Cummins Inc. Approves 10% Increase in Quarterly Dividend, Extending Streak of Shareholder Returns
Cummins Inc. the global power solutions leader, announced that its Board of Directors has approved a notable increase in the company’s quarterly common stock cash dividend. The payout will rise approximately 10%, moving from $1.82 per share to $2.00 per share. This marks the 16th consecutive year that the company has raised its dividend, underscoring its long-term commitment to rewarding shareholders while maintaining financial discipline.
The dividend is scheduled to be payable on September 4, 2025, to shareholders of record as of August 22, 2025. This adjustment reflects the company’s confidence in its financial strength and its ability to generate sustainable returns, even as it continues to invest heavily in innovation, advanced technologies, and its long-term energy transition strategy.
A Signal of Financial Resilience
For more than a century, Cummins has navigated changing market dynamics, technological disruptions, and global challenges while maintaining a consistent focus on operational performance and shareholder value. The decision to increase the dividend once again highlights the company’s resilience, its strong cash flow generation, and the effectiveness of its business model, which balances near-term profitability with forward-looking investments.
Investors often view dividend growth as a sign of stability and confidence from management. For Cummins, this 10% boost comes on the back of a solid financial performance in 2024, when the company reported $34.1 billion in revenue and approximately $3.9 billion in earnings. Such results provided the flexibility to strengthen its balance sheet while also returning capital to shareholders.
Commitment to Long-Term Strategy
Beyond shareholder payouts, Cummins remains firmly focused on its Destination Zero strategy, an ambitious roadmap designed to guide the company and its customers through the global energy transition. The strategy emphasizes reducing greenhouse gas emissions, improving fuel efficiency, and accelerating the adoption of cleaner technologies across the transportation and power generation industries.
Through Destination Zero, Cummins is scaling up solutions that range from advanced diesel and natural gas engines to electric and hybrid powertrains, as well as next-generation hydrogen technologies. The company is investing in both near-term improvements, such as lower-emission diesel products, and future-focused technologies including battery systems, fuel cells, and hydrogen production. This dual approach enables Cummins to meet customers’ immediate needs while preparing them for a decarbonized future.
A Diversified Business Model
Cummins operates through five primary business segments that create a diversified and resilient structure:
- Engine – Providing high-performance diesel and natural gas engines for on- and off-highway applications.
- Components – Offering critical technologies such as aftertreatment, turbochargers, fuel systems, transmissions, axles, brakes, and drivelines.
- Distribution – Ensuring global availability of products and services through company-owned and independent distributors and a wide dealer network.
- Power Systems – Delivering power generation equipment and solutions, including backup power for data centers, hospitals, and other mission-critical facilities.
- Accelera by Cummins – Driving the transition toward zero-emission technologies with products including batteries, fuel cells, and hydrogen solutions.
This mix of established and emerging business lines helps Cummins manage risks while seizing opportunities across multiple energy pathways. It also ensures that the company can meet the needs of diverse customers—from commercial fleets and industrial operations to governments and energy providers.
A Legacy of Community Commitment
Headquartered in Columbus, Indiana, since its founding in 1919, Cummins has grown into a truly global company with a workforce of approximately 69,600 employees. Beyond its commercial achievements, Cummins takes pride in its corporate responsibility initiatives. The company focuses on three main areas essential to healthy and thriving communities:
- Education – Empowering future generations with access to learning and career opportunities.
- Environment – Protecting natural resources and promoting sustainability.
- Equality of Opportunity – Ensuring fairness and inclusion across its workforce and in the communities it serves.
Through these commitments, Cummins continues to reinforce its mission of “powering a more prosperous world.”
