PACCAR Inc. reported consolidated earnings results for the fourth quarter and year ended December 31, 2017. For the quarter, the company reported net sales and revenues of $5,122.4 million compared to $3,767.0 million for the same period in 2016. Total income before income taxes was $604.3 million against $418.9 million a year ago. Net income was $589.2 million against $288.8 million a year ago. Net income per basic and diluted share was $1.67 against $0.82 a year ago. Adjusted net income was $415.8 million or $1.18 per diluted share.

For the year, the company reported net sales and revenues of $18,187.5 million compared to $15,846.6 million for the same period in 2016. Total Income before income taxes was $2,173.3 million against $1,130.4 million a year ago. Net income was $1,675.2 million against $521.7 million a year ago. Net income per diluted share was $4.75 against $1.48 a year ago. Net cash provided by operating activities was $2,715.8 million against $2,300.8 million a year ago. Payments for property, plant and equipment was $423.4 million against $375.2 million a year ago. Acquisitions of equipment for operating leases were $1,423.2 million against $1,589.7 million a year ago. Adjusted net income was $1,501.8 million against $1,354.7 million a year ago. Adjusted net income per diluted share was $4.26 against $3.85 a year ago.

The company provided financial guidance for fiscal year 2018. For the year, the company estimate that effective tax rate will be 23% to 25% compared to an effective tax rate of approximately 31% prior to the new law. The company plans to increase research and development spending to a range of $280 million to $310 million and capital expenditures to a range of $425 million to $475 million.