Executive Summary

Q2 results modestly down YoY but resilient in a difficult market; revenue $1.931B and diluted EPS $0.90 vs $2.027B and $0.97 in Q2’24, with aftermarket strength, stable used, and record leasing revenue offsetting softer new Class 8 demand .
Both revenue and EPS beat S&P Global consensus (Rev: $1.931B vs $1.889B*; EPS: $0.90 vs $0.80*), aided by aftermarket stability and medium-duty share gains; note limited estimate depth (1 estimate) increases uncertainty .
Management raised the quarterly dividend to $0.19 (+5.6% QoQ) and repurchased $83.9M in Q2 (total $121.4M of the $200M authorization), highlighting capital return despite macro uncertainty .
Near‑term outlook: aftermarket expected “stable with potential for modest growth” in Q3; Class 8 new sales may decrease sequentially on trade/policy and emissions-regs uncertainty; medium-duty expected similar to Q2 levels .

What Went Well and What Went Wrong

What Went Well
- Aftermarket resilience: parts, service and collision center revenue $636.3M (+1.4% YoY) and absorption ratio 135.5% (vs 134.0% LY); “parts and service revenues reached their highest level in the past 12 months” .
- Leasing & rental record revenue: $93.1M (+6.3% YoY), with lower fleet age reducing operating costs; management “confident [lease and rental] will remain strong throughout 2025” .
- Medium‑duty (Class 4–7) outperformance: 3,626 units sold in U.S. (+1.0% YoY) vs market down 8.4% YoY; share at 6.2% with Ready‑to‑Roll inventory a key differentiator .
What Went Wrong
- New Class 8 softness: 3,178 U.S. units (‑20.3% YoY), market share 5.4%; tough comp vs large deliveries in Q2’24 and ongoing fleet caution amid freight recession .
- Macro/regulatory overhang: management cites uncertainty around U.S. trade policy and engine emissions regulations causing customers to delay acquisition and maintenance decisions .
- Financing constraints for used buyers: while used pricing stabilized, “financing environment remains challenging for many buyers” .

Financial Results

Headline results vs prior periods and consensus

Metric	Q2 2024	Q1 2025	Q2 2025
Revenue ($USD Billions)	$2.027	$1.851	$1.931
Diluted EPS ($)	$0.97	$0.73	$0.90
Gross Profit ($MM)	$392.4	$357.8	$379.7
Gross Margin (%)	19.35% (calc.)	19.33% (calc.)	19.67% (calc.)
Operating Income ($MM)	$124.5	$91.9	$110.2
Operating Margin (%)	6.14% (calc.)	4.96% (calc.)	5.71% (calc.)

Actual vs S&P Global consensus (Q2 2025)

Metric	Consensus	Actual
Revenue ($USD Billions)	$1.889*	$1.931
Diluted EPS ($)	$0.80*	$0.90
# of Estimates (Rev / EPS)	1 / 1*	—

Values retrieved from S&P Global*

Segment revenue mix (GAAP)

Revenue Component ($MM)	Q2 2024	Q2 2025
New & Used Vehicle Sales	$1,300.3	$1,191.5
Parts & Service	$627.4	$636.3
Lease & Rental	$87.6	$93.1
Finance & Insurance	$5.9	$5.6
Other	$5.7	$4.3
Total Revenue	$2,027.0	$1,930.7

Unit deliveries

Deliveries (Units)	Q2 2024	Q2 2025
New Heavy‑Duty (Class 8)	4,128	3,259
New Medium‑Duty (Class 4–7)	3,691	3,803
New Light‑Duty	537	703
Used Vehicles	1,723	1,715

KPIs

KPI	Q2 2024	Q1 2025	Q2 2025
Absorption Ratio	134.0%	128.6%	135.5%
Parts & Service Revenue ($MM)	$627.4	$619.1	$636.3
Lease & Rental Revenue ($MM)	$87.6	$90.3	$93.1

Capital returns and balance sheet highlights

Item	Q2 2025
Dividend declared per share	$0.19 (+5.6% QoQ)
Share repurchases	$83.9M in Q2; $121.4M total of $200M authorization
Cash & Cash Equivalents	$211.1M (6/30/25)
Adjusted Net (Cash) Debt	$(207.6)M (Non‑GAAP)

Guidance Changes

Metric	Period	Previous Guidance (from Q1 2025)	Current Guidance (Q2 2025)	Change
Aftermarket revenue run‑rate	Q3 2025	“Slight improvement in Q2 vs Q1; monitoring tariffs; added techs”	“Remain stable with potential for modest growth”	Maintained/slightly raised
New Class 8 sales	Q3 2025	“Slight improvement in Q2 on fleet timing; 2H uncertain”	“May decrease sequentially in Q3; uncertainty on trade/emissions”	Lowered near‑term
New Class 4–7 sales	Q3 2025	Outperform market; steady with Ready‑to‑Roll	“Expect Q3 similar to Q2”	Maintained
Used trucks	Q3 2025	Demand soft; inventory appropriate	“Q3 used performance in line with Q2; financing remains challenging”	Maintained
Leasing & rental	FY 2025	“Remain strong; utilization to improve”	“Remain strong throughout 2025; record revenue in Q2”	Maintained/affirmed
Dividend	Q3 2025 payment	$0.18 declared in Q1	$0.19 declared (payment Sept 12)	Raised

