CNH Industrial N.V.
For the period ended Mar 31, 2026. Filed Apr 30, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed Apr 30, 2026
CNH$11.56+2.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-07.
0001567094-25-000011
Item 2. Management's discussion and analysis of financial condition and results of operationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-04-30.
0001567094-26-000011
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 184 previous paragraphs and 101 current paragraphs.
43 unchanged; 27 reworded; 30 added; 108 removed; 6 previous and 1 current paragraphs rearranged.
Tables are not compared: 21 previous and 12 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (30)
Current report
This discussion includes forward-looking statements, which, although based on assumptions that we consider reasonable, are subject to risks and uncertainties which could cause actual events or conditions to differ materially from those expressed or implied by the forward-looking statements. This MD&A should be read in conjunction with our discussion of cautionary statements and significant risks to the Company's business under "Item 1A. Risk Factors" of our 2025 Annual Report.
Current report
Industry conditions in early 2026 continue to reflect the ongoing cyclical downturn, with historically low agriculture equipment demand—particularly in North America—as ongoing tariff and input‑cost pressures weigh on farmer sentiment. Management continues to view these trends as cyclical rather than structural. During the first quarter, the Company remained focused on price discipline, production and inventory management, cost‑reduction initiatives, and continued investment in Precision Technology and quality.
Current report
We recorded revenues of $3,826 million for the three months ended March 31, 2026, flat compared to the three months ended March 31, 2025.
Current report
Cost of goods sold was $2,605 million for the three months ended March 31, 2026, compared with $2,569 million for the three months ended March 31, 2025. As a percentage of net sales, cost of goods sold was 82.2% in the three months ended March 31, 2026 (81.0% for the three months ended March 31, 2025), impacted by tariff costs and lower production volumes.
Current report
Research and development expenses ("R&D") were $232 million and $184 million for the three months ended March 31, 2026 and 2025, respectively. The increase was driven by higher variable compensation, new‑product investment and timing of project spending.
Current report
Restructuring Expenses
Current report
Restructuring expenses were $4 million and $6 million for the three months ended March 31, 2026 and 2025, respectively.
Current report
Other, net expenses were $142 million for the three months ended March 31, 2026 and $159 million for the three months ended March 31, 2025. Other, net expenses primarily include the cost of disposing equipment on operating leases after lease termination and the amortization of leased assets, incurred primarily through our Financial Services segment.
Current report
Equity in Income of Unconsolidated Affiliates
Current report
Business Segment Performance
Current report
The following table includes total revenues by segment (in millions of dollars, except percentages):
Current report
The following table includes Adjusted EBIT by segment (in millions of dollars, except percentages):
Current report
(1)A reconciliation from the most closely related U.S. GAAP measure to this non-GAAP measure is included on page 38.
Current report
Net Sales
Current report
Agriculture's net sales totaled $2,596 million in the three months ended March 31, 2026, an increase of 0.6% compared to the three months ended March 31, 2025. This increase is mainly due to positive foreign exchange impacts and favorable price realization, offset by lower volumes in all regions except EMEA.
Current report
Adjusted EBIT
Current report
Adjusted EBIT was $27 million in the three months ended March 31, 2026, compared to $139 million in the three months ended March 31, 2025. The decline was primarily due to lower shipment volumes in South America and North America, the impact of tariffs, higher SG&A and R&D expenses and lower joint venture results. SG&A expenses were impacted by higher variable compensation and labor inflation. R&D expenses accounted for 7.9% of sales (6.3% in thethree months ended March 31, 2025). Adjusted EBIT margin was 1.0% (5.4% in thethree months ended March 31, 2025).
Current report
Net Sales
Current report
Adjusted EBIT
Current report
Adjusted EBIT was $(28) million in the three months ended March 31, 2026, compared to $14 million in the three months ended March 31, 2025. The decline was primarily due to the impact of tariffs, higher SG&A expenses and lower shipment volumes, partially offset by pricing. SG&A expenses were impacted by trade show marketing costs, higher variable compensation, and labor inflation. Adjusted EBIT margin was (4.9)% (2.4% inthe three months ended March 31, 2025).
Current report
Financial Services
Current report
Net Income
Current report
(3)Elimination of capital investment between Industrial Activities and Financial Services.
