Cummins reports Q1 2025 revenues of $8.2B

Cummins Inc. reported first quarter 2025 revenues of $8.2 billion, a decrease of 3% from the same quarter in 2024. Sales in North America fell 1%, while international revenues declined 5%, which the company attributed to lower demand in Latin America and Asia Pacfic, partially offset by higher sales in China.

(Photo: Cummins)

Net income in Q1 was $824 million compared to $2.0 billion in 2024. Cummins noted that Q1 2024 included the gain related to the separation of Atmus of $1.3 billion and restructuring expenses of $29 million.

Earnings before interest, taxes, depreciation and amortization (EBITDA) in Q1 2025 were $1.5 billion, or 17.9% of sales, compared to $2.6 billion, or 30.6% of sales, a year ago.

Jennifer Rumsey, Cummins Chair and CEO, applauded the company’s strong financial results in the first quarter of 2025, which was led by record performance in its Power Systems Segment. However, due to growing economic uncertainty driven by tariffs, she noted the company will not be providing an outlook for revenue or profitability for the remainder of 2025.

“While the outlook for the remainder of the year remains unclear, we remain confident in our position and that our Destination Zero strategy is the right one,” she continued. “Cummins is in a strong position to navigate through economic uncertainty, and we look forward to reinstating our forecast when conditions allow.”

First quarter 2025 results by segment compared to the same period in 2024:

• Engine – Sales were down 5% to $2.8 billion. EBITDA came in at $458 million, or 16.5% of sales, compared to $414 million, or 14.1% of sales. Revenues decreased 4% in North America and 11% in international markets due to lower on-highway demand in the U.S. and Latin America.
• Components – Sales fell 20% to $2.7 billion. EBITDA was reported at $382 million, or 14.3% of sales, vs. $473 million, or 14.2% of sales (Note: includes $21 million of costs related to separation of Atmus). Both North American and international revenues decreased 20%, attributed to the separation of Atmus and lower on-highway demand in the U.S. and Europe.
• Distribution – Sales rose 15% to $2.9 billion. EBITDA was $376 million, or 12.9% of sales, compared to $294 million, or 11.6% of sales. Revenues in North America were up 22% primarily due to increased demand for power generation products in North America and favorable pricing. International sales dipped slightly, down1%.
• Power Systems – Sales climbed 19% to $1.6 billion, with EBITDA reported at $389 million, or 23.6% of sales, compared to $237 million, or 17.1% of sales. Revenues were up 15% in North America and 22% for international sales due to increased power generation demand, particularly for the data center market.
• Accelera – Sales were up 11% to $103 million, with the revenue improvement due to increased eMobility demand and electrolyzer installations. An EBITDA loss of $86 million was attributed by Cummins to its zero-emissions investments focused on the most promising paths to ensure long-term success as part its Destination Zero strategy.
  

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