Cummins India Ltd reported a substantial 50% year-on-year increase in net profit for the March quarter, reaching Rs 530.5 crore, bolstered by strong demand in both domestic and international markets. The company’s revenue also rose by 19.9% to Rs 2,319 crore, according to their latest exchange filing.
The company’s financial performance exceeded expectations, with profits surpassing the anticipated Rs 350 crore, a 9.5% increase and revenue estimates of Rs 2,140 crore, which was expected to rise by 11.1%. This robust growth underscores Cummins India’s market strength.
Amidst a sustained demand surge influenced by growing private and public capital expenditures, Cummins India has consistently delivered impressive revenue results for five consecutive quarters. This trend reflects the company’s successful adaptation to evolving market conditions.
The board of Cummins India has approved an interim dividend of Rs 20 per share for the fiscal year 2023-24, further rewarding its shareholders amidst this period of financial growth. This decision aligns with the company’s strong earnings trajectory.
Despite the industry’s challenges with transitioning to new emission standards and the uncertainty in global geopolitics and supply chains, Cummins India maintained its market position. The extension of the deadline for CPCB II generator sales provides temporary relief in meeting new regulatory norms.
