NASDAQ$RUSHA

Rush Enterprises Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported strong Q4 and year-end results, highlighted by annual revenues of $5.1 billion and record-high net income of $241.4 million.

Rush Enterprises reported Q4 2021 revenues of $1.3 billion and net income of $68.6 million, or $1.18 per diluted share. The company's Board of Directors declared a cash dividend of $0.19 per share of Class A and Class B Common Stock.

  • Achieved strong financial results despite supply constraints limiting production of new commercial vehicles
  • Completed acquisition of The Summit Truck Group, the largest in Company history
  • Aftermarket products and services revenues were $469.1 million in the fourth quarter of 2021
  • Declared a cash dividend of $0.19 per share of Class A and Class B common stock

Headline financials

Total Revenue

$1.31B

Previous: $1.27B+3.5%
EPS (adj)

$0.79

Previous: $0.48+64.6%
Dealership Absorption Ratio

133.3%

Previous: 132.9%+0.3%
Capital Expenditures

$44.9M

Previous: $28.4M+58.2%
Free Cash Flow

-$61.2M

Previous: $144M-142.4%
Net Income

$68.6M

Previous: $41M+67.3%
Operating Income

$89.9M

Previous: $53.5M+67.8%
Gross Profit

$294M

Previous: $236M+24.7%
Cash & Equivalents

$148M

Previous: $312M-52.5%
Total Assets

$3.12B

Previous: $2.99B+4.5%
Stock-Based Comp

$3.9M

Previous: $3.89M+0.2%

Revenue & EPS history

Rush Enterprises · Revenue · Quarterly

$1.31B

Q4 2021+3.5%vs Q4 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Forward guidance

Supply constraints will likely continue to limit production of new commercial vehicles through at least the middle of 2022. However, demand for new commercial vehicles is expected to remain strong through the year.

Tailwinds

  • Demand for new commercial vehicles is expected to remain strong through the year.
  • Heavy-duty truck sales will outperform the market in 2022.
  • Continued focus on growing parts sales market share.
  • Adding service technicians to the workforce.
  • Successfully manage expenses will contribute to increased aftermarket revenues and overall profitability in 2022

Headwinds

  • Supply constraints will likely continue to limit production of new commercial vehicles through at least the middle of 2022.
  • Component parts supply chain constraints will likely remain an issue affecting the industry
  • Working within the confines of truck allocation by the manufacturers
  • Parts supply chain constraints will extend through at least the middle of 2022
  • Believe Class 4-7 new commercial vehicle sales will be in-line with industry growth in 2022

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+0.7%

Avg return

Earnings day

+1.7%

Avg return

5 days after

+1.8%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+14.0%

Q3 2016

Best reaction

-17.1%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.9%-5.8%-8.0%
Q4 2025+2.9%+4.7%-10.0%
Q3 2025-0.1%-7.3%+3.3%
Q1 2025-0.6%-5.8%-2.6%
Q4 2024+1.3%-9.7%-12.7%
Q3 2024+5.5%+3.9%+11.2%
Q2 2024+7.1%-1.9%+2.9%
Q1 2024-3.8%-3.2%-9.3%
Q4 2023-1.5%-2.2%+1.1%
Q3 2023-9.4%-8.6%+0.1%
Q2 2023+3.8%+1.2%+0.1%
Q1 2023-3.9%-2.3%-2.3%
Q4 2022+7.6%+5.5%-9.5%
Q3 2022-1.3%+2.4%+6.2%
Q2 2022-5.0%-4.0%+1.9%
Q1 2022+3.3%+3.5%+3.4%
Q4 2021-1.3%-1.4%+4.5%
Q3 2021+6.7%+13.4%+18.0%
Q2 2021+7.1%+6.8%-0.8%
Q1 2021-1.7%+3.2%+0.6%
Q4 2020-3.2%-3.9%+16.0%
Q3 2020+2.8%+3.2%+6.2%
Q2 2020+8.0%+9.2%+12.1%
Q1 2020+7.7%+13.3%+21.5%
Q4 2019-7.9%-4.7%-25.3%
Q3 2019+1.7%+4.3%+2.2%
Q2 2019+4.2%+5.4%+4.7%
Q1 2019-1.9%-3.7%-19.2%
Q4 2018+9.9%+13.6%+7.3%
Q3 2018-0.9%+4.8%+12.8%
Q2 2018-5.3%-2.0%-4.3%
Q1 2018-5.2%-4.3%+0.6%
Q4 2017-11.2%-11.8%-9.6%
Q3 2017+11.8%+7.0%+2.6%
Q2 2017+7.4%+13.0%+2.6%
Q1 2017+6.7%+7.4%+4.5%
Q4 2016+4.8%+7.3%+5.4%
Q3 2016+14.0%+15.0%+28.9%
Q2 2016+0.7%+1.6%+4.9%
Q1 2016-1.2%
Q4 2015-17.1%
Q3 2015-5.3%
Q2 2015+4.0%
Q1 2015-0.2%
Q4 2014+0.5%
Q3 2014+0.1%
Q2 2014+6.8%
Q1 2014-2.6%
Q4 2013+2.4%
Q3 2013+2.1%
Q2 2013-3.8%
Q1 2013+1.9%
Q2 2012-2.9%
Q4 2012+2.2%
Q3 2012+0.7%
Q1 2011-3.2%
Q1 2012-3.2%
Q4 2011-1.0%
Q4 2009-1.0%
Q2 2011-1.0%
Q3 2011-4.6%
Q3 2010-4.6%
Q2 2010+0.3%
Q4 2010+0.3%
Q1 2010+13.0%

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