Cummins India Ltd. — AGM Information 2020

Aug 25, 2020

Ref: STEX/SECT/2020

August 25, 2020

The Relationship Manager,DCS-CRDBSE Limited,Phiroze Jeejeebhoy Towers,	National Stock Exchange of India LimitedExchange Plaza, 5th Floor,Plot No. C/1, G Block,Bandra –Kurla Complex,
Dalal Street, Fort,Mumbai 400 001	Bandra (East),Mumbai 400 051
BSE Scrip Code: 500480	NSE Symbol: CUMMINSIND

Subject: Intimation of the presentation given by the Managing Director at the 59 th Annual General Meeting ('AGM') on August 25, 2020.

Dear Sir/ Madam,

With reference to our intimation dated July 30, 2020 towards Annual General Meeting, we are enclosing for your records a copy of the presentation made by the Managing Director to the Members at 59 th AGM of the Company held on Tuesday, August 25, 2020.

Kindly take this submission on your record.

Thanking you,

Yours faithfully, For Cummins India Limited

VINAYA ABHIJIT JOSHI

Digitally signed by VINAYA ABHIJIT JOSHI Date: 2020.08.25 20:53:38 +05'30'

Vinaya A. Joshi Company Secretary & Compliance Officer

Encl.: As above.

(This letter is digitally signed)

Cummins India Limited Registered Office Cummins India Office Campus Tower A, 5th Floor, Survey No. 21, Balewadi Pune 411 045 Maharashtra, India Phone +91 20 67067000 Fax +91 20 67067015 cumminsindia.com cil.investors@cummins.com CIN : L29112PN1962PLC012276

Cummins India Limited

59th Annual General Meeting 2020

Ashwath Ram,

Managing Director,

August 25, 2020 Cummins India Limited

Public

Cummins Power Generation celebrates 100 years of success and its commitment to the next generation of power

Cummins Inc. Highlights

• ✓ PLANET 2050 new environmental strategy
• ✓ Gender Representation in Leadership – Reached 50% level
• ✓ Cummins Powers Women Program - Impacting the lives of 100,000 people to promote equality.
• ✓ Investing in future - Record $1 billion invested in research, development and engineering
• ✓ Profitability - Achieved record profitability

Current Scenario

Impact of COVID 19

230 lakh+

affected globally

30 lakh +

affected In India

• Worst disruption ever witnessed
• More than 200 countries impacted
  • Both human and economic loss
• Maharashtra holds the highest percentage of affected cases in India

Challenging market conditions impacting revenues

Despite ongoing recovery, Indian economy expected to contract in FY21

Pre COVID-19 Post COVID-19

COVID-19 – Weighing on the Indian Growth Story

COVID-19 has resulted in lowering of India's GDP Growth Estimate

Inflation • Covid-19 exacerbated slowing economic growth, Q4 GDP 3.1% • Rating agencies downgraded FY'21 GDP to negative growth • Fiscal deficit widened to 4.6 % of GDP in FY'20, Highlights

expected to shoot to 8.0% in FY'21

• Electricity demand gradually rising to pre-covid level
• Consumption of petroleum products fell by 15% YoY

₹ Cr

Cummins India's response to the pandemic

Cummins India's Response to the pandemic

• ✓ Living our Brand Promise of Dependability
• ✓ Safe Return to work as our plants and offices have restarted operations gradually
• ✓ Cummins has a COVID19 Safe Work Playbook (internal as well as an external version)

Cummins India's Response to the pandemic Making people's lives better (Our Impact Till Date )

₹ 3.15 Cr spent till date on COVID relief

8,350+ N95 masks donated to hospitals

25,000+ Protection kits (masks, gloves, sanitizers) donated to police, sanitation and health officials

7,000+ Litres of Disinfectant donated to Pune, Phaltan Municipal Bodies, 22 Model Villages

