Abby Yarolovich's questions to Rush Enterprises Inc (RUSHA) leadership • Q1 2025
Question
Abby Yarolovich asked whether customer purchasing hesitancy stems more from price uncertainty due to tariffs or from broader macroeconomic uncertainty impacting their own revenues. She also inquired about the potential for demand destruction from higher truck prices and sought an update on the likelihood of low NOx regulations being implemented.
Answer
W. Rush, Chairman, CEO, and President, responded that customer hesitancy is driven by both factors, but primarily by the health of their own business. He noted that a prolonged freight recession and an oversupply of trucks are significant headwinds. Regarding regulations, Rush believes new emissions standards will be implemented but will likely be less stringent than originally proposed, which could reduce the urgency of a pre-buy cycle. He emphasized that the company is prepared to navigate the uncertain environment regardless of the outcome.