Current report
We believe that Net Cash (Debt), is a useful analytical metric for measuring our effective borrowing requirements. We provide a separate analysis of Net Cash (Debt) of Industrial Activities and Net Cash (Debt) of Financial Services to reflect the different cash flow management practices in the two activities. Industrial Activities reflects the consolidation of all majority-owned subsidiaries, including those performing centralized treasury activities, except for Financial Services subsidiaries. Financial Services reflects the consolidation of the Financial Services' businesses.
Current report
(1)Unallocated items, eliminations and other primarily includes certain corporate costs and other operating expenses and incomes not allocated to segments' results.
Current report
Reconciliation of Net Debt to Total Debt
Current report
The following table summarizes the changes to cash flows from operating, investing, and financing activities for the three months ended March 31, 2026 and 2025 (in millions of dollars):
Current report
Net cash provided by operating activities was $35 million for the three months ended March 31, 2026 compared with $162 million in the three months ended March 31, 2025. The quarter-over-quarter decrease primarily reflects lower net income.
Current report
Net cash provided by investing activities was $54 million for the three months ended March 31, 2026 compared with net cash used of $280 million in the three months ended March 31, 2025. The quarter-over-quarter increase reflects lower additions to retail receivables and higher financing receivable collections. Expenditures for property, plant and equipment, and intangible assets totaled $93 million, and spending on assets under operating leases totaled $125 million, both slightly below 2025 levels.
Current report
Net cash used in financing activities was $990 million for the three months ended March 31, 2026, compared with $1,422 million in the three months ended March 31, 2025. The quarter-over-quarter change primarily reflects a net cash outflow on other financial liabilities of $531 million in 2026 versus $1,261 million in 2025, due to lower wholesale facilities and short-term revolving lines. Net cash outflow on long-term debt was $432 million in 2026 and $155 million in 2025, driven by fewer retail securitizations, reduced use of commercial paper and revolving credit facilities, and lower bond issuance.
Removed paragraphs (108)
Previous report
CNH Industrial N.V. ("CNH" or the "Company") is incorporated in, and under the laws of the Netherlands. CNH has its corporate seat in Amsterdam, the Netherlands, and its principal office in Basildon, England, United Kingdom. Unless otherwise indicated or the context otherwise requires, the terms "CNH" and the "Company" refer to CNH and its consolidated subsidiaries.
Previous report
The Company has three reportable segments reflecting the three businesses directly managed by CNH Industrial N.V., consisting of: (i) Agriculture, which designs, produces and sells agricultural equipment (ii) Construction, which designs, produces and sells construction equipment, and (iii) Financial Services, which offers a range of financial services to customers and dealers acquiring our products. The Company's worldwide Agriculture and Construction operations, as well as corporate functions, are collectively referred to as "Industrial Activities".
Previous report
Certain financial information in this report has been presented by geographic region. Our geographic regions are: (1) North America; (2) Europe, Middle East and Africa ("EMEA"); (3) South America and (4) Asia Pacific. The geographic designations have the following meanings:
Previous report
•North America: United States, Canada and Mexico;
Previous report
•EMEA: member countries of the European Union, European Free Trade Association, the United Kingdom, Ukraine and Balkans, Russia, Türkiye, Uzbekistan, Pakistan, the African continent, and the Middle East;
Previous report
•South America: Central and South America, and the Caribbean Islands; and
Previous report
•Asia Pacific: Continental Asia (including the India subcontinent), Indonesia and Oceania.
Previous report
Revenues on a Constant Currency Basis
Previous report
CNH discusses the revenue fluctuations on a constant currency basis by applying the prior year's average exchange rates to the current year’s revenues expressed in local currency, thereby eliminating the impact of year-over-year foreign exchange rate changes.
Previous report
The global economy is experiencing disruptions and uncertainties due to a combination of factors, including geopolitical events, shifts in trade and economic policies, including the imposition of tariffs and other retaliatory restrictions on trade, change in commodity prices, as well as change in climate conditions. These disruptions have affected the price and availability of certain products and services in the first nine months and are expected to persist through the rest of 2025. These factors also affect our customers' profitability, impacting their ability to achieve higher returns on their output, and reducing their purchasing power and demand for our products. The Company is closely monitoring global economic conditions and the impact that macroeconomic pressures, such as new and retaliatory tariffs, fluctuating currency exchange rates, interest rates and inflation, may have on its business, customers, and suppliers.
