Fiat Industrial cuts revenue forecast after Q1 profits falls 22 percent

Fiat Industrial, the Italian maker of heavy vehicles, has reduced its revenue forecasts after reporting a 22 percent drop in first-quarter profits on lower sales of trucks and construction vehicles.

Fiat Industrial SpA on Tuesday said net profit in the quarter ending March 31 was 138 million euros ($181 million), down from a restated 177 million euros in 2012. Revenue was flat at 5.8 billion euros thanks to higher sales of farm equipment that helped offset a drop in truck and construction vehicle revenues.

The company, which is in the process of fully merging with its CNH agricultural subsidiary, lowered its forecast of achieving 5 percent revenue growth to a range of between 3 percent and 4 percent.