Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2024 | Jul. 31, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2024 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | PCAR26 | |
Entity Registrant Name | PACCAR FINANCIAL CORP | |
Entity Central Index Key | 0000731288 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 145,000 | |
Entity File Number | 001-11677 | |
Entity Incorporation, State or Country Code | WA | |
Entity Tax Identification Number | 91-6029712 | |
Entity Address, Address Line One | 777 – 106th Ave. N.E. | |
Entity Address, City or Town | Bellevue | |
Entity Address, State or Province | WA | |
Entity Address, Postal Zip Code | 98004 | |
City Area Code | 425 | |
Local Phone Number | 468-7100 | |
Title of 12(b) Security | Series P Medium-Term Notes $300.0 Million Due May 11, 2026 | |
Security Exchange Name | NASDAQ | |
Document Quarterly Report | true | |
Document Transition Report | false |
STATEMENTS OF COMPREHENSIVE INC
STATEMENTS OF COMPREHENSIVE INCOME AND RETAINED EARNINGS - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | ||
Income Statement [Abstract] | |||||
Interest and fee income | $ 160.9 | $ 112.1 | $ 308 | $ 212.7 | |
Operating lease and rental revenues | 42.4 | 62 | 94.7 | 131.9 | |
Used truck sales and other revenues | 5.7 | 4.7 | 17.5 | 11.7 | |
TOTAL INTEREST AND OTHER REVENUES | 209 | 178.8 | 420.2 | 356.3 | |
Interest and other borrowing costs | 97.8 | 64.1 | 187.5 | 117.2 | |
Depreciation and other rental expenses | 41.5 | 43.5 | 89.1 | 91.7 | |
Cost of used truck sales and other expenses | 5.6 | 3.4 | 17.1 | 8.6 | |
Selling, general and administrative expenses | 18 | 16 | 35.2 | 31.6 | |
Provision for losses on receivables | 6.1 | 0.8 | 13.2 | 1.4 | |
TOTAL EXPENSES | 169 | 127.8 | 342.1 | 250.5 | |
INCOME BEFORE INCOME TAXES | 40 | 51 | 78.1 | 105.8 | |
Income taxes | 10 | 12.7 | 18.9 | 26.4 | |
NET INCOME | 30 | 38.3 | 59.2 | 79.4 | |
COMPREHENSIVE INCOME | 29.3 | 45 | 60.4 | 77.9 | |
RETAINED EARNINGS AT BEGINNING OF PERIOD | 1,682.3 | 1,604.7 | 1,703.1 | [1] | 1,813.6 |
RETAINED EARNINGS AT END OF PERIOD | $ 1,712.3 | $ 1,643 | $ 1,712.3 | $ 1,643 | |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. |
BALANCE SHEETS
BALANCE SHEETS - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | |
ASSETS | |||
Cash | $ 53.9 | $ 175.1 | [1] |
Finance and other receivables, net of allowance for losses (2024 - $64.3 and 2023 - $61.0) | 9,746.8 | 9,205.4 | [1] |
Due from PACCAR and affiliates | $ 1,777.4 | $ 1,750.7 | [1] |
Other Receivable, after Allowance for Credit Loss, Related Party [Extensible Enumeration] | Related Party [Member] | Related Party [Member] | |
Equipment on operating leases, net of accumulated depreciation (2024 - $355.2 and 2023 - $412.5) | $ 559.3 | $ 528 | [1] |
Other assets | 358.5 | 337.8 | [1] |
TOTAL ASSETS | 12,495.9 | 11,997 | [1] |
LIABILITIES | |||
Accounts payable, accrued expenses and other | 663 | 603.1 | [1] |
Due to PACCAR and affiliates | $ 49.7 | $ 58.6 | [1] |
Other Liability, Related Party [Extensible Enumeration] | Related Party [Member] | Related Party [Member] | |
Commercial paper | $ 2,738.8 | $ 2,842.4 | [1] |
Medium-term notes | 6,619.4 | 6,071.7 | [1] |
Deferred taxes and other liabilities | 478 | 490 | [1] |
TOTAL LIABILITIES | 10,548.9 | 10,065.8 | [1] |
STOCKHOLDER'S EQUITY | |||
Preferred stock, par value $100 per share, 6% noncumulative and nonvoting, 450,000 shares authorized, 310,000 shares issued and outstanding | 31 | 31 | [1] |
Common stock, par value $100 per share, 200,000 shares authorized, 145,000 shares issued and outstanding | 14.5 | 14.5 | [1] |
Additional paid-in capital | 177 | 171.6 | [1] |
Retained earnings | 1,712.3 | 1,703.1 | [1] |
Accumulated other comprehensive income | 12.2 | 11 | [1] |
TOTAL STOCKHOLDER'S EQUITY | 1,947 | 1,931.2 | [1] |
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY | $ 12,495.9 | $ 11,997 | [1] |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. |
BALANCE SHEETS (Parenthetical)
BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Finance and other receivables, allowance for losses | $ 64.3 | $ 61 |
Equipment on operating leases, accumulated depreciation | $ 355.2 | $ 412.5 |
Preferred stock, par value | $ 100 | $ 100 |
Preferred stock, noncumulative and nonvoting | 6% | 6% |
Preferred stock, shares authorized | 450,000 | 450,000 |
Preferred stock, shares issued | 310,000 | 310,000 |
Preferred stock, shares outstanding | 310,000 | 310,000 |
Common stock, par value | $ 100 | $ 100 |
Common stock, shares authorized | 200,000 | 200,000 |
Common stock, shares issued | 145,000 | 145,000 |
Common stock, shares outstanding | 145,000 | 145,000 |
STATEMENTS OF CASH FLOWS
STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
OPERATING ACTIVITIES | ||
Net income | $ 59.2 | $ 79.4 |
Items included in net income not affecting cash: | ||
Depreciation and amortization | 87.9 | 87.9 |
Provision for losses on receivables | 13.2 | 1.4 |
Deferred taxes | (2.4) | 9.7 |
Administrative fees for services from PACCAR | 5.4 | 4.8 |
Change in tax-related balances with PACCAR | 1.7 | 7 |
Increase in payables and other | 36.1 | 77.1 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 201.1 | 267.3 |
INVESTING ACTIVITIES | ||
Finance and other receivables originated | (1,778.9) | (1,464.5) |
Collections on finance and other receivables | 1,493.5 | 1,277.8 |
Net increase in wholesale receivables | (298.3) | (444.4) |
Loans to PACCAR and affiliates | (364.6) | (180) |
Collections on loans from PACCAR and affiliates | 290 | 325 |
Net decrease in other receivables to PACCAR and affiliates | 51 | 27 |
Acquisitions of equipment for operating leases | (188.9) | (28.7) |
Proceeds from disposals of equipment | 108.7 | 90.8 |
Other, net | (21.8) | (46.4) |
NET CASH USED IN INVESTING ACTIVITIES | (709.3) | (443.4) |
FINANCING ACTIVITIES | ||
Net (decrease) increase in short-term commercial paper | (105.9) | 635.6 |
Proceeds from medium-term notes | 1,442.9 | 796.7 |
Payments of medium-term notes | (900) | (1,000) |
Dividends paid | (50) | (250) |
NET CASH PROVIDED BY FINANCING ACTIVITIES | 387 | 182.3 |
NET (DECREASE) INCREASE IN CASH | (121.2) | 6.2 |
CASH AT BEGINNING OF PERIOD | 175.1 | 48.8 |
CASH AT END OF PERIOD | $ 53.9 | $ 55 |
STATEMENTS OF STOCKHOLDER'S EQU
STATEMENTS OF STOCKHOLDER'S EQUITY - USD ($) $ in Millions | Total | Preferred Stock | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income | |
Beginning balance at Dec. 31, 2022 | $ 31 | $ 14.5 | $ 164.6 | $ 1,813.6 | $ 18.4 | ||
Investments from PACCAR | 4.8 | ||||||
Net income | $ 79.4 | 79.4 | |||||
Dividends paid | (250) | ||||||
Net unrealized gain (loss) | (1.5) | (1.5) | |||||
Ending balance at Jun. 30, 2023 | 1,874.8 | 31 | 14.5 | 169.4 | 1,643 | 16.9 | |
Beginning balance at Mar. 31, 2023 | 31 | 14.5 | 169 | 1,604.7 | 10.2 | ||
Investments from PACCAR | 0.4 | ||||||
Net income | 38.3 | 38.3 | |||||
Net unrealized gain (loss) | 6.7 | 6.7 | |||||
Ending balance at Jun. 30, 2023 | 1,874.8 | 31 | 14.5 | 169.4 | 1,643 | 16.9 | |
Beginning balance at Dec. 31, 2023 | 1,931.2 | [1] | 31 | 14.5 | 171.6 | 1,703.1 | 11 |
Investments from PACCAR | 5.4 | ||||||
Net income | 59.2 | 59.2 | |||||
Dividends paid | (50) | ||||||
Net unrealized gain (loss) | 1.2 | 1.2 | |||||
Ending balance at Jun. 30, 2024 | 1,947 | 31 | 14.5 | 177 | 1,712.3 | 12.2 | |
Beginning balance at Mar. 31, 2024 | 31 | 14.5 | 176.3 | 1,682.3 | 12.9 | ||
Investments from PACCAR | 0.7 | ||||||
Net income | 30 | 30 | |||||
Net unrealized gain (loss) | (0.7) | (0.7) | |||||
Ending balance at Jun. 30, 2024 | $ 1,947 | $ 31 | $ 14.5 | $ 177 | $ 1,712.3 | $ 12.2 | |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. |
STATEMENTS OF STOCKHOLDER'S E_2
STATEMENTS OF STOCKHOLDER'S EQUITY (Parenthetical) - $ / shares | Jun. 30, 2024 | Dec. 31, 2023 | Jun. 30, 2023 |
Statement of Stockholders' Equity [Abstract] | |||
Preferred stock, par value | $ 100 | $ 100 | $ 100 |
Common stock, par value | $ 100 | $ 100 | $ 100 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ 30 | $ 38.3 | $ 59.2 | $ 79.4 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Rule 10b5-1 Arrangement Modified | false |
Non-Rule 10b5-1 Arrangement Modified | false |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | NOTE A – Basis of Presentation PACCAR Financial Corp. (the “Company”) is a wholly owned subsidiary of PACCAR Inc (“PACCAR”). The Company primarily provides financing of PACCAR manufactured trucks and related equipment sold by authorized dealers. The Company also finances dealer inventories of transportation equipment and franchises Kenworth and Peterbilt dealerships to engage in full-service and finance leasing. The operations of the Company are fundamentally affected by its relationship with PACCAR. The accompanying unaudited financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the six months ended June 30, 2024 are not necessarily indicative of the results that may be expected for the year ending December 31, 2024. For further information, refer to the financial statements and footnotes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2023. New Accounting Pronouncement: In December 2023, the Financial Accounting Standards Board (FASB) issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures . The amendments in this ASU require entities to disclose certain, specific categories within the rate reconciliation and enhance disclosures regarding income taxes paid and income tax expense. This ASU is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The amendments in this ASU should be applied on a prospective basis; however, retrospective application is permitted. The implementation of this ASU will result in additional disclosures and will not have an impact on the Company’s financial statements. |
Finance and Other Receivables
Finance and Other Receivables | 6 Months Ended |
Jun. 30, 2024 | |
Receivables [Abstract] | |
Finance and Other Receivables | NOTE B – Finance and Other Receivables The Company’s finance and other receivables include the following: June 30 December 31 2024 2023 Retail loans $ 5,323.2 $ 5,028.2 Retail financing leases 1,720.2 1,710.4 Dealer wholesale financing 2,251.6 1,953.3 Dealer master notes 462.5 509.2 Operating lease receivables and other 53.6 65.3 9,811.1 9,266.4 Less allowance for credit losses: Loans and leases ( 61.8 ) ( 58.6 ) Dealer wholesale financing ( 1.0 ) ( 1.0 ) Operating lease receivables and other ( 1.5 ) ( 1.4 ) $ 9,746.8 $ 9,205.4 Included in Finance and other receivables, net of allowance for credit losses, on the Balance Sheets is accrued interest receivable, net of allowance for credit losses, of $ 34.0 and $ 31.6 as of June 30, 2024 and December 31, 2023, respectively. Interest income recognized on finance leases was $ 23.6 and $ 46.8 for the three and six months ended June 30, 2024 respectively, compared to $ 18.3 and $ 35.4 for the same periods in 2023. Recognition of interest income and rental revenue is suspended (put on non-accrual status) when the receivable becomes more than 90 days past the contractual due date or earlier if some other event causes the Company to determine that collection is not probable. Accordingly, no finance receivables more than 90 days past due were accruing interest at June 30, 2024 or December 31, 2023. Recognition is resumed if the receivable becomes current by the payment of all amounts due under the terms of the existing contract and collection of remaining amounts is considered probable (if not contractually modified) or if the customer makes scheduled payments for three months and collection of remaining amounts is considered probable (if contractually modified). Payments received while the finance receivable is on non-accrual status are applied to interest and principal in accordance with the contractual terms. Allowance for Credit Losses The Company continuously monitors the payment performance of its finance receivables. For large retail finance customers and dealers with wholesale financing, the Company regularly reviews their financial statements and makes site visits and phone contact as appropriate. If the Company becomes aware of circumstances that could cause those customers or dealers to face financial difficulty, whether or not they are past due, the customers are placed on a watch list. The Company modifies loans and finance leases in the normal course of its operations. The Company may modify loans and finance leases for commercial reasons or for credit reasons. Modifications for commercial reasons are changes to contract terms for customers that are not considered to be in financial difficulty. Insignificant delays are modifications extending terms up to three months for customers experiencing some short-term financial stress, but not considered to be in financial difficulty. Modifications for credit reasons are changes to contract terms for customers considered to be in financial difficulty. The Company’s modifications typically result in granting more time to pay the contractual amounts owed and charging a fee and interest for the term of the modification. When considering whether to modify customer accounts for credit reasons, the Company evaluates the creditworthiness of the customers and modifies those accounts that the Company considers likely to perform under the modified terms. The Company does not typically grant credit modifications for customers that do not meet minimum underwriting standards since the Company normally repossesses the financed equipment in these circumstances. On average, commercial and other modifications extended contractual terms by approximately four months in 2024 and three months in 2023, and did not have a significant effect on the weighted average term or interest rate of the total portfolio at June 30, 2024 and December 31, 2023. The Company has developed a systematic methodology for determining the allowance for credit losses for its two portfolio segments, retail and wholesale. The retail segment consists of retail loans and sales-type finance leases, net of unearned interest. The wholesale segment consists of truck inventory financing loans to dealers that are collateralized by trucks and other collateral. The wholesale segment generally has less risk than the retail segment. Wholesale receivables generally are shorter in duration than retail receivables, and the Company requires periodic reporting of the wholesale dealer’s financial condition, conducts periodic audits of the trucks being financed and, in many cases, obtains guarantees or other security such as dealership assets. In determining the allowance for credit losses, retail loans and finance leases are evaluated together since they relate to a similar customer base, their contractual terms require regular payment of principal and interest, generally over 36 to 60 months , and they are secured by the same type of collateral. The allowance for credit losses consists of both specific and general reserves. The Company individually evaluates certain finance receivables for expected credit losses. Finance receivables that are evaluated individually consist of all wholesale accounts and certain large retail accounts with past due balances or otherwise determined to be at a higher risk of loss. In general, finance receivables that are 90 days past due are placed on non-accrual status. Finance receivables on non-accrual status which have been performing for 90 consecutive days are placed on accrual status if it is deemed probable that the Company will collect all principal and interest payments. Individually evaluated receivables on non-accrual status are generally considered collateral dependent. Large balance retail and all wholesale receivables on non-accrual status are individually evaluated to determine the appropriate reserve for losses. The determination of reserves for large balance receivables on non-accrual status considers the fair value of the associated collateral. When the underlying collateral fair value exceeds the Company’s amortized cost basis, no reserve is recorded. Small balance receivables on non-accrual status with similar risk characteristics are evaluated as a separate pool to determine the appropriate reserve for losses using the historical loss information discussed below. The Company evaluates finance receivables that are not individually evaluated and share similar risk characteristics on a collective basis and determines the general allowance for credit losses for both retail and wholesale receivables based on historical loss information, using past due account data, current market conditions, and expected changes in future macroeconomic conditions that affect collectability. Historical credit loss information provides relevant information of expected credit losses. The historical data used includes assumptions regarding the likelihood of collecting current and past due accounts, repossession rates, and the recovery rate on the underlying collateral based on used truck values and other pledged collateral or recourse. The Company has developed a range of loss estimates of its portfolio based on historical experience, taking into account loss frequency and severity in both strong and weak truck market conditions. A projection is made of the range of estimated credit losses inherent in the portfolio from which an amount is determined based on current market conditions and other factors impacting the creditworthiness of the Company’s borrowers and their ability to repay. Adjustments to historical loss information are made for changes in forecasted economic conditions that are specific to the industry and market in which the Company conducts business. The Company utilizes economic forecasts from third party sources and determines expected losses based on historical experience under similar market conditions. After determining the appropriate level of the allowance for credit losses, a provision for losses on finance receivables is charged to income as necessary to reflect management’s estimate of expected credit losses, net of recoveries, inherent in the portfolio. In determining the fair value of the collateral, the Company uses a pricing matrix and categorizes the fair value as Level 2 in the hierarchy of fair value measurement. The pricing matrix is reviewed quarterly and updated as appropriate. The pricing matrix considers the make, model and year of the equipment as well as recent sales prices of comparable equipment sold individually, which is the lowest unit of account, through wholesale channels to the Company’s dealers (principal market). The fair value of the collateral also considers the overall condition of the equipment. Accounts are charged off against the allowance for credit losses when, in the judgment of management, they are considered uncollectible, which generally occurs upon repossession of the collateral. Typically the timing between the repossession and charge-off is not significant. In cases where repossession is delayed (e.g., for legal proceedings), the Company records a partial charge-off. The charge-off is determined by comparing the fair value of the collateral, less cost to sell, to the amortized cost basis. For the following credit quality disclosures, finance receivables are classified into two portfolio segments, wholesale and retail. The retail portfolio is further segmented into dealer retail and customer retail. The dealer wholesale segment consists of truck inventory financing to PACCAR dealers. The dealer retail segment consists of loans and leases to participating dealers and franchises that use the proceeds to fund customers’ acquisition of commercial vehicles and related equipment. The customer retail segment consists of loans and leases directly to customers for the acquisition of commercial vehicles and related equipment. Customer retail receivables are further segregated between fleet and owner/operator classes. The fleet class consists of customer retail accounts operating five or more trucks. All other customer retail accounts are considered owner/operator. These two classes have similar measurement attributes, risk characteristics and common methods to monitor and assess credit risk. The allowance for credit losses is summarized as follows: 2024 Dealer Customer Wholesale Retail Retail Other* Total Balance at January 1 $ 1.0 $ 1.7 $ 56.9 $ 1.4 $ 61.0 Provision for losses ( .6 ) 13.7 .1 13.2 Charge-offs ( 10.1 ) ( 10.1 ) Recoveries .2 .2 Balance at June 30 $ 1.0 $ 1.1 $ 60.7 $ 1.5 $ 64.3 2023 Dealer Customer Wholesale Retail Retail Other* Total Balance at January 1 $ 1.0 $ 1.8 $ 57.9 $ 1.0 $ 61.7 Provision for losses ( .1 ) ( .1 ) 1.6 1.4 Charge-offs ( 2.6 ) ( 2.6 ) Recoveries .7 .1 .8 Balance at June 30 $ .9 $ 1.7 $ 57.6 $ 1.1 $ 61.3 * Operating lease and other trade receivables. Credit Quality The Company's customers are principally concentrated in the transportation industry in the United States. The Company’s portfolio assets are diversified over a large number of customers and dealers with no single customer or dealer balances representing over 10 % of the total portfolio assets as of June 30, 2024 or December 31, 2023. The Company retains as collateral a security interest in the related equipment. At the inception of each contract, the Company considers the credit risk based on a variety of credit quality