Earnings Call Themes & Trends

Topic	Q4 2024 (Feb-2025)	Q1 2025 (May-2025)	Q2 2025 (Jul-2025)	Trend
Tariffs / Trade policy	Warned tariffs could raise truck/parts costs and weigh on demand	“Primary blind spot” for 2H; short visibility windows	Ongoing uncertainty; customers delaying purchases	Uncertainty persistent
Emissions regulations	Expected diesel changes proceed; broader GHG timelines likely pushed out; potential pre‑buy later	45‑day window for clarity; pre‑buy magnitude uncertain	Lack of clarity continues to weigh on orders	Visibility limited
Aftermarket	Soft early ’25 then improve as freight recovers	Sequential improvement in Q2; expand techs/salesforce	Stable with potential modest growth in Q3; 12‑mo high in Q2	Stabilizing
Class 8 OTR vs vocational	OTR weak; vocational/public sector strong	OTR weak; expect slight Q2 improvement; vocational strong	Vocational strong; new Class 8 may decrease sequentially in Q3	Mixed; OTR still weak
Medium‑duty (4–7)	Outperformed market; backlog normalized	Outperformed; Ready‑to‑Roll strategy	Grew units +1% vs ‑8.4% market; expect similar Q3	Positive/share gains
Used truck market	Stable valuations; credit tight	Soft demand; inventory set for seasonality	Pricing stabilized; financing remains challenging	Stabilized but credit tight
SG&A discipline	Strong G&A control; aim to keep 40–50% of back-end gross in ramp	Expense management offset absorption pressure	Emphasis on operational efficiency	Ongoing discipline

Management Commentary

“Considering the difficult operating environment, I am pleased with the financial results our team delivered in the second quarter… focused on managing expenses, driving operational efficiency and executing our strategic priorities.” — W.M. “Rusty” Rush, Chairman, CEO & President .
“Looking toward the third quarter, we expect aftermarket performance to remain stable, with potential for modest growth… [but] potential changes in U.S. trade policy may have a material impact” .
“We significantly outperformed the [Class 4–7] market and increased market share… our Ready‑to‑Roll inventory program was a key differentiator” .
“We believe new Class 8 sales may decrease sequentially in the third quarter,” citing uncertainty on trade and emissions regulations .
“Rush Truck Leasing delivered strong results… reaching record revenues… we are confident that our lease and rental results will remain strong throughout 2025” .

Q&A Highlights

Note: The Q2 2025 call transcript was not available in our document set; below are top themes from the Q1 2025 Q&A for context:

Near-term outlook and demand visibility: management emphasized short visibility windows due to shifting tariffs and emissions regulation timing; expecting only slight sequential improvements in Q2 with 2H still uncertain .
Aftermarket cadence: sequential improvement vs Q1; seasonal patterns and staffing actions (added techs) to reduce dwell times .
SG&A discipline: continued focus on G&A containment; inflation pressures remain, but aim to flex expenses with activity .
Financing environment: credit available for strong customers; subprime limited; limited broad-based discounting expected .
Capital allocation: M&A preferred use of cash; ongoing buybacks and dividend increases; ample liquidity and extended credit lines .

Estimates Context

RUSHA beat limited-consensus S&P Global estimates in Q2 2025: revenue $1.931B vs $1.889B* and EPS $0.90 vs $0.80*; only 1 estimate for each metric reduces confidence in breadth of consensus. Potential upward revisions likely focused on medium‑duty, lease & rental, and aftermarket stability, while Class 8 assumptions for Q3 may be trimmed given management’s sequential decline commentary .
Values retrieved from S&P Global*

Key Takeaways for Investors

Mix resilience offsets Class 8 softness: aftermarket, medium‑duty share gains, and record leasing revenue cushioned revenue and EPS, resulting in a beat vs S&P Global consensus .
Near‑term caution on Class 8: management flagged possible sequential decline in Q3 amid trade/emissions uncertainty—trim Q3 Class 8 unit/GM assumptions and bias mix toward vocational and medium‑duty .
Aftermarket stabilizing: 12‑month high in parts & service and 135.5% absorption suggest floor forming; model modest Q3 growth with stable margins .
Capital returns intact: dividend raised to $0.19 and $83.9M buybacks in Q2; balance sheet remains net cash on an adjusted basis—supports downside protection and multiple .
Estimate implications: increase FY lease & rental and medium‑duty revenue; hold aftermarket margin stable; reduce Q3 Class 8 volume and blended new-vehicle margin assumptions; maintain FY FCF strength given working capital dynamics .
Watch policy catalysts: concrete tariff/emissions clarity could unlock orders late 2025; absent clarity, expect hand‑to‑mouth ordering and continued mix dependence .

Appendix: Additional Context and Data

Industry/market context cited by management and ACT Research

U.S. Class 8 Q2’25 retail: 58,625 units (‑0.6% YoY); RUSHA U.S. Class 8 share 5.4% (3,178 units); ACT forecasts 221,400 for 2025 (‑10.5% YoY) .
U.S. Class 4–7 Q2’25 retail: 58,176 units (‑8.4% YoY); RUSHA U.S. Class 4–7 share 6.2% (3,626 units); ACT forecasts 231,300 for 2025 (‑10.2% YoY) .

Non‑GAAP and cash flow highlights

Adjusted Net (Cash) Debt: $(207.6)M at 6/30/25; Adjusted EBITDA TTM: $442.7M (ex FPNP/L&RF interest); Adjusted FCF TTM: $664.7M .

Citations

Q2 2025 results press release and financial tables:
Q2 2025 Form 8‑K (Item 2.02 and Exhibit 99.1):
Q1 2025 press release and call:
Q4 2024 press release and call: