Cummins India Limited — Q4 FY25
Cummins India reported Q4 FY25 revenue of INR 2,414 crore, up 6% YoY, driven by 39% export growth and domestic industrial sales.
bullish
medium
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
68%Questions answered2Evaded / deflected11Questions auditedContradictedNumbers vs filing
Answered
High priority
Reasons for 7% YoY and 31% QoQ decline in power gen, any postponement due to tariff uncertainty.
Asked by Parikshit Kandpal, HDFC Securities
Management directly attributed the decline to pre-buy in the prior year, no evasion.
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Question
So there's a decline of 7% quarter on, sorry, YOI and 31% Q1Q. If you can help us understand a little bit more in terms of granularity, whether towards the end of Q4 you saw a decline, especially in the March month, given there was uncertainty of the tariffs coming in on 2nd April.
Shweta Arya, Managing Director
This is largely owing to the fact that the same quarter last year had pre-buy sales of CPCB2. This is not with respect to just this year. Last year saw higher sales because of the pre-buy.
Partial answer
High priority
Are CPCB4 plus volumes back to 100% of CPCB2 levels?
Asked by Parikshit Kandpal, HDFC Securities
Management gave directional trend but initially avoided a specific percentage; later provided 80-85%.
no specific percentage given initially
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Question
Now in Q4, I mean, if I compare with CPCB2 volumes and CPCB now in full, this thing, are the volumes back to 100%? Started growing? Any initial trend on that would be helpful.
Shweta Arya, Managing Director
The volumes in CPCB4 plus are not completely matching up to CPCB2, but every quarter we are seeing increase in the volume trend. I think another quarter or two to see the volumes crossing CPCB2 numbers, not yet.
Answered
Medium priority
Any one-off in EBITDA or top line this quarter, like large data center orders?
Asked by Parikshit Kandpal, HDFC Securities
Management clearly denied any one-offs and did not single out data center orders.
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Question
Was there any one-off in this quarter, both on the EBITDA line as well as on the top line? Any, I mean, was there any impact of large data center orders, or was that number missing in this quarter?
Shweta Arya, Managing Director
No, no one-offs like that, Parikshit. ... demand across sectors and all different segments have contributed to the growth, so I won't be able to call out one particular one-off segment.
Answered
High priority
What drove gross margin strength in Q4? Is it commodity-linked?
Asked by Mohit Pandey, Macquarie
Management explained multiple drivers: cost reduction, pricing, and product mix.
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Question
My first question would be on gross margins. If you can give color on what has driven the strength, is it largely linked to commodity in the fourth quarter?
Shweta Arya, Managing Director
From a gross margin perspective, if you look at the whole year, we have done better as compared to last year. ... a lot of effort put in in terms of our work on the direct material cost and bringing the cost of our products down. Also, as I mentioned, we are watching pricing carefully, and we have been able to hold on to pricing as well.
Evasive
High priority
Are gross margins sustainable in FY2026?
Asked by Mohit Pandey, Macquarie
Management avoided a direct yes/no, using 'endeavor' without specifics.
no commitmentvague 'endeavor'
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Question
So ma'am, the gross margins that we achieved this year, do you think by 2026 they're more or less sustainable?
Shweta Arya, Managing Director
That is our endeavor, Mohit. That is our endeavor. We continuously work on cost-related efforts so that we can improve on these.
Answered
Medium priority
Breakup of domestic power gen by HP range.
Asked by Mohit Pandey, Macquarie
Management provided exact revenue breakup by HP segment.
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Question
Ma'am, also, if you could share the breakup of domestic power gen that you typically do across low, medium, heavy, and high HP.
Shweta Arya, Managing Director
For the financial year 2024-2025, breaking up the power gen sales, low HOSPAR is at INR 272 crore, medium range is at INR 733 crore, heavy duty is at INR 376 crore, and high HOSPAR is at INR 2,463 crore, leading to a total of INR 3,844 crore for the year.
