Cummins India's Q2 net slips by 23%

Cummins India has reported results for the quarter ended September 30, 2011.

The Company’s net profit after tax for the quarter has slipped by 23.41% at Rs 128.58 crore as compared to Rs 167.89 crore for the quarter ended September 30, 2010.  Company’s total income has decreased by 0.47% at Rs 1106.66 crore for the second quarter of the current fiscal from Rs 1111.94 crore for the similar quarter of the previous fiscal.

The frequent interest rate hikes, coupled with the sharp rises in commodity prices has led to a drop in the net profit of engine manufacturer Cummins India despite a marginal rise in total sales during the quarter ended September 30, 2011.

Cummins India is leading manufacturer of diesel and a subsidiary of Cummins Inc USA, the world’s largest independent diesel engine designer and manufacturer of engines above 200 HP.