WatchTalking point
Growing, but light on cash
Revenue grew 16.9% but only 0.73× of reported profit came through as operating cash.
Importance 62 / 95 · cash quality
Cummins India · Research view
Cummins India Ltd.
NSE: CUMMINSINDBSE: 500480ISIN INE298A01020Face value ₹2standalone
₹4,860
+0.84% · 2026-10-01 · 52-wk ₹3,849–₹6,028
Financials to FY2026 · 5 years of history · prices to 2026-10-01consolidatedstandalone
Section 02 · Synthesis
What stands out?
The strongest observations the engine found, ranked. Every line is generated from the filed numbers by a fixed rule — no opinion, no estimate.
StrengthConcernWatchContext
ContextTalking point
High returns, and the market pays up for them
ROE of 29.5% is well above the industrial products median (20.4%), and the P/E of 56.91× is above it too (45.57×).
Importance 60 / 95 · valuation
StrengthTalking point
Compounding revenue
Revenue compounded at 18.4% a year over 4 years (₹6,171 → ₹12,143).
Importance 57 / 95 · growth
Section 03 · The company
Who is this company?
Classified by the exchange under Industrials › Capital Goods › Industrial Products › Compressors, Pumps & Diesel Engines.
- Market cap
- ₹1.35 L cr
- FY2026 revenue
- ₹12,143 cr
- FY2026 net profit
- ₹2,330 cr
- Net worth
- ₹7,898 cr
- Total debt
- ₹0 crnet cash
- EPS (basic)
- ₹84.06
- Listed
- NSE · BSE
- Reporting
- Ind-ASApr–Mar
Peer set used on this page: 6 industrial products.
Section 04 · Business performance
Is the business growing?
RevenueNet profit
Strength
Revenue compounded at 18.4% a year over 4 years (₹6,171 → ₹12,143).
Rule REVENUE_CAGR_STRONG
- Revenue growth per year
- +18.6%over 4 years
- Revenue growth
- +17.4%vs last year
- Net profit growth
- +22.3%vs last year
- Change in net profit since FY22
- +163%
Over 4 years profit compounded at 31.0% a year while revenue compounded at 18.4% a year — though FY2023 saw a one-off step-change of 53% (a merger, restructuring or a recovery off a low base), so the compounding is uneven.
Net profit grew 18.1% year on year (FY2025 → FY2026).
Revenue grew 16.9% year on year (FY2025 → FY2026).
Section 05 · Recent activity
What changed recently?
Quarterly results, the trailing-twelve-months snapshot, and verified corporate actions — kept separate from each other and from the annual story above. Every figure traces to a filed number; nothing here is external news or commentary.
Concern
Q1 FY27 EBITDA margin was 22.0%, down 4.06 percentage points from 26.1% a year earlier.
Rule QTR_MARGIN_CHANGED_YOY
Strength
Q1 FY27 revenue was ₹3,426 cr, up 17.9% from ₹2,907 cr in Q1 FY26 a year earlier.
Rule QTR_REVENUE_GROWTH_YOY
Watch
Q1 FY27 interest (finance cost) was ₹4 cr, up 47.2% from ₹3 cr a year earlier.
