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Business Segments · Product Warranty Expense

Distribution — Product Warranty Expense

Cummins Distribution — Product Warranty Expense remained flat by 0.0% to $7M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 16.7%, from $6M to $7M. Over 3 years (FY 2022 to FY 2025), Distribution — Product Warranty Expense shows an upward trend with a 56.5% CAGR. This is a positive signal — lower values indicate better performance for this metric.

Analysis

StatementSegment
CategoryRisk
SignalLower is better
VolatilityModerate
First reportedQ1 2022
Last reportedQ1 2026May 5, 2026
Rolls up toWarranty expense

How to read this metric

Lower expenses suggest high product quality, while rising expenses may indicate quality control problems or increased liability.

Detailed definition

This metric represents the estimated costs the Distribution segment expects to incur for repairing or replacing products...

Peer comparison

Standard operating expense for manufacturing and distribution companies with long-term product warranties.

Metric ID: cmi_segment_distribution_product_warranty_expense

Historical Data

17 periods
 Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Value$1.5M$1.5M$1.5M$1.5M$4M$4M$4M$4M$5M$5M$7M$6M$6M$5M$5M$7M$7M
QoQ Change+0.0%+0.0%+0.0%+166.7%+0.0%+0.0%+0.0%+25.0%+0.0%+40.0%-14.3%+0.0%-16.7%+0.0%+40.0%+0.0%
YoY Change+166.7%+166.7%+166.7%+166.7%+25.0%+25.0%+75.0%+50.0%+20.0%+0.0%-28.6%+16.7%+16.7%
Range$1.5M$7M
CAGR+47.0%
Avg YoY Growth+66.6%
Median YoY Growth+25.0%
Current Streak3 quarters growth

Frequently Asked Questions

What is Cummins's distribution — product warranty expense?
Cummins (CMI) reported distribution — product warranty expense of $7M in Q1 2026.
How has Cummins's distribution — product warranty expense changed year-over-year?
Cummins's distribution — product warranty expense increased by 16.7% year-over-year, from $6M to $7M.
What is the long-term trend for Cummins's distribution — product warranty expense?
Over 3 years (2022 to 2025), Cummins's distribution — product warranty expense has grown at a 56.5% compound annual growth rate (CAGR), from $6M to $23M.
What does distribution — product warranty expense mean?
The estimated costs for fulfilling warranty obligations on products sold by the segment.