتمبر 2025. المجلس أعلن عن توزيع نقدي قدره 0.19 دولار للسهم قابل للدفع في 12 ديسمبر 2025 للمساهمين المسجلين في 12 نوفمبر 2025. خدم المنتجات والخدمات ما بعد البيع 63.7% من إجمالي الربح وولدت 642.7 مليون دولار من الإيرادات؛ كان الامتصاص الفعلي للربع 129.3%. ارتفع إيراد التأجير والإيجار 4.7% إلى 93.3 مليون دولار. الشركة أعادت شراء أسهم بقيمة 9.2 مليون دولار في الربع، ليصل الإجمالي المعاد شراؤه إلى 130.6 مليون دولار بموجب التفويض البالغ 200 مليون دولار.
وقالت الإدارة إن الطلب الضعيف على التجزئة الجديد من Class 8 و Class 4–7، وزيادة SG&A بسبب الاحتياطات القانونية والتأمين، وتوظيف فائض القدرة المستمر في الصناعة يؤثر على دورات الاستبدال.
Rush Enterprises (NASDAQ: RUSHA) 报告了 2025 年第三季度收入 18.81 亿美元和 净利润 6670 万美元（摊薄每股收益 0.83 美元），截至 2025 年 9 月 30 日的季度。董事会宣布派发 每股 0.19 美元现金股息，将于 2025 年 12 月 12 日支付，股东登记日为 2025 年 11 月 12 日。售后市场产品与服务占总毛利的 63.7%，创造了 642.7 百万美元的收入；季度吸收率为 129.3%。租赁与租用收入上涨 4.7%，达到 9330 万美元。该季度公司回购股票 920 万美元，在 2 亿美元授权范围内累计回购 1.306 亿美元。<\/p>
管理层指出，近期对 8 类和 4–7 类零售需求疲软，因法律储备和保险引致的 SG&A 增加，以及行业产能持续过剩对替换周期的影响。
- Declared cash dividend of $0.19 per share payable Dec 12, 2025
- Repurchased $9.2 million in Q3; $130.6 million repurchased year-to-date
- Aftermarket revenue of $642.7 million (63.7% of gross profit)
- Lease and rental revenue up 4.7% to $93.3 million
- Quarterly revenue down 0.8% to $1.881 billion
- Net income declined ~15.6% to $66.7 million versus prior year
- Company new U.S. Class 8 truck sales down 11.0% year-over-year
- Higher SG&A from increased legal reserves and insurance retentions
Insights
Results show modest year-over-year revenue and earnings decline, offset by dividend, buybacks and resilient aftermarket/leasing operations.
Rush Enterprises reported third-quarter revenues of
The business driver remains diversified revenue streams: aftermarket and leasing provide steadier margins while new Class 8 and Class 4–7 retail sales weakened materially, consistent with reported market declines and lower fleet replacement demand. Cost pressures from higher SG&A, notably increased legal reserves and insurance retentions, constrained net income despite stable aftermarket performance. Key dependencies include the trajectory of freight rates, clarity on tariffs and engine-emission rules, and used-vehicle financing availability, all named as influencing customer replacement timing.
Watch the near-term signals: quarterly same-store aftermarket trends and absorption ratio changes, quarterly leasing revenue growth, and any material updates on tariffs or emissions regulation that could affect replacement cycles; monitor buyback cadence and dividend continuity into
- Revenues of
$1.9 billion , net income of$66.7 million - Earnings per diluted share of
$0.83 - Challenging market conditions - particularly in new Class 8 truck sales - partially offset by strength of diversified business model in aftermarket, used truck sales and leasing
- Absorption ratio
129.3% - Board declares cash dividend of
$0.19 per share of Class A and Class B common stock
NEW BRAUNFELS, Texas, Oct. 29, 2025 (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 September 30, 2025, the Company achieved revenues of
“The commercial vehicle industry continued to face challenging operating conditions in the third quarter of 2025. Freight rates remain depressed and overcapacity continues to weigh on the market. In addition, while the industry gained some clarity regarding the tariffs that will be imposed on certain commercial vehicles and parts beginning November 1, economic uncertainty and regulatory ambiguity remains, especially with respect to engine emissions regulations. These factors are impacting our customers’ vehicle replacement decisions. On a positive note, we experienced modest gains in aftermarket revenue and light-duty vehicle sales. However, overall demand remained soft, particularly with respect to new heavy-duty and medium-duty commercial vehicle sales,” said W.M. “Rusty” Rush, Chairman, Chief Executive Officer and President of Rush Enterprises, Inc.
