CUMMINS INC

For the period ended Mar 31, 2026. Filed May 5, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Mar 31, 2026 · Filed May 5, 2026

CMI$454.18-2.6%Stored close · as of Nov 10, 2026

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Contents

ITEM 1. Condensed Consolidated Financial Statements (Unaudited)

ITEM 1. Condensed Consolidated Financial Statements

CONDENSED CONSOLIDATED STATEMENTS OF NET INCOME

	Three months ended
	March 31,
In millions, except per share amounts	2026	2025
NET SALES (Notes 1 and 2)	$8,398	$8,174
Cost of sales	6,155	6,019
GROSS MARGIN	2,243	2,155
OPERATING EXPENSES AND INCOME
Selling, general and administrative expenses	845	771
Research, development and engineering expenses	358	344
Equity, royalty and interest income from investees (Note 4)	148	131
Other operating expense, net (Note 14)	239	37
OPERATING INCOME	949	1,134
Interest expense	76	77
Other income, net	61	60
INCOME BEFORE INCOME TAXES	934	1,117
Income tax expense (Note 5)	254	267
CONSOLIDATED NET INCOME	680	850
Less: Net income attributable to noncontrolling interests	26	26
NET INCOME ATTRIBUTABLE TO CUMMINS INC.	$654	$824
EARNINGS PER COMMON SHARE ATTRIBUTABLE TO CUMMINS INC.
Basic	$4.73	$5.99
Diluted	$4.71	$5.96
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING
Basic	138.3	137.6
Dilutive effect of stock compensation awards	0.5	0.7
Diluted	138.8	138.3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

	Three months ended
	March 31,
In millions	2026	2025
CONSOLIDATED NET INCOME	$680	$850
Other comprehensive (loss) income, net of tax (Note 12)
Change in pension and other postretirement defined benefit plans	(15)	(27)
Foreign currency translation adjustments	(109)	117
Unrealized loss on derivatives	(3)	(9)
Total other comprehensive (loss) income, net of tax	(127)	81
COMPREHENSIVE INCOME	553	931
Less: Comprehensive (loss) income attributable to noncontrolling interests	(2)	28
COMPREHENSIVE INCOME ATTRIBUTABLE TO CUMMINS INC.	$555	$903

CONDENSED CONSOLIDATED BALANCE SHEETS

In millions, except par value	March 31,2026	December 31,2025
ASSETS
Current assets
Cash and cash equivalents	$2,614	$2,845
Marketable securities (Note 6)	568	764
Total cash, cash equivalents and marketable securities	3,182	3,609
Accounts and notes receivable, net	6,528	5,818
Inventories (Note 7)	6,126	5,822
Prepaid expenses and other current assets	1,543	1,676
Total current assets	17,379	16,925
Long-term assets
Property, plant and equipment	13,003	12,919
Accumulated depreciation	(6,079)	(5,961)
Property, plant and equipment, net	6,924	6,958
Investments and advances related to equity method investees	2,221	2,133
Goodwill	2,219	2,224
Other intangible assets, net	2,193	2,167
Pension assets	1,001	1,033
Other assets (Note 8)	2,508	2,552
Total assets	$34,445	$33,992
LIABILITIES
Current liabilities
Accounts payable (principally trade)	$4,433	$3,800
Loans payable (Note 9)	451	313
Commercial paper (Note 9)	349	353
Current maturities of long-term debt (Note 9)	157	94
Accrued compensation, benefits and retirement costs	597	825
Current portion of accrued product warranty (Note 10)	638	693
Current portion of deferred revenue (Note 2)	1,591	1,606
Other accrued expenses (Note 8)	1,951	1,926
Total current liabilities	10,167	9,610
Long-term liabilities
Long-term debt (Note 9)	6,729	6,792
Deferred revenue (Note 2)	1,053	1,054
Other liabilities (Note 8)	3,124	3,128
Total liabilities	$21,073	$20,584
Commitments and contingencies (Note 11)
EQUITY
Cummins Inc. shareholders’ equity
Common stock, $2.50 par value, 500 shares authorized, 222.5 and 222.5 shares issued	$2,602	$2,673
Retained earnings	22,994	22,616
Treasury stock, at cost, 84.5 and 84.4 shares	(10,868)	(10,662)
Accumulated other comprehensive loss (Note 12)	(2,377)	(2,278)
Total Cummins Inc. shareholders’ equity	12,351	12,349
Noncontrolling interests	1,021	1,059
Total equity	$13,372	$13,408
Total liabilities and equity	$34,445	$33,992