Rule QTR_INTEREST_EXPENSE_CHANGE_YOY
A. Quarterly results
RevenueNet profit
| Quarter | Revenue | YoY | Net profit | YoY | Net margin |
|---|---|---|---|---|---|
| Q2 FY25 | 2,509 | — | 449 | — | 17.9% |
| Q3 FY25 | 3,096 | +21.8% | 558 | +11.9% | 18.0% |
| Q4 FY25 | 2,470 | +6.5% | 530 | −1.7% | 21.4% |
| Q1 FY26 | 2,907 | +25.5% | 604 | +30.5% | 20.8% |
| Q2 FY26 | 3,170 | +26.4% | 622 | +38.5% | 19.6% |
| Q3 FY26 | 3,055 | −1.3% | 486 | −13.0% | 15.9% |
| Q4 FY26 | 3,011 | +21.9% | 649 | +22.7% | 21.6% |
| Q1 FY27 | 3,426 | +17.9% | 609 | +0.9% | 17.8% |
B. TTM snapshot
Trailing twelve months to 30 Jun 2026 · sum of the last 4 contiguous quarters
- Revenue
- ₹12,662 crTTM
- EBITDA
- ₹3,108 crTTM
- EBIT
- ₹2,905 crTTM
- PBT
- ₹2,797 crTTM
- Net profit
- ₹2,367 crTTM
C. Corporate actions
17 Jul 2026DividendFinal Dividend - Rs. - 46.0000 — ₹46.00/share
11 Feb 2026DividendInterim Dividend - Rs. - 20.0000 — ₹20.00/share
18 Jul 2025DividendFinal Dividend - Rs. - 33.5000 — ₹33.50/share
14 Feb 2025DividendInterim Dividend - Rs. - 18.0000 — ₹18.00/share
19 Jul 2024DividendFinal Dividend - Rs. - 20.0000 — ₹20.00/share
21 Feb 2024DividendInterim Dividend - Rs. - 18.0000 — ₹18.00/share
26 Jul 2023DividendFinal Dividend - Rs. - 13.0000 — ₹13.00/share
21 Feb 2023DividendInterim Dividend - Rs. - 12.0000 — ₹12.00/share
2 Aug 2022DividendFinal Dividend - Rs. - 10.5000 — ₹10.50/share
21 Feb 2022DividendInterim Dividend - Rs. - 8.0000 — ₹8.00/share
4 Aug 2021DividendFinal Dividend - Rs. - 8.0000 — ₹8.00/share
9 Feb 2021DividendInterim Dividend - Rs. - 7.0000 — ₹7.00/share
17 Aug 2020DividendFinal Dividend - Rs. - 7.0000 — ₹7.00/share
7 Feb 2020DividendInterim Dividend - Rs. - 7.0000 — ₹7.00/share
31 Jul 2019DividendFinal Dividend - Rs. - 10.0000 — ₹10.00/share
15 Feb 2019DividendInterim Dividend - Rs. - 7.0000 — ₹7.00/share
2 Aug 2018DividendFinal Dividend - Rs. - 10.0000 — ₹10.00/share
15 Feb 2018DividendInterim Dividend - Rs. - 5.0000 — ₹5.00/share
27 Jul 2017DividendFinal Dividend - Rs. - 9.0000 — ₹9.00/share
9 Feb 2017DividendInterim Dividend - Rs. - 5.0000 — ₹5.00/share
28 Jul 2016DividendFinal Dividend - Rs. - 9.0000 — ₹9.00/share
11 Feb 2016DividendInterim Dividend - Rs. - 5.0000 — ₹5.00/share
30 Jul 2015DividendFinal Dividend - Rs. - 9.0000 — ₹9.00/share
18 Sept 2014DividendInterim Dividend - Rs. - 5.0000 — ₹5.00/share
24 Jul 2014DividendFinal Dividend - Rs. - 8.0000 — ₹8.00/share
Section 06 · Business performance
Is it becoming more profitable?
EBITDA marginNet margin
Strength
ROE of 29.5% is the highest in 4 years (prior range 15.6% to 28.2%).
Rule ROE_AT_MULTI_YEAR_HIGH
- EBITDA margin now
- 27.3%
- 5-year range
- 19.1–27.3%
- ROE FY2026
- 31.2%
- ROCE FY2026
- 41.8%
EBITDA margin of 25.6% is the widest in 4 years (prior range 18.3% to 24.3%).
ROE of 29.5% is well above the industrial products median of 20.4%.
Section 07 · Financial health
Is financial health improving?
Net worth (shareholders' funds)
Watch
Revenue grew 16.9% but only 0.73× of reported profit came through as operating cash.
Rule GROWTH_WITH_WEAK_CASH
Operating cash flowNet profit
- Total debt
- ₹0 crnet cash
- Operating cash flow ÷ net profit
- 0.74×FY2026
- Free cash flow
- ₹1,487 cr
- Current ratio
- 3.32×
Net worth compounded at 13.3% a year over 4 years (₹5,145 → ₹8,475).
Free cash flow has been positive in 5 of the last 5 years.
Section 08 · Relative position
How does it compare with peers?
Ranked against 6 industrial products (FY2026, consolidated).
