Business Segments · Product Warranty Expense

Engine — Product Warranty Expense

Cummins Engine — Product Warranty Expense increased by 10.3% to $107.00M in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 16.3%, from $92.00M to $107.00M. Over 3 years (FY 2022 to FY 2025), Engine — Product Warranty Expense shows an upward trend with a 7.4% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.

Analysis

StatementSegment
CategoryRisk
SignalLower is better
VolatilityModerate
First reportedQ1 2022
Last reportedQ4 2025

How to read this metric

Lower expenses suggest higher product quality and lower long-term liability risk.

Detailed definition

This metric tracks the estimated costs the engine segment expects to incur for repairs and replacements under product wa...

Peer comparison

Standard metric for automotive and heavy machinery manufacturers, often found in the 'Accrued Liabilities' or 'Operating Expenses' notes.

Metric ID: cmi_segment_engine_product_warranty_expense

Historical Data

16 periods
 Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25
Value$82.25M$82.25M$82.25M$82.25M$94.25M$94.25M$94.25M$94.25M$105.00M$122.00M$101.00M$92.00M$85.00M$119.00M$97.00M$107.00M
QoQ Change+0.0%+0.0%+0.0%+14.6%+0.0%+0.0%+0.0%+11.4%+16.2%-17.2%-8.9%-7.6%+40.0%-18.5%+10.3%
YoY Change+14.6%+14.6%+14.6%+14.6%+11.4%+29.4%+7.2%-2.4%-19.0%-2.5%-4.0%+16.3%
Range$82.25M$122.00M
CAGR+7.3%
Avg YoY Growth+7.9%
Median YoY Growth+13.0%

Frequently Asked Questions

What is Cummins's engine — product warranty expense?
Cummins (CMI) reported engine — product warranty expense of $107.00M in Q4 2025.
How has Cummins's engine — product warranty expense changed year-over-year?
Cummins's engine — product warranty expense increased by 16.3% year-over-year, from $92.00M to $107.00M.
What is the long-term trend for Cummins's engine — product warranty expense?
Over 3 years (2022 to 2025), Cummins's engine — product warranty expense has grown at a 7.4% compound annual growth rate (CAGR), from $329.00M to $408.00M.
What does engine — product warranty expense mean?
The estimated cost to cover repairs and replacements for products under warranty.