Cummins India Ltd's Q2 FY27 numbers came in soft, with revenue of Rs. 3,247.47 Cr (+4.03% YoY) and PAT growth of -18.50% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 04, 2026 |
|---|---|
| Revenue (Q2) | Rs. 3,247.47 Cr (+4.03% YoY) |
| PAT (Q2) | Rs. 507.17 Cr (-18.50% YoY) |
| EBITDA margin | 15.34% (-658 bps YoY) |
| EPS (Q2) | Rs. 18.30 (-18.49% YoY) |
Q2 FY27 revenue grew 4.03% YoY to Rs.3,247.47 crore but PAT fell 18.50% YoY to Rs.507.17 crore as EBITDA margin compressed 658 bps YoY to 15.34% on a 17.39% YoY rise in material costs. H1 sales growth of 10.74% keeps the double-digit FY27 revenue guidance on track on the total-sales proxy, but holding it requires ~11-12% YoY growth in the remaining quarters. Cash generation improved (H1 FCF Rs.930.39 crore, CFO/PAT 0.91x) despite the profit decline.
| Driver | Expected before results | What happened | Verdict |
|---|---|---|---|
| Domestic revenue ahead of guided path | "domestic revenue for Q2 likely tracks ahead of that guided path, though against a high base" | Total sales +4.03% YoY, −3.78% QoQ; H1 +10.74%; domestic split not disclosed — sharp deceleration); domestic leg Not observable | Contradicted on total revenue |
| Exports the laggard | "the export line likely remains the laggard" | Not disclosed in the filing | Not observable |
| Margins compressing YoY again; degree vs Q1 open | "margins likely compressing YoY again" | EBITDA margin 15.34% vs 21.92% YoY (−658 bps) — worse than Q1's compression; also −264 bps QoQ | Played out |
| Raw-material pressure persists | "whether raw-material inflation persisted through Q2 or eased" | Cost of materials +17.39% YoY vs revenue +4.03%; inventory build resumed — proxy | Played out |
| Margin-bridge disclosure on the call | "the margin bridge is the single most important disclosure to press for" | Filing silent on drivers — not addressed in the filing; remains open for the call | Not observable |
| Data-center mix holding ≥40% | "does data center hold at/above 40% of power-generation revenue" | Not disclosed in the filing — remains open for the call | Not observable |
| MD transition continuity | "incoming MD Adewunmi's continuity signals days after his Nov 1 charge" | The results are signed by Adegbile Adedapo Adewunmi, Managing Director (the filing's wording, which overrides the pre-call note's "Gbile Adewunmi") | Played out |
Read our full results preview.
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| "Double-digit domestic revenue growth for FY27" | Reiterated with Q1 FY27 results | Consolidated sales +4.03% YoY in Q2, +10.74% YoY in H1; domestic/export split not disclosed in the filing — the domestic leg cannot be scored directly | On Track on the total-sales proxy, with clear deceleration flagged |
| "Moderate growth across segments" | Q4 FY26 earnings-call framing | Engines sales +4.03% YoY; Lubes (full JV basis) +42.77% YoY — but Engines PBT −22.77% YoY | Revenue leg on track; profit leg contradicts |
Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.