CNH reported results for the three months ended June 30, 2025, with net income of $217 million, compared with net income of $404 million for the three months ended June 30, 2024. Consolidated revenues were $4.71 billion (down 14% compared to Q2 2024), and net sales of industrial activities were $4.02 billion (down 16% compared to Q2 2024).
Net cash provided by operating activities was $772 million, and Industrial free cash flow was $451 million in Q2 2025. Commenting on the results, Gerrit Marx, Chief Executive Officer says: “While we continued to face challenging market conditions this quarter, the CNH team’s resilience and dedication allowed us to navigate through them effectively and in line with our targets. We are focused on the strategic priorities that we outlined at our recent investor day to advance our operational improvements and the investments that deliver dedicated products and technology for our farmers and builders. We appreciate the support from our suppliers as we navigate uncertain trade waters, and from our dealer network that strives for unmatched customer service as we position CNH for long-term success.”
The decline in net sales of industrial activities was mainly due to lower shipments on decreased industry demand and continued dealer destocking. Adjusted net income was $216 million. In comparison, in Q2 2024, adjusted net income was $451 million.
In North America, industry volume was down 7% year-over-year in the second quarter for tractors under 140 HP and was down 37% for tractors over 140 HP; combines were down 23%. In Europe, Middle East and Africa (EMEA), tractor demand was down 7%, while combine demand was up 8%. South America tractor demand was up 4%, while combine demand was down 6%. Asia Pacific tractor demand was up 3%, but combine demand was down 42%.
Agriculture net sales decreased in the quarter by 17% to $3.25 billion versus the same period of 2024, primarily due to lower shipment volumes on decreased industry demand and dealer destocking.
Adjusted EBIT decreased to $263 million ($502 million in Q2 2024) driven by lower shipment volumes, partially offset by favorable net price realization and lower production, warranty and SG&A expenses. R&D investments accounted for 6.0% of sales (5.5% in Q2 2024). Adjusted EBIT margin was 8.1% (12.8% in Q2 2024).
