In its Q3 2025 results, Cummins said it would be pursuing a strategic review of its electrolyzer business after experiencing a significant drop in demand prospects. The company recorded $240 million in non-cash charges related to goodwill impairment and inventory write-downs for Accelera—its energy technology segment—citing “policy-driven shifts in hydrogen adoption expectations,” said Chair and CEO Jennifer Rumsey.
“We had pretty ambitious targets for growth,” said CFO Mark Smith in an earnings call. “It’s dried up faster than anything I have seen in my career for a variety of reasons—especially here in the U.S., but also some of the adoption in international markets,” leaving a hole in projections for the next few years, he said.
In 2020, Cummins projected its electrolyzer business would generate $400 million in annual revenues in 2025.
According to the company’s latest 10-Q quarterly report, “During the third quarter of 2025, in our Accelera segment, we observed rapidly deteriorating conditions in our electrolyzer markets and overall hydrogen markets, along with significant uncertainty in the alternative power markets resulting from reductions in government incentives.”