factors including prior payment experience, customer financial information, credit-rating agency ratings, loan-to-value ratios and other internal metrics. On an ongoing basis, the Company monitors credit quality based on past due status and collection experience as there is a meaningful correlation between the past due status of customers and the risk of loss. The Company has three credit quality indicators: performing, watch and at-risk. Performing accounts pay in accordance with the contractual terms and are not considered high-risk. Watch accounts include accounts 31 to 90 days past due and large accounts that are performing but are considered to be high-risk. Watch accounts are not collateral dependent. At-risk accounts are generally collateral dependent, including accounts over 90 days past due and other accounts on non-accrual status. The tables below summarize the amortized cost basis of the Company’s finance receivables within each credit quality indicator by year of origination and portfolio class and current period gross charge-offs of the Company’s finance receivables by year of origination and portfolio class. At June 30, 2024 Revolving Loans 2024 2023 2022 2021 2020 Prior Total Amortized cost: Dealer: Wholesale: Performing $ 2,247.8 $ 2,247.8 Watch 3.8 3.8 $ 2,251.6 $ 2,251.6 Retail: Performing $ 202.4 $ 279.1 $ 649.4 $ 424.3 $ 212.8 $ 114.8 $ 182.7 $ 2,065.5 $ 202.4 $ 279.1 $ 649.4 $ 424.3 $ 212.8 $ 114.8 $ 182.7 $ 2,065.5 Total dealer $ 2,454.0 $ 279.1 $ 649.4 $ 424.3 $ 212.8 $ 114.8 $ 182.7 $ 4,317.1 Customer retail: Fleet: Performing $ 1,066.9 $ 1,741.6 $ 1,024.6 $ 547.4 $ 309.5 $ 87.3 $ 4,777.3 Watch 1.3 6.7 6.1 4.8 .9 1.1 20.9 At-risk 53.7 36.5 20.4 4.2 .4 115.2 $ 1,068.2 $ 1,802.0 $ 1,067.2 $ 572.6 $ 314.6 $ 88.8 $ 4,913.4 Owner/operator: Performing $ 116.9 $ 131.5 $ 114.4 $ 98.2 $ 43.3 $ 13.2 $ 517.5 Watch 1.1 .6 1.5 1.5 .7 .2 5.6 At-risk .8 1.4 .8 .7 .2 3.9 $ 118.0 $ 132.9 $ 117.3 $ 100.5 $ 44.7 $ 13.6 $ 527.0 Total customer retail $ 1,186.2 $ 1,934.9 $ 1,184.5 $ 673.1 $ 359.3 $ 102.4 $ 5,440.4 Total $ 2,454.0 $ 1,465.3 $ 2,584.3 $ 1,608.8 $ 885.9 $ 474.1 $ 285.1 $ 9,757.5 At June 30, 2024 Revolving Loans 2024 2023 2022 2021 2020 Prior Total Gross charge-offs: Customer retail: Fleet $ .1 $ .9 $ 2.1 $ .6 $ .8 $ 3.6 $ 8.1 Owner/operator .6 .7 .2 .2 .3 2.0 Total $ .1 $ 1.5 $ 2.8 $ .8 $ 1.0 $ 3.9 $ 10.1 At December 31, 2023 Revolving Loans 2023 2022 2021 2020 2019 Prior Total Amortized cost: Dealer: Wholesale: Performing $ 1,951.4 $ 1,951.4 Watch 1.9 1.9 $ 1,953.3 $ 1,953.3 Retail: Performing $ 280.7 $ 677.3 $ 467.2 $ 267.6 $ 135.2 $ 146.3 $ 106.6 $ 2,080.9 $ 280.7 $ 677.3 $ 467.2 $ 267.6 $ 135.2 $ 146.3 $ 106.6 $ 2,080.9 Total dealer $ 2,234.0 $ 677.3 $ 467.2 $ 267.6 $ 135.2 $ 146.3 $ 106.6 $ 4,034.2 Customer retail: Fleet: Performing $ 1,967.2 $ 1,244.9 $ 725.3 $ 453.3 $ 151.5 $ 38.9 $ 4,581.1 Watch 24.2 16.6 3.3 2.0 .5 .9 47.5 At-risk 2.4 4.0 4.5 2.0 .6 .1 13.6 $ 1,993.8 $ 1,265.5 $ 733.1 $ 457.3 $ 152.6 $ 39.9 $ 4,642.2 Owner/operator: Performing $ 151.8 $ 140.5 $ 130.5 $ 66.3 $ 24.5 $ 4.0 $ 517.6 Watch .9 1.9 1.1 .5 .2 4.6 At-risk .6 .8 .8 .2 .1 2.5 $ 153.3 $ 143.2 $ 132.4 $ 67.0 $ 24.8 $ 4.0 $ 524.7 Total customer retail $ 2,147.1 $ 1,408.7 $ 865.5 $ 524.3 $ 177.4 $ 43.9 $ 5,166.9 Total $ 2,234.0 $ 2,824.4 $ 1,875.9 $ 1,133.1 $ 659.5 $ 323.7 $ 150.5 $ 9,201.1 At June 30, 2023 Revolving Loans 2023 2022 2021 2020 2019 Prior Total Gross charge-offs: Customer retail: Fleet $ 1.6 $ .1 $ 1.7 Owner/operator .4 . 4 $ .1 .9 Total $ 2.0 $ .5 $ .1 $ 2.6 The tables below summarize the amortized cost basis of the Company’s finance receivables by aging category. In determining past due status, the Company considers the entire contractual account balance past due when any installment is over 30 days past due. Substantially all customer accounts that were greater than 30 days past due prior to credit modification became current upon modification for aging purposes. Dealer Customer Retail Owner/ At June 30, 2024 Wholesale Retail Fleet Operator Total Current and up to 30 days past due $ 2,251.6 $ 2,065.5 $ 4,853.9 $ 518.7 $ 9,689.7 31 – 60 days past due 22.4 5.4 27.8 Greater than 60 days past due 37.1 2.9 40.0 $ 2,251.6 $ 2,065.5 $ 4,913.4 $ 527.0 $ 9,757.5 Dealer Customer Retail Owner/ At December 31, 2023 Wholesale Retail Fleet Operator Total Current and up to 30 days past due $ 1,953.3 $ 2,080.9 $ 4,589.2 $ 518.2 $ 9,141.6 31 – 60 days past due 45.3 4.8 50.1 Greater than 60 days past due 7.7 1.7 9.4 $ 1,953.3 $ 2,080.9 $ 4,642.2 $ 524.7 $ 9,201.1 The amortized cost basis of finance receivables that are on non-accrual status was as follows: Dealer Customer Retail Owner/ At June 30, 2024 Wholesale Retail Fleet Operator Total Amortized cost basis with a specific reserve $ 110.7 $ 2.8 $ 113.5 Amortized cost basis with no specific reserve 4.6 1.1 5.7 $ 115.3 $ 3.9 $ 119.2 Dealer Customer Retail Owner/ At December 31, 2023 Wholesale Retail Fleet Operator Total Amortized cost basis with a specific reserve $ 8.2 $ 1.8 $ 10.0 Amortized cost basis with no specific reserve 5.3 .8 6.1 $ 13.5 $ 2.6 $ 16.1 Interest income recognized on a cash basis for finance receivables that are on non-accrual status was as follows: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Fleet $ .6 $ .1 $ 1.0 $ .2 Owner/operator .1 .1 $ .6 $ .1 $ 1.1 $ .3 Customers Experiencing Financial Difficulty The Company modified $ 72.4 and $ .8 of finance receivables for customers experiencing financial difficulty during the first half of 2024 and 2023, respectively. The modifications provided term extensions and granted customers additional time to pay. Other than insignificant term extensions to fleet customers in financial difficulty were $ 72.0 for both the three and six months ended June 30, 2024, or 1.0 % of retail portfolio, and added a weighted-average of six months to the life of the modified contracts. The Company provided only insignificant term extensions for the same periods in 2023. The effect on the allowance for credit losses from such modifications was no t significant for the three and six months ended June 30, 2024 and 2023. There were $ .8 finance receivables modified with customers experiencing financial difficulty during the previous twelve months that had a payment default for both the three and six months ended June 30, 2024. There were nil and $ .1 finance receivables modified with customers experiencing financial difficulty during the previous twelve months that had a payment default in the three and six months ended June 30, 2023, respectively. Repossessions When the Company determines that a customer is not likely to meet its contractual commitments, the Company repossesses the vehicles which serve as collateral for the loans, finance leases and equipment under operating lease. The Company records the vehicles as used truck inventory included in Other assets on the Balance Sheets. The balance of repossessed units was $ 19.1 at June 30, 2024 and $ 18.3 at December 31, 2023. Proceeds from sales of repossessed assets were $ 12.8 and $ 5.1 for the six months ended June 30, 2024 and 2023, respectively. These amounts are included in Proceeds from disposals of equipment on the Statements of Cash Flows. Write-downs of repossessed equipment under operating leases are recorded as impairments and included in Depreciation and other rental expenses on the Statements of Comprehensive Income and Retained Earnings. |
Transactions with PACCAR and Af
Transactions with PACCAR and Affiliates | 6 Months Ended |
Jun. 30, 2024 | |
Related Party Transactions [Abstract] | |
Transactions with PACCAR and Affiliates | NOTE C – Transactions with PACCAR and Affiliates The Company and PACCAR are parties to a Support Agreement that obligates PACCAR to provide, when required, financial assistance to the Company to ensure that the Company maintains a ratio of earnings to fixed charges (as defined in the Support Agreement) of at least 1.25 to 1 for any fiscal year. The required ratio for the six months ended June 30, 2024 and full year 2023 was met without assistance. The Support Agreement also requires PACCAR to own, directly or indirectly, all outstanding voting stock of the Company. Periodically, the Company makes loans to, borrows from and has intercompany transactions with PACCAR. In addition, the Company periodically loans funds to certain foreign finance and leasing affiliates of PACCAR. These affiliates have Support Agreements with PACCAR, similar to the Company’s Support Agreement with PACCAR. The foreign affiliates operate in the United Kingdom, the Netherlands, Mexico, Canada, Australia and Brasil. Loans to these foreign affiliates during 2024 and 2023 were denominated in United States dollars. The foreign affiliates primarily provide financing and leasing of PACCAR manufactured trucks and related equipment sold through the DAF, Kenworth and Peterbilt independent dealer networks in Europe, Mexico, Canada, Australia and Brasil. The Company will not make loans to the foreign affiliates in excess of the equivalent of $ 1,100.0 U.S. dollars, unless the amount in excess of such limit is guaranteed by PACCAR. The Company periodically reviews the funding alternatives for these affiliates, and these limits may be revised in the future. Amounts outstanding at June 30, 2024 and December 31, 2023, including balances with foreign finance affiliates operating in the United Kingdom, the Netherlands, Mexico, Canada, Australia and Brasil, are summarized below: June 30 December 31 2024 2023 Due from PACCAR and affiliates Loans due from PACCAR $ 1,082.6 $ 1,016.0 Loans due from foreign finance affiliates 673.0 716.0 Receivables 21.8 18.7 $ 1,777.4 $ 1,750.7 Due to PACCAR and affiliates Tax-related payable due to PACCAR $ 3.6 $ 1.9 Payables 46.1 56.7 $ 49.7 $ 58.6 The Company is included in the consolidated federal income tax return of PACCAR. The tax-related payable due to PACCAR represents the related tax provision to be settled with PACCAR. PACCAR charges the Company for certain administrative services it provides. These costs were charged to the Company based upon the Company’s specific use of the services and PACCAR’s cost. The Company’s principal office is located in the corporate headquarters building of PACCAR (owned by PACCAR). The Company also leases office space from five facilities leased by PACCAR. Lease payments for the use of these facilities are included in the above-mentioned administrative services charged by PACCAR. The Company’s employees and PACCAR employees are covered by a defined benefit pension plan sponsored by PACCAR. The assets and liabilities of the plan are reflected on the balance sheet of PACCAR. PACCAR contributes to the plan and allocates the expenses to the Company based principally on the number of eligible plan participants. Expenses for the defined benefit pension plan are included in Selling, general and administrative expenses. The Company’s employees and PACCAR employees are also covered by a defined contribution plan sponsored by PACCAR. Expenses incurred by the Company for the defined contribution plan benefits are based on the actual contribution made on behalf of the participating employees and are included in Selling, general and administrative expenses. |
