分组1 - CNH Industrial reported quarterly earnings of $0.10 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, but down from $0.33 per share a year ago, representing an earnings surprise of 11.11% [1] - The company posted revenues of $3.83 billion for the quarter, surpassing the Zacks Consensus Estimate by 1.14%, but down from $4.82 billion year-over-year [2] - Over the last four quarters, CNH has only surpassed consensus EPS estimates once and has topped consensus revenue estimates just once [2] 分组2 - The stock has increased approximately 2.1% since the beginning of the year, while the S&P 500 has declined by 5.3% [3] - The current consensus EPS estimate for the upcoming quarter is $0.17 on revenues of $4.47 billion, and for the current fiscal year, it is $0.64 on revenues of $17.06 billion [7] - The Manufacturing - Farm Equipment industry, to which CNH belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, indicating potential challenges ahead [8]

Q1 2025 RESULTS REVIEW May 1, 2025 SAFE HARBOR STATEMENT AND DISCLOSURES All statements other than statements of historical fact contained in this presentation including competitive strengths; business strategy; future financial position or operating results; budgets; projections with respect to revenue, income, earnings (or loss) per share, capital expenditures, dividends, liquidity, capital structure or other financial items; costs; and plans and objectives of management regarding operations and products, ...

[First Quarter 2025 Financial and Operational Highlights](index=1&type=section&id=First%20Quarter%202025%20Financial%20and%20Operational%20Highlights) CNH Industrial reported a significant decline in Q1 2025 results, with consolidated revenues falling 21% to $3.8 billion and diluted EPS dropping to $0.10, driven by lower demand and dealer destocking [Q1 2025 Performance Summary](index=1&type=section&id=Q1%202025%20Performance%20Summary) CNH Industrial reported a significant decline in Q1 2025 results, with consolidated revenues falling 21% to $3.8 billion and diluted EPS dropping to $0.10, driven by lower demand and dealer destocking | Metric | Q1 2025 | Q1 2024 | Change | Change at constant currency | | :--- | :--- | :--- | :--- | :--- | | **Consolidated revenues** | $3,828 Million | $4,818 Million | (21)% | (17)% | | **Net sales of Industrial Activities** | $3,172 Million | $4,131 Million | (23)% | (21)% | | **Net income** | $132 Million | $369 Million | (64)% | - | | **Diluted EPS** | $0.10 | $0.29 | ($0.19) | - | | **Adjusted net income** | $132 Million | $388 Million | (66)% | - | | **Adjusted diluted EPS** | $0.10 | $0.30 | ($0.20) | - | | **Cash flow from operating activities** | $162 Million | ($894) Million | +$1,056 Million | - | | **Free cash flow of Industrial Activities** | ($567) Million | ($1,209) Million | +$642 Million | - | - The decline in Net sales of Industrial Activities was mainly attributed to lower shipments resulting from decreased industry demand and dealer destocking[4](index=4&type=chunk) - Management emphasized a focus on reducing dealer inventories and managing costs to navigate current macroeconomic uncertainties, expressing confidence in strategic initiatives ahead of the upcoming Investor Day[1](index=1&type=chunk) [Segment Performance](index=3&type=section&id=Segment%20Performance) This section details the performance of Agriculture, Construction, and Financial Services segments, all experiencing revenue declines and margin contractions [Agriculture](index=3&type=section&id=Agriculture) The Agriculture segment saw a 23% decline in net sales to $2.58 billion and a 64% drop in Adjusted EBIT to $139 million due to lower demand and shipments | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | **Net sales** | $2,581 Million | $3,373 Million | (23)% | | **Gross profit margin** | 20.0% | 23.8% | (380) bps | | **Adjusted EBIT** | $139 Million | $388 Million | (64)% | | **Adjusted EBIT margin** | 5.4% | 11.5% | (610) bps | - Industry demand for tractors and combines fell sharply in North America (down **12-51%**) and EMEA (down **23-34%**), while South America saw a rebound with tractor and combine demand up **10%** and **1%** respectively[7](index=7&type=chunk) - The decrease in Adjusted EBIT was primarily caused by lower shipment volumes, partially offset by improved purchasing and manufacturing costs and reduced SG&A expenses[9](index=9&type=chunk) [Construction](index=3&type=section&id=Construction) The Construction segment's net sales decreased by 22% to $591 million, with Adjusted EBIT falling 73% to $14 million due to lower volumes and unfavorable pricing | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | **Net sales** | $591 Million | $758 Million | (22)% | | **Gross profit margin** | 14.9% | 17.4% | (250) bps | | **Adjusted EBIT** | $14 Million | $51 Million | (73)% | | **Adjusted EBIT margin** | 2.4% | 6.7% | (430) bps | - Global industry volume for Heavy construction equipment increased by **2%**, while Light construction equipment decreased by **6%**, with aggregated demand falling in North America (**-11%**), EMEA (**-9%**), and South America (**-1%**), but growing in Asia Pacific (**+7%**)[10](index=10&type=chunk) [Financial Services](index=3&type=section&id=Financial%20Services) Financial Services revenues declined 5% to $651 million, with net income decreasing 24% to $90 million due to currency impacts and increased risk costs | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | **Revenues** | $651 Million | $685 Million | (5)% | | **Net income** | $90 Million | $118 Million | (24)% | - The managed portfolio stood at **$28.0 billion** as of March 31, 2025, a slight decrease from the prior year[14](index=14&type=chunk) - The balance of receivables more than 30 days past due as a percentage of the receivable portfolio increased to **2.3%** from **1.7%** as of March 31, 2024[14](index=14&type=chunk) [2025 Outlook](index=4&type=section&id=2025%20Outlook) CNH