Cummins India Ltd.Record FY26, Data Centers Drive Growth

Cummins India delivered a record financial year 2026 with total sales reaching ₹11,950 crores, marking an 18% year-on-year increase, while profit before tax grew 24% to ₹3,104 crores, demonstrating strong margin expansion.

The fourth quarter saw particularly robust domestic sales growth of 30% year-on-year, driven primarily by the Power Generation segment which surged 48% to ₹1,294 crores. Data centers emerged as a significant growth driver, now contributing 30-35% of Power Generation revenue with strong inquiry momentum continuing since October 2025. The Distribution business posted impressive 22% growth to ₹3,278 crores, fueled by solutions expansion and anticipation of CPCB IV+ aftermarket opportunities beginning June 2026.

Looking ahead to FY27, management expects moderate growth across segments despite robust domestic demand, citing supply chain constraints including labor shortages at suppliers, commodity inflation, and geopolitical uncertainties as governing factors. The company maintains 70% capacity utilization, providing headroom for growth without major capital expenditure, while focusing on maximizing productivity from existing infrastructure investments exceeding ₹1,000 crores over the past five years.