Previous report
We recorded revenues of $4,399 million for the three months ended September 30, 2025, a decline of 5.5% (down 6.7% on a constant currency basis) compared to the three months ended September 30, 2024. Net sales were $3,702 million in the three months ended September 30, 2025, a decrease of 7.4% (down 8.7% on a constant currency basis) compared to the three months ended September 30, 2024. These declines were mainly due to lower shipments on decreased industry demand and continued channel destocking.
Previous report
Cost of goods sold was $2,995 million for the three months ended September 30, 2025 compared with $3,130 million for the three months ended September 30, 2024. As a percentage of net sales of Industrial Activities, cost of goods sold was 80.9% in the three months ended September 30, 2025 (78.3% for the three months ended September 30, 2024), which was impacted by lower production volumes and tariff costs, partially offset by improved purchasing and manufacturing costs.
Previous report
Research and development expenses ("R&D") were $281 million and $221 million for the three months ended September 30, 2025 and 2024, respectively. Total expenses were higher primarily due to a $49 million impairment charge related to Bennamann IPR&D recognized during the quarter.
Previous report
Restructuring expenses were $3 million and $12 million for the three months ended September 30, 2025 and 2024, respectively.
Previous report
Other, net expenses were $142 million for the three months ended September 30, 2025 and included a pre-tax gain of $6 million ($4 million after tax) resulting from the four-year amortization of the $101 million positive impact from the 2021 U.S. healthcare plan modification.
Previous report
Other, net expenses were $127 million for the three months ended September 30, 2024 and included a gain of $14 million for a fair value adjustment related to an investment in unconsolidated subsidiary and a pre-tax gain of $6 million ($5 million after tax) resulting from the four-year amortization of the $101 million positive impact from the 2021 U.S. healthcare plan modification.
Previous report
Equity in Income of Unconsolidated Subsidiaries and Affiliates
Previous report
Net income was $67 million for the three months ended September 30, 2025, compared to net income of $310 million for the three months ended September 30, 2024. Net income for the three months ended September 30, 2025 included a $49 million impairment charge related to Bennamann IPR&D, a $10 million inventory write-down for the New Holland T6.180 Methane Power Tractor and $3 million in restructuring expenses, offset by a pre-tax gain of $6 million ($4 million after tax) resulting from the four-year amortization of the $101 million positive impact from the 2021 U.S. healthcare plan modification.
Previous report
Net income for the three months ended September 30, 2024 included a $14 million gain for a fair value adjustment related to an investment in unconsolidated subsidiary and a pre-tax gain of $6 million ($5 million after tax) resulting from the four-year amortization of the $101 million positive impact from the 2021 U.S. healthcare plan modification, partially offset by $12 million in restructuring expenses.
Previous report
Industrial Activities and Business Segments
Previous report
The following tables show revenues and Adjusted EBIT by segment. We have also included a discussion of our results by Industrial Activities and each of our business segments (in millions of dollars, except percentages):
Previous report
Net sales of Industrial Activities were $3,702 million during the three months ended September 30, 2025, a decrease of 7.4% compared to the three months ended September 30, 2024 (down 8.7% on a constant currency basis) primarily due to lower shipment volumes on decreased industry demand and channel destocking.
Previous report
Adjusted EBIT of Industrial Activities was $104 million during the three months ended September 30, 2025, compared to adjusted EBIT of $336 million during the three months ended September 30, 2024. The decline was primarily due to lower shipment volumes, tariff costs, and higher SG&A expenses. These impacts were partially offset by favorable net price realization and reduced production and warranty costs.
Previous report
Segment Performance
Previous report
Agriculture's net sales totaled $2,963 million in the three months ended September 30, 2025, a decrease of 10.5% compared to the three months ended September 30, 2024 (down 11.8% on a constant currency basis). This decline was primarily due to lower shipment volumes on decreased industry demand in North America and channel inventory destocking, partially offset by favorable net price realization and improved demand in the Eastern Europe, Middle East, and Africa markets within EMEA.
Previous report
In North America, third quarter industry volume was flat year-over-year for tractors under 140 HP and fell 41% for tractors over 140 HP; combines were down 23%. In EMEA, tractor demand was down 2%, while combine demand increased 19%. South America saw tractor demand down 4% and combines down 15%. In Asia Pacific, tractor demand rose 19%, while combine demand decreased 20%.