“The challenging industry conditions contributed to a slight decline in total revenues during the third quarter of 2025 compared to the third quarter of 2024, while an increase in the Company’s Selling, General and Administrative expenses, due in part to increases in overall legal reserves with respect to pending litigation matters and recent increases in insurance retentions, contributed to a decrease in net income compared to the same period last year. Despite these headwinds, I am proud of the financial performance our team delivered in the third quarter. Their commitment to operational discipline and customer service was evident in our ability to maintain strong aftermarket results and manage expenses effectively. Our employees across the U.S. and Canada continue to demonstrate resilience, and I am deeply grateful for their dedication,” Rush added.
Operations
Aftermarket Products and Services
Aftermarket products and services accounted for approximately
“Despite ongoing market challenges, our aftermarket products and services business remained resilient in the third quarter. Our strategic focus on technician recruiting and retention, expanding our aftermarket sales force and identifying new customer segments helped offset weak demand, and we remain committed to our aftermarket strategic initiatives,” Rush added.
“Looking ahead, we expect aftermarket conditions to continue to be challenging for the remainder of the year. In addition to the seasonal decline that we typically experience in the fourth quarter of each year, we continue to experience weak demand due to the many challenges the industry is currently facing. However, we continue to believe that our diversified customer base, operational discipline and strong balance sheet position us well to navigate these headwinds. We remain focused on delivering value to our customers and solid returns to our shareholders, even as market conditions show no signs of significant improvement in the near term,” he said.
Commercial Vehicle Sales
New U.S. Class 8 retail truck sales totaled 54,078 units in the third quarter of 2025, down
The decline in new Class 8 truck sales was primarily driven by continued weak demand from large over-the-road fleet customers caused by the three-year long freight recession, in addition to weak demand caused by uncertainty regarding tariffs and engine emissions regulations. However, demand from our vocational customers remained stable, which helped offset some of the softness in over-the-road fleet activity and underscored the strength of our diversified customer base,” said Rush
“Looking ahead, while we expect a very challenging end to 2025 and start to 2026 from a new truck sales perspective, there are reasons for cautious optimism in the second half of 2026. If emission laws remain unchanged and retail sales continue to be below replacement levels for the next couple of quarters, the accelerating pace of capacity exits—evidenced by the increasing number of bankruptcies of small carriers and increased enforcement of government policies regarding English language proficiency and non-domiciled drivers—could help rebalance the freight market. Additionally, potential demand drivers such as the consumption of excess inventories from import pull-forwards, evolving tax and monetary policies, and clarification of trade policy may further support a recovery in truck sales as market conditions stabilize,” he added.
New U.S. Class 4 through 7 retail commercial vehicle sales totaled 53,174 units in the third quarter of 2025, a decrease of
“While overall economic conditions continue to be a headwind for Class 4 through 7 vehicle sales, our performance this quarter outpaced the market. Our results were bolstered by a significant increase in bus sales driven by a recent acquisition of an IC Bus franchise in Canada. This strategic expansion allowed us to capture new customer segments and strengthen our presence in the Canadian commercial vehicle market. In addition, we believe our Ready-to-Roll inventory program and disciplined inventory management continues to differentiate us from our competitors, enabling us to respond quickly to customer needs,” said Rush.
“Looking ahead, we remain cautious with respect to customer demand for new medium-duty commercial vehicles. However, we believe our current inventory levels are appropriate to meet near-term demand, and quoting activity remains steady across key customer groups. We expect that new Class 4–7 commercial vehicle sales will remain stable through the remainder of the year,” he continued.
