Here’s what you need to know:
- In the engine segment, sales were down 4% to $2.6 billion. Segment EBITDA was $263 million, or 10.1% of sales.
- In the components segment, sales were down 7% to $2.4 billion. Segment EBITDA was $327 million or 13.4% of sales.
- In the distribution segment, sales were up 7% to $3.3 billion. Segment EBITDA was $495 million or 15.1% of sales.
- In the power systems segment, sales were up 11% to $1.9 billion. Segment EBITDA was $418 million or $21.7% of sales.
- In the Accelera segment, sales were up 31% to $131 million. Segment EBITDA saw a loss of $374 million, which includes $218 million of charges related to the electrolyzer business.
Cummins released its fourth-quarter and full-year 2025 earnings on Thursday, along with a forecast for 2026 that sees some recovery in North American truck demand.
Fourth-quarter revenues for the company were $8.5 billion, up 1% year over year. Sales in North America were down 2%. For the full year, revenues were $33.7 billion, or down 1% year over year. Sales in North America slipped 3% when compared to 2024.
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"Cummins delivered strong operational results in the fourth quarter and full year despite continued weakness in North American truck markets," Chair and CEO Jennifer Rumsey says, citing distribution and power systems as bright spots in the company. "I am tremendously proud of our employees for their resilience and commitment to delivering for our customers amid persistent market uncertainty and change. Our disciplined cost management, diversified portfolio and effective execution allowed us to deliver strong results despite this challenging environment."
What is Cummins planning for in 2026?
Cummins projects its 2026 revenue to be up 3-8%.
"In 2026, we anticipate that demand will be slightly better in the North America on-highway truck markets, particularly in the second half of the year, paired with continued strength in data center power generation markets," Rumsey says.
Winding up 2025
Cummins engine segment saw sales slip 4% to $2.6 billion. Revenues in North America were down 5% as demand for medium and heavy duty trucks plummeted in the United States and Mexico. Components sales were down 7% globally and 15% in North America for the same reason.
This is as Cummins introduced the B7.2 and X10 engines as part of the HELM platforms. The B7.2 features a slightly higher displacement and is designed to be a global platform that creates flexibility for different applications and duty cycles. The X10 replaces the L9 and X12 engine platforms for medium and heavy duty customers. Both engines will be manufactured in North Carolina.
Distribution was up 7% to $3.3 billion, driven by power generation demand in data center applications, as reflected in the power systems segment's increase of 11% to $1.9 billion.
"Our distribution and power systems segments achieved record full-year sales and profitability as a result of disciplined execution and robust demand for data center back up power," Rumsey says.
Accelera sales were up 31% to $131 million as the company recorded charges related to the electrolyzer business after a strategic review as hydrogen adoption expectations shifted. Cummins says it remains committed to pacing and focusing zero-emissions investments to ensure long-term success.
"These decisions were aimed at streamlining operations and reducing ongoing costs in light of the weaker outlook for demand," Rumsey says.
