Significant Equity Method Investees

9 Months Ended

Sep. 30, 2020

Significant Equity Method Investees

Significant Equity Method Investees

4. Significant Equity Method Investees

We hold a 28.9% ownership interest in Penske Truck Leasing Co., L.P. (“PTL”), a leading provider of transportation and supply chain services. Penske Transportation Solutions (“PTS”) is the universal brand name for PTL’s various business lines. Our investment in PTS is accounted for using the equity method of accounting. PTS equity earnings represent a significant portion of our consolidated pre-tax income. We recorded $108.0 million and $106.0 million during the nine months ended September 30, 2020, and 2019, respectively, on our statements of income under the caption “Equity in earnings of affiliates” related to earnings from PTS investment.

Unaudited summarized income statement information for PTS for the nine months ended September 30, 2020, and 2019 is as follows:

	Nine Months Ended September 30,
	2020		2019
Revenues	$	6,542	$	6,701
Gross profit		1,430		1,397
Income from continuing operations		373		367
Net income		373		367