Business Segments · Product Warranty Expense
Power Systems — Product Warranty Expense
Cummins Power Systems — Product Warranty Expense decreased by 16.2% to $31.00M in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 13.9%, from $36.00M to $31.00M. Over 3 years (FY 2022 to FY 2025), Power Systems — Product Warranty Expense shows an upward trend with a 21.6% 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 reportedQ4 2025
How to read this metric
Lower expenses suggest higher product quality and reliability, while rising expenses may signal quality control issues.
Detailed definition
This represents the estimated costs the company expects to incur for repairing or replacing products under warranty with...
Peer comparison
Commonly reported by automotive, industrial, and heavy machinery manufacturers.
Metric ID:
cmi_segment_power_systems_product_warranty_expenseHistorical Data
16 periods
| Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $17.50M | $17.50M | $17.50M | $17.50M | $17.75M | $17.75M | $17.75M | $17.75M | $15.00M | $24.00M | $26.00M | $36.00M | $32.00M | $26.00M | $37.00M | $31.00M |
| QoQ Change | — | +0.0% | +0.0% | +0.0% | +1.4% | +0.0% | +0.0% | +0.0% | -15.5% | +60.0% | +8.3% | +38.5% | -11.1% | -18.8% | +42.3% | -16.2% |
| YoY Change | — | — | — | — | +1.4% | +1.4% | +1.4% | +1.4% | -15.5% | +35.2% | +46.5% | +102.8% | +113.3% | +8.3% | +42.3% | -13.9% |
Range$15.00M – $37.00M
CAGR+16.5%
Avg YoY Growth+27.1%
Median YoY Growth+4.9%
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Frequently Asked Questions
- What is Cummins's power systems — product warranty expense?
- Cummins (CMI) reported power systems — product warranty expense of $31.00M in Q4 2025.
- How has Cummins's power systems — product warranty expense changed year-over-year?
- Cummins's power systems — product warranty expense decreased by 13.9% year-over-year, from $36.00M to $31.00M.
- What is the long-term trend for Cummins's power systems — product warranty expense?
- Over 3 years (2022 to 2025), Cummins's power systems — product warranty expense has grown at a 21.6% compound annual growth rate (CAGR), from $70.00M to $126.00M.
- What does power systems — product warranty expense mean?
- The projected cost of honoring product warranties for the segment's customers.