Cummins Inc tallies $73 million in earnings for 2002

March 1, 2003
Cummins Inc has reported earnings for the year ended Dec 31, 2002, of $73 million on sales of $5.85 billion, compared to a loss of $102 million on sales

Cummins Inc has reported earnings for the year ended Dec 31, 2002, of $73 million on sales of $5.85 billion, compared to a loss of $102 million on sales of $5.68 billion for 2001.

Net earnings in fourth-quarter 2002 were $47 million, compared with $3 million in fourth-quarter 2001.

For the full year, Cummins recorded sales of $5.85 billion, compared with sales of $5.68 billion in 2001, a 3% increase. For the fourth quarter, Cummins tallied sales of $1.41 billion, reflecting decreased sales in most North American automotive markets and the Power Generation Business, partially offset by higher sales in the Dodge Ram business.

The Engine Business Unit dramatically improved its results during 2002, going from a $91-million loss before interest and taxes in 2001 to a profit of $28 million before interest and taxes on a sales increase of $314 million. This unit recorded a loss for the quarter due to the significant drop in demand in many markets after the Oct 1, 2002, emission standards change in the United States.