CNH Industrial presents Strategic Business Plan at Investor Day

CNH presented its Strategic Business Plan at the Company’s Investor Day 2025. CEO Gerrit Marx introduced the SBP’s core pillars: Breaking New Ground on Iron + Tech; Further expanding mid-cycle adjusted EBIT margins; Forward strategy for Construction; Returning substantially all Industrial Free Cash Flow to shareholders through the cycle; CNH will consolidate its position as the first or second agriculture player in all major markets during the plan period. The company said, “We will solidify and strengthen our product leadership across all phases of the agricultural cycle through launches, updates and new features for our tractors, harvesters, crop production and crop protection equipment. CNH already offers the industry’s most advanced and sophisticated combine harvesters, and we will further expand our harvesting lineup to maintain our leading position. Our new generation twin and single rotor combines launched in 2024 are delivering for farmers with a 15% lower total cost of ownership. A full refresh of our tractor lineup covering the 20 to 700+ horsepower model range is underway, and from 2026 onwards, we will continue to progressively introduce new product lines. Thanks to our investments in technology, and by adopting and embedding advanced Artificial Intelligence capabilities, we are creating the best user experience for customers through the seamless integration of our Precision Tech into our equipment. Our Precision Tech offering includes agronomic sensors, smart implements, advanced automation, autonomous features, satellite connectivity, agronomic insights, and machine data synchronization via our FieldOps digital platform. We are installing our Precision Tech systems as factory-fit across all major product lines, as well as focusing on increasing integration across all products. By 2030, 90% of these systems will be developed in-house. By the end of the plan period, the contribution of Precision Tech sales will nearly double as a percentage of total Agriculture Net Sales, driving additional margin. A new go-to-market strategy centered on an integrated and regionally tailored dealer network and brand strategy will see CNH drive higher farmer engagement with greater focus on better and faster customer service. We will leverage and balance our existing global network, which is industry-leading in terms of customer proximity with ~6,000 points of sale and service. Central to our strategy is the strengthening of our brands’ identities: Case IH and New Holland as global brands and STEYR as a dedicated European brand, each serving distinct customer segments. Crucial to this strategy is the establishment of a ‘New Deal’ with our dealers, which will see us invest ~100 bps of annual margin over the next five years in growth-oriented dealers. We are also investing in enhancing customer-centric service capabilities through integrated platforms and AI-powered solutions for programmed and predictive maintenance, increased connectivity for units, and retrofit solutions to deliver a seamless customer and dealer experience that targets 100% uptime and a ‘fix right the first time’ guarantee.”