Revenue growth
CUMMINSIND · 3rd of 6 · set median 14.7%
EBITDA margin
CUMMINSIND · 1st of 6 · set median 14.5%
Return on equity
CUMMINSIND · 1st of 6 · set median 20.4%
P/E ratio
CUMMINSIND · 5th of 6 · set median 45.6×
Context
ROE of 29.5% is well above the industrial products median (20.4%), and the P/E of 56.91× is above it too (45.57×).
Rule STRONG_RETURNS_AT_PREMIUM
- P / E
- 56.9×TTM to Jun 26
- P / B
- 15.9×latest book
- P / S
- 10.6×TTM sales
- Earnings yield
- 1.8%TTM to Jun 26
On the trailing twelve months. Last full year: P/E 57.0× · P/S 10.6× · ROE 29.5%.
Section 09 · The stock
How has the stock performed?
Context
Over 4 years the stock returned 42.0% a year while profit compounded at 31.0% a year — but FY2022 profit (₹801) was well below the through-cycle level (~₹1,721), so this rate is inflated by the recovery from a low base.
Rule STOCK_RAN_AHEAD · recovery
- 1-year return
- +26.3%
- 3-year return
- +186.5%
- 5-year return
- +429.3%
- From 52-wk high
- −19.4%
Section 10 · Technical data
What does the technical data say?
Price-action indicators as of 2026-10-01. Secondary to the fundamentals above — included for timing context, not as a signal.
- vs 50-day avg
- Below₹5,247
- vs 200-day avg
- Below₹4,995
- RSI (14)
- 34.2neutral
- MACD histogram
- -11.7
- From 52-wk high
- −19.4%
- From 52-wk low
- +26.3%
- 30-day volatility
- 19.1%ann.
- 6-month return
- +5.2%
Section 11 · Open questions
What should I investigate further?
Observations the engine tagged watch or deteriorating — prompts for your own research, not conclusions.
- WatchGrowing, but light on cashRevenue grew 16.9% but only 0.73× of reported profit came through as operating cash.GROWTH_WITH_WEAK_CASH · conviction 62
Data coverage is complete — 5 years of financials (FY2022–FY2026), full P&L, balance sheet and cash-flow statement, sector metrics fully mapped.
Section 12 · Reference
The numbers
The full statements, kept deliberately secondary. Every figure traces to a BSE Integrated Filing (inline XBRL); ratios are recomputed from the normalised facts.
| Metric | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue | 6,140 | 7,744 | 8,959 | 10,339 | 12,143 |
| Total income | 6,428 | 8,164 | 9,526 | 10,966 | 12,864 |
| EBITDA | 1,173 | 1,663 | 2,329 | 2,694 | 3,315 |
| Profit before tax | 1,159 | 1,492 | 2,143 | 2,496 | 3,054 |
| Net profit | 887 | 1,130 | 1,661 | 1,906 | 2,330 |
| EPS (₹) | 32.0 | 40.8 | 59.9 | 68.8 | 84.1 |
| Net worth | 4,853 | 5,368 | 6,163 | 7,018 | 7,898 |
| Total debt | 393 | 350 | 100 | 0 | 0 |
| Operating cash flow | 707 | 811 | 1,280 | 1,689 | 1,734 |
| Free cash flow | 730 | 657 | 1,001 | 1,459 | 1,487 |
| Ratio | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth YoY | — | 26.1 | 15.7 | 15.4 | 17.4 |
| Profit growth YoY | — | 27.4 | 47.0 | 14.8 | 22.3 |
| Profitability | |||||
| EBITDA margin % | 19.1 | 21.5 | 26.0 | 26.1 | 27.3 |
| Net margin % | 13.8 | 13.8 | 17.4 | 17.4 | 18.1 |
| Return on equity % | 18.3 | 22.1 | 28.8 | 28.9 | 31.2 |
| Return on capital % | 19.8 | 27.8 | 36.2 | 37.8 | 41.8 |
| Leverage & cash | |||||
| Debt to equity | 0.08 | 0.07 | 0.02 | 0.00 | 0.00 |
| Cash flow ÷ profit | 0.80 | 0.72 | 0.77 | 0.89 | 0.74 |
| Current ratio | 2.53 | 2.70 | 2.90 | 3.11 | 3.32 |