v3.20.2
CONDENSED CONSOLIDATED STATEMENTS OF NET INCOME - USD ($)
shares in Millions, $ in Millions
3 Months Ended 9 Months Ended
Sep. 27, 2020
Sep. 29, 2019
Sep. 27, 2020
Sep. 29, 2019
Income Statement [Abstract]        
NET SALES (a) (Note 3) [1] $ 5,118 $ 5,768 $ 13,981 $ 17,993
Cost of sales 3,769 4,274 10,448 13,326
GROSS MARGIN 1,349 1,494 3,533 4,667
OPERATING EXPENSES AND INCOME        
Selling, general and administrative expenses 533 600 1,549 1,822
Research, development and engineering expenses 224 242 651 730
Equity, royalty and interest income from investees (Note 5) 98 68 342 256
Other operating expense, net (20) (21) (35) (25)
OPERATING INCOME 670 699 1,640 2,346
Interest income 4 14 15 38
Interest expense 25 26 71 87
Other income, net 37 68 119 174
INCOME BEFORE INCOME TAXES 686 755 1,703 2,471
Income tax expense (Note 6) 182 139 402 501
CONSOLIDATED NET INCOME 504 616 1,301 1,970
Less: Net income (loss) attributable to noncontrolling interests 3 (6) 13 10
Net Income (Loss) Available to Common Stockholders, Basic $ 501 $ 622 $ 1,288 $ 1,960
EARNINGS PER COMMON SHARE ATTRIBUTABLE TO CUMMINS INC.        
Basic (in dollars per share) $ 3.39 $ 3.99 $ 8.69 $ 12.50
Diluted (in dollars per share) $ 3.36 $ 3.97 $ 8.65 $ 12.45
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING        
Basic (in shares) 147.9 155.9 148.3 156.8
Dilutive effect of stock compensation awards (in shares) 1.0 0.7 0.6 0.6
Diluted (in shares) 148.9 156.6 148.9 157.4
Sales to nonconsolidated equity investees $ 311 $ 280 $ 906 $ 882
[1] (a) Includes sales to nonconsolidated equity investees of $311 million and $906 million for the three and nine months ended September 27, 2020, compared with $280 million and $882 million for the comparable periods in 2019.

Source