Columbus-based Cummins Inc. (NYSE: CMI) is reporting first quarter net income of $396 million, up from $321 million during the same period the previous year. The company says weak truck production in North America was offset by stronger demand from the construction and mining sectors.
Higher sales from a distributor acquisition in the fourth quarter also contributed to the strong earnings report. Cummins says first quarter revenues also increased 7 percent to $4.6 billion.
Chief Executive Officer Tom Linebarger touted the company’s $600 million joint venture with Eaton Corp. PLC (NYSE: ETN). "This new venture will design, develop and produce the next generation of Automated Transmissions which will be fully integrated with our engine development to deliver up to an additional 7 percent improvement in fuel economy. The joint venture will benefit from the continuing shift away from fully manual transmissions in commercial vehicles, launch new products that will gain market share, leverage Cummins’ strong presence in international markets for growth and generate aftermarket sales."
Cummins also highlighted other accomplishments from the first quarter, including being named among the "World’s Most Ethical Companies" and the announcement of its initiative to cut water use in half at all Cummins facilities.
You can connect to the full first quarter earnings report by clicking here.