Previous report
Adjusted EBIT was $137 million in the three months ended September 30, 2025, compared to $336 million in the three months ended September 30, 2024. The decline was primarily due to lower shipment volumes, tariff costs, unfavorable geographic mix and higher SG&A expenses, partially offset by favorable net price realization and reduced production and warranty costs. R&D expenses accounted for 8.6% of sales (6.0% in thethree months ended September 30, 2024), including a $49 million impairment charge related to Bennamann IPR&D in the third quarter of 2025. Adjusted EBIT margin was 4.6% (10.2% in thethree months ended September 30, 2024).
Previous report
Construction's net sales totaled $739 million in the three months ended September 30, 2025, an increase of 7.6% compared to the three months ended September 30, 2024 (up 6.2% on a constant currency basis), reflecting higher shipment volumes in North America and EMEA, along with favorable net price realization.
Previous report
Global industry volume for construction equipment increased 6% year-over-year in the third quarter for Heavy equipment and 3% for Light equipment. Aggregated demand increased 4% in North America, 3% in EMEA, 1% in South America and 6% in Asia Pacific.
Previous report
Adjusted EBIT was $14 million in the three months ended September 30, 2025, compared to $40 million in the three months ended September 30, 2024. The decline was primarily due to tariff costs, unfavorable geographic income mix and higher SG&A expenses, partially offset by favorable net price realization. Adjusted EBIT margin was 1.9% (5.8% inthe three months ended September 30, 2024).
Previous report
Financial Services Performance
Previous report
Revenues of Financial Services were $684 million in the three months ended September 30, 2025, up 3.8% compared to the three months ended September 30, 2024 (up 3.0% on a constant currency basis), as a result of higher yields primarily in Brazil and favorable currency translation, partially offset by lower volumes in EMEA and North America.
Previous report
SG&A expenses and lower volumes. These impacts were partially offset by improved interest margins across all regions and favorable currency translation.
Previous report
Reconciliation of Net Income (Loss) to Adjusted EBIT
Previous report
(1)For each of the three months ended September 30, 2025 and 2024, this item includes a pre-tax gain of $6 million resulting from the four-year amortization of the $101 million positive impact from the 2021 U.S. healthcare plan modification.
Previous report
(2)For the three months ended September 30, 2025, this item includes a $49 million impairment charge related to Bennamann IPR&D and a $10 million inventory write-down for the New Holland T6.180 Methane Power Tractor. In the three months ended September 30, 2024, this item includes a $14 million gain from a fair value adjustment on an investment in an unconsolidated subsidiary.
Previous report
Nine Months Ended September 30, 2025 compared to Nine Months Ended September 30, 2024
Previous report
Consolidated Results of Operations
Previous report
Revenues
Previous report
We recorded revenues of $12,938 million for the nine months ended September 30, 2025, a decline of 13.5% (down 12.7% on a constant currency basis) compared to the nine months ended September 30, 2024. Net sales were $10,895 million in the nine months ended September 30, 2025, a decline of 15.7% (down 15.2% on a constant currency basis) compared to the nine months ended September 30, 2024. These declines were mainly due to lower shipments on decreased industry demand and continued channel destocking.
Showing the first 40 of 108 passages. Open the source sections for the rest.
Reworded paragraphs (27)
Previous wording
The following discussion and analysis should be read in conjunction with our unaudited consolidated financial statements and the notes to our unaudited consolidated financial statements in this report, as well as our annual report on Form 10-K for the year ended December 31, 2024 ("2024 Annual Report") filed with the U.S. Securities and Exchange Commission ("SEC"). Results for the interim periods presented are not necessarily indicative of the results to be expected for the full fiscal year due to seasonal and other factors.
Current wording
The following Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") should be read in conjunction with our unaudited Consolidated Financial Statements and the notes to our unaudited Consolidated Financial Statements in this report, as well as our annual report on Form 10-K for the year ended December 31, 2025 ("2025 Annual Report") filed with the U.S. Securities and Exchange Commission ("SEC"). Results for the interim periods presented are not necessarily indicative of the results expected for the full fiscal year due to seasonal and other factors.
Previous wording
The operations, key financial measures and financial analysis differ significantly for manufacturing and distribution businesses ("Industrial Activities") and financial businesses ("Financial Services"); therefore, management believes that certain supplemental disclosures are important in understanding our consolidated operations and financial results. For further information, see "Supplemental Information" within this section, where we present supplemental consolidating data split by Industrial Activities and Financial Services. Transactions between Industrial Activities and Financial Services have been eliminated to arrive at the consolidated data.
