Aim to sustain margins; capital expenditure focused on growth initiatives, says Cummins’ Ajay Patil

We aim to sustain margins going ahead, said Ajay Patil, chief financial officer (CFO) of Cummins India, on Tuesday while talking about the company’s Q3FY21 numbers.

Speaking in an interview with CNBC-TV18, Patil said, “Some of the cost actions we had taken, we will be getting some of those actions back because as the business is picking up, the volume is coming back; we will have to restore some of the action and the focus and the priorities that we have set in terms of managing our revenue profile and the associated cost, our endeavour is to see that we sustain our margins in the coming quarters.”

On the company’s capex plans, he said, “Our thrust on capital expenditure for 2021-2022 and beyond is primarily focused on our growth initiatives, our new product introduction as well as sustenance predominantly in our engineering and manufacturing assets. So that’s the capex profile for the next year as well as the year beyond.”