Truck and auto components maker Eaton Corp.’s first-quarter profit rose 8% as its truck unit’s sales improved 10%, the company said Monday.
Net income rose to $311 million, or 91 cents per share, from $287 million, or 83 cents, a year ago. Revenue rose 4% to a record $4 billion, from $3.8 billion.
Its truck segment’s sales rose to $631 million, as truck markets rose 11%, Eaton said in a statement. The unit’s operating profit climbed 29% to $116 million.
“U.S. truck markets continued their rapid growth in the first quarter, with Nafta Class 8 production growing 50% compared to the first quarter in 2011 and 3% over the fourth quarter of 2011,” said CEO Alexander Cutler. “Our non-U.S. markets declined 7%, driven by lower production in Brazil following the prebuy at the end of 2011.”
Eaton said it now expects its truck markets to grow 7% in 2012, down from its previous estimate of 9%, Cutler said.
Automotive segment sales declined 4% to $426 million, with an operating profit of $44 million, down 12% from a year ago. Global auto markets rose 4%.