CNH Industrial N.V.(CNH) - 2024 Q3 - Quarterly Results

Financial Performance - Consolidated revenue for Q3 2024 was $4.65 billion, a decline of 22% compared to Q3 2023[2] - Adjusted net income for Q3 2024 was $304 million, down 44% from $540 million in Q3 2023[1] - Adjusted diluted EPS for Q3 2024 was $0.24, a decrease of 40% from $0.40 in Q3 2023[2] - Net income attributable to CNH Industrial N.V. for Q3 2024 was $306 million, a decline of 43% from $537 million in Q3 2023[20] - Consolidated net income for the three months ended September 30, 2024, was $310 million, compared to $540 million for the same period in 2023, reflecting a decrease of 42.6%[28] - Total revenues for Q3 2024 were $4,024 million, a decrease of 13.5% compared to $4,654 million in Q3 2023[23] - Total revenues for the nine months ended September 30, 2024, were $14,960 million, down 16% from $17,895 million in the same period of 2023[20] - Net income for the nine months ended September 30, 2024, was $796 million, down from $1,083 million in the same period of 2023, a decline of 26.5%[24] Segment Performance - Agriculture segment net sales decreased by 24% to $3.31 billion in Q3 2024, primarily due to lower shipment volumes[4] - Construction segment net sales fell by 28% to $687 million in Q3 2024, driven by decreased market demand[5] - Full year 2024 guidance for Agriculture segment net sales has been revised down to a decline of 22% to 23% year-over-year[7] Cash Flow and Liquidity - Free cash flow of Industrial Activities in Q3 2024 was an outflow of $180 million, compared to an outflow of $127 million in Q3 2023[1] - Cash and cash equivalents decreased to $1,801 million as of September 30, 2024, from $4,322 million at the end of 2023[21] - The company reported a net decrease in cash, cash equivalents, and restricted cash of $(2,595) million for the nine months ended September 30, 2024[22] - Cash flows from operating activities showed a net cash used of $885 million for the nine months ended September 30, 2024, compared to a net cash provided of $1,266 million for the same period in 2023[26] - Cash flows from operating activities for Financial Services were negative $1,161 million for the nine months ended September 30, 2024[30] Cost and Expenses - Total costs and expenses for Q3 2024 were $3,750 million, down from $4,294 million in Q3 2023, a decrease of 12.7%[23] - Selling, general and administrative expenses for the nine months ended September 30, 2024, were $1,029 million, compared to $1,298 million in the same period of 2023, a reduction of 20.8%[24] - Research and development expenses for Q3 2024 were $221 million, compared to $266 million in Q3 2023, indicating a reduction of 16.9%[23] Debt and Assets - Debt as of September 30, 2024, was $27,300 million, slightly down from $27,326 million at the end of 2023[21] - Total assets decreased to $44,033 million as of September 30, 2024, down from $46,267 million at the end of 2023[21] - Total liabilities are reported at $36,264 million, down from $38,117 million in the previous period[25] Strategic Initiatives - The company plans to host an Investor Day on May 8, 2025, to discuss strategic initiatives and targets[7] - CNH's strategic plans include targeted restructuring actions to optimize cost structure and improve operational efficiency, which are essential for future growth[16] Financial Adjustments and Revisions - CNH reported a revision in prior periods' results due to an overstatement of equity in income from unconsolidated subsidiaries by $96 million in 2023 and $67 million in the first half of 2024[12] - The company experienced a revision impact of $96 million on net income for FY 2023[36] - The net income attributable to CNH Industrial N.V. for the nine months ended September 30, 2023, was revised to $1,693 million, down from $1,755 million, reflecting a reduction of approximately 3.5%[33] Future Outlook - Forward-looking statements indicate potential risks including geopolitical events, supply chain disruptions, and changes in government policies that could materially affect future results[15] - The management will hold a conference call on November 8 to present third quarter 2024 results, providing insights into financial performance and future outlook[19]