updated its 2025 full-year guidance, lowering and widening ranges for net sales, EBIT margins, and EPS due to macroeconomic uncertainty and inventory reduction strategy [Updated 2025 Full-Year Guidance](index=4&type=section&id=Updated%202025%20Full-Year%20Guidance) CNH updated its 2025 outlook, lowering and widening guidance ranges for net sales, EBIT margins, and EPS due to macroeconomic uncertainty and inventory reduction strategy - The company anticipates lower global industry retail sales in 2025 for both agriculture and construction equipment markets compared to 2024[15](index=15&type=chunk) - CNH is focused on reducing excess channel inventory by producing fewer units than the retail demand level, which will negatively impact 2025 net sales[15](index=15&type=chunk) | Metric | Updated 2025 Outlook | Previous 2025 Outlook | | :--- | :--- | :--- | | **Agriculture Net Sales (YoY)** | Down 12% to 20% | Down 13% to 18% | | **Agriculture Adj. EBIT Margin** | 7% to 9% | 8.5% to 9.5% | | **Construction Net Sales (YoY)** | Down 4% to 15% | Down 5% to 10% | | **Construction Adj. EBIT Margin** | 2% to 4% | 4% to 5% | | **Free Cash Flow of Industrial Activities** | $100 Million to $500 Million | $200 Million to $500 Million | | **Adjusted Diluted EPS** | $0.50 to $0.70 | $0.65 to $0.75 | [Financial Statements](index=8&type=section&id=Financial%20Statements) This section presents the Consolidated Statements of Operations, Balance Sheets, and Cash Flows, detailing the company's financial performance and position [Consolidated Statements of Operations](index=8&type=section&id=Consolidated%20Statements%20of%20Operations) This statement details the company's revenues, costs, and profits, showing a decline in total revenues from **$4.8 billion** to **$3.8 billion** and net income from **$369 million** to **$132 million** | ($ million, except per share data) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | **Total Revenues** | $3,828 | $4,818 | | Cost of goods sold | $2,569 | $3,195 | | Total Costs and Expenses | $3,666 | $4,416 | | Income before Income Taxes | $162 | $402 | | **Net Income** | $132 | $369 | | Net Income attributable to CNH | $131 | $368 | | **Diluted EPS** | $0.10 | $0.29 | [Consolidated Balance Sheets](index=9&type=section&id=Consolidated%20Balance%20Sheets) This statement shows the company's financial position, highlighting a decrease in cash from **$3.2 billion** to **$1.7 billion** and total debt from **$26.9 billion** to **$26.0 billion** | ($ million) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $1,695 | $3,191 | | Inventories, net | $5,156 | $4,776 | | **Total Assets** | **$42,057** | **$42,933** | | **Liabilities and Equity** | | | | Debt | $26,010 | $26,882 | | **Total Liabilities** | **$34,098** | **$35,165** | | **Total Equity** | **$7,902** | **$7,713** | [Consolidated Statements of Cash Flows](index=11&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) This statement details cash flows from operating, investing, and financing activities, showing a significant improvement in net cash from operating activities to **$162 million** from a **($894 million)** use | ($ million) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | **Net cash provided (used) by operating activities** | **$162** | **($894)** | | Net cash provided (used) by investing activities | ($280) | ($419) | | Net cash provided (used) by financing activities | ($1,422) | $319 | | Net increase (decrease) in cash, cash equivalents and restricted cash | ($1,468) | ($1,086) | [Supplemental Financial Information and Non-GAAP Reconciliations](index=5&type=section&id=Supplemental%20Financial%20Information%20and%20Non-GAAP%20Reconciliations) This section provides reconciliations for key non-GAAP financial metrics and details an immaterial correction to prior period financial statements [Non-GAAP Reconciliations](index=18&type=section&id=Non-GAAP%20Reconciliations) This section provides reconciliations for key non-GAAP metrics, including Adjusted EBIT by segment, Net Cash (Debt), Free Cash Flow of Industrial Activities, and Adjusted Diluted EPS Adjusted EBIT of Industrial Activities by Segment | ($ million) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Agriculture | $139 | $388 | | Construction | $14 | $51 | | Unallocated items, eliminations and other | ($52) | ($67) | | **Total Adjusted EBIT of Industrial Activities** | **$101** | **$372** | Reconciliation to Free Cash Flow of Industrial Activities | ($ million) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided (used) by Operating Activities | $162 | ($894) | | Less: Cash flows from Operating Activities of Financial Services | (638) | (198) | | Less: Investments in PP&E and intangibles of Industrial Activities | (103) | (96) | | Other adjustments | 12 | (21) | | **Free cash flow of Industrial Activities** | **($567)** | **($1,209)** | [Revision of Prior Period Financial Statements](index=22&type=section&id=Revision%20of%20Prior%20Period%20Financial%20Statements) The company disclosed an immaterial correction to prior period financial statements due to accounting treatment for an unconsolidated affiliate in Türkiye under highly inflationary conditions - An immaterial correction was made to prior periods' results for the accounting treatment related to the highly inflationary economy in Türkiye and its impact on an unconsolidated affiliate[58](index=58&type=chunk) - The correction fixed an overstatement of CNH's 'Equity in income of unconsolidated subsidiaries and affiliates' by **$96 million** in 2023 and **$67 million** in the first half of 2024[58](index=58&type=chunk) Impact of Revision on Q1 2024 Results | ($ million, except EPS) | Previously Reported | Revision Impacts | As Revised | | :--- | :--- | :--- | :--- | | Equity in income of unconsolidated subsidiaries | $77 | ($33) | $44 | | Net income | $402 | ($33) | $369 | | Diluted EPS | $0.31 | ($0.02) | $0.29 |