Stockholder's Equity
Stockholder's Equity | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Stockholder's Equity | NOTE D – Stockholder’s Equity Preferred Stock The Company’s Articles of Incorporation provide that the 6 % noncumulative, nonvoting preferred stock ( 100 % owned by PACCAR) is redeemable only at the option of the Company’s Board of Directors. Comprehensive Income The components of comprehensive income are as follows: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Net income $ 30.0 $ 38.3 $ 59.2 $ 79.4 Other comprehensive (loss) income Derivative contracts (decrease) increase ( .7 ) 6.7 1.2 ( 1.5 ) Total comprehensive income $ 29.3 $ 45.0 $ 60.4 $ 77.9 Accumulated Other Comprehensive Income (Loss) Accumulated other comprehensive income (loss) (AOCI) of $ 12.2 and $ 11.0 at June 30, 2024 and December 31, 2023, respectively, is comprised of the unrealized net gain (loss) on derivative contracts, net of taxes. Changes in and reclassifications out of AOCI during the periods are as follows: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Balance at beginning of period $ 12.9 $ 10.2 $ 11.0 $ 18.4 Amounts recorded in AOCI Unrealized gain (loss) on derivative contracts 1.8 10.9 6.6 2.3 Income tax effect ( .4 ) ( 2.7 ) ( 1.6 ) ( .6 ) Amounts reclassified out of AOCI Interest and other borrowing costs ( 2.7 ) ( 2.0 ) ( 5.0 ) ( 4.3 ) Income tax effect .6 .5 1.2 1.1 Net other comprehensive (loss) income ( .7 ) 6.7 1.2 ( 1.5 ) Balance at end of period $ 12.2 $ 16.9 $ 12.2 $ 16.9 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE E – Fair Value Measurements Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Inputs to valuation techniques used to measure fair value are either observable or unobservable. These inputs have been categorized into the fair value hierarchy described below: Level 1 – Valuations are based on quoted prices that the Company has the ability to obtain in actively traded markets for identical assets or liabilities. Since valuations are based on quoted prices that are readily and regularly available in an active market or exchange traded market, valuation of these instruments does not require a significant degree of judgment. Level 2 – Valuations are based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. Level 3 – Valuations are based on model-based techniques for which some or all of the assumptions are obtained from indirect market information that is significant to the overall fair value measurement and which require a significant degree of management judgment. Assets and Liabilities Subject to Non-recurring and Recurring Fair Value Measurement Impaired loans and used trucks held for sale are measured on a non-recurring basis. Derivative contracts are measured on a recurring basis. The Company’s assets and liabilities subject to fair value measurements are as follows: June 30 December 31 Level 2 2024 2023 Assets: Impaired loans, net of specific reserves (2024 - $ 5.5 ) $ 28.9 Used trucks held for sale 23.9 $ 29.7 Derivative contracts 4.6 1.2 Liabilities: Derivative contracts $ 4.3 $ 5.2 The Company uses the following methods and assumptions to measure fair value for assets and liabilities subject to non-recurring and recurring fair value measurements: Impaired Loans: Impaired loans that are individually evaluated are generally considered collateral dependent. Accordingly, the evaluation of individual reserves on such loans considers the fair value of the associated collateral (estimated sales proceeds less the costs to sell). Used Trucks Held for Sale: The carrying amount of used trucks held for sale is written down as necessary to reflect the fair value less costs to sell. The Company determines the fair value of used trucks from a pricing matrix, which is based on the market approach. The significant observable inputs into the valuation model are recent sales prices of comparable units sold individually, which is the lowest unit of account, and the condition of the vehicles. Used truck impairments related to units held at June 30, 2024 and 2023 were $ 3.4 and $ .9 during the first six months of 2024 and 2023, respectively. These assets, which are shown in the above table when they are written down to fair value less costs to sell, are categorized as Level 2 and are included in Other assets on the Balance Sheets. Derivative Financial Instruments: The Company’s derivative financial instruments consist of interest-rate swaps and are carried at fair value. These derivative contracts are traded over the counter and their fair value is determined using industry standard valuation models, which are based on the income approach (i.e., discounted cash flows). The significant observable inputs into the valuation models include interest rates, yield curves and credit default swap spreads. These contracts are categorized as Level 2 and are included in Other assets and Accounts payable, accrued expenses and other on the Balance Sheets. Fair Value Disclosure of Other Financial Instruments For financial instruments that are not recognized at fair value, the Company uses the following methods and assumptions to determine the fair value. These instruments are categorized as Level 2, except cash which is categorized as Level 1 and fixed rate loans which are categorized as Level 3. Cash: Carrying amounts approximate fair value. Net Receivables: For floating rate loans, dealer wholesale financing and operating lease and other trade receivables, carrying values approximate fair values. For fixed rate loans, fair values are estimated using the income approach by discounting cash flows to their present value based on assumptions regarding credit and liquidity risks to approximate current rates for comparable loans. Finance lease receivables and related allowance for credit losses have been excluded from the accompanying table. Commercial Paper and Medium-Term Notes: The carrying amounts of the Company’s commercial paper and variable medium-term notes approximate fair value. For fixed rate debt, fair values are estimated using the income approach by discounting cash flows to their present value based on current rates for comparable debt. The Company’s estimate of fair value for fixed rate loans and debt that are not carried at fair value was as follows: June 30, 2024 December 31, 2023 Carrying Fair Carrying Fair Amount Value Amount Value Assets: Due from PACCAR $ 997.6 $ 976.4 $ 956.0 $ 941.7 Due from foreign finance affiliates 592.0 572.8 559.0 536.5 Fixed rate loans 5,542.0 5,522.2 5,380.4 5,324.4 Liabilities: Fixed rate debt $ 6,635.4 $ 6,555.8 $ 6,084.5 $ 6,005.8 |
Derivative Financial Instrument
Derivative Financial Instruments | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | NOTE F – Derivative Financial Instruments As part of its risk management strategy, the Company enters into derivative contracts to hedge against interest-rate risk. Certain derivative instruments designated as either cash flow hedges or fair value hedges are subject to hedge accounting. Derivative instruments that are not subject to hedge accounting are held as derivatives not designated as hedged instruments. The Company’s policies prohibit the use of derivatives for speculation or trading. At the inception of each hedge relationship, the Company documents its risk management objectives, procedures and accounting treatment. All of the Company’s interest-rate contracts are transacted under International Swaps and Derivatives Association (ISDA) master agreements. Each agreement permits the net settlement of amounts owed in the event of default and certain other termination events. For derivative financial instruments, the Company has elected not to offset derivative positions in the balance sheet with the same counterparty under the same agreements and is not required to post or receive collateral. Exposure limits and minimum credit ratings are used to minimize the risks of counterparty default. The Company’s maximum exposure to potential default of its derivative counterparties is limited to the asset position of its derivative portfolio. The asset position of the Company’s derivative portfolio was $ 4.6 at June 30, 2024. The Company assesses hedges at inception and on an ongoing basis to determine if the designated derivatives are highly effective in offsetting changes in fair values or cash flows of the hedged items. Hedge accounting is discontinued prospectively when the Company determines that a derivative financial instrument has ceased to be a highly effective hedge. Cash flows from derivative instruments are included in operating activities in the Statements of Cash Flows. Interest-rate contracts involve the exchange of fixed for floating rate or floating for fixed rate interest payments based on the contractual notional amounts in a single currency. The Company is exposed to interest-rate risk caused by market volatility as a result of its borrowing activities. The objective of these contracts is to mitigate the fluctuations on earnings, cash flows and fair value of borrowings. Net amounts paid or received are reflected as adjustments to interest expense. At June 30, 2024, the notional amount of these contracts totaled $ 591.6 with amounts expiring over the next 9.7 years. Notional maturities for all interest-rate contracts are nil for the remainder of 2024, $ 80.0 for 2025, $ 30.0 for 2026, $ 86.1 for 2027, $ 8.5 for 2028 and $ 387.0 thereafter. The following table presents the balance sheet classification, fair value and gross and net amounts of derivative financial instruments: June 30, 2024 December 31, 2023 Interest-rate contracts: Assets Liabilities Assets Liabilities Other assets $ 4.6 $ 1.2 Accounts payable, accrued expenses and other $ 4.3 $ 5.2 Gross amounts recognized in Balance Sheets 4.6 4.3 1.2 5.2 Less amounts not offset in financial instruments ( 2.3 ) ( 2.3 ) ( .4 ) ( .4 ) Pro forma net amount $ 2.3 $ 2.0 $ .8 $ 4.8 Cash Flow Hedges Certain of the Company’s interest-rate contracts have been designated as cash flow hedges. Changes in the fair value of derivatives designated as cash flow hedges are recorded in AOCI. The maximum length of