Cummins posts quarterly loss hit by $2.04 billion US regulatory charge

Feb 6 (Reuters) - Engine maker Cummins reported a fourth-quarter loss on Tuesday, hit by a $2.04 billion charge as part of its emissions settlement with U.S agencies.

The company agreed to a record-setting fine, as part of a lawsuit by the U.S. Justice Department and California charging the company with installing devices designed to cheat emissions control.

Cummins reported a net loss of $1.43 billion, or $10.01 per share, for the quarter ended Dec. 31, compared to a profit of $631 million, or $4.43 per share, a year earlier.

Apart from the $2.04 billion charge, the company said it took a $42 million hit from costs related to the implementation of its voluntary retirement and separation programs and a $33 million hit from costs related to the separation of its engine filter unit, Atmus.

Elevated operating expenses as well as softening aftermarket demand has also weighed on the company's quarterly results, in spite the implementation of cost cutting initiatives.

The Indiana-based company now expects its full-year 2024 revenues to decline between 2% and 5% on a year-over-year basis with EBITDA in the range of 14.4% to 15.4% of sales.

The company posted net sales of $8.54 billion for the reported quarter versus $7.77 billion in the prior-year quarter. (Reporting by Raechel Thankam Job and Abhinav Parmar; Editing by Shailesh Kuber)