Financial Performance - CNH Industrial reported consolidated revenues of $3.83 billion for Q1 2025, a decrease of 21% compared to Q1 2024 [1][5] - Net income for the quarter was $132 million, down 64% from $369 million in the same period last year [1][6] - Diluted earnings per share (EPS) were $0.10, compared to $0.29 in Q1 2024, reflecting a decline of $0.19 [1][5] Segment Performance - Net sales of Industrial Activities were $3.17 billion, down 23% year-over-year, primarily due to lower shipments and dealer destocking [1][5][10] - In the Agriculture segment, net sales decreased by 23% to $2.58 billion, with a gross profit margin of 20.0%, down from 23.8% [8][10][11] - The Construction segment saw net sales decline by 22% to $591 million, with an adjusted EBIT margin of 2.4%, down from 6.7% [12][13] Cash Flow and Financial Health - Cash flow provided by operating activities was $162 million, a significant improvement from a cash outflow of $894 million in Q1 2024 [1][7] - Industrial free cash flow absorption was $567 million, showing a year-over-year improvement of $642 million [1][7] - Cash and cash equivalents decreased to $1.70 billion from $3.19 billion at the end of Q1 2024 [5][37] Market Outlook - The company anticipates lower global industry retail sales in both agriculture and construction equipment markets for 2025 compared to 2024 [17][18] - CNH is focused on reducing excess channel inventory by producing fewer units than retail demand levels, which will lead to lower net sales in 2025 [17][18] - The ongoing macroeconomic uncertainties and potential global trade scenarios, including tariffs, may impact the company's forecasts for the year [19][20]

Core Points - CNH will release its financial results for the First Quarter of 2025 on May 1, 2025, with a live webcast starting at 9:00 a.m. ET [1] - A replay of the financial results conference call will be available for 12 months on the corporate website [1] Company Overview - CNH Industrial (NYSE:CNH) is a global leader in equipment, technology, and services, focusing on innovation, sustainability, and productivity [3] - The company provides strategic direction, R&D capabilities, and investments to support its global and regional brands [3] - CNH's brands include Case IH and New Holland for agriculture, and CASE and New Holland Construction Equipment for construction products [3] - Regionally focused brands include STEYR for agricultural tractors, Raven for digital agriculture, Hemisphere for satellite-based positioning, Flexi-Coil for tillage systems, Miller for application equipment, and Eurocomach for mini and midi excavators [3] Company History and Workforce - CNH has a history of over two centuries as a pioneer in its sectors, continuously innovating to enhance customer efficiency and success [4] - The company employs over 35,000 individuals in a diverse and inclusive workplace, dedicated to empowering customers [4]

Core Viewpoint - CNH announces the transition of its Chief Financial Officer from Oddone Incisa to Jim Nickolas, effective May 6, 2025, with a focus on ensuring a seamless transition and continued financial leadership [1][3][4]. Group 1: Leadership Transition - Oddone Incisa will step down after a 28-year career with CNH and the former Fiat Group, having held various senior roles in Finance and Commercial Lending [3]. - Jim Nickolas, with over 30 years of experience in corporate finance and M&A, will take over as CFO, bringing expertise from his previous roles at Martin Marietta and Caterpillar [2][4]. Group 2: Company Overview - CNH Industrial is a global leader in equipment, technology, and services, focusing on innovation, sustainability, and productivity [4][5]. - The company operates under various brands, including Case IH, New Holland, and CASE, providing a wide range of agricultural and construction products [4][5]. Group 3: Future Plans - Jim Nickolas will present the financial portion of the Company's Strategic Business Plan at the Investor Day scheduled for May 8, 2025, indicating a forward-looking approach to growth [1][4].