The Company sold 1,814 used commercial vehicles in the third quarter of 2025, a
Leasing and Rental
Rush Truck Leasing operates PacLease and Idealease franchises across the United States and Canada, with more than 10,000 trucks in its lease and rental fleet and more than 2,200 trucks under contract maintenance agreements. Lease and rental revenue in the third quarter of 2025 was
Financial Highlights
In the third quarter of 2025, the Company’s gross revenues totaled
Aftermarket revenues were
During the third quarter of 2025, the Company repurchased
“Despite persistent economic uncertainty and continued challenges across the commercial vehicle industry, I believe we delivered solid results in the third quarter. Our team remained focused on operational discipline and customer service, which helped us maintain strong performance in our aftermarket and leasing businesses, both of which continue to provide reliable revenues and profits despite the softness in new Class 8 truck and new Class 4-7 commercial vehicle demand. We also saw encouraging signs in light-duty and bus sales, supported by our recent acquisition of an IC Bus franchise in Canada, which further expanded our reach and diversified our customer base. While we remain cautious about the broader macroeconomic environment and the impact of tariffs and continued regulatory uncertainty on demand for new commercial vehicles, I am confident in our team’s ability to adapt and execute as conditions evolve,” said Rush.
Conference Call Information
Rush Enterprises will host its quarterly conference call to discuss earnings for the third quarter of 2025 on Thursday, October 30, 2025, at 10 a.m. Eastern/9 a.m. Central. The call can be heard live via the Internet at
http://investor.rushenterprises.com/events.cfm.
Participants may register for the call at:
https://edge.media-server.com/mmc/p/uk9o549c
While not required, it is recommended that you join the event 10 minutes prior to the start.
For those who cannot listen to the live broadcast, the webcast replay will be available at
http://investor.rushenterprises.com/events.cfm.
Rush Enterprises, Inc. is the premier solutions provider to the commercial vehicle industry. The Company owns and operates Rush Truck Centers, the largest network of commercial vehicle dealerships in North America, with more than 150 locations in 23 states and Ontario, Canada. These vehicle centers, strategically located in high traffic areas on or near major highways throughout the United States and Ontario, Canada, represent truck and bus manufacturers, including Peterbilt, International, Hino, Isuzu, Ford, Dennis Eagle, IC Bus and Blue Bird. They offer an integrated approach to meeting customer needs – from sales of new and used vehicles to aftermarket parts, service and body shop operations plus financing, insurance, leasing and rental. Rush Enterprises' operations also provide CNG fuel systems (through its investment in Cummins Clean Fuel Technologies, Inc.), telematics products and other vehicle technologies, as well as vehicle up-fitting, chrome accessories and tires. For more information, please visit us at www.rushtruckcenters.com www.rushenterprises.com and www.rushtruckcentersracing.com, on Twitter @rushtruckcenter and Facebook.com/rushtruckcenters.
Certain statements contained in this release, including those concerning current and projected market conditions, sales forecasts, market share forecasts s and anticipated demand for the Company’s services, are “forward-looking” statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Such forward-looking statements only speak as of the date of this release and the Company assumes no obligation to update the information included in this release. Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, competitive factors, general U.S. economic conditions, economic conditions in the new and used commercial vehicle markets, customer relations, relationships with vendors, inflation and the interest rate environment, governmental regulation and supervision, including engine emission regulations, U.S. and global trade policies, product introductions and acceptance, changes in industry practices, one-time events and other factors described herein and in filings made by the Company with the Securities and Exchange Commission, including in our annual report on Form 10-K for the fiscal year ended December 31, 2024. In addition, the declaration and payment of cash dividends and authorization of future share repurchase programs remains at the sole discretion of the Company’s Board of Directors and the issuance of future dividends and authorization of future share repurchase programs will depend upon the Company’s financial results, cash requirements, future prospects, applicable law and other factors that may be deemed relevant by the Company’s Board of Directors. Although we believe that these forward-looking statements are based on reasonable assumptions, there are many factors that could affect our actual business and financial results and could cause actual results to differ materially from those in the forward-looking statements. All future written and oral forward-looking statements by us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to above. Except for our ongoing obligations to disclose material information as required by the federal securities laws, we do not have any obligations or intention to release publicly any revisions to any forward-looking statements to reflect events or circumstances in the future or to reflect the occurrence of unanticipated events.
