Engine maker Cummins India on Wednesday reported a consolidated net profit of Rs 486.1 crore for the quarter ended December 31, down 13 per cent from the corresponding period a year earlier. The Pune based company supplies power generation equipment to industrial players.
The company said that its Profitability was aided by volume leverage and operational efficiency.
Your income decreased 1.5 percent to Rs 3,006.2 crore, according to a regulatory filing.
Cummins India Q3FY26 Earnings Vs Estimates | Top and Bottom Line Miss Analyst Estimates
Both net profit and revenue fell short of Street expectations.
According to Zee Business research, Cummins India’s Q3 net profit and revenue were estimated at Rs 561 million rupeesand 3,264 crore, respectively.
The company said its domestic sales decreased 2.0 percent to Rs 2,535 million and exports grew 2.0 percent to Rs 471 million.
Its profit before tax (PBT) rose 11 per cent year-on-year to Rs 670 crore.
Cummins India Operational Performance
The company’s net profit margin, a key measure of profitability, was 15 percent, he said.
Cummins India Results | Management Comments and Perspectives
The Consumer Price Index (CPI) remains stable compared to the last quarter, showing rapid momentum, he said Shveta Arya, Managing Director, Cummins India.
“Other macroeconomic indicators such as index of industrial production (IIP) and crude oil price are showing favorable trends. With indirect tax reforms and further reduction in repo rate, we believe the Indian economy remains positioned for an estimated GDP growth of 7.4 per cent,” Arya added.
The demand for industrial suppliers is directly related to the economic activity recorded in high-frequency indicators such as the PII, which records changes in factory production.
Cummins India said that while domestic demand continues to demonstrate resilience, helped by sustained capital spending in key sectors, exports face near-term pressures amid current geopolitical uncertainties.
The company said it expects greater stability in the medium and long term.
Cummins India also said it remains attentive to policy developments and views continued collaboration with trading partners as a key driver for growth in its end markets.
“In this context, we are executing with discipline by maintaining prudent capital allocation, strong cost controls and a healthy balance sheet and cash position. Customer satisfaction and shareholder value creation remain our primary focus. Backed by reliable technology, talent capabilities, a trusted brand, diverse products, strong manufacturing capabilities and an extensive distribution and service network, the Company is well positioned to serve customers efficiently,” it said in a statement.
Cummins India Stock
Earlier on Wednesday, shares of Cummins India rose 0.8 per cent to close at Rs 4,200.9 apiece on BSE.
At the current level, Cummins (CUMMINSIND) shares have fallen 6.1 percent so far this year, lagging the Nifty 50 index’s 1.4 percent decline.
In the last one year, Cummins India shares have rewarded investors with a return of 47.2 per cent, outperforming an 8.6 per cent rise in the market benchmark index.