time over which the Company is hedging its exposure to the variability in future cash flows is 9.7 years. Amounts in AOCI are reclassified into net income in the same period in which the hedged transaction affects earnings and are presented in the same income statement line as the earnings effect of the hedged transaction. The amount of gain recorded in AOCI at June 30, 2024 that is estimated to be reclassified to interest expense in the following 12 months if interest rates remain unchanged is approximately $ 8.0 , net of taxes. The fixed interest earned on finance receivables will offset the amount recognized in interest expense, resulting in a stable interest margin consistent with the Company’s interest-rate risk management strategy. Fair Value Hedges Changes in the fair value of derivatives designated as fair value hedges are recorded in earnings together with the changes in fair value of the hedged item attributable to the risk being hedged. The following table presents the amounts recorded on the Balance Sheets related to cumulative basis adjustments for fair value hedges: June 30 December 31 2024 2023 Medium-term notes: Carrying amount of the hedged liabilities $ 425.6 $ 76.4 Cumulative basis adjustment included in the carrying amount ( 4.4 ) ( 3.6 ) The above table excludes the cumulative basis adjustments on discontinued hedge relationships of $( 6.4 ) and $( 10.3 ) as of June 30, 2024 and December 31, 2023, respectively. The following table presents the amount of expense (income) on cash flow and fair value hedges recognized in Interest and other borrowing costs on the Statements of Comprehensive Income and Retained Earnings: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Loss (gain) on fair value hedges Derivatives $ 5.6 $ .4 $ 2.4 $ ( 13.5 ) Hedged items ( 3.7 ) 1.6 1.4 16.7 Gain on cash flow hedges Reclassified from AOCI into income ( 2.7 ) ( 2.0 ) ( 5.0 ) ( 4.3 ) $ ( .8 ) $ ( 1.2 ) $ ( 1.1 ) |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE G – Income Taxes The Company’s effective income tax rate for the second quarter and first half of 2024 was 25.0 % and 24.2 % respectively, compared to 24.9 % and 25.0 % for the same periods of 2023, reflecting changes in the state tax expense during 2024 as compared to 2023. The Company is included in the consolidated federal income tax return of PACCAR. Federal income taxes for the Company are determined on a separate return basis. State income taxes, where the Company files combined tax returns with PACCAR, are determined on a blended statutory rate, which is substantially the same as the rate computed on a separate return basis. |
Finance and Other Receivables (
Finance and Other Receivables (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Finance Receivables Allowance for Credit Losses | Allowance for Credit Losses The Company continuously monitors the payment performance of its finance receivables. For large retail finance customers and dealers with wholesale financing, the Company regularly reviews their financial statements and makes site visits and phone contact as appropriate. If the Company becomes aware of circumstances that could cause those customers or dealers to face financial difficulty, whether or not they are past due, the customers are placed on a watch list. The Company modifies loans and finance leases in the normal course of its operations. The Company may modify loans and finance leases for commercial reasons or for credit reasons. Modifications for commercial reasons are changes to contract terms for customers that are not considered to be in financial difficulty. Insignificant delays are modifications extending terms up to three months for customers experiencing some short-term financial stress, but not considered to be in financial difficulty. Modifications for credit reasons are changes to contract terms for customers considered to be in financial difficulty. The Company’s modifications typically result in granting more time to pay the contractual amounts owed and charging a fee and interest for the term of the modification. When considering whether to modify customer accounts for credit reasons, the Company evaluates the creditworthiness of the customers and modifies those accounts that the Company considers likely to perform under the modified terms. The Company does not typically grant credit modifications for customers that do not meet minimum underwriting standards since the Company normally repossesses the financed equipment in these circumstances. On average, commercial and other modifications extended contractual terms by approximately four months in 2024 and three months in 2023, and did not have a significant effect on the weighted average term or interest rate of the total portfolio at June 30, 2024 and December 31, 2023. The Company has developed a systematic methodology for determining the allowance for credit losses for its two portfolio segments, retail and wholesale. The retail segment consists of retail loans and sales-type finance leases, net of unearned interest. The wholesale segment consists of truck inventory financing loans to dealers that are collateralized by trucks and other collateral. The wholesale segment generally has less risk than the retail segment. Wholesale receivables generally are shorter in duration than retail receivables, and the Company requires periodic reporting of the wholesale dealer’s financial condition, conducts periodic audits of the trucks being financed and, in many cases, obtains guarantees or other security such as dealership assets. In determining the allowance for credit losses, retail loans and finance leases are evaluated together since they relate to a similar customer base, their contractual terms require regular payment of principal and interest, generally over 36 to 60 months , and they are secured by the same type of collateral. The allowance for credit losses consists of both specific and general reserves. The Company individually evaluates certain finance receivables for expected credit losses. Finance receivables that are evaluated individually consist of all wholesale accounts and certain large retail accounts with past due balances or otherwise determined to be at a higher risk of loss. In general, finance receivables that are 90 days past due are placed on non-accrual status. Finance receivables on non-accrual status which have been performing for 90 consecutive days are placed on accrual status if it is deemed probable that the Company will collect all principal and interest payments. Individually evaluated receivables on non-accrual status are generally considered collateral dependent. Large balance retail and all wholesale receivables on non-accrual status are individually evaluated to determine the appropriate reserve for losses. The determination of reserves for large balance receivables on non-accrual status considers the fair value of the associated collateral. When the underlying collateral fair value exceeds the Company’s amortized cost basis, no reserve is recorded. Small balance receivables on non-accrual status with similar risk characteristics are evaluated as a separate pool to determine the appropriate reserve for losses using the historical loss information discussed below. The Company evaluates finance receivables that are not individually evaluated and share similar risk characteristics on a collective basis and determines the general allowance for credit losses for both retail and wholesale receivables based on historical loss information, using past due account data, current market conditions, and expected changes in future macroeconomic conditions that affect collectability. Historical credit loss information provides relevant information of expected credit losses. The historical data used includes assumptions regarding the likelihood of collecting current and past due accounts, repossession rates, and the recovery rate on the underlying collateral based on used truck values and other pledged collateral or recourse. The Company has developed a range of loss estimates of its portfolio based on historical experience, taking into account loss frequency and severity in both strong and weak truck market conditions. A projection is made of the range of estimated credit losses inherent in the portfolio from which an amount is determined based on current market conditions and other factors impacting the creditworthiness of the Company’s borrowers and their ability to repay. Adjustments to historical loss information are made for changes in forecasted economic conditions that are specific to the industry and market in which the Company conducts business. The Company utilizes economic forecasts from third party sources and determines expected losses based on historical experience under similar market conditions. After determining the appropriate level of the allowance for credit losses, a provision for losses on finance receivables is charged to income as necessary to reflect management’s estimate of expected credit losses, net of recoveries, inherent in the portfolio. In determining the fair value of the collateral, the Company uses a pricing matrix and categorizes the fair value as Level 2 in the hierarchy of fair value measurement. The pricing matrix is reviewed quarterly and updated as appropriate. The pricing matrix considers the make, model and year of the equipment as well as recent sales prices of comparable equipment sold individually, which is the lowest unit of account, through wholesale channels to the Company’s dealers (principal market). The fair value of the collateral also considers the overall condition of the equipment. Accounts are charged off against the allowance for credit losses when, in the judgment of management, they are considered uncollectible, which generally occurs upon repossession of the collateral. Typically the timing between the repossession and charge-off is not significant. In cases where repossession is delayed (e.g., for legal proceedings), the Company records a partial charge-off. The charge-off is determined by comparing the fair value of the collateral, less cost to sell, to the amortized cost basis. |
Finance and Other Receivables_2
Finance and Other Receivables (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Receivables [Abstract] | |
Finance and Other Receivables | The Company’s finance and other receivables include the following: June 30 December 31 2024 2023 Retail loans $ 5,323.2 $ 5,028.2 Retail financing leases 1,720.2 1,710.4 Dealer wholesale financing 2,251.6 1,953.3 Dealer master notes 462.5 509.2 Operating lease receivables and other 53.6 65.3 9,811.1 9,266.4 Less allowance for credit losses: Loans and leases ( 61.8 ) ( 58.6 ) Dealer wholesale financing ( 1.0 ) ( 1.0 ) Operating lease receivables and other ( 1.5 ) ( 1.4 ) $ 9,746.8 $ 9,205.4 |