-Tables and Additional Information to Follow-
RUSH ENTERPRISES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In Thousands, Except Shares and Per Share Amounts)
| September 30, | December 31, | |||||
| 2025 | 2024 | |||||
| (unaudited) | ||||||
| Assets | ||||||
| Current assets: | ||||||
| Cash, cash equivalents and restricted cash | $ | 242,005 | $ | 228,131 | ||
| Accounts receivable, net | 268,228 | 345,346 | ||||
| Note receivable, affiliate | 6,706 | 9,536 | ||||
| Inventories, net | 1,662,256 | 1,787,744 | ||||
| Prepaid expenses and other | 38,127 | 18,958 | ||||
| Total current assets | 2,217,322 | 2,389,715 | ||||
| Property and equipment, net | 1,693,629 | 1,615,635 | ||||
| Operating lease right-of-use assets, net | 123,756 | 111,408 | ||||
| Goodwill, net | 440,754 | 427,493 | ||||
| Other assets, net | 77,601 | 73,296 | ||||
| Total assets | $ | 4,553,062 | $ | 4,617,547 | ||
| Liabilities and shareholders’ equity | ||||||
| Current liabilities: | ||||||
| Floor plan notes payable | $ | 1,007,092 | $ | 1,081,199 | ||
| Current Maturities of Long-Term Debt | 125 | – | ||||
| Current maturities of finance lease obligations | 36,093 | 38,476 | ||||
| Current maturities of operating lease obligations | 18,407 | 15,866 | ||||
| Trade accounts payable | 280,647 | 244,018 | ||||
| Customer deposits | 102,123 | 109,751 | ||||
| Accrued expenses | 178,120 | 160,809 | ||||
| Total current liabilities | 1,622,607 | 1,650,119 | ||||
| Long-term debt, net of current maturities | 263,007 | 408,440 | ||||
| Finance lease obligations, net of current maturities | 89,603 | 92,235 | ||||
| Operating lease obligations, net of current maturities | 108,095 | 97,874 | ||||
| Other long-term liabilities | 34,555 | 28,060 | ||||
| Deferred income taxes, net | 198,449 | 178,916 | ||||
| Shareholders’ equity: | ||||||
| Preferred stock, par value $.01 per share; 1,000,000 shares authorized; 0 shares outstanding in 2025 and 2024 | – | – | ||||
| Common stock, par value $.01 per share; 105,000,000 Class A shares and 35,000,000 Class B shares authorized; 61,274,139 Class A shares and 16,566,260 Class B shares outstanding in 2025; and 62,604,986 Class A shares and 16,662,633 Class B shares outstanding in 2024 | 834 | 824 | ||||
| Additional paid-in capital | 628,080 | 587,639 | ||||
| Treasury stock, at cost: 3,358,784 Class A shares and 2,204,811 Class B shares in 2025; and 1,387,013 Class A shares and 1,783,806 Class B shares in 2024 | (262,495 | ) | (136,235 | ) | ||
| Retained earnings | 1,854,537 | 1,698,614 | ||||
| Accumulated other comprehensive income (loss) | (6,457 | ) | (9,293 | ) | ||
| Total Rush Enterprises, Inc. shareholders’ equity | 2,214,499 | 2,141,549 | ||||
| Noncontrolling interest | 22,247 | 20,354 | ||||
| Total shareholders’ equity | 2,236,746 | 2,161,903 | ||||
| Total liabilities and shareholders’ equity | $ | 4,553,062 | $ | 4,617,547 | ||
RUSH ENTERPRISES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In Thousands, Except Per Share Amounts)
(Unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Revenues | ||||||||||||
| New and used commercial vehicle sales | $ | 1,134,856 | $ | 1,163,255 | $ | 3,457,130 | $ | 3,586,882 | ||||
| Parts and service sales | 642,658 | 633,045 | 1,897,984 | 1,909,672 | ||||||||