Current wording
The operations, key financial measures and financial analysis differ significantly for manufacturing and distribution businesses ("Industrial Activities") and financial businesses ("Financial Services"). Accordingly, management believes that certain supplemental disclosures are important to understanding our consolidated operations and financial results. For further information, see "Supplemental Information" within this section for supplemental consolidating data presented separately for Industrial Activities and Financial Services. Transactions between Industrial Activities and Financial Services have been eliminated to arrive at the consolidated data.
Previous wording
Selling, general and administrative expenses ("SG&A") were $549 million for the three months ended September 30, 2025 (12.5% of total revenues), up $123 million compared to the three months ended September 30, 2024 (9.2% of total revenues). Total expenses were higher primarily due to higher credit risk provisions in the Financial Services segment and higher labor costs.
Current wording
Selling, general and administrative expenses ("SG&A") were $465 million for the three months ended March 31, 2026 (12.2% of total revenues), up $79 million compared to the three months ended March 31, 2025 (10.1% of total revenues). Total expenses were higher primarily due to higher credit risk provisions in the Financial Services segment and higher labor costs.
Previous wording
Interest expense was $1,100 million for the nine months ended September 30, 2025 compared to $1,190 million for the nine months ended September 30, 2024. The interest expense attributable to Industrial Activities for the nine months ended September 30, 2025, net of interest income and eliminations, was $77 million, compared to $114 million for the nine months ended September 30, 2024.
Current wording
Interest expense was $365 million for the three months ended March 31, 2026, compared to $362 million for the three months ended March 31, 2025. The interest expense attributable to Industrial Activities for the three months ended March 31, 2026, net of interest income and eliminations, was $23 million, compared to $25 million for the three months ended March 31, 2025.
Previous wording
Income tax expense for the three months ended September 30, 2025 was $1 million compared to $75 million for the three months ended September 30, 2024. The effective tax rate for the three months ended September 30, 2025 and 2024 was 2.0% and 20.8%, respectively. The decrease in the 2025 effective tax rate was primarily due to geographic income mix and discrete items, including favorable provision-to-return adjustments and other one-time items.
Current wording
Income tax expense for the three months ended March 31, 2026 was $4 million compared to $47 million for the three months ended March 31, 2025. The effective tax rate for the three months ended March 31, 2026 and 2025 was 30.8% and 29.0%, respectively. The increase in the 2026 effective tax rate was largely attributable to discrete items on a relatively small profit base in Q1 2026.
Previous wording
Equity in income of unconsolidated subsidiaries and affiliates was $17 million and $25 million for the three months ended September 30, 2025 and 2024, respectively. The decline was primarily due to lower sales in our joint venture TürkTraktör ve Ziraat Makineleri A.S.
Current wording
Equity in income of unconsolidated affiliates was $1 million and $17 million for the three months ended March 31, 2026 and 2025, respectively. The decline was primarily due to lower sales in our joint venture TürkTraktör ve Ziraat Makineleri A.S.
Previous wording
Construction's net sales totaled $2,103 million in the nine months ended September 30, 2025, a decline of 9.9% compared to the nine months ended September 30, 2024 (down 9.2% on a constant currency basis), primarily due to lower shipment volumes in North America.
Current wording
Construction's net sales totaled $574 million in the three months ended March 31, 2026, a decline of 2.9% compared to the three months ended March 31, 2025, reflecting lower shipment volumes in South America and North America.
Previous wording
Revenues of Financial Services were $2,020 million for the nine months ended September 30, 2025, down 0.5% compared to the nine months ended September 30, 2024 (up 1.8% on a constant currency basis), reflecting unfavorable currency translation and lower yields in South America and EMEA, partially offset by favorable volumes across most regions and higher yields in North America.
Current wording
Financial Services recorded revenues of $646 million in the three months ended March 31, 2026, down 0.8% compared to the three months ended March 31, 2025, as a result of lower volumes across all regions except Asia Pacific, reduced equipment sales due to fewer operating lease maturities, and lower yields in EMEA, partially offset by favorable currency translation and higher yields in South America and North America.
