New Delhi, Aug. 7 -- Cummins India had a tough June quarter (Q1FY27). Standalone Ebitda declined marginally by 1.2% year-on-year to Rs.616 crore despite a healthy 18% rise in revenue to Rs.3,426 crore.

Not only did raw material costs increase sharply, other cost items also rose significantly. As a result, Cummins' gross margin contracted by about 350 basis points (bps) year-on-year to 33.5%. In contrast, FY26 Ebitda had grown 25%. Besides the challenge of protecting margins, the engine manufacturer will also undergo a management transition following the resignation of managing director Shveta Arya, effective 31 August.

Cummins' revenue growth in Q1FY27 was led by the domestic market, where revenue rose 22% year-on-year.

Exports, which ...