Could This be the Start of the ‘Rail Renaissance?’

Amtrak in December 2018 announced it was purchasing 75 Charger locomotives with Cummins' QSK95 engines (rendering courtesy of Siemens).
Amtrak in December 2018 announced it was purchasing 75 Charger locomotives with Cummins' QSK95 engines (rendering courtesy of Siemens).

It looks like Siemens’ prediction of a “Rail Renaissance” in North America might just be happening.

Last year, Siemens received contracts for more than 100 of the company’s Charger locomotives – powered by the 4,000 to 4,400 horsepower Cummins’ QSK95 Tier 4 engine systems. The purchases are merely the latest evidence of the growing interest in rail, especially passenger rail, in the U.S. and Canada, advocates say.

Brightline, the passenger rail service in Florida that recently announced it would become Virgin Trains U.S.A. in partnership with entrepreneur Sir Richard Branson, said in December it hopes to begin construction in 2019 to extend service from West Palm Beach to Orlando. Brightline has 10 Charger locomotives. 

Meanwhile, Amtrak, which announced Dec. 21, 2018, that it was  purchasing 75 new Charger locomotives, posted record revenues and earnings for the fiscal year ending Sept. 30, 2018.

“Riding trains in North America is ‘in’ again, particularly in the megacities and large metropolitan areas,” Siemens said in a background paper released to the media predicting the “Rail Renaissance” at the UITP Global Public Transport Summit in May 2017 in Montreal, Canada. “Year after year, the volume of passengers is rising, the number of rail routes and networks is growing, rolling stock and infrastructure is being modernized, and politicians are rediscovering the advantages of passenger rail.”

CHARGED UP

The Charger locomotive may be leading the way to that renaissance. Designed to operate at speeds up to 125 miles per hour, the Charger is the first high-speed passenger locomotive to receive Tier 4 emissions certification from the U.S. Environmental Protection Agency.

It’s only been in service for a little over a year and a half and is already being used by rail systems in Washington, California, Oregon, Illinois, Florida, Michigan, Missouri, Wisconsin, Indiana and Maryland. There are currently 70 Chargers in operation. As of Jan. 8, the locomotives had traveled more than 5 million service miles. 

The 2018 contracts will more than double the number of Charger locomotives in revenue service, and include multi-year parts, service and support agreements in addition to buy options for future purchases. The most recent Amtrak contract will result in the single largest North American rail engine system purchase with aftermarket agreements in Cummins’ history. 

“Cummins is so proud to be a part of this tremendous locomotive, which is not just demonstrating every day it can move people dependably and efficiently, but also deliver significant reductions in particulate matter (PM), nitrogen oxide (NOx) and carbon dioxide (CO2),” said Regina Barringer, General Manager – Global Rail and Defense at Cummins.

“Siemens has built a tremendous product that’s having a positive impact across North America, and we’re so glad to be part of that,” she added.

ENVIRONMENTAL BENEFITS

A big part of the Charger’s appeal is its environmental benefits. Cummins’ 16-cylinder QSK95 engine system, a high-speed diesel-electric engine using the latest in clean diesel technology, provides a huge environmental improvement over the medium-speed diesel engines it will be replacing in many cases – some dating back to the 1990s.

The Charger is expected to achieve an approximate 10 percent improvement in CO2 emissions, a nearly 90 percent improvement in NOx and a more than 95 percent improvement in PM. Carbon dioxide is a major contributor to the greenhouse gases (GHGs) blamed for climate change. NOx and PM are key contributors to smog.

Advocates for passenger trains hope a renaissance will translate into more people leaving their cars in the garage, reducing the congestion plaguing many large urban areas in addition to the potential environmental benefits. Studies show a person traveling by rail uses almost half as much energy as by car, resulting in significant additional GHG savings.

While there remain challenges ahead – ranging from aging infrastructure to changing long-established consumer habits – passenger train advocates say they are beginning to see the light at the end of the tunnel.  
 

Cummins India Limited Results for the quarter ended June 30, 2022

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Pune, India: Cummins India Limited (NSE: CUMMINSIND) The Board of Directors of Cummins India Limited (CIL), at their meeting held today, reviewed and approved the financial results for the quarter ended June 30, 2022. 


Performance Highlights (based on standalone financial results) for the quarter ended June 30, 2022:
 

•    Total Sales for the quarter at ₹ 1,657 Cr. increased by 42% compared to the same quarter last year and by 13% compared to the previous quarter.
•    Domestic sales at ₹ 1,172 Cr. increased by 36% compared to the same quarter last year and by 12% compared to the previous quarter.
•    Exports Sales at ₹ 485 Cr. increased by 58% compared to the same quarter last year and by 14% compared to the previous quarter.
•    Profit before exceptional items and tax at ₹278 Cr. is higher by 63% compared to the same quarter last year and higher by 14% compared to the previous quarter.
•    Profit before tax at ₹264 Cr. is lower by 13% compared to the same quarter last year and higher by 8% compared to the previous quarter.
 