Previous wording
Net income of Financial Services was $47 million in the three months ended September 30, 2025, a decrease of $31 million compared to the three months ended September 30, 2024, primarily driven by increased risk costs, higher
Current wording
Net income for Financial Services was $74 million in the three months ended March 31, 2026, a decrease of $16 million compared to the three months ended March 31, 2025, primarily driven by higher risk costs in Brazil and lower volumes across all regions except for Asia Pacific. Results were partially offset by interest margin improvements in all regions except EMEA.
Previous wording
In the three months ended September 30, 2025, retail loan originations, including unconsolidated joint ventures, were $2.7 billion, down $0.2 billion compared to 2024 (down $0.2 billion on a constant currency basis). The managed portfolio (including unconsolidated joint ventures) was $28.5 billion as of September 30, 2025 (of which retail was 71% and wholesale was 29%), down $0.5 billion compared to September 30, 2024 (down $0.6 billion on a constant currency basis).
Current wording
In the three months ended March 31, 2026, retail loan originations, including unconsolidated joint ventures, were $2.2 billion, down $0.2 billion compared to 2025. The managed portfolio (including unconsolidated joint ventures) was $28.0 billion as of March 31, 2026 (of which retail was 71% and wholesale was 29%), flat compared to March 31, 2025.
Previous wording
At September 30, 2025, the receivable balance greater than 30 days past due as a percentage of receivables was 3.5%, (2.2% as of September 30, 2024), mainly due to higher delinquencies in Brazil.
Current wording
At March 31, 2026, the receivable balance greater than 30 days past due as a percentage of receivables was 3.5%, (2.3% as of March 31, 2025), mainly due to economic and environmental factors impacting farmers, specifically in South America.
Previous wording
Industrial Activities—The financial information captioned "Industrial Activities" reflects the consolidation of all majority-owned subsidiaries except for the Financial Services business.
Current wording
Industrial Activities—The financial information captioned "Industrial Activities" reflects the consolidation of all majority-owned subsidiaries except for Financial Services business. Industrial Activities includes the Company's Agriculture, Construction, and other corporate assets, liabilities, revenues and expenses not reflected within Financial Services.
Previous wording
Financial Services—The financial information captioned "Financial Services" reflects the consolidation or combination of the Financial Services business.
Current wording
Financial Services—The financial information captioned "Financial Services" reflects the consolidation or combination of Financial Services business.
Previous wording
(2)Eliminations of Financial Services' interest income earned from Industrial Activities.
Current wording
(1)Eliminations of Financial Services' interest income earned from Industrial Activities.
Previous wording
(3)Eliminations of Industrial Activities' interest expense to Financial Services.
Current wording
(2)Eliminations of Industrial Activities' interest expense to Financial Services.
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(2)Eliminations of primarily receivables/payables between Industrial Activities and Financial Services.
Current wording
(1)Eliminations of primarily receivables/payables between Industrial Activities and Financial Services.
Previous wording
(3)Eliminations of financing receivables/payables between Industrial Activities and Financial Services.
Current wording
(2)Eliminations of financing receivables/payables between Industrial Activities and Financial Services.
Previous wording
(4)Reclassification of deferred tax assets/liabilities in the same jurisdiction and reclassification needed for appropriate consolidated presentation.
Current wording
(3)Reclassification of deferred tax assets/liabilities in the same jurisdiction and reclassification needed for appropriate consolidated presentation.
Previous wording
(5)Elimination of derivative assets/liabilities between Industrial Activities and Financial Services.
Current wording
(4)Elimination of derivative assets/liabilities between Industrial Activities and Financial Services.
Previous wording
(2)This item includes the elimination of dividends from Financial Services to Industrial Activities, which are included in Industrial Activities net cash used in operating activities.
Current wording
(1)Elimination of dividends from Financial Services to Industrial Activities, which are included in Industrial Activities net cash provided (used) by operating activities.
Previous wording
(3)This item includes the elimination of certain minor activities between Industrial Activities and Financial Services.
Current wording
(2)Elimination of certain minor activities between Industrial Activities and Financial Services.
