COLUMBUS, Ind. — Despite a 40 percent downturn in the heavy-duty market, Cummins reported broad gains across most of its product and geographical markets.

The engine maker reports second-quarter revenues of $3.34 billion, up 18 percent from $2.84 billion in the second quarter of 2006 and 10 percent higher than the previous quarterly record set in the fourth quarter of last year.

Net income of $214 million, or $2.13 per diluted share, was down 3 percent from $220 million ($2.19 per diluted share) in the second quarter of 2006, which included a $28 million ($0.28 per share) one-time tax benefit. Absent the tax benefit a year ago, net income increased 11 percent over the same period in 2006.

The company’s strong performance comes in the face of the emissions-related slowdown in the North American heavy-duty truck market. Cummins’ North American heavy-duty engine shipments fell 42 percent from a year ago, but significant growth in the company’s non-heavy duty truck engine markets and other product lines in other world markets more than offset that decrease.

“This was a tremendous quarter for Cummins and is further proof that the work we have done to diversify our business is paying off,” said Cummins Chairman and CEO Tim Solso. “Our strong performance in the first half of the year has put us in a position to make 2007 Cummins’ most profitable year ever – which would be a significant feat given the challenges we have faced in the heavy-duty truck engine market.”