CNH Industrial Q1 Revenue Tops Estimates by 3%, Net Income Falls 84%
CNH Industrial reported Q1 revenue of $3.83 billion, beating the $3.71 billion consensus by 3%, while adjusted EPS matched forecasts at $0.01. Adjusted net income plunged 84% to $21 million as tractor sales above 140 horsepower fell 27% and Ag segment EBIT margin shrank from 5.4% to 1.0%.
1. Q1 Financial Highlights
CNH Industrial delivered Q1 revenue of $3.83 billion, surpassing the $3.71 billion estimate by 3%, with adjusted EPS of $0.01 matching forecasts. Net income totaled $10 million, and adjusted net income declined 84% to $21 million year-over-year.
2. Segment Performance
Agriculture net sales rose 1% to $2.60 billion, but its adjusted EBIT margin narrowed to 1.0% from 5.4% last year. Construction equipment sales fell 3% to $574 million, with an adjusted EBIT margin of -4.9%, down from 2.4%.
3. Demand and Operational Efficiency
North American demand for tractors above 140 horsepower dropped 27% and combine harvester sales fell 6%, reflecting weak agricultural conditions. Production discipline and channel inventory management supported margin performance through pricing and cost control.
4. Full-Year Outlook
CNH Industrial maintained its 2026 guidance of $0.35 to $0.45 in adjusted diluted EPS, with a midpoint below consensus at $0.40. The company forecasts Agriculture segment EBIT margins of 4.5% to 5.5% and free cash flow from industrial activities between $150 million and $350 million.