Cummins Q1 Profit Rises, But Misses View; Backs 2015 Outlook - Quick Facts

(RTTNews) - Cummins, Inc. (CMI) reported that net income attributable to the company for the first quarter increased to $387 million or $2.14 per share from $338 million or $1.83 per share in the prior-year quarter.

Excluding items, adjusted net income for the quarter was $369 million or $2.04 per share, compared to $338 million or $1.83 per share in the year-ago quarter.

On average, 26 analysts polled by Thomson Reuters expected the company to report earnings of $2.14 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the quarter increased 7 percent to $4.71 billion from $4.41 billion in the same quarter last year. Wall Street expected revenues of $4.54 billion for the quarter.

The increase in revenues year-over-year was driven by stronger demand in on-highway markets and distributor acquisitions in North America. Currency negatively impacted revenues by 3 percent compared to last year, primarily due to a stronger U.S. dollar.

Looking ahead to fiscal 2015, Cummins affirmed its outlook for revenue growth of 2 and 4 percent. Street is currently looking for full-year 2015 revenue growth of 3.30 percent to $19.85 billion.

The company expects full-year EBIT to be in the range of 13.5 to 14.0 percent of sales.