Cummins(US:CMI) Xin Lang Cai Jing·2026-02-09 11:06Core Viewpoint - Cummins reported strong operational performance in 2025 despite a weak North American truck market, achieving record sales and profitability in its distribution and power systems divisions [2][7]. Financial Performance - For the full year 2025, Cummins generated revenue of $33.7 billion, a decrease of 1% compared to 2024, with North American sales down 3% and international market revenue up 2% [3][9]. - The net profit for 2025 was $2.8 billion, with diluted earnings per share of $20.50, down from $3.9 billion and $28.37 per share in 2024 [4][9]. - In Q4 2025, the company reported revenue of $8.5 billion, a 1% increase year-over-year, with North American sales declining by 2% and international sales increasing by 5% [2][8]. Cost Management and Strategic Initiatives - The company incurred $458 million in expenses related to the Accelera electrolyzer business, impacting earnings per share by $3.28 [4][9]. - Cummins emphasized strict cost management and a diversified product matrix as key factors in maintaining strong performance amid challenging market conditions [2][7]. EBITDA and Profitability - Cummins' EBITDA for 2025 was $5.4 billion, with an EBITDA margin of 16.0%, down from $6.3 billion and 18.6% in 2024 [4][9]. - In Q4 2025, EBITDA was $1.2 billion, with an EBITDA margin of 13.5%, compared to $1 billion and 12.1% in the same quarter of 2024 [3][8]. Future Outlook - For 2026, Cummins anticipates revenue growth of 3% to 8% and an EBITDA margin of 17.0% to 18.0% [4][9]. - The company expects a slight improvement in demand in the North American highway truck market, particularly in the second half of 2026, alongside continued strong performance in the data center power market [5][10].