Cummins Sinks After Trimming Annual Forecast, Earnings Miss
- Company to cut 2,000 jobs to save as much as $200 million
- Sales in key markets of China and Brazil at multiyear lows
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Cummins Inc. fell the most in more than three years after third-quarter profit trailed analysts’ estimates and the company reduced its annual sales forecast because of weakening demand for its heavy-duty engines.
The company also said it’s cutting 2,000 jobs as part of a plan to save as much as $200 million a year. And Chief Financial Officer Pat Ward said on a conference call that Cummins will resume share buybacks this quarter. Its board authorized a $1 billion repurchase program in July 2014.