Ashwath Ram, Managing Director, Cummins India Limited, said: 
 

The new fiscal year started positively with strong demand from most end markets. GST monthly collections, higher highway construction annual targets, and increased consumption of petroleum products reaffirms the strength of underlying trade activities. Geopolitical risk, high inflation, and supply chain disruptions continue to pose challenges. Cummins India can effectively meet demand despite these issues due to its integrated supply chain management with a global network. While we effectively deal with challenges and closely monitor any potential impact of rising interest rates on the demand, we remain optimistic about the short to medium-term demand outlook. 

Future Outlook:
 

The company believes that the strong demand from various end markets may likely sustain. At the same time, high inflation and supply chain issues will, in all probability, continue to impact the industry. The company, being part of the globally integrated supply chain, is well positioned to manage parts supplies to mitigate the impact on revenue and profitability. We are closely monitoring the result of the geopolitical events unfolding in different parts of the world and their impact on global demand and supply chain. Considering the uncertainty, the company will not provide any guidance for FY 23.
 


About Cummins India Limited 


Cummins India Limited, part of the Cummins Group in India, is headquartered in Pune since 1962 and is the country's leading manufacturer of diesel and natural gas engines for power generation, industrial and automotive markets. Cummins India Limited has a country-wide network of 20 dealerships with over 450 service points that provides products, services, and after-market solutions for uptime of Cummins equipment and engines to customers in India, Nepal, and Bhutan. 
 

About Cummins Group in India:
 

Cummins in India, a power leader, is a group of complementary business units that design, manufacture, distribute, and service engines and related technologies, including fuel systems, air handling, filtration, emission solutions, and electrical power generation systems. Its technology and pioneering initiatives are bringing innovative solutions and dependable services at the best possible value to users across the country. Its high-performance outlook is based on customer focus, integrity, and capability of its people. Part of the $19.8 billion Cummins Inc. USA. Cummins in India is a Group of seven legal entities across 200 locations in the country with a combined turnover of ₹17,900 crores in 2021 and employing over 10,000 individuals. Learn more at cummins.com.

Cummins salutes its star dealers in U.K. and Ireland for their exceptional performance

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Cummins, a global power leader, has bestowed prestigious awards to three of its dealers in the UK and Ireland.

The trio – Vasi Southern Ltd, Universal Components UK Ltd and CSL Power Systems Ltd – were recognised for their outstanding focus on customer satisfaction and for delivering exceptional performance and results.

Relating to the 2021 calendar year, the awards cover a period when the UK and Irish economies were still coming to terms with the disruption caused by the Covid pandemic.

Customers of Cummins, spread across a variety of business sectors, looked to their local dealer to provide the continuity of service that was essential if they were to trade through the toughest of times.

All three Cummins award winners demonstrably went above and beyond what their customers were expecting.

Vasi Southern Ltd is an approved parts and service dealer based in the port city of Southampton. It specialises in marine engines and Onan generator sets. The company won the same award in 2020 and its back-to-back success was down to a commitment to increasing revenue and achieving all of its key performance targets.

Simon Green – Vasi Southern Ltd
Simon Green – Vasi Southern Ltd

Universal Components UK Ltd is an approved parts dealer based in Barnsley, South Yorkshire. In 2021, it achieved the highest sales growth by any dealer within the Cummins UK and Ireland network. Its strategic stockholding meant the business could ride out supply challenges while continuing to target new markets and geographical locations.

Rick Lewis & Stuart Ponsonby – Universal Components
Rick Lewis & Stuart Ponsonby – Universal Components

CSL Power Systems Ltd, based in Kent with additional resource availability nationwide is an approved Power Generation sales and service dealer. The company is a specialist in the installation and maintenance of industrial generator sets, including units for banks and commercial buildings.

Kurt Gozzett & Todd Trent – CSL Power Systems
Kurt Gozzett & Todd Trent – CSL Power Systems

As well as achieving all its key performance targets, CSL Power Systems Ltd demonstrated a clear desire to grow its operations, proactively promoting the Cummins product.

Graham Cook, Cummins’ Dealer Manager for UK and Ireland, praised the award-winning dealers for their commitment, commenting: “Our authorised dealers throughout the UK and Ireland form an integral part of our sales network. Vasi Southern, Universal Components and CSL Power Systems demonstrated their commitment and capabilities through 2021, further strengthening the channel, maximising profitable aftermarket growth, and delivering excellent customer support.

To locate your nearest authorised Cummins dealer visit our sales and service locator

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