While Cummins (KKC) reported in-line revenue, EBITDA came in 25% higher than our estimates. This was largely owing to favorable mix (higher contribution of distribution segment and export revenue), continued cost rationalization measures, and cut in employee wages. Further, cost reduction was aided by the reduction in warranty and royalty expenses. As sales normalize and lower margin domestic product sales pick up, gross margin is likely to reverse to historical levels. Also, KKC had reduced employee wages by 10-20% during the lockdown owing to decline in...