Cummins posts record results for quarter, 2011

  • Comments
  • Print
Listen to this story

Subscriber Benefit

As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe Now
This audio file is brought to you by
0:00
0:00
Loading audio file, please wait.
  • 0.25
  • 0.50
  • 0.75
  • 1.00
  • 1.25
  • 1.50
  • 1.75
  • 2.00

Cummins Inc. reported record results for 2011, earning $1.85 billion on revenue of $18 billion.

The Columbus-based diesel engine maker released its fourth-quarter and full-year earnings before markets opened Thursday.

Annual revenue rose 36 percent from the previous year and earnings rose 85 percent.

"Cummins had its best year ever in 2011, despite economic uncertainty in a number of regions," CEO Tom Linebarger said in a prepared statement. He noted that U.S. revenue was up 53 percent, while international revenue grew 27 percent. He said the company saw record revenue for the year in North America, Brazil, China and India.

Linebarger predicted that revenue will grow another 10 percent this year. He said he expects the company to reach $30 billion in sales by 2015.

Fourth-quarter revenue of $4.9 billion was up 19 percent from the prior year. It marked a new quarterly record for the company.

Earnings for the quarter were $548 million, or $2.86 per share. Excluding the sale of a light-duty filtration business and a flood-insurance settlement payment, income was $491 million, or $2.56 per share.

Fourth-quarter results were driven by higher demand in North American truck, construction, power generation, and oil and gas markets. Cummins said it also saw strong growth in global mining markets. Those markets offset weaker demand in China's construction industry and for power generation in India.

Cummins shares were up more than 6.6 percent, to $112.86 each, in early trading Thursday.

Please enable JavaScript to view this content.

Story Continues Below

Editor's note: You can comment on IBJ stories by signing in to your IBJ account. If you have not registered, please sign up for a free account now. Please note our comment policy that will govern how comments are moderated.

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In