Cummins Reports Record Q3 2026 EBITDA and Updates Full-Year Outlook

Executive Summary

On November 5, 2026, Cummins Inc. (NYSE: CMI) reported its third-quarter 2026 financial results, achieving record EBITDA and diluted earnings per share. Growth was underpinned by persistent strength in global power generation demand driven by data center infrastructure development, alongside solid U.S. medium- and heavy-duty truck markets, offset by softness in pickup truck volumes.

Key Financial Metrics

• Net Sales: $9.44 billion, up 13.5% year-over-year from $8.32 billion in Q3 2025. North American sales rose 15%, while international revenues rose 11%.
• Net Income Attributable to Cummins: $1.14 billion ($8.25 per diluted share), more than doubling the $536 million ($3.86 per diluted share) in Q3 2025. The Q3 2026 EPS included $0.54 per share of favorable discrete tax items, while Q3 2025 included $1.73 per share of non-cash Accelera charges.
• EBITDA: Reached a record $1.8 billion, representing 18.9% of sales, compared to $1.2 billion (14.3% of sales) in Q3 2025.
• Capital Return: Returned $661 million to shareholders in Q3 via common stock dividends and share repurchases; quarterly dividend was raised in July to $2.20 per share.

Segment Performance

• Engine Segment: Revenue of $3.1 billion (+20% YoY); EBITDA of $422 million (13.5% margin vs. 10.0% in Q3 2025), driven by North American truck build rates and Chinese construction equipment demand.
• Components Segment: Revenue of $2.9 billion (+23% YoY); EBITDA of $408 million (14.3% margin vs. 12.5% in Q3 2025).
• Distribution Segment: Revenue of $3.3 billion (+4% YoY); EBITDA of $461 million (13.9% margin vs. 15.5% in Q3 2025).
• Power Systems Segment: Revenue of $2.3 billion (+15% YoY); EBITDA jumped to $582 million (25.4% margin vs. 22.9% in Q3 2025), heavily boosted by hyperscale data center backup power deployments.
• Accelera Segment: Revenue of $103 million (-15% YoY); EBITDA loss of $56 million, reflecting electrolyzer sales contraction following portfolio pacing and strategic reprioritization.

Updated Full-Year 2026 Guidance

• Revenue Growth: Narrowed to approximately 10% (down from previous guidance range of 10% to 13%), primarily attributed to North American pickup truck weakness.
• EBITDA Margin: Projected at approximately 18.2% (within the prior guidance band of 18.0%–18.5%).
• Q4 Outlook: Fourth-quarter revenue is expected to step up sequentially from Q3 and set a new quarterly company record.