 "Cummins India Q1 results: PAT up 31% at Rs 463 cr on high generator demand | Company Results")
Analysts expect the company to benefit from a transition to CPCB IV+ emission norms, effective from July 1 | Image: Wikimedia Commons
Cummins India, a unit of US- based truck engine maker Cummins, reported a 31 per cent surge in first-quarter profit, driven by increasing domestic demand for its power generators.
The company’s consolidated profit after tax rose to Rs 463 cr (about $55 million) in the three months ended June 30 from Rs 354 cr a year earlier.
Higher sales in its engines segment, which includes power generator sets, boosted overall sales by 5 per cent to Rs 2,916 cr.
The engine segment contributes to nearly 80 per cent to overall sales.
India’s electricity generation hit record highs in the April-June quarter – peak summer time for the country – fuelling demand for power generators.
Separately, analysts expect the company to benefit from a transition to CPCB IV+ emission norms, effective from July 1.
The norms, which are part of the government’s efforts to reduce pollution, will apply to diesel generators with a power output of up to 800 kilowatts, which comprise about 70 per cent of Cummins’ products.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
First Published: Aug 06 2024 | 8:22 PM IST
