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Informist, Thursday, Feb. 5, 2026

By Gunjan Rajput and Sagar Sen

MUMBAI – Cummins India Ltd. has guided for double-digit growth in its domestic business for the financial year 2026-27 (Apr-Mar), citing a positive outlook for India, while flagging uncertainty in exports amid geopolitical tensions and tariff-related disruptions.

 
"For the domestic growth, I can say that for the financial year 2027, we will target double-digit growth," Managing Director Shveta Arya told analysts in a conference call after the earnings announcement Thursday. "Exports is another matter altogether, where there are a lot of moving pieces, geopolitical conditions not stable, lot of economic activity impacted due to different tariff-related equations playing out at this point in time. So exports, difficult to say. Domestic (growth), we are more positive and can definitely say that we will target double-digit growth," Arya said.

The company's domestic sales for the December quarter were INR 25.35 billion, marginally lower than a year earlier, while exports rose 2% on year to INR 4.71 billion. However, on a sequential basis, the company's exports declined 14%.

In the data centre segment, the company expects positive movement in the next three to four years. "The tax incentives (for data centers announced in the FY27 Union Budget) have been announced recently; we are yet to see the impact of that... So, for the next three to four years, we do anticipate positive movement in the data center segment in India," Arya said. She added that the data centre segment remains lumpy and timing-driven.

 
The management said it has not seen any material impact from goods and service tax changes in the aftermarket business so far. The diesel and natural gas engine maker's net profit fell nearly 12% on year to INR 4.53 billion in the December quarter, missing analysts' estimate of INR 6.05 billion. The revenue from operations slipped about 1% to INR 30.55 billion, from INR 30.86 billion a year ago. Analysts had expected the company to post a revenue of INR 32.06 billion.
 
The company recorded an exceptional charge of INR 1.27 billion during the quarter towards implementation of the four new labour codes notified by the government in November, primarily on account of higher gratuity and long-term compensated absences. The company also announced an interim dividend of INR 20 per equity share, and fixed Feb. 11 as the record date for the same.

On Thursday, shares of Cummins India closed 4.5% higher at INR 4,391.40 on the National Stock Exchange.  End

Edited by Ashish Shirke

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