Really this company exemplifies everything that is going on in the globe - "meh" results in America, Asia carrying the world. Dupont (DD) was also similarly set up this morning - a big beat, with Asia taking the lead and Europe even doing better than the U.S. (again I call on the parade of pundits who showed up on CNBC in 2008 and 2009 to utilize first grade logic of "first in, first out... therefore the U.S. will lead the global recovery" to have the cajones to say "I screwed up". It *is* different this time) Looks like we're headed to S&P 1130.
Cummins beats by $0.34, beats on revs (CMI) 77.85 :
Reports Q2 (Jun) earnings of $1.25 per share, $0.34 better than the Thomson Reuters consensus of $0.91; revenues rose 29.5% year/year to $3.21 bln vs the $2.84 bln consensus. The sales gains were led by the Company's Engine and Components segments, which each reported 45 percent sales improvements compared to the same period in 2009. Power Generation sales increased 16 percent, while Distribution sales rose 24 percent.
Cummins was in Chindia way before it was fashionable and is reaping the rewards, despite being in a quite old fashioned business. They now have reduced U.S. sales to a almost one third of revenue... boo yah.
- The company, which makes engines and power generation equipment, said sales outside the United States, which account for nearly two-thirds of its annual revenue, jumped 51 percent during the quarter.
- That strength, which it said was concentrated in places like China, India and Brazil, helped offset continued weakness in the North American commercial truck market.
- Cummins also raised its forecast for the full-year, saying it now expects to report earnings before interest and taxes of 12 percent of sales on revenue of $13 billion.
[Sep 23, 2007: Stock to Watch: Cummings Hitting on all Cylinders]
[Feb 11, 2009: WSJ - Cummins Engine Shifts Gears Amid Stall]
No position, unfortunately