Allowance for Credit Losses | The allowance for credit losses is summarized as follows: 2024 Dealer Customer Wholesale Retail Retail Other* Total Balance at January 1 $ 1.0 $ 1.7 $ 56.9 $ 1.4 $ 61.0 Provision for losses ( .6 ) 13.7 .1 13.2 Charge-offs ( 10.1 ) ( 10.1 ) Recoveries .2 .2 Balance at June 30 $ 1.0 $ 1.1 $ 60.7 $ 1.5 $ 64.3 2023 Dealer Customer Wholesale Retail Retail Other* Total Balance at January 1 $ 1.0 $ 1.8 $ 57.9 $ 1.0 $ 61.7 Provision for losses ( .1 ) ( .1 ) 1.6 1.4 Charge-offs ( 2.6 ) ( 2.6 ) Recoveries .7 .1 .8 Balance at June 30 $ .9 $ 1.7 $ 57.6 $ 1.1 $ 61.3 * Operating lease and other trade receivables. |
Finance Receivables by Credit Quality Indicator and Portfolio Class | The tables below summarize the amortized cost basis of the Company’s finance receivables within each credit quality indicator by year of origination and portfolio class and current period gross charge-offs of the Company’s finance receivables by year of origination and portfolio class. At June 30, 2024 Revolving Loans 2024 2023 2022 2021 2020 Prior Total Amortized cost: Dealer: Wholesale: Performing $ 2,247.8 $ 2,247.8 Watch 3.8 3.8 $ 2,251.6 $ 2,251.6 Retail: Performing $ 202.4 $ 279.1 $ 649.4 $ 424.3 $ 212.8 $ 114.8 $ 182.7 $ 2,065.5 $ 202.4 $ 279.1 $ 649.4 $ 424.3 $ 212.8 $ 114.8 $ 182.7 $ 2,065.5 Total dealer $ 2,454.0 $ 279.1 $ 649.4 $ 424.3 $ 212.8 $ 114.8 $ 182.7 $ 4,317.1 Customer retail: Fleet: Performing $ 1,066.9 $ 1,741.6 $ 1,024.6 $ 547.4 $ 309.5 $ 87.3 $ 4,777.3 Watch 1.3 6.7 6.1 4.8 .9 1.1 20.9 At-risk 53.7 36.5 20.4 4.2 .4 115.2 $ 1,068.2 $ 1,802.0 $ 1,067.2 $ 572.6 $ 314.6 $ 88.8 $ 4,913.4 Owner/operator: Performing $ 116.9 $ 131.5 $ 114.4 $ 98.2 $ 43.3 $ 13.2 $ 517.5 Watch 1.1 .6 1.5 1.5 .7 .2 5.6 At-risk .8 1.4 .8 .7 .2 3.9 $ 118.0 $ 132.9 $ 117.3 $ 100.5 $ 44.7 $ 13.6 $ 527.0 Total customer retail $ 1,186.2 $ 1,934.9 $ 1,184.5 $ 673.1 $ 359.3 $ 102.4 $ 5,440.4 Total $ 2,454.0 $ 1,465.3 $ 2,584.3 $ 1,608.8 $ 885.9 $ 474.1 $ 285.1 $ 9,757.5 At June 30, 2024 Revolving Loans 2024 2023 2022 2021 2020 Prior Total Gross charge-offs: Customer retail: Fleet $ .1 $ .9 $ 2.1 $ .6 $ .8 $ 3.6 $ 8.1 Owner/operator .6 .7 .2 .2 .3 2.0 Total $ .1 $ 1.5 $ 2.8 $ .8 $ 1.0 $ 3.9 $ 10.1 At December 31, 2023 Revolving Loans 2023 2022 2021 2020 2019 Prior Total Amortized cost: Dealer: Wholesale: Performing $ 1,951.4 $ 1,951.4 Watch 1.9 1.9 $ 1,953.3 $ 1,953.3 Retail: Performing $ 280.7 $ 677.3 $ 467.2 $ 267.6 $ 135.2 $ 146.3 $ 106.6 $ 2,080.9 $ 280.7 $ 677.3 $ 467.2 $ 267.6 $ 135.2 $ 146.3 $ 106.6 $ 2,080.9 Total dealer $ 2,234.0 $ 677.3 $ 467.2 $ 267.6 $ 135.2 $ 146.3 $ 106.6 $ 4,034.2 Customer retail: Fleet: Performing $ 1,967.2 $ 1,244.9 $ 725.3 $ 453.3 $ 151.5 $ 38.9 $ 4,581.1 Watch 24.2 16.6 3.3 2.0 .5 .9 47.5 At-risk 2.4 4.0 4.5 2.0 .6 .1 13.6 $ 1,993.8 $ 1,265.5 $ 733.1 $ 457.3 $ 152.6 $ 39.9 $ 4,642.2 Owner/operator: Performing $ 151.8 $ 140.5 $ 130.5 $ 66.3 $ 24.5 $ 4.0 $ 517.6 Watch .9 1.9 1.1 .5 .2 4.6 At-risk .6 .8 .8 .2 .1 2.5 $ 153.3 $ 143.2 $ 132.4 $ 67.0 $ 24.8 $ 4.0 $ 524.7 Total customer retail $ 2,147.1 $ 1,408.7 $ 865.5 $ 524.3 $ 177.4 $ 43.9 $ 5,166.9 Total $ 2,234.0 $ 2,824.4 $ 1,875.9 $ 1,133.1 $ 659.5 $ 323.7 $ 150.5 $ 9,201.1 At June 30, 2023 Revolving Loans 2023 2022 2021 2020 2019 Prior Total Gross charge-offs: Customer retail: Fleet $ 1.6 $ .1 $ 1.7 Owner/operator .4 . 4 $ .1 .9 Total $ 2.0 $ .5 $ .1 $ 2.6 |
Summary of Amortized Cost Basis of Financing Receivables by Aging Category | The tables below summarize the amortized cost basis of the Company’s finance receivables by aging category. In determining past due status, the Company considers the entire contractual account balance past due when any installment is over 30 days past due. Substantially all customer accounts that were greater than 30 days past due prior to credit modification became current upon modification for aging purposes. Dealer Customer Retail Owner/ At June 30, 2024 Wholesale Retail Fleet Operator Total Current and up to 30 days past due $ 2,251.6 $ 2,065.5 $ 4,853.9 $ 518.7 $ 9,689.7 31 – 60 days past due 22.4 5.4 27.8 Greater than 60 days past due 37.1 2.9 40.0 $ 2,251.6 $ 2,065.5 $ 4,913.4 $ 527.0 $ 9,757.5 Dealer Customer Retail Owner/ At December 31, 2023 Wholesale Retail Fleet Operator Total Current and up to 30 days past due $ 1,953.3 $ 2,080.9 $ 4,589.2 $ 518.2 $ 9,141.6 31 – 60 days past due 45.3 4.8 50.1 Greater than 60 days past due 7.7 1.7 9.4 $ 1,953.3 $ 2,080.9 $ 4,642.2 $ 524.7 $ 9,201.1 |
Amortized Cost Basis for Finance Receivables that are on Non-accrual Status | The amortized cost basis of finance receivables that are on non-accrual status was as follows: Dealer Customer Retail Owner/ At June 30, 2024 Wholesale Retail Fleet Operator Total Amortized cost basis with a specific reserve $ 110.7 $ 2.8 $ 113.5 Amortized cost basis with no specific reserve 4.6 1.1 5.7 $ 115.3 $ 3.9 $ 119.2 Dealer Customer Retail Owner/ At December 31, 2023 Wholesale Retail Fleet Operator Total Amortized cost basis with a specific reserve $ 8.2 $ 1.8 $ 10.0 Amortized cost basis with no specific reserve 5.3 .8 6.1 $ 13.5 $ 2.6 $ 16.1 |
Interest Income Recognized on Cash Basis for Finance Receivables that are on Non-accrual Status | Interest income recognized on a cash basis for finance receivables that are on non-accrual status was as follows: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Fleet $ .6 $ .1 $ 1.0 $ .2 Owner/operator .1 .1 $ .6 $ .1 $ 1.1 $ .3 |
Transactions with PACCAR and _2
Transactions with PACCAR and Affiliates (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Related Party Transactions [Abstract] | |
Amounts Outstanding Including Foreign Finance Affiliates | Amounts outstanding at June 30, 2024 and December 31, 2023, including balances with foreign finance affiliates operating in the United Kingdom, the Netherlands, Mexico, Canada, Australia and Brasil, are summarized below: June 30 December 31 2024 2023 Due from PACCAR and affiliates Loans due from PACCAR $ 1,082.6 $ 1,016.0 Loans due from foreign finance affiliates 673.0 716.0 Receivables 21.8 18.7 $ 1,777.4 $ 1,750.7 Due to PACCAR and affiliates Tax-related payable due to PACCAR $ 3.6 $ 1.9 Payables 46.1 56.7 $ 49.7 $ 58.6 |
Stockholder's Equity (Tables)
Stockholder's Equity (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Components of Comprehensive Income | Comprehensive Income The components of comprehensive income are as follows: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Net income $ 30.0 $ 38.3 $ 59.2 $ 79.4 Other comprehensive (loss) income Derivative contracts (decrease) increase ( .7 ) 6.7 1.2 ( 1.5 ) Total comprehensive income $ 29.3 $ 45.0 $ 60.4 $ 77.9 |
Changes in and Reclassifications out of Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Income (Loss) Accumulated other comprehensive income (loss) (AOCI) of $ 12.2 and $ 11.0 at June 30, 2024 and December 31, 2023, respectively, is comprised of the unrealized net gain (loss) on derivative contracts, net of taxes. Changes in and reclassifications out of AOCI during the periods are as follows: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Balance at beginning of period $ 12.9 $ 10.2 $ 11.0 $ 18.4 Amounts recorded in AOCI Unrealized gain (loss) on derivative contracts 1.8 10.9 6.6 2.3 Income tax effect ( .4 ) ( 2.7 ) ( 1.6 ) ( .6 ) Amounts reclassified out of AOCI Interest and other borrowing costs ( 2.7 ) ( 2.0 ) ( 5.0 ) ( 4.3 ) Income tax effect .6 .5 1.2 1.1 Net other comprehensive (loss) income ( .7 ) 6.7 1.2 ( 1.5 ) Balance at end of period $ 12.2 $ 16.9 $ 12.2 $ 16.9 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Fair Value Measurements | The Company’s assets and liabilities subject to fair value measurements are as follows: June 30 December 31 Level 2 2024 2023 Assets: Impaired loans, net of specific reserves (2024 - $ 5.5 ) $ 28.9 Used trucks held for sale 23.9 $ 29.7 Derivative contracts 4.6 1.2 Liabilities: Derivative contracts $ 4.3 $ 5.2 |
Carrying Amount and Fair Value Fixed-Rate Loans and Fixed-Rate Debt | The Company’s estimate of fair value for fixed rate loans and debt that are not carried at fair value was as follows: June 30, 2024 December 31, 2023 Carrying Fair Carrying Fair Amount Value Amount Value Assets: Due from PACCAR $ 997.6 $ 976.4 $ 956.0 $ 941.7 Due from foreign finance affiliates 592.0 572.8 559.0 536.5 Fixed rate loans 5,542.0 5,522.2 5,380.4 5,324.4 Liabilities: Fixed rate debt $ 6,635.4 $ 6,555.8 $ 6,084.5 $ 6,005.8 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Balance Sheet Classification, Fair Value and Gross and Net Amounts of Derivative Financial Instruments | The following table presents the balance sheet classification, fair value and gross and net amounts of derivative financial instruments: June 30, 2024 December 31, 2023 Interest-rate contracts: Assets Liabilities Assets Liabilities Other assets $ 4.6 $ 1.2 Accounts payable, accrued expenses and other $ 4.3 $ 5.2 Gross amounts recognized in Balance Sheets 4.6 4.3 1.2 5.2 Less amounts not offset in financial instruments ( 2.3 ) ( 2.3 ) ( .4 ) ( .4 ) Pro forma net amount $ 2.3 $ 2.0 $ .8 $ 4.8 |
Amounts Recorded on Balance Sheets Related to Cumulative Basis Adjustments for Fair Value Hedges | The following table presents the amounts recorded on the Balance Sheets related to cumulative basis adjustments for fair value hedges: June 30 December 31 2024 2023 Medium-term notes: Carrying amount of the hedged liabilities $ 425.6 $ 76.4 Cumulative basis adjustment included in the carrying amount ( 4.4 ) ( 3.6 ) |
Amount of Expense (Income) on Cash Flow and Fair Value Hedges Recognized in Interest and Other Borrowing Costs on Statements of Comprehensive Income and Retained Earnings | The following table presents the amount of expense (income) on cash flow and fair value hedges recognized in Interest and other borrowing costs on the Statements of Comprehensive Income and Retained Earnings: Three Months Ended Six Months Ended June 30 June 30 2024 2023 2024 2023 Loss (gain) on fair value hedges Derivatives $ 5.6 $ .4 $ 2.4 $ ( 13.5 ) Hedged items ( 3.7 ) 1.6 1.4 16.7 Gain on cash flow hedges Reclassified from AOCI into income ( 2.7 ) ( 2.0 ) ( 5.0 ) ( 4.3 ) $ ( .8 ) $ ( 1.2 ) $ ( 1.1 ) |
Finance and Other Receivables_3
Finance and Other Receivables (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Retail loans | $ 5,323.2 | $ 5,028.2 | ||||
Retail financing leases | 1,720.2 | 1,710.4 | ||||
Dealer wholesale financing | 2,251.6 | 1,953.3 | ||||
Dealer master notes | 462.5 | 509.2 | ||||