Previous wording
Our primary non-GAAP financial measures are defined as follows:
Current wording
As of March 31, 2026, CNH's primary non-GAAP financial measures are defined as follows:
Previous wording
The following table includes the reconciliation of Adjusted EBIT, a non-GAAP financial measure, to net income, the most comparable U.S. GAAP financial measure (in millions of dollars):
Current wording
The reconciliation of Adjusted EBIT for Industrial Activities, a non-GAAP financial measure, to Net income, the most comparable U.S. GAAP financial measure, for the three months ended March 31, 2026 and 2025 (in millions of dollars):
Previous wording
The following table includes the reconciliation of Adjusted EBIT, a non-GAAP financial measure, to net income, the most comparable U.S. GAAP financial measure (in millions of dollars):
Current wording
The reconciliation of Net Debt, a non-GAAP financial measure, to Total Debt, the most comparable U.S. GAAP financial measure, as of March 31, 2026 and December 31, 2025 (in millions of dollars):
Previous wording
The following discussion of liquidity and capital resources principally focuses on our consolidated statement of cash flows and our consolidated statement of financial position. Our operations are capital-intensive and subject to seasonal variations in financing requirements for dealer receivables and dealer and company inventories.
Current wording
The following discussion of liquidity and capital resources principally focuses on our consolidated statement of cash flows and our consolidated statement of financial position. Our operations are capital-intensive and subject to seasonal variations in financing requirements for dealer receivables and company inventories. Whenever necessary, funds from operating activities are supplemented with external sources. CNH, focusing on cash preservation and leveraging its good access to funding, continues to maintain solid financial strength and liquidity.
Previous wording
At September 30, 2025, Cash and cash equivalents were $2,303 million ($3,191 million at December 31, 2024) and Restricted cash was $653 million ($675 million at December 31, 2024), respectively. Undrawn medium-term unsecured committed facilities were $5,812 million ($5,493 million at December 31, 2024). At September 30, 2025, the aggregate of Cash and cash equivalents, Restricted cash, undrawn medium-term unsecured committed facilities, and net financial receivables from Iveco Group which we consider to constitute our principal liquid assets ("available liquidity"), totaled $8,992 million ($9,465 million at December 31, 2024). At September 30, 2025, this amount also included $224 million net financial receivables from Iveco Group ($106 million net financial receivables at December 31, 2024), consisting of net financial receivables mainly towards Financial Services of Iveco Group.
Current wording
At March 31, 2026, Cash and cash equivalents and Restricted cash were $2,339 million, a decrease of $890 million from December 31, 2025, primarily due to lower Financial Services debt driven by reduced portfolio receivables and lower net income. Cash and cash equivalents were $1,604 million ($2,578 million at December 31, 2025) and Restricted cash was $735 million ($651 million at December 31, 2025). Undrawn medium-term unsecured committed facilities were $6,408 million ($6,483 million at December 31, 2025). Available liquidity — comprising Cash and cash equivalents, Restricted cash, undrawn medium-term unsecured committed facilities, and net financial receivables from Iveco Group N.V. — was $8,899 million at March 31, 2026 ($9,816 million at December 31, 2025). Net financial receivables from Iveco Group N.V. were $152 million at March 31, 2026 ($104 million at December 31, 2025), primarily relating to Financial Services.
Previous wording
Factors, risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements include, among others: economic conditions in each of our markets, including the significant uncertainty caused by geopolitical events; production and supply chain disruptions, including industry capacity constraints, material availability, and global logistics delays and constraints; the many interrelated factors that affect consumer confidence and worldwide demand for capital goods and capital goods related products, changes in government policies regarding banking, monetary and fiscal policy; legislation, particularly pertaining to capital goods related issues such as agriculture, the environment, debt relief and subsidy program policies, trade, commerce and infrastructure development; government policies on international trade and investment, including sanctions, import quotas, capital controls, tariffs and other protective measures issued to promote national interests or address foreign competition, which in turn result or may result in retaliatory tariffs or other measures enacted by affected trade partners; volatility in international trade caused by the imposition of tariffs and the related impact on cost and prices, which could consequently affect demand of our products, sanctions, embargoes, and trade wars; actions of competitors in the various industries in which we compete; development and use of new technologies and technological difficulties; the interpretation of, or adoption of new, compliance requirements with respect to engine emissions, safety or other aspects of our products; labor relations; interest rates and currency exchange rates; inflation and deflation; energy prices; prices for agricultural commodities and material price increases; housing starts and other construction activity; our ability to obtain financing or to refinance existing debt; price pressure on new and used equipment; the resolution of pending litigation and investigations on a wide range of topics, including dealer and supplier litigation, intellectual property rights disputes, product warranty and defective product claims, and emissions and/or fuel economy regulatory and contractual issues; security breaches, cybersecurity attacks, technology failures, and other disruptions to the information technology infrastructure of CNH and its suppliers and dealers; security breaches with respect to our products; our pension plans and other post-employment obligations; political and civil unrest; volatility and deterioration of capital and financial markets, including pandemics (such as the COVID-19 pandemic), terrorist attacks in Europe and elsewhere; the remediation of a material weakness; our ability to realize the anticipated benefits from our business initiatives as part of our strategic plan; including targeted restructuring actions to optimize our cost structure and improve the efficiency of our operations; our fail…
Excerpt shortened here; the source contains the full paragraph.
