Cummins’ 3Q Income Drops on Lower Engine Demand

Cummins Inc. said its third-quarter profit slipped from a year ago on lower engine demand.

Heavy-duty truck engine sales dropped to $656 million, from $748 million a year ago.

Net income dropped to $352 million, or $1.86 per share, from $452 million, or $2.35, a year ago. Revenue fell 11% to $4.1 billion.

Overall engine sales fell 14% to $2.5 billion, with segment earnings before interest and taxes dropping to $239 million from $349 million. Component segment sales were down 8% to $938 million.

Demand has dropped sharply over the last three months, according to Cummins, on customer uncertainty in most geographical markets.

Cummins said it expects its full-year revenue to be $17 billion.