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

	Three months ended
	March 31,
In millions	2026	2025
CASH FLOWS FROM OPERATING ACTIVITIES
Consolidated net income	$680	$850
Adjustments to reconcile consolidated net income to net cash provided by (used in) operating activities
Depreciation and amortization	282	269
Deferred income taxes	(12)	(25)
Equity in income of investees, net of dividends	(86)	(70)
Pension and OPEB expense (Note 3)	19	19
Pension contributions and OPEB payments (Note 3)	(13)	(13)
Changes in current assets and liabilities, net of acquisitions and divestiture
Accounts and notes receivable	(678)	(457)
Inventories	(333)	(331)
Other current assets	(50)	(36)
Accounts payable	629	330
Accrued expenses	(167)	(487)
Other, net	38	(52)
Net cash provided by (used in) operating activities	309	(3)
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures	(189)	(162)
Investments in marketable securities—acquisitions	(232)	(457)
Investments in marketable securities—liquidations (Note 6)	407	432
Other, net	4	(59)
Net cash used in investing activities	(10)	(246)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from borrowings	213	52
Net (payments) borrowings of commercial paper	(4)	481
Payments on borrowings and finance lease obligations	(108)	(144)
Dividend payments on common stock	(276)	(251)
Repurchases of common stock	(243)	—
Other, net	(99)	(46)
Net cash (used in) provided by financing activities	(517)	92
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	(13)	18
Net decrease in cash and cash equivalents	(231)	(139)
Cash and cash equivalents at beginning of year	2,845	1,671
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$2,614	$1,532

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

	Three months ended
In millions, except per share amounts · Common Stock · Additional Paid-in Capital · Retained Earnings · Treasury Stock · Accumulated Other Comprehensive Loss · Total Cummins Inc. Shareholders’ Equity · Noncontrolling Interests · Total Equity
BALANCE AT DECEMBER 31, 2025	$556		$2,117		$22,616			$(10,662)			$(2,278)			$12,349			$1,059	$13,408
Net income				654						654			26			680
Other comprehensive loss, net of tax (Note 12)							(99)			(99)			(28)			(127)
Repurchases of common stock					(243)					(243)			—			(243)
Cash dividends on common stock, $2.00 per share				(276)						(276)			—			(276)
Distributions to noncontrolling interests									—			(36)			(36)
Share-based awards		(28)				36					8			—			8
Other shareholder transactions		(43)				1					(42)			—			(42)
BALANCE AT MARCH 31, 2026	$556		$2,046		$22,994			$(10,868)			$(2,377)			$12,351			$1,021	$13,372
BALANCE AT DECEMBER 31, 2024	$556		$2,080		$20,828			$(10,748)			$(2,445)			$10,271			$1,037	$11,308
Net income				824						824			26			850
Other comprehensive income, net of tax (Note 12)							79			79			2			81
Cash dividends on common stock, $1.82 per share				(251)						(251)			—			(251)
Distributions to noncontrolling interests									—			(31)			(31)
Share-based awards		(19)				35					16			—			16
Other shareholder transactions		(17)				2					(15)			13			(2)
BALANCE AT MARCH 31, 2025	$556		$2,044		$21,401			$(10,711)			$(2,366)			$10,924			$1,047	$11,971
The accompanying notes are an integral part of the Condensed Consolidated Financial Statements.

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