© Reuters
(Reuters) -U.S. industrial firm Cummins Inc (NYSE:) on Tuesday reported better-than-expected quarterly results, helped by robust demand for its diesel and natural gas-powered engines used in heavy vehicles.
Cummins, which benefited from higher demand for trucks amid a boom in the e-commerce sector and a rising preference for personal vehicles, reported a jump of 75% in the engine segment’s sales, its biggest unit.
The company’s large customers PACCAR Inc (NASDAQ:), Navistar (NYSE:), Daimler AG (DE:) and Chrysler have also reported strong quarterly results.
Net income for the second quarter ended July 4 rose to $600 million, or $4.10 per share, from $276 million, or $1.86 per share, a year earlier. Analysts on average had expected a profit of $4.05 per share, according to Refinitiv IBES data.
Columbus, Indiana-based Cummins’ net sales rose 58.6% to $6.11 billion, its highest since 2019 and above analysts’ expectations of about $6 billion.
The company also said it was exploring options for its filtration unit, which generated sales of about $1.2 billion in 2020.
Shares of Cummins were up 1.7% in premarket trade.
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