Business Segments · Product Warranty Expense

Total Segment — Product Warranty Expense

Cummins Total Segment — Product Warranty Expense increased by 28.5% to $239.00M in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 52.2%, from $157.00M to $239.00M. Over 3 years (FY 2022 to FY 2025), Total Segment — Product Warranty Expense shows an upward trend with a 16.4% 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

An increase may signal declining product quality or manufacturing defects, while a decrease suggests improved product reliability.

Detailed definition

Reflects the estimated costs associated with fulfilling warranty obligations for products sold, based on historical fail...

Peer comparison

Standard in automotive and heavy machinery industries where long-term product performance is a key competitive factor.

Metric ID: cmi_segment_total_segment_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$122.25M$122.25M$122.25M$122.25M$157.75M$157.75M$157.75M$157.75M$195.00M$223.00M$176.00M$157.00M$157.00M$190.00M$186.00M$239.00M
QoQ Change+0.0%+0.0%+0.0%+29.0%+0.0%+0.0%+0.0%+23.6%+14.4%-21.1%-10.8%+0.0%+21.0%-2.1%+28.5%
YoY Change+29.0%+29.0%+29.0%+29.0%+23.6%+41.4%+11.6%-0.5%-19.5%-14.8%+5.7%+52.2%
Range$122.25M$239.00M
CAGR+19.6%
Avg YoY Growth+18.0%
Median YoY Growth+26.3%

Frequently Asked Questions

What is Cummins's total segment — product warranty expense?
Cummins (CMI) reported total segment — product warranty expense of $239.00M in Q4 2025.
How has Cummins's total segment — product warranty expense changed year-over-year?
Cummins's total segment — product warranty expense increased by 52.2% year-over-year, from $157.00M to $239.00M.
What is the long-term trend for Cummins's total segment — product warranty expense?
Over 3 years (2022 to 2025), Cummins's total segment — product warranty expense has grown at a 16.4% compound annual growth rate (CAGR), from $489.00M to $772.00M.
What does total segment — product warranty expense mean?
The estimated cost to cover repairs and replacements under product warranties.