Operating lease receivables and other | 53.6 | 65.3 | ||||
Total portfolio | 9,811.1 | 9,266.4 | ||||
Less allowance for credit losses | (64.3) | (61) | $ (61.3) | $ (61.7) | ||
Finance and other receivables, net | 9,746.8 | 9,205.4 | [1] | |||
Loans and Leases | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Less allowance for credit losses | (61.8) | (58.6) | ||||
Dealer | Wholesale | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Less allowance for credit losses | (1) | (1) | (0.9) | (1) | ||
Other | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Less allowance for credit losses | [2] | $ (1.5) | $ (1.4) | $ (1.1) | $ (1) | |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. Operating lease and other trade receivables. |
Finance and Other Receivables -
Finance and Other Receivables - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2024 USD ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2024 USD ($) Segment | Jun. 30, 2023 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accrued interest receivable, net of allowance for credit losses | $ 34,000,000 | $ 34,000,000 | $ 31,600,000 | |||
Financing Receivable, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets | Other assets | |||
Receivables more than 90 days past due still accruing | $ 0 | $ 0 | $ 0 | |||
Financing lease, interest income | 23,600,000 | $ 18,300,000 | $ 46,800,000 | $ 35,400,000 | ||
Number of portfolio segments | Segment | 2 | |||||
Effect on the allowance for credit losses | 64,300,000 | 61,300,000 | $ 64,300,000 | 61,300,000 | 61,000,000 | $ 61,700,000 |
Repossessed inventory | 19,100,000 | 19,100,000 | 18,300,000 | |||
Proceeds from sales of repossessed assets | 12,800,000 | 5,100,000 | ||||
Customer Retail | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Effect on the allowance for credit losses | 60,700,000 | 57,600,000 | $ 60,700,000 | $ 57,600,000 | $ 56,900,000 | $ 57,900,000 |
Extended Maturity | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Modifications extended contractual terms | 4 months | 3 months | ||||
Customers Experiencing Financial Difficulty | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Customers in financial difficulty | 72,400,000 | 800,000 | $ 72,400,000 | $ 800,000 | ||
Other than insignificant term extensions to fleet customers in financial difficulty | 72,000,000 | $ 72,000,000 | ||||
Financing receivable modification to retail portfolio | 1% | |||||
Finance receivables modified as TDRs | 800,000 | 100,000 | $ 800,000 | 100,000 | ||
Effect on the allowance for credit losses | $ 0 | $ 0 | $ 0 | $ 0 | ||
Minimum | Loans Receivable | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Contractual term of regular payment of principal and interest | 36 months | |||||
Maximum | Loans Receivable | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Contractual term of regular payment of principal and interest | 60 months | |||||
Maximum | Financing Receivable | Credit Concentration Risk | Financial Services | Total Portfolio Assets | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percentage of customers diversification in portfolio | 10% | 10% |
Allowance for Credit Losses (De
Allowance for Credit Losses (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | $ 61 | $ 61.7 | |||
Provision for losses | $ 6.1 | $ 0.8 | 13.2 | 1.4 | |
Charge-offs | (10.1) | (2.6) | |||
Recoveries | 0.2 | 0.8 | |||
Ending Balance | 64.3 | 61.3 | 64.3 | 61.3 | |
Dealer | Wholesale | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 1 | 1 | |||
Provision for losses | (0.1) | ||||
Ending Balance | 1 | 0.9 | 1 | 0.9 | |
Dealer | Retail | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 1.7 | 1.8 | |||
Provision for losses | (0.6) | (0.1) | |||
Ending Balance | 1.1 | 1.7 | 1.1 | 1.7 | |
Customer Retail | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 56.9 | 57.9 | |||
Provision for losses | 13.7 | 1.6 | |||
Charge-offs | (10.1) | (2.6) | |||
Recoveries | 0.2 | 0.7 | |||
Ending Balance | 60.7 | 57.6 | 60.7 | 57.6 | |
Other | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | [1] | 1.4 | 1 | ||
Provision for losses | [1] | 0.1 | |||
Recoveries | [1] | 0.1 | |||
Ending Balance | [1] | $ 1.5 | $ 1.1 | $ 1.5 | $ 1.1 |
[1] Operating lease and other trade receivables. |
Finance Receivables within Cred
Finance Receivables within Credit Quality Indicator and Portfolio Class (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | Jun. 30, 2023 |
Financing Receivable Recorded Investment [Line Items] | |||
Revolving Loans | $ 2,454 | $ 2,234 | |
2024 | 1,465.3 | 2,824.4 | |
2023 | 2,584.3 | 1,875.9 | |
2022 | 1,608.8 | 1,133.1 | |
2021 | 885.9 | 659.5 | |
2020 | 474.1 | 323.7 | |
Prior | 285.1 | 150.5 | |
Total | 9,757.5 | 9,201.1 | |
Dealer | |||
Financing Receivable Recorded Investment [Line Items] | |||
Revolving Loans | 2,454 | 2,234 | |
2024 | 279.1 | 677.3 | |
2023 | 649.4 | 467.2 | |
2022 | 424.3 | 267.6 | |
2021 | 212.8 | 135.2 | |
2020 | 114.8 | 146.3 | |
Prior | 182.7 | 106.6 | |
Total | 4,317.1 | 4,034.2 | |
Dealer | Wholesale | |||
Financing Receivable Recorded Investment [Line Items] | |||
Revolving Loans | 2,251.6 | 1,953.3 | |
Total | 2,251.6 | 1,953.3 | |
Dealer | Wholesale | Performing | |||
Financing Receivable Recorded Investment [Line Items] | |||
Revolving Loans | 2,247.8 | 1,951.4 | |
Total | 2,247.8 | 1,951.4 | |
Dealer | Wholesale | Watch | |||
Financing Receivable Recorded Investment [Line Items] | |||
Revolving Loans | 3.8 | 1.9 | |
Total | 3.8 | 1.9 | |
Dealer | Retail | |||
Financing Receivable Recorded Investment [Line Items] | |||
Revolving Loans | 202.4 | 280.7 | |
2024 | 279.1 | 677.3 | |
2023 | 649.4 | 467.2 | |
2022 | 424.3 | 267.6 | |
2021 | 212.8 | 135.2 | |
2020 | 114.8 | 146.3 | |
Prior | 182.7 | 106.6 | |
Total | 2,065.5 | 2,080.9 | |
Dealer | Retail | Performing | |||
Financing Receivable Recorded Investment [Line Items] | |||
Revolving Loans | 202.4 | 280.7 | |
2024 | 279.1 | 677.3 | |
2023 | 649.4 | 467.2 | |
2022 | 424.3 | 267.6 | |
2021 | 212.8 | 135.2 | |
2020 | 114.8 | 146.3 | |
Prior | 182.7 | 106.6 | |
Total | 2,065.5 | 2,080.9 | |
Customer Retail | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 1,186.2 | 2,147.1 | |
2023 | 1,934.9 | 1,408.7 | |
2022 | 1,184.5 | 865.5 | |
2021 | 673.1 | 524.3 | |
2020 | 359.3 | 177.4 | |
Prior | 102.4 | 43.9 | |
Total | 5,440.4 | 5,166.9 | |
Customer Retail | Gross Charge-Offs | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 0.1 | ||
2023 | 1.5 | ||
2022 | 2.8 | $ 2 | |
2021 | 0.8 | 0.5 | |
2020 | 1 | 0.1 | |
Prior | 3.9 | ||
Total | 10.1 | 2.6 | |
Customer Retail | Fleet | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 1,068.2 | 1,993.8 | |
2023 | 1,802 | 1,265.5 | |
2022 | 1,067.2 | 733.1 | |
2021 | 572.6 | 457.3 | |
2020 | 314.6 | 152.6 | |
Prior | 88.8 | 39.9 | |
Total | 4,913.4 | 4,642.2 | |
Customer Retail | Fleet | Performing | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 1,066.9 | 1,967.2 | |
2023 | 1,741.6 | 1,244.9 | |
2022 | 1,024.6 | 725.3 | |
2021 | 547.4 | 453.3 | |
2020 | 309.5 | 151.5 | |
Prior | 87.3 | 38.9 | |
Total | 4,777.3 | 4,581.1 | |
Customer Retail | Fleet | Watch | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 1.3 | 24.2 | |
2023 | 6.7 | 16.6 | |
2022 | 6.1 | 3.3 | |
2021 | 4.8 | 2 | |
2020 | 0.9 | 0.5 | |
Prior | 1.1 | 0.9 | |
Total | 20.9 | 47.5 | |
Customer Retail | Fleet | At-risk | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 2.4 | ||
2023 | 53.7 | 4 | |
2022 | 36.5 | 4.5 | |
2021 | 20.4 | 2 | |
2020 | 4.2 | 0.6 | |
Prior | 0.4 | 0.1 | |
Total | 115.2 | 13.6 | |
Customer Retail | Fleet | Gross Charge-Offs | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 0.1 | ||
2023 | 0.9 | ||
2022 | 2.1 | 1.6 | |
2021 | 0.6 | 0.1 | |
2020 | 0.8 | ||
Prior | 3.6 | ||
Total | 8.1 | 1.7 | |
Customer Retail | Owner/Oparator | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 118 | 153.3 | |
2023 | 132.9 | 143.2 | |
2022 | 117.3 | 132.4 | |
2021 | 100.5 | 67 | |
2020 | 44.7 | 24.8 | |
Prior | 13.6 | 4 | |
Total | 527 | 524.7 | |
Customer Retail | Owner/Oparator | Performing | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 116.9 | 151.8 | |
2023 | 131.5 | 140.5 | |
2022 | 114.4 | 130.5 | |
2021 | 98.2 | 66.3 | |
2020 | 43.3 | 24.5 | |
Prior | 13.2 | 4 | |
Total | 517.5 | 517.6 | |
Customer Retail | Owner/Oparator | Watch | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 1.1 | 0.9 | |
2023 | 0.6 | 1.9 | |
2022 | 1.5 | 1.1 | |
2021 | 1.5 | 0.5 | |
2020 | 0.7 | 0.2 | |
Prior | 0.2 | ||
Total | 5.6 | 4.6 | |
Customer Retail | Owner/Oparator | At-risk | |||
Financing Receivable Recorded Investment [Line Items] | |||
2024 | 0.6 | ||
2023 | 0.8 | 0.8 | |
2022 | 1.4 | 0.8 | |
2021 | 0.8 | 0.2 | |
2020 | 0.7 | 0.1 | |
Prior | 0.2 | ||
Total | 3.9 | $ 2.5 | |
Customer Retail | Owner/Oparator | Gross Charge-Offs | |||
Financing Receivable Recorded Investment [Line Items] | |||
2023 | 0.6 | ||
2022 | 0.7 | 0.4 | |
2021 | 0.2 | 4 | |
2020 | 0.2 | 0.1 | |
Prior | 0.3 | ||
Total | $ 2 | $ 0.9 |
Summary of Amortized Cost Basis
Summary of Amortized Cost Basis of Financing Receivables by Aging Category (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | $ 9,757.5 | $ 9,201.1 |
Current and up to 30 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 9,689.7 | 9,141.6 |
31 - 60 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 27.8 | 50.1 |
Greater than 60 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 40 | 9.4 |
Dealer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 4,317.1 | 4,034.2 |
Dealer | Wholesale | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 2,251.6 | 1,953.3 |
Dealer | Wholesale | Current and up to 30 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 2,251.6 | 1,953.3 |
Dealer | Retail | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 2,065.5 | 2,080.9 |
Dealer | Retail | Current and up to 30 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 2,065.5 | 2,080.9 |
Customer Retail | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 5,440.4 | 5,166.9 |
Customer Retail | Fleet | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 4,913.4 | 4,642.2 |
Customer Retail | Fleet | Current and up to 30 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 4,853.9 | 4,589.2 |
Customer Retail | Fleet | 31 - 60 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 22.4 | 45.3 |
Customer Retail | Fleet | Greater than 60 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 37.1 | 7.7 |
Customer Retail | Owner/Oparator | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 527 | 524.7 |
Customer Retail | Owner/Oparator | Current and up to 30 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 518.7 | 518.2 |
