CMI · 10-Q · 2026Q2

CUMMINS INC

Filed 2026-08-04 · Industrials · View original filing on EDGAR

Ranked Events

• EPA Emissions TransitionImportance 71 · Surprise 60
  Cummins remains subject to settlement agreements finalized in April 2024 with the U.S. EPA, California Air Resources Board, U.S. Department of Justice and California Attorney General’s Office. The agreements resolve…
• Operating Cash Flow TrendsImportance 69 · Surprise 64
  Cash provided by operating activities increased to $1,808 million in the first six months of 2026 from $782 million in the comparable 2025 period. The $1,026 million improvement occurred despite first-half net income…
• Capital Expenditure ProgramImportance 66 · Surprise 58
  Cummins is investing in new product lines and targeted capacity expansions to support its engine and power solutions portfolio. Capital expenditures were $438 million in the first six months of 2026, up 11.5% from $393…
• Capital Return ProgramImportance 52 · Surprise 42
  Cummins repurchased $468 million of common stock, representing 0.8 million shares, during the first half of 2026. The repurchases reduced weighted-average shares and increased diluted second-quarter EPS by $0.01 and…
• Liquidity and Cash PositionImportance 49 · Surprise 6
  Cummins held $3.9 billion of cash and marketable securities at June 30, 2026. The company also had access to $4.0 billion of credit facilities, net of $348 million of commercial paper outstanding, for working capital,…
• Geographic Market CommentaryImportance 48 · Surprise 40
  International sales increased 12 percent in the second quarter and 14 percent in the first half of 2026, outpacing growth in the United States and Canada. China and Asia Pacific were key contributors in the second…
• End-Market Demand TrendsImportance 48 · Surprise 40
  Worldwide revenue increased 9 percent in the second quarter and 6 percent in the first half of 2026, driven primarily by higher demand for power generation equipment, especially data center and commercial applications,…
• ESG and sustainabilityImportance 46 · Surprise 42
  Cummins stated that slower adoption of zero-emission solutions reduced Accelera’s near-term revenue outlook. The company undertook significant restructuring actions in 2024 and 2025 and refined its strategic investment…
• Acquisition / Partnership / DivestitureImportance 46 · Surprise 42
  On March 31, 2026, Cummins sold its low-pressure fuel-cell business to a customer and cancelled future commitments. The transaction also resolved certain current and future customer claims and required a net cash…
• Guidance / OutlookImportance 44 · Surprise 60
  For the remainder of 2026, Cummins expects strong demand in Power Systems power generation and industrial markets, stable aftermarket demand, and continued strong medium-duty and heavy-duty truck demand in North…
• Trade Policy and TariffsImportance 44 · Surprise 60
  Cummins reported that the U.S. imposed tariffs on certain countries and products in 2025, followed by retaliatory tariffs and other trade actions against U.S. goods and services. On February 20, 2026, the U.S. Supreme…
• Revenue Performance and MixImportance 43 · Surprise 32
  Second-quarter 2026 net sales increased 9% year over year to $9,457 million from $8,643 million, while six-month sales increased 6% to $17,855 million from $16,817 million. Power Systems sales increased 19% in both…
• Outstanding IndebtednessImportance 42 · Surprise 14
  Total debt was $7.695 billion at June 30, 2026, compared with $7.552 billion at December 31, 2025. Debt represented 35.6% of total capital, down from 36.0% at year-end 2025. Cummins maintained two unsecured revolving…
• Product Launch and TransitionImportance 31 · Surprise 42
  Cummins offers advanced diesel, electric and hybrid powertrains, integrated power-generation systems, and zero-emissions technologies including battery and electric powertrain systems. Accelera is commercializing…
• Operating Margin DriversImportance 31 · Surprise 32
  Gross margin increased $184 million in the second quarter and $272 million in the first half of 2026, primarily because of higher volumes and favorable pricing. Second-quarter gross margin declined 0.3 percentage…
• Income Tax Rate ChangesImportance 25 · Surprise 32
  The effective tax rate was 25.1% in the second quarter of 2026 and 26.0% for the first six months, compared with 24.2% and 24.1% in the prior-year periods. Second-quarter tax expense included $29 million of unfavorable…
• Operating Expense TrendsImportance 24 · Surprise 14
  Selling, general and administrative expense increased $114 million in the second quarter and $188 million in the first half of 2026, with expense ratios rising 0.4 and 0.5 percentage points to 9.4% and 9.7%. The…

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Revenue by Geography (in millions)