CNH Industrial N.V.
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −3.38%.
Did CNH Beat Earnings? Q4 2025 Results
CNH Industrial delivered a stronger-than-expected fourth quarter, with adjusted diluted EPS of $0.19 clearing the $0.11 consensus estimate by 74.79% and revenue of $5.16 billion beating forecasts by 5.52% on a 5.8% year-over-year gain, even as heavy non-cash charges clouded the headline picture. The quarter's complexity stemmed largely from $123 million in impairment charges tied to Raven in-process R&D and an additional $62 million in minority investment write-downs, which pushed reported net income down 49% to $89 million, masking an underlying 26% rise in adjusted net income to $246 million. Agriculture net sales climbed 5% to $3.60 billion on favorable pricing and foreign exchange tailwinds, though tariff pressures and geographic mix compressed adjusted EBIT margins. Investors, however, trained their focus on what comes next: management is guiding 2026 adjusted diluted EPS of $0.35 to $0.45, framing the year as an industry trough before an anticipated agricultural demand recovery in 2027, with the stock sliding roughly 5.8% as the cautious outlook tempered enthusiasm over the quarterly beat.
- Favorable price realization in Agriculture and Construction segments
- Higher Construction shipment volumes, primarily in North America
- Financial Services interest margin improvements across all regions
- $230M in 2025 cost savings from quality improvements, strategic sourcing, and manufacturing efficiencies
- Ag dealer inventories reduced by $0.8B during full year 2025
- Agriculture production hours up 15% YoY in Q4
“Despite a challenging market environment, CNH delivered solid progress toward its long-term goals in 2025 and strengthened its foundation for success. We continued reducing dealer inventories, advanced our Quality and Operational Excellence initiatives, and introduced products that directly address the evolving needs of farmers and builders. Our teams executed with discipline, focusing on what we can control while supporting our customers through dynamic economic conditions.”
CNH Industrial CEO, on the earnings call
Forward Guidance & Outlook
CNH expects 2026 to be an industry trough year, with global agricultural equipment retail demand forecast to decline another 5% before a recovery begins in 2027. Agriculture segment net sales are expected between down 5% and flat year-over-year with adjusted EBIT margin of 4.5%–5.5%. Construction segment net sales are expected about flat with adjusted EBIT margin of 1.0%–2.0%. Industrial Activities net sales are guided down 4% to flat, with adjusted EBIT margin of 2.5%–3.5%. Industrial Free Cash Flow is projected at $150M–$350M. Adjusted diluted EPS guidance is $0.35–$0.45. Capex is expected at $600M–$650M. R&D expenses are expected roughly flat year-over-year. Adjusted effective tax rate is guided at 24%–26%. Q1 2026 is expected to be the lowest sales quarter of the year, with full-year profits more back-end loaded than usual. The company will continue dealer destocking, low production levels, and cost efficiency measures.
CNH YoY Financials
CNH Revenue by Segment
CNH Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.