Cummins India reported strong Q2 FY26 results, with revenue increasing by 28% year-over-year to ₹3,122 crore. Domestic sales grew by 28%, while exports increased by 24%. Profit before tax (before exceptional items) rose by 41%. The power generation segment saw substantial growth, driven significantly by data center projects. The company anticipates double-digit revenue growth for the full fiscal year.
Financial Performance
Cummins India announced its financial results for Q2 FY26, showcasing robust growth across key metrics. The company’s total revenue for the quarter reached ₹3,122 crore, a 28% increase compared to the ₹2,448 crore recorded in the same period last year. Domestic sales contributed ₹2,577 crore, reflecting a 28% rise, while exports amounted to ₹545 crore, marking a 24% increase. Profit before tax before exceptional items stood at ₹839 crore, a notable 41% increase.
Segmental Performance
The power generation segment stood out with significant growth in domestic sales, reaching ₹1,340 crore, a 49% increase year-over-year and a 27% increase compared to the previous quarter. This growth was largely propelled by strong execution in data center projects. The distribution business reported sales of ₹796 crore, a 21% increase year-over-year. Industrial business sales were ₹387 crore, slightly decreasing by 5% compared to the same quarter last year. High horsepower exports were ₹279 crore, and low horsepower exports reached ₹219 crores.
Outlook and Future Strategy
Looking ahead, Cummins India expects to maintain a double-digit revenue growth trajectory for the full fiscal year 2025-26. While the company acknowledges increasing competition in the power generation sector, it remains focused on delivering value through technology and reliability. The industrial segment saw a decline due to extended monsoons impacting construction activities and a slowdown in mining tenders. The company is actively working to reduce lead times and improve capacity to meet growing demand.
Data Center Impact
Data center projects significantly contributed to the power generation segment, accounting for approximately 40% of power generation sales in Q2 FY26. The company notes that this segment can be lumpy due to project execution timelines and site clearances. Cummins India aims to strengthen its presence in the data center market by continuously improving its capacity and reducing lead times.
Source: BSE