| Lease and rental | 93,304 | 89,129 | 276,681 | 264,696 | ||||||||
| Finance and insurance | 5,575 | 5,780 | 16,339 | 17,111 | ||||||||
| Other | 4,372 | 4,924 | 14,168 | 16,799 | ||||||||
| Total revenue | 1,880,765 | 1,896,133 | 5,662,302 | 5,795,160 | ||||||||
| Cost of products sold | ||||||||||||
| New and used commercial vehicle sales | 1,034,698 | 1,053,512 | 3,152,875 | 3,239,431 | ||||||||
| Parts and service sales | 403,811 | 399,973 | 1,198,565 | 1,204,360 | ||||||||
| Lease and rental | 67,504 | 63,607 | 198,679 | 190,064 | ||||||||
| Total cost of products sold | 1,506,013 | 1,517,092 | 4,550,119 | 4,633,855 | ||||||||
| Gross profit | 374,752 | 379,041 | 1,112,183 | 1,161,305 | ||||||||
| Selling, general and administrative expense | 256,403 | 239,741 | 757,187 | 754,774 | ||||||||
| Depreciation and amortization expense | 18,155 | 19,134 | 53,022 | 51,376 | ||||||||
| Gain (loss) on disposition of assets | (164 | ) | 588 | 131 | 690 | |||||||
| Operating income | 100,030 | 120,754 | 302,105 | 355,845 | ||||||||
| Other income (expense) | (438 | ) | 149 | (1,250 | ) | 370 | ||||||
| Interest expense, net | 11,718 | 17,664 | 37,307 | 55,101 | ||||||||
| Income before taxes | 87,874 | 103,329 | 263,548 | 301,114 | ||||||||
| Provision for income taxes | 20,136 | 23,819 | 62,204 | 71,422 | ||||||||
| Net income | 67,738 | 79,420 | 201,344 | 229,692 | ||||||||
| Less: Net income attributable to noncontrolling Interests | 1,048 | 288 | 1,894 | 291 | ||||||||
| Net income attributable to Rush Enterprises, Inc. | $ | 66,690 | $ | 79,132 | $ | 199,450 | $ | 229,401 | ||||
| Net income attributable to Rush Enterprises, Inc. per share of common stock: | ||||||||||||
| Basic | $ | 0.85 | $ | 1.00 | $ | 2.53 | $ | 2.91 | ||||
| Diluted | $ | 0.83 | $ | 0.97 | $ | 2.46 | $ | 2.81 | ||||
| Weighted average shares outstanding: | ||||||||||||
| Basic | 78,235 | 79,216 | 78,759 | 78,878 | ||||||||
| Diluted | 80,593 | 81,884 | 81,167 | 81,607 | ||||||||
| Dividends declared per common share | $ | 0.19 | $ | 0.18 | $ | 0.55 | $ | 0.52 | ||||
This press release and the attached financial tables contain certain non-GAAP financial measures as defined under SEC rules, such as Adjusted Net Income, Adjusted Total Debt, Adjusted Net (cash) Debt, EBITDA, Adjusted EBITDA, Free Cash Flow, Adjusted Free Cash Flow and Adjusted Invested Capital, which exclude certain items disclosed in the attached financial tables. The Company provides reconciliations of these measures to the most directly comparable GAAP measures.
Management believes the presentation of these non-GAAP financial measures provides useful information about the results of operations of the Company for the current and past periods. Management believes that investors should have the same information available to them that management uses to assess the Company’s operating performance and capital structure. These non-GAAP financial measures should not be considered in isolation or as a substitute for the most comparable GAAP financial measures. Investors are cautioned that non-GAAP financial measures utilized by the Company may not be comparable to similarly titled non-GAAP financial measures used by other companies.