#90+ Grant appeals approved on COVID relief

200+ Health centres and 2 hospitals provided with 1500+ sanitizers and hand wash materials

partnered with

Also

45,000+ Cooked meals served to migrant laborers and homeless

5,500+ Safety goggles donated

10,000+ Face shields donated to hospitals and police force in

15,000+ Daily wage earning families benefited through dry ration kits (rice, wheat, pulses, salt

25,000+ 3 Ply masks donated

2,500+ Full Body PPE* suits

donated to hospitals

to hospitals

our communities

etc.)

to hospitals

For life-saving medical equipment for hospitals

*PPE distributed are not part of Cummins inventories. They are sourced separately from Government authorized suppliers

PPE kits donated at Sassoon General Hospital

SWaCH operator using PPE donated by Cummins

Daily wage earners being distributed dry ration kits

Cooked meal distributed to migrant laborers

Top 3 priorities

Cummins India Limited-Performance

Highlights

✓ Products- Launched 40 kVA genset, KTA-19

engine and RoHS compliant low kVA products in export market; Executed first-ever order of

QSK 95

✓ Service- Rendered unconditional support during cyclone ; NPS at 84.86% - an increase by ~3%

since last year

✓ Community- Ranked 50th out of top 100

companies listed by Futurescape; Cummins

College of Engineering completed 25 years with

9500+ students graduated till date

How we have performed

• Revenue
• Profitability
• Cash Flow
• Dividend

2019-20 Financial Performance

₹ 5,062 Cr ₹ 799 Cr

Net Sales Profit before Interest Tax

Cash generated from operations ₹ 599 Cr

Dividend 700%

CIL Revenue Trend

FY20 revenue impacted due to Covid-19 related lockdown and softness in the global economies

CIL PBIT Trend

• FY20 PBIT impacted due to volume loss and sales mix
• Cost optimization measures to deliver value during challenging times

Domestic vs Exports Trend

FY20 revenue impacted due to Covid-19 related lockdown and softness in end markets

₹ Cr

Domestic Revenue: Segment wise

• Rail segment driving growth in Industrial revenue
• Powergen sales mainly impacted with slowdown in Indian economy

Export Revenue: Segment wise

• Exports impacted by slowing end markets and competitive pressure
• Drop in crude oil prices impacted the Middle East economies

Dividend Trend

FY	FY 2016	FY 2017	FY 2018	FY 2019	FY 2020
Dividend Payout%	62%	64%	71%	79%	68%

Cummins - Well positioned to navigate challenges

CIL Growth Strategy

CORE		CAPABILITIES	GROWTH PLATFORMS
PowerIndustrialGeneration		Technology Leadership	Core	New
	Scale Advantage	Market Share	Telematics
			Growth	Electrification
ExportDistribution		Distribution Network	Content Growth	Renewables
			Alternate Fuels
		Partnerships & Customers	New Products	Advanced Analytics

CONTINUOUS IMPROVEMENT INITIATIVES (ACE, AMaZe, aSCent)

Experienced Leadership Team

Ashwath Ram

Managing Director, Cummins India Limited

Mandar Deo

Power Systems Business

Anjali

Pandey

Engine Business & Components Business

Shveta Arya

Distribution Business & NRPO

Sowmya Chaturvedi

Supply Chain

Sharma

Aditi

Quality, HSE & Manufacturing Leader

TBD

Strategy

Batra Vice President – Finance Special Projects

Rajiv

Ajay Patil

Chief Financial Officer

Nagarajan Balanaga

Chief Administrative Officer & Interim Chief Information Officer

TBD

Information Technology

Ram

Ottikkutti Engineering

Anubhav Kapoor

Human Resources Legal &

• Investing in new technologies and launching new products in existing markets

• Introducing better products and fighting harder to gain market share and win more OEMs

• Exploring new strategies for organic as well as inorganic growth in business

• Working closely with the Govt. to be part of the key roadmap to improve energy and infrastructure of the country

• Leveraging our infrastructure, investments and people to grow our business