Core Insights - CNH is utilizing advanced technologies such as simulators, the metaverse, and augmented reality to enhance training for its workforce, customers, and partners in Latin America [1][2] - The company employs cab simulators that replicate the actual machine cabs, allowing for virtual reality training experiences [2] - CNH collaborates with various institutes and universities to foster open innovation and improve product quality through technology [2][3] Company Overview - CNH Industrial is a leading global equipment, technology, and services company focused on innovation, sustainability, and productivity [3][4] - The company operates under several brands, including Case IH, New Holland, CASE, and others, providing a comprehensive range of agricultural and construction products [3] - With over 35,000 employees, CNH promotes a diverse and inclusive workplace aimed at empowering customers and driving efficiency [4]

Group 1 - CNH brands, including Case IH and New Holland, are leading in precision agriculture to address water scarcity through the Drops of the Future initiative in Uzbekistan [1][2] - The initiative aims to empower young professionals and enhance collaboration between private companies and organizations like OSCE to improve water use efficiency and agricultural production [2][3] - The project began with a workshop in September 2024, involving experts and industry leaders, and is focused on delivering tangible impacts in the region [3] Group 2 - CNH Industrial is a global leader in equipment, technology, and services, emphasizing innovation, sustainability, and productivity across its brands [3][4] - The company has a diverse portfolio, including brands like STEYR, Raven, Hemisphere, Flexi-Coil, Miller, and Eurocomach, which cater to various agricultural and construction needs [3][4] - With over 35,000 employees, CNH promotes a diverse and inclusive workplace aimed at empowering customers and fostering growth [4]

Core Insights - CNH's precision technology is aiding farmers in addressing water scarcity through the Drops of the Future initiative, in collaboration with xFarm in Uzbekistan [1][2] - The initiative aims to empower young professionals and enhance agricultural productivity while conserving water resources [2][3] - CNH Industrial focuses on innovation, sustainability, and productivity, providing a wide range of agricultural and construction equipment [3][4] Group 1: Initiative Overview - The Drops of the Future initiative was launched to combat water scarcity in Uzbekistan and Turkmenistan, emphasizing innovation and collaboration [2] - The initiative marks the first collaboration between OSCE and private companies to address water use and improve production efficiency [2] Group 2: Project Details - The initiative began with the Tashkent Youth Workshop in September 2024, involving experts and industry leaders [3] - The ongoing pilot project in Uzbekistan aims to demonstrate the effectiveness of precision technology in enhancing agricultural productivity [1][3] Group 3: Company Profile - CNH Industrial is a global leader in equipment, technology, and services, with a commitment to innovation and customer success [3][4] - The company employs over 35,000 individuals and focuses on creating a diverse and inclusive workplace [4]

Core Points - CNH Industrial N.V. announced the pricing of $500 million in 4.750% notes due 2028, with an issue price of 99.658% [1] - The offering is expected to close on March 21, 2025, subject to customary closing conditions [1] Use of Proceeds - The net proceeds from the offering will be added to CNH Industrial Capital LLC's general funds for working capital and other corporate purposes, including the purchase of receivables or assets [2] - Proceeds may also be used to repay CNH Industrial Capital LLC's indebtedness as it becomes due [2] Notes Details - The notes are senior unsecured obligations of CNH Industrial Capital LLC, paying interest semi-annually starting September 21, 2025, and maturing on March 21, 2028 [3] - The notes will be guaranteed by CNH Industrial Capital America LLC and New Holland Credit Company, LLC, both wholly owned subsidiaries of CNH Industrial Capital LLC [3] Underwriters - BNP Paribas Securities Corp., BofA Securities, Deutsche Bank Securities, and Goldman Sachs are acting as joint book-running managers for the offering [4] - Additional joint book-running managers include BBVA Securities, Intesa Sanpaolo IMI Securities, SMBC Nikko Securities, and UniCredit Capital Markets [4] Company Overview - CNH Industrial Capital LLC is a wholly owned subsidiary of CNH Industrial N.V., headquartered in Racine, Wisconsin [6] - The company primarily underwrites and manages financing products for customers and dealers of CNH Industrial North America, supporting the sale of agricultural and construction equipment [6]