CNH Industrial NV reported consolidated revenues of $4.8 billion for the second quarter of 2026, marking a 2% increase from the prior year. This growth included approximately 2% of favorable currency effects. Net sales for Industrial Activities reached $4.14 billion. The company narrowed its full-year 2026 adjusted earnings per share (EPS) guidance to a range of $0.41 to $0.46, an increase from the previous range of $0.35 to $0.45. This new midpoint aligns with or slightly exceeds recent consensus forecasts, leading to a more than 15% surge in CNH shares during morning trading.
The agricultural segment's net sales were approximately flat year-over-year, including currency translation effects, while the construction segment showed stronger momentum with net sales expected to rise between 5% and 10% for the full year, including currency benefits. The adjusted EBIT margin guidance for the agriculture segment was set between 5.0% and 5.5%. CNH’s CEO, Gerrit Marx, noted that despite the agricultural market remaining at its trough, the company delivered year-over-year revenue growth and made progress on strategic priorities.
Marx indicated that while farmer economics are still pressured, constructive equipment-cycle indicators are emerging. These include the normalization of dealer inventories, an aging fleet of equipment, and a more balanced relationship between new and used equipment pricing. He outlined an "L-shaped" recovery for agriculture, expecting 2027 retail demand to be broadly flat, with replacement demand driving much of the market. CNH is currently underproducing relative to 2026 demand by about 4%, which could create a production tailwind in 2027 if retail markets remain flat.
Adjusted net income for Q2 2026 was $161 million, or $0.13 per share, exceeding analyst estimates which had centered around $0.10 to $0.11. Reported net income was $141 million, or $0.11 per diluted share, compared with $217 million, or $0.17 per share, a year earlier. Industrial free cash flow was $150 million, a decrease year-over-year due to lower EBIT and higher working-capital investment. CNH returned approximately $200 million to shareholders during the quarter through dividends and share repurchases.
