Last edit by Talino on Apr 17, '09 Apr 23, '09 Occupation: Sep 25, '09 Occupation: Creative scheduling and you have to really watch to make sure these are closed on time since you are completing so close to when your R2b has to be. I developed this along with a few other creative scheduling things and have created so much additional money that our corporation has implemented this corporate wide for states with Case Mix.
Norman Thomas Linebarger - Cummins, Inc. Patrick Joseph Ward - Cummins, Inc. Richard Joseph Freeland - Cummins, Inc. At this time, all participants are in a listen-only mode.
Later, we will conduct a question-and-answer session, and cmi meaning business plan will be given at that time. As a reminder, this call is recorded.
Mark Andrew Smith - Cummins, Inc. Good morning, everyone, and welcome to our teleconference today to discuss Cummins results for the first quarter of Before we start, please note that some of the information you will hear or be given today will consist of forward-looking statements within the meaning of the Securities and Exchange Act Such statements express our forecasts, expectations, hopes, beliefs and intentions on strategies regarding the future.
Our actual future results could differ materially from those projected in such forward-looking statements because of a number of risks and uncertainties. More information regarding such risks and uncertainties is available in the forward-looking disclosure statement in our slide deck and our filings with the Securities and Exchange Commission, particularly the Risk Factors section of our most recently filed annual report on Form K and any subsequently filed quarterly report on Q.
During the course of this call, we will be discussing certain non-GAAP financial measures and we refer you to our website for the reconciliation of those measures to GAAP financials. Pat will then take you through more details of both our first quarter financial performance and our forecast for the full year.
The charge was shared between the Engine and Components segments. This voluntary campaign is part of a proactive plan to address the performance of an aftertreatment component in certain on-highway products produced between and in North America.
We disclosed in our third quarter earnings release that we identified an issue caused by the degradation of performance of this aftertreatment component and that further analysis was required to understand the extent of the problem and the appropriate remedy.
The product campaign recorded in the first quarter represents the next step in our process to proactively address this aftertreatment degradation issue. We are working collaboratively with the regulatory agencies and we will need to get agreement from the agencies to finalize our action plans and only then we will know the full cost and timing to resolve the problem.
The strong operating performance in our manufacturing plants, positive pricing and the benefits of material cost reduction initiatives all contributed to the improved performance. Increased production and strong market share in North America truck markets and strong demand from global construction customers, especially in China and North America, drove most of the growth.
Improved pricing, strong performance from our manufacturing plants, and lower operating expenses as a percent of sales, drove the margin expansion. We do expect EBITDA to improve in dollars and as a percent of sales in the second quarter as a result of stronger parts sales, targeted price increases and cost control measures.
The improved margins resulted from strong operational performance and the benefits of material cost reduction programs.
Sales of power generation products improved year-over-year for the third straight year — third straight quarter. The benefits of stronger volumes, cost reduction programs, better execution on power generation projects and stronger joint venture earnings in China all contributed to the margin expansion.
In the first quarter, we reported results of our electrified powertrain business for the first time. Now, I will comment on the performance in some of our key markets for the first quarter ofstarting with North America.
We expect the first quarter to mark the low point for our market share with improvement expected in subsequent quarters. Now, let me provide our overall outlook for and then comment on individual regions and end markets. We expect our engine shipments for pickup trucks in North America to be flat for the full year compared to a very strong We have raised our outlook for medium- and heavy-duty truck market demand slightly to 1.
In the light-duty truck market, we expect demand to be flat inin line with our previous guidance. Demand in several of our core markets is improving, our products are performing well and we are excited about the investments we are making for the future. Now, let me turn it over to Pat.
Thank you, Tom, and good morning, everyone. I will then provide an update on our outlook for the rest of the year. Sales increased in each of our operating segments primarily driven by stronger demand in global on-highway, construction, mining and oil and gas markets.
Gross margins were The campaign charge negatively impacted our gross margin by basis points. This offset the benefits realized from stronger volumes, favorable pricing, material cost reductions and our lower base warranty rate.
EBITDA as a percent of sales declined primarily due to the campaign charge, which more than offset the positive impact of higher sales, favorable pricing and cost improvements referred to earlier.In a solemn sermon at the Vatican, Pope Francis has announced that Christmas this year will be a "charade" due to the fact that the globe is currently engaging in World War 3.
Below is a list of case studies from Business Case Studies organised by Topic where we have teaching resources available. Choose your sub topic by clicking the arrowed links below your selected business studies topic heading. Kenya's geographical and topographical diversity yields a variety of climates, including a warm and humid coastline, temperate savannah grasslands in the interior, temperate and forested hilly areas in the west, arid and semi-arid areas near the Somali border and Lake Turkana, and an Equatorial climate around Lake Victoria, the world's largest tropical freshwater lake.
CMI designs, modernizes and maintains equipment in the domains of energy, defense, industry, the environment and railways. Read the CMI Content Marketing Framework, which outlines the essential building blocks for a successful content marketing program.
Looking for some content marketing examples? Download our Ultimate e-book: 75 Content Marketing Examples. Below is a list of case studies from Business Case Studies organised by Topic where we have teaching resources available.
Choose your sub topic by clicking the arrowed links below your selected business studies topic heading.