Customer Retail | Owner/Oparator | 31 - 60 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | 5.4 | 4.8 |
Customer Retail | Owner/Oparator | Greater than 60 days past due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivables, past due | $ 2.9 | $ 1.7 |
Amortized Cost Basis for Financ
Amortized Cost Basis for Finance Receivables that are on Non-accrual Status (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Amortized cost basis with a specific reserve | $ 113.5 | $ 10 |
Amortized cost basis with no specific reserve | 5.7 | 6.1 |
Total | 119.2 | 16.1 |
Customer Retail | Fleet | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Amortized cost basis with a specific reserve | 110.7 | 8.2 |
Amortized cost basis with no specific reserve | 4.6 | 5.3 |
Total | 115.3 | 13.5 |
Customer Retail | Owner/Oparator | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Amortized cost basis with a specific reserve | 2.8 | 1.8 |
Amortized cost basis with no specific reserve | 1.1 | 0.8 |
Total | $ 3.9 | $ 2.6 |
Interest Income Recognized on C
Interest Income Recognized on Cash Basis for Finance Receivables that are on Non-accrual Status (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Interest income recognized on cash basis for finance receivables that are on non-accrual status | $ 0.6 | $ 0.1 | $ 1.1 | $ 0.3 |
Fleet | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Interest income recognized on cash basis for finance receivables that are on non-accrual status | $ 0.6 | $ 0.1 | 1 | 0.2 |
Owner/Oparator | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Interest income recognized on cash basis for finance receivables that are on non-accrual status | $ 0.1 | $ 0.1 |
Transactions with PACCAR and _3
Transactions with PACCAR and Affiliates - Additional Information (Detail) $ in Millions | Jun. 30, 2024 USD ($) Facility |
Related Party Transaction [Line Items] | |
Required ratio of net earnings available for fixed charges to fixed charges | 125% |
Number of facilities leased by company | Facility | 5 |
Foreign Finance Affiliates | |
Related Party Transaction [Line Items] | |
Loans to foreign affiliates, upper limit | $ | $ 1,100 |
Amounts Outstanding Including F
Amounts Outstanding Including Foreign Finance Affiliates (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | |
Accounts Payable and Accrued Liabilities [Abstract] | |||
Due to PACCAR and affiliates | $ 49.7 | $ 58.6 | [1] |
Related Party [Member] | |||
Accounts, Notes, Loans and Financing Receivable, Unclassified [Abstract] | |||
Due from PACCAR and affiliates | 1,777.4 | 1,750.7 | |
Accounts Payable and Accrued Liabilities [Abstract] | |||
Due to PACCAR and affiliates | 49.7 | 58.6 | |
Related Party [Member] | Affiliated Entity [Member] | |||
Accounts, Notes, Loans and Financing Receivable, Unclassified [Abstract] | |||
Loans due from PACCAR/ foreign affiliates | 1,082.6 | 1,016 | |
Accounts Payable and Accrued Liabilities [Abstract] | |||
Tax-related payable due to PACCAR | 3.6 | 1.9 | |
Related Party [Member] | Foreign Finance Affiliates | |||
Accounts, Notes, Loans and Financing Receivable, Unclassified [Abstract] | |||
Loans due from PACCAR/ foreign affiliates | 673 | 716 | |
Related Party [Member] | Other Affiliates [Member] | |||
Accounts, Notes, Loans and Financing Receivable, Unclassified [Abstract] | |||
Receivables | 21.8 | 18.7 | |
Accounts Payable and Accrued Liabilities [Abstract] | |||
Payables | $ 46.1 | $ 56.7 | |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. |
Stockholder's Equity - Addition
Stockholder's Equity - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2024 | Dec. 31, 2023 | [1] | |
Equity [Abstract] | |||
Preferred stock dividend percentage | 6% | ||
Ownership percentage of PACCAR | 100% | ||
Accumulated other comprehensive (loss) income | $ 12.2 | $ 11 | |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. |
Components of Comprehensive Inc
Components of Comprehensive Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 30 | $ 38.3 | $ 59.2 | $ 79.4 |
Other comprehensive (loss) income | ||||
Derivative contracts (decrease) increase | (0.7) | 6.7 | 1.2 | (1.5) |
Total comprehensive income | $ 29.3 | $ 45 | $ 60.4 | $ 77.9 |
Changes in and Reclassification
Changes in and Reclassifications out of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning balance | [1] | $ 1,931.2 | |||
Interest and other borrowing costs | $ 97.8 | $ 64.1 | 187.5 | $ 117.2 | |
Income tax effect | (10) | (12.7) | (18.9) | (26.4) | |
Ending balance | 1,947 | 1,874.8 | 1,947 | 1,874.8 | |
Accumulated Gain (Loss) Net Cash Flow Hedge Parent | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning balance | 12.9 | 10.2 | 11 | 18.4 | |
Amounts recorded in AOCL related to Unrealized gain (loss) on derivative contracts, before tax | 1.8 | 10.9 | 6.6 | 2.3 | |
Amounts recorded in AOCL related to Unrealized gain (loss) on derivative contracts, income tax effect | 0.6 | 0.5 | 1.2 | 1.1 | |
Net other comprehensive (loss) income | (0.7) | 6.7 | 1.2 | (1.5) | |
Ending balance | 12.2 | 16.9 | 12.2 | 16.9 | |
Accumulated Gain (Loss) Net Cash Flow Hedge Parent | Amounts reclassified out of AOCI | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Interest and other borrowing costs | (2.7) | (2) | (5) | (4.3) | |
Income tax effect | $ (0.4) | $ (2.7) | $ (1.6) | $ (0.6) | |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. |
Assets and Liabilities Fair Val
Assets and Liabilities Fair Value Measurements (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Assets: | ||
Derivative contracts | $ 4.6 | $ 1.2 |
Liabilities: | ||
Derivative contracts | 4.3 | 5.2 |
Fair Value, Inputs, Level 2 | Fair Value Measurements, Nonrecurring | ||
Assets: | ||
Impaired loans, net of specific reserves | 28.9 | |
Used trucks held for sale | 23.9 | 29.7 |
Fair Value, Inputs, Level 2 | Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Assets: | ||
Derivative contracts | 4.6 | 1.2 |
Liabilities: | ||
Derivative contracts | $ 4.3 | $ 5.2 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Fair Value Measurements (Parenthetical) (Details) $ in Millions | Jun. 30, 2024 USD ($) |
Level 2 | Fair Value Measurements, Nonrecurring | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Impaired loans, specific reserves | $ 5.5 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Trucks Inventory | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Used truck impairments | $ 3.4 | $ 0.9 |
Carrying Amount and Fair Value
Carrying Amount and Fair Value for Fixed-Rate Loans and Debt (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | |
Assets: | |||
Due from PACCAR and affiliates | $ 1,777.4 | $ 1,750.7 | [1] |
Carrying Amount | |||
Assets: | |||
Fixed rate loans | 5,542 | 5,380.4 | |
Liabilities: | |||
Fixed rate debt | 6,635.4 | 6,084.5 | |
Carrying Amount | Foreign Finance Affiliates | |||
Assets: | |||
Due from PACCAR and affiliates | 592 | 559 | |
Carrying Amount | Related Party | |||
Assets: | |||
Due from PACCAR and affiliates | 997.6 | 956 | |
Fair Value | |||
Assets: | |||
Fixed rate loans | 5,522.2 | 5,324.4 | |
Liabilities: | |||
Fixed rate debt | 6,555.8 | 6,005.8 | |
Fair Value | Foreign Finance Affiliates | |||
Assets: | |||
Due from PACCAR and affiliates | 572.8 | 536.5 | |
Fair Value | Related Party | |||
Assets: | |||
Due from PACCAR and affiliates | $ 976.4 | $ 941.7 | |
[1] The December 31, 2023 balance sheet has been derived from audited financial statements. |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Interest rate derivative portfolio | $ 4.6 | |
Notional amount of interest-rate contracts | $ 591.6 | |
Interest-rate contracts maturity period | 9 years 8 months 12 days | |
Notional maturities for interest-rate contracts remainder of 2024 | $ 0 | |
Notional maturities for interest-rate contracts 2025 | 80 | |
Notional maturities for interest-rate contracts 2026 | 30 | |
Notional maturities for interest-rate contracts 2027 | 86.1 | |
Notional maturities for interest-rate contracts 2028 | 8.5 | |
Notional maturities for interest-rate contracts thereafter | $ 387 | |
Maximum length of time for which company is hedging its exposure to the variability in future cash flows | 9 years 8 months 12 days | |
Accumulated net gain on interest rate contracts included in AOCI expected to be reclassified to interest expense in the following 12 months | $ 8 | |
Cumulative basis adjustments on discontinued hedge relationships | $ (6.4) | $ (10.3) |
Derivative Financial Instrume_4
Derivative Financial Instruments - Balance Sheet Classification, Fair Value and Gross and Net Amounts of Derivative Financial Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Derivatives, Fair Value [Line Items] | ||
Assets gross amount recognized in balance sheets | $ 4.6 | $ 1.2 |
Less amounts not offset in financial instruments | (2.3) | (0.4) |
Pro forma net amount | 2.3 | 0.8 |
Liabilities gross amount recognized in balance sheets | 4.3 | 5.2 |
Less amounts not offset in financial instruments | (2.3) | (0.4) |
Pro forma net amount | $ 2 | $ 4.8 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Accounts payable, accrued expenses and other | Accounts payable, accrued expenses and other |
Interest Rate Contract | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Assets gross amount recognized in balance sheets | $ 4.6 | $ 1.2 |
Interest Rate Contract | Accounts Payable, Accrued Expenses and Other | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities gross amount recognized in balance sheets | $ 4.3 | $ 5.2 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Amounts Recorded on Balance Sheets Related to Cumulative Basis Adjustments for Fair Value Hedges (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Carrying amount of the hedged liabilities | $ 425.6 | $ 76.4 |
Medium-term Notes | ||
Derivative [Line Items] | ||
Cumulative basis adjustment included in the carrying amount | $ (4.4) | $ (3.6) |
Derivative Financial Instrume_6
Derivative Financial Instruments - Amount of Expense (Income) on Cash Flow and Fair Value Hedges Recognized in Interest and Other Borrowing Costs on Statements of Comprehensive Income and Retained Earnings (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
Derivatives | $ 5.6 | $ 0.4 | $ 2.4 | $ (13.5) |
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Interest And Other Borrowing Costs | Interest And Other Borrowing Costs | Interest And Other Borrowing Costs | Interest And Other Borrowing Costs |
Hedged items | $ (3.7) | $ 1.6 | $ 1.4 | $ 16.7 |
Reclassified from AOCI into income | (2.7) | $ (2) | (5) | (4.3) |
Total (income) and expense | $ (0.8) | $ (1.2) | $ (1.1) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate | 25% | 24.90% | 24.20% | 25% |