Cummins profit up 20%; revenue forecast raised

COLUMBUS, Ind. (Reuters) -- Cummins Inc posted a 20 percent increase in its first-quarter profit and raised its full-year forecast as strong demand for its engines and vehicle components in North America offset weakness in many other parts of the world.

The company, which makes diesel engines, fuel and air controls, as well as electrical power generators, reported a first-quarter profit of $338 million, or $1.83 a share, up from $282 million, or $1.49 a share, a year ago.

Sales rose 12 percent to $4.4 billion, driven by a 25 percent jump in North American revenues, which offset flat international sales.

Analysts, on average, expected Cummins to report a profit of $1.67 a share.

The company also said it now expects full-year sales to increase in a range of between 6 percent and 10 percent, up from a previous range of between 4 percent and 8 percent.

0

Shares

ATTENTION COMMENTERS: Over the last few months, Automotive News has monitored a significant increase in the number of personal attacks and abusive comments on our site. We encourage our readers to voice their opinions and argue their points. We expect disagreement. We do not expect our readers to turn on each other. We will be aggressively deleting all comments that personally attack another poster, or an article author, even if the comment is otherwise a well-argued observation. If we see repeated behavior, we will ban the commenter. Please help us maintain a civil level of discourse.

Newsletters