Cummins Westport, a joint venture between
Westport Innovations Inc.
), revealed that its ISX12 G engine has received a certificate
from the U.S. Environmental Protection Agency (EPA). The engine
met both the EPA 2013 regulations and the new greenhouse gas and
fuel-efficiency rules that is about to take effect next year.
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The ISX12 G natural gas engine is based on the Cummins ISX12
diesel engine platform and operates mainly on natural gas. The
engine incorporates Cummins Westport's proprietary spark-ignited,
stoichiometric combustion with cooled exhaust gas recirculation
(SEGR) technology, which was introduced with the Cummins Westport
ISL G engine.
Cummins Westport will begin limited production of the ISX12 G
engine next month. Full production of the engine will start in
Cummins, which is a leading engine manufacturer along with
Power Solutions International, Inc.
Weichai Power Co. Ltd
), is well positioned to benefit from several trends, such as new
emission standards, fuel economy improvement and favorable trends
for its Power Generation business.
Westport Innovations is a global leader in alternative fuel and
low-emissions technologies. It brings technologies that help
engines to operate on clean-burning fuels such as compressed
natural gas (CNG), liquefied natural gas (LNG), hydrogen and
Cummins, a Zacks Rank #3 (Hold) company, posted a 21.9% fall in
earnings per share to $2.00 in the fourth quarter of 2012 from
$2.56 per share in the same quarter of 2011 owing to lower
revenues (all excluding special items). However, EPS exceeded the
Zacks Consensus Estimate by a considerable margin of 26 cents.
Revenues in the quarter ebbed 13% to $4.3 billion, driven by
weaker demand in truck, construction, and oil and gas markets in
North America as well as in international markets for power
generation equipment, and construction, truck and mining engines.
Revenues were higher than the Zacks Consensus Estimate of $4.1
Cummins anticipates revenues in full year 2013 to be flat to down
5%. EBIT margin is expected between 13% and 14% for the year.