Cummins Inc

Cummins delivered a split verdict in Q4 2025, posting revenue that cleared Wall Street's bar while earnings fell well short, as steep charges tied to a strategic retreat from the hydrogen electrolyzer market weighed heavily on the bottom line. The Columbus-based engine maker reported revenue of $8.54 billion, up 1.1% year-over-year and ahead of the $8.10 billion consensus by 5.35%, but earnings per share of $4.27 missed the $5.02 estimate by 14.89%, dragged down by $218 million in charges within the Accelera segment after the company decided to exit new commercial electrolyzer activity following deteriorating hydrogen adoption expectations. Strength in Distribution and Power Systems, both riding surging data center backup power demand, offset continued softness in the Engine and Components segments, where North American truck markets remained sluggish. GAAP net income improved to $593 million from $418 million a year ago. Looking ahead, Cummins guided 2026 revenue growth of 3% to 8% with EBITDA margins of 17% to 18%, anticipating a modest recovery in North American on-highway truck demand in the second half alongside sustained data center momentum.