Meritor Acquisition and 2022 Financial Results
Table of Contents
Sales for our Engine segment by market were as follows:
In millions
Heavy-duty truck
Medium-duty truck and bus
Light-duty automotive
Total on-highway
Off-highway
Total sales
On-highway sales as percentage of total sales
Favorable/(Unfavorable)
Years ended December 31,
2022 vs. 2021
2021 vs. 2020
2022
2021
2020
Amount
Percent
Amount
Percent
$
3,847
$
3,328
$
2,648
$
519
16 % $
680
26 %
3,460
2,777
2,066
683
25 %
711
34 %
1,738
1,912
1,547
(174)
(9) %
365
24 %
9,045
8,017
6,261
1,028
13 %
1,756
28 %
1,900
1,937
1,761
(37)
(2)%
176
10 %
$
10,945
$
9,954
$
8,022 $
991
10 % $
1,932
24 %
Percentage Points
Percentage Points
83
%
81 %
78
%
2
3
Unit shipments by engine classification (including unit shipments to Power Systems and off-highway engine units included in their respective classification) were as follows:
Favorable/(Unfavorable)
Years ended December 31,
2022 vs. 2021
2021 vs. 2020
2022
2021
2020
Amount
Percent
Amount
Percent
Heavy-duty
120,700
117,600
92,500
3,100
3 %
25,100
27 %
Medium-duty
283,600
273,800
220,900
9,800
4 %
52,900
24 %
Light-duty
227,600
273,300
215,800
(45,700)
(17)%
57,500
27 %
Total unit shipments
631,900
664,700
529,200
(32,800)
(5)%
135,500
26 %
2022 vs. 2021
Sales
Engine segment sales increased $991 million across most markets. The following were the primary drivers by market:
Medium-duty truck and bus sales increased $683 million mainly due to favorable pricing and higher demand (including higher aftermarket sales), especially in North
America.
Heavy-duty truck engine sales increased $519 million principally due to favorable pricing and stronger demand (including higher aftermarket sales), especially in North
America with shipments up 18 percent.
The increases were partially offset by decreased light-duty automotive demand of $174 million primarily due to our indefinite suspension of our operations in Russia and lower
sales to Stellantis.
Segment EBITDA
Engine segment EBITDA increased $130 million, primarily due to favorable pricing and improved mix, partially offset by higher material costs, lower equity, royalty and
interest income from investees (principally decreased earnings at Beijing Foton Cummins Engine Co., Ltd. and Dongfeng Cummins Engine Co., Ltd., the $28 million
impairment of our investment in our Russian joint venture with KAMAZ and the February 7, 2022, purchase of Westport Fuel System Inc.'s stake in the Westport JV) and
increased research, development and engineering expenses. See NOTE 2, "ACQUISITIONS," and NOTE 23, "RUSSIAN OPERATIONS," to our Consolidated Financial
Statements for additional information.
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