Annual report [Section 13 and 15(d), not S-K Item 405]

INVESTMENTS IN EQUITY INVESTEES (Tables)

v3.25.4
INVESTMENTS IN EQUITY INVESTEES (Tables)
 12 Months Ended
Dec. 31, 2025
Equity Method Investments and Joint Ventures [Abstract]  
Summary of investments in and advances to equity investees and our ownership percentage
Investments and advances related to equity method investees and our ownership percentages were as follows:
  Ownership December 31,
Dollars in millions percentage 2025 2024
Amplify Cell Technologies, LLC 30% $ 359  $ 187 
Komatsu alliances
20-50%
 321  322 
Beijing Foton Cummins Engine Co., Ltd. 50% 220  185 
Dongfeng Cummins Engine Company, Ltd. 50% 148  128 
Chongqing Cummins Engine Company, Ltd. 50% 140  120 
Sistemas Automotrices de Mexico S.A. de C.V. 50% 134  150 
Automotive Axles Limited 36% 120  123 
Tata Cummins, Ltd. 50% 115  96 
Cummins-Scania XPI Manufacturing, LLC 50% 91  88 
Freios Master 49% 79  78 
Other Various 406  412 
Investments and advances related to equity method investees   $ 2,133  $ 1,889 
Equity, royalty and interest income from investees
Equity, royalty and interest income from investees, net of applicable taxes, was as follows:
  Years ended December 31,
In millions 2025 2024 2023
Manufacturing entities      
Chongqing Cummins Engine Company, Ltd. $ 89  $ 60  $ 36 
Dongfeng Cummins Engine Company, Ltd. 70  66  65 
Beijing Foton Cummins Engine Co., Ltd. 64  42  47 
Tata Cummins, Ltd. 33  31  29 
All other manufacturers 29  25 
(1)
 91 
Distribution entities
Komatsu Cummins Chile, Ltda. 54  55  55 
All other distributors 25  17  16 
Cummins share of net income 364  296  339 
Royalty and interest income 105  99  144 
Equity, royalty and interest income from investees $ 469  $ 395  $ 483 
(1) Included a $17 million impairment of our joint ventures in the fourth quarter of 2024 related to Accelera strategic reorganization actions. See NOTE 22, “ACCELERA ACTIONS,” for additional information
Summary of financial information for equity investees
Summary financial information for our equity investees was as follows:
  Years ended and at December 31,
In millions 2025 2024 2023
Net sales $ 11,588  $ 11,190  $ 9,998 
Gross margin 1,847  1,760  1,597 
Net income 968  860  677 
Cummins share of net income $ 364  $ 296  $ 339 
Royalty and interest income 105  99  144 
Total equity, royalty and interest from investees $ 469  $ 395  $ 483 
Current assets $ 7,794  $ 6,626   
Long-term assets 3,072  2,597   
Current liabilities (4,977) (4,203)  
Long-term liabilities (555) (549)  
Net assets $ 5,334  $ 4,471   
Cummins share of net assets $ 2,165  $ 1,866