| Three Months Ended | ||||||
| Commercial Vehicle Sales Revenue (in thousands) | September 30, 2025 | September 30, 2024 | ||||
| New heavy-duty vehicles | $ | 591,802 | $ | 677,882 | ||
| New medium-duty vehicles (including bus sales revenue) | 393,831 | 361,813 | ||||
| New light-duty vehicles | 49,606 | 33,510 | ||||
| Used vehicles | 95,304 | 81,285 | ||||
| Other vehicles | 4,313 | 8,765 | ||||
| Absorption Ratio | 129.3 | % | 132.6 | % | ||
Absorption Ratio
Management uses several performance metrics to evaluate the performance of its commercial vehicle dealerships and considers Rush Truck Centers’ “absorption ratio” to be of critical importance. Absorption ratio is calculated by dividing the gross profit from the parts, service and collision center departments by the overhead expenses of all of a dealership’s departments, except for the selling expenses of the new and used commercial vehicle departments and carrying costs of new and used commercial vehicle inventory. When
| Debt Analysis (in thousands) | September 30, 2025 | September 30, 2024 | ||||
| Floor plan notes payable | $ | 1,007,092 | $ | 1,285,033 | ||
| Current maturities of long-term debt | 125 | ─ | ||||
| Current maturities of finance lease obligations | 36,093 | 38,693 | ||||
| Long-term debt, net of current maturities | 263,007 | 399,674 | ||||
| Finance lease obligations, net of current maturities | 89,603 | 92,061 | ||||
| Total Debt (GAAP) | 1,395,920 | 1,815,461 | ||||
| Adjustments: | ||||||
| Debt related to lease & rental fleet | (385,370 | ) | (526,443 | ) | ||
| Floor plan notes payable | (1,007,092 | ) | (1,285,033 | ) | ||
| Adjusted Total Debt (Non-GAAP) | 3,458 | 3,985 | ||||
| Adjustment: | ||||||
| Cash and cash equivalents | (242,005 | ) | (185,073 | ) | ||
| Adjusted Net Debt (Cash) (Non-GAAP) | $ | (238,547 | ) | $ | (181,088 | ) |
Management uses “Adjusted Total Debt” to reflect the Company’s estimated financial obligations less debt related to lease and rental fleet (L&RFD) and floor plan notes payable (FPNP), and “Adjusted Net (Cash) Debt” to present the amount of Adjusted Total Debt net of cash and cash equivalents on the Company’s balance sheet. The FPNP is used to finance the Company’s new and used inventory, with its principal balance changing daily as vehicles are purchased and sold and the sale proceeds are used to repay the notes. Consequently, in managing the business, management views the FPNP as interest bearing accounts payable, representing the cost of acquiring the vehicle that is then repaid when the vehicle is sold, as the Company’s floor plan credit agreements require it to repay loans used to purchase vehicles when such vehicles are sold. The Company has the capacity to finance all of its lease and rental fleet under its lines of credit established for this purpose, but may choose to only partially finance the lease and rental fleet depending on business conditions and its management of cash and interest expense. The Company’s lease and rental fleet inventory are either: (i) leased to customers under long-term lease arrangements; or (ii) to a lesser extent, dedicated to the Company’s rental business. In both cases, the lease and rental payments received fully cover the capital costs of the lease and rental fleet (i.e., the interest expense on the borrowings used to acquire the vehicles and the depreciation expense associated with the vehicles), plus a profit margin for the Company. The Company believes excluding the FPNP and L&RFD from the Company’s total debt for this purpose provides management with supplemental information regarding the Company’s capital structure and leverage profile and assists investors in performing analysis that is consistent with financial models developed by Company management and research analysts. “Adjusted Total Debt” and “Adjusted Net (Cash) Debt” are both non-GAAP financial measures and should be considered in addition to, and not as a substitute for, the Company’s debt obligations, as reported in the Company’s consolidated balance sheet in accordance with U.S. GAAP. Additionally, these non-GAAP measures may vary among companies and may not be comparable to similarly titled non-GAAP measures used by other companies.
| Twelve Months Ended | ||||||
| EBITDA (in thousands) | September 30, 2025 | September 30, 2024 | ||||
| Net Income attributable to Rush Enterprises, Inc. (GAAP) | $ | 274,202 | $ | 307,448 | ||
| Provision for income taxes | 83,627 | 98,145 | ||||
| Interest expense | 53,064 | 70,603 | ||||
| Depreciation and amortization | 70,195 | 66,475 | ||||
| (Gain) on sale of assets | (250 | ) | $ | 937 | ||
| EBITDA (Non-GAAP) | 480,838 | 543,608 | ||||
| Adjustments: | ||||||
| Interest expense associated with FPNP and L&RFD | (54,844 | ) | (71,439 | ) | ||
| Adjusted EBITDA (Non-GAAP) | $ | 425,994 | $ | 472,169 | ||
The Company presents EBITDA and Adjusted EBITDA, for the twelve months ended each period presented, as additional information about its operating results. The presentation of Adjusted EBITDA that excludes the addition of interest expense associated with FPNP and the L&RFD to EBITDA is consistent with management’s presentation of Adjusted Total Debt, in each case reflecting management’s view of interest expense associated with the FPNP and L&RFD as an operating expense of the Company, and to provide management with supplemental information regarding operating results and to assist investors in performing analysis that is consistent with financial models developed by management and research analyst. “EBITDA” and “Adjusted EBITDA” are both non-GAAP financial measures and should be considered in addition to, and not as a substitute for, net income of the Company, as reported in the Company’s consolidated statements of income in accordance with U.S. GAAP. Additionally, these non-GAAP measures may vary among companies and may not be comparable to similarly titled non-GAAP measures used by other companies.