Answered
High priority
Demand outlook for gen set by end-user market, including data centers and exports.
Asked by Umesh Raut, Nomura India
Management gave a broad positive outlook across segments, including emerging ones.
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Question
My first question is pertaining to demand outlook for gen set business as per the end-user market. In terms of residential and commercial realty, where are we currently sitting at in terms of cycle and how exactly are you seeing demand shaping up from this particular major end-user market?
Shweta Arya, Managing Director
We are seeing demand, and this demand is continuing from the segments, all the segments that we serve. There is demand in residential realty, commercial realty, infra-related segments, in data centers. ... Some emerging segments ... quick commerce.
Answered
Medium priority
Why difference between Cummins Inc and Cummins India power gen decline percentages?
Asked by Umesh Raut, Nomura India
Management clearly attributed the difference to FX translation.
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Question
If I look at Cummins Inc number, I think they reported about 11% decline in power generation sales for India, while you have reported about 7% decline for the quarter. What explains this particular difference?
Shweta Arya, Managing Director
The only difference is foreign exchange. We are reporting our numbers in INR, and they are reporting their numbers in US dollars. There is no other reconciliation between those two.
Partial answer
Medium priority
Is there a one-off in implied employee expenses this quarter?
Asked by Mohit Kumar, ICICI Securities
Management cited actuarial benefit and reclassification but refused to quantify.
declined to quantify
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Question
The implied expense was lower this quarter compared to last, compared to previous quarter and prior year. Is there any one-off in that?
Shweta Arya, Managing Director
From a quarter-to-quarter perspective, yes, there is some actuarial benefit impact that is there from a quarter perspective. There is also some reclassification done for better representing the results.
Declined
Low priority
Can you quantify the actuarial benefit and reclassification impact?
Asked by Mohit Kumar, ICICI Securities
Management explicitly declined to provide the number.
refused to quantify
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Question
Ma'am, is it possible to quantify that number?
Shweta Arya, Managing Director
We won't be able to quantify that number.
Evasive
High priority
Is the double-digit revenue guidance 10-15% or 15-20%?
Asked by Mohit Kumar, ICICI Securities
Management stuck to vague 'double-digit' despite specific request for range.
refused to narrow rangecited uncertainty
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Question
My second question on the guidance, I think you gave double-digit guidance. My question is that is it between 10-15% or 15-20%? Can you give us some color?
Shweta Arya, Managing Director
I will have to say that we are maintaining double-digit guidance. While we see demand in the local market, you will appreciate that there are uncertainties in the global markets, and the impact of tariffs is not completely baked in yet. It will be very difficult to give you a very specific answer on that.
Partial answer
Medium priority
Revenue and PBT for Cummins Generator Technologies and Valvoline Cummins JVs.
Asked by Jason Soans, IDBI Capital
Management shared revenue but refused to share PBT for JVs.
declined PBT
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Question
Would just want to know if you can share revenue and PBT numbers for Cummins Generator Technologies as well as Valvoline Cummins and if any outlook for both those for the associated JV?
Prasad Kulkarni, Interim CFO
The revenue for Cummins Generator Technologies was somewhere around INR 1,980 crore. The same for Valvoline Cummins was somewhere around INR 2,350 crore for the full year. ... We don't share those specific numbers, Jason.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| Power gen sales breakup by HP for FY25 | ₹3,844 cr | ₹2,470 cr | Overstated vs filing |
| Industrial segment Q4 sales by subsegment | ₹168 cr | ₹2,470 cr | Understated vs filing |
| Industrial segment full year sales by subsegment | ₹624 cr | ₹2,470 cr | Understated vs filing |
| Cummins Generator Technologies revenue FY25 | ₹1,980 cr | ₹2,470 cr | Understated vs filing |
| Valvoline Cummins revenue FY25 | ₹2,350 cr | ₹2,470 cr | Understated vs filing |
| Distribution business grew 14% full year | 14% | 6% | Overstated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.