Current wording
Factors, risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements include, among others: economic conditions in each of our markets, including the significant uncertainty caused by geopolitical events; production and supply chain disruptions, including industry capacity constraints, material availability, and global logistics delays and constraints related to war or other armed conflict; the many interrelated factors that affect consumer confidence and worldwide demand for capital goods and capital goods related products, particularly as it relates to the agricultural market business cycle; changes in government policies regarding banking, monetary and fiscal policy; legislation, particularly pertaining to capital goods related issues such as agriculture, the environment, debt relief and subsidy program policies, trade, commerce and infrastructure development; government policies on international trade and investment, including sanctions, import quotas, capital controls, tariffs and other protective measures issued to promote national interests or address foreign competition, which in turn result or may result in retaliatory tariffs or other measures enacted by affected trade partners; volatility in international trade caused by the imposition of tariffs and the related impact on cost and prices, which could consequently affect demand of our products, sanctions, embargoes, and trade wars; actions of competitors in the various industries in which we compete; development and use of new technologies (including artificial intelligence) and technological difficulties; the interpretation of, or adoption of new, compliance requirements with respect to engine emissions, safety, privacy and data security or other aspects of our products; labor relations; interest rates and currency exchange rates; inflation and deflation; energy prices; prices for agricultural commodities and material price increases; housing starts and other construction activity; weather conditions, particularly to the extent it impacts the agricultural industry; our ability to obtain financing or to refinance existing debt; price pressure on new and used equipment; the resolution of pending litigation and investigations on a wide range of topics, including dealer and supplier litigation, intellectual property rights disputes, product warranty and defective product claims, and emissions and/or fuel economy regulatory and contractual issues; security breaches, cybersecurity attacks, technology failures, and other disruptions to the information technology infrastructure of CNH and its suppliers and dealers; security breaches with respect to our products; our pension plans and other postemployment obligations; political and civil unrest; volatility and deterioration of capital and financial markets, including pandemics, terrorist attacks in Europe the Middle East and elsewhere; our ability to realize the anticipa…
Excerpt shortened here; the source contains the full paragraph.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
Reconciliation of Adjusted EBIT to Net income
Rearranged previous paragraphs (6)
Previous report — wording carried elsewhere
Interest expense was $378 million for the three months ended September 30, 2025, unchanged from the prior-year period. The interest expense attributable to Industrial Activities for the three months ended September 30, 2025, net of interest income and eliminations, was $26 million, compared to $36 million for the three months ended September 30, 2024.
Previous report — wording carried elsewhere
Selling, general and administrative expenses were $1,413 million for the nine months ended September 30, 2025 (10.9% of total revenues), an increase of $115 million compared to the nine months ended September 30, 2024 (8.7% of total revenues). Total expenses were higher primarily due to higher credit risk provisions in the Financial Services segment and higher labor costs.
Previous report — wording carried elsewhere
Equity in income of unconsolidated subsidiaries and affiliates was $52 million and $114 million for the nine months ended September 30, 2025 and 2024, respectively. The decline was primarily due to lower sales in our joint venture TürkTraktör ve Ziraat Makineleri A.S.
Previous report — wording carried elsewhere
In the nine months ended September 30, 2025, retail loan originations, including unconsolidated joint ventures, were $7.8 billion, down $0.4 billion compared to 2024 (down $0.4 billion on a constant currency basis). The managed portfolio, including unconsolidated joint ventures, was $28.5 billion as of September 30, 2025 (of which retail was 71% and wholesale 29%), down $0.5 billion compared to September 30, 2024 (down $0.6 billion on a constant currency basis).
Previous report — wording carried elsewhere
(2)Eliminations of Financial Services' interest income earned from Industrial Activities.
Previous report — wording carried elsewhere
(3)Eliminations of Industrial Activities' interest expense to Financial Services.