Cummins Inc. said Tuesday its first-quarter profit jumped to $149 million, or 75 cents a share, from $7 million, or 4 cents, a year ago.
Sales rose 2% to $2.48 billion, the diesel engine maker said in a statement.
Cummins reported weaker engine demand in North America, with medium- and heavy-duty truck and bus engine shipments down 80% from a year ago and about 90% from the fourth quarter.
Demand in the North American on-highway engine markets is expected to remain weak through the end of the second quarter before gradually improving in the second half of the year, Cummins said.
Overall engine sales fell 5% to $1.42 billion, while earnings before interest and taxes were $133 million, up from a loss of $16 million a year ago.
Worldwide heavy-duty truck segment revenue fell 36%; medium-duty truck and bus revenue decreased 5%. Total on-highway sales decreased 13%.
Sales to the light-duty automotive market rose 33% on the launch of 2010 model year Dodge Ram pickup, while industrial sales increased 24%, the company said.
Cummins says it expects its earnings before interest and taxes margin to be 10% on sales of $12 billion, up from an earlier forecast of 7% on sales of $11 billion, Reuters reported.