| Twelve Months Ended | ||||||
| Free Cash Flow (in thousands) | September 30, 2025 | September 30, 2024 | ||||
| Net cash provided by operations (GAAP) | $ | 1,139,643 | $ | 311,922 | ||
| Acquisition of property and equipment | (447,644 | ) | (384,033 | ) | ||
| Free cash flow (Non-GAAP) | 691,999 | (72,111 | ) | |||
| Adjustments: | ||||||
| Draws (payments) on floor plan financing, net | (291,925 | ) | 163,109 | |||
| Acquisitions of L&RF assets | 344,016 | 285,404 | ||||
| Non-maintenance capital expenditures | 50,187 | 21,753 | ||||
| Adjusted Free Cash Flow (Non-GAAP) | $ | 794,278 | $ | 398,156 | ||
“Free Cash Flow” and “Adjusted Free Cash Flow” are key financial measures of the Company’s ability to generate cash from operating its business. Free Cash Flow is calculated by subtracting the acquisition of property and equipment included in the Cash flows from investing activities from Net cash provided by (used in) operating activities. For purposes of deriving Adjusted Free Cash Flow from the Company’s operating cash flow, Company management makes the following adjustments: (i) adds back draws (or subtracts payments) on the floor plan financing that are included in Cash flows from financing activities, as their purpose is to finance the vehicle inventory that is included in Cash flows from operating activities; (ii) adds back lease and rental fleet purchases that are included in acquisition of property and equipment (iii) adds back non-maintenance capital expenditures that are for growth and expansion (i.e. building of new dealership facilities) that are not considered necessary to maintain the current level of cash generated by the business. “Free Cash Flow” and “Adjusted Free Cash Flow” are both presented so that investors have the same financial data that management uses in evaluating the Company’s cash flows from operating activities. “Free Cash Flow” and “Adjusted Free Cash Flow” are both non-GAAP financial measures and should be considered in addition to, and not as a substitute for, net cash provided by (used in) operations of the Company, as reported in the Company’s consolidated statement of cash flows in accordance with U.S. GAAP. Additionally, these non-GAAP measures may vary among companies and may not be comparable to similarly titled non-GAAP measures used by other companies.
| Invested Capital (in thousands) | September 30, 2025 | September 30, 2024 | ||||
| Total Rush Enterprises, Inc. Shareholders' equity (GAAP) | $ | 2,214,499 | $ | 2,083,145 | ||
| Adjusted net debt (cash) (Non-GAAP) | (393,459 | ) | (181,088 | ) | ||
| Adjusted Invested Capital (Non-GAAP) | $ | 1,821,040 | $ | 1,902,057 | ||
“Adjusted Invested Capital” is a key financial measure used by the Company to calculate its return on invested capital. For purposes of this analysis, management excludes L&RFD, FPNP, and cash and cash equivalents, for the reasons provided in the debt analysis above and uses Adjusted Net Debt in the calculation. The Company believes this approach provides management a more accurate picture of the Company’s leverage profile and capital structure and assists investors in performing analysis that is consistent with financial models developed by Company management and research analysts. “Adjusted Net (Cash) Debt” and “Adjusted Invested Capital” are both non-GAAP financial measures. Additionally, these non-GAAP measures may vary among companies and may not be comparable to similarly titled non-GAAP measures used by other companies.
Contact:
Rush Enterprises, Inc., New Braunfels
Steven L. Keller, 830-302-5226
FAQ
What were Rush Enterprises (RUSHA) Q3 2025 revenues and EPS?
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