CNH Industrial Q2 profit falls as North America tractor demand drops double digits

CNH Industrial reported second-quarter 2026 consolidated revenue of $4.80 billion, up 2% from a year earlier, but net income fell to $141 million, or $0.11 a diluted share, from $217 million, or $0.17, in the second quarter of 2025. Adjusted net income was $161 million, down from $216 million. Agriculture segment net sales rose 1% to $3.277 billion, but adjusted EBIT margin fell 290 basis points to 5.2% as costs and a weaker sales mix ate into the segment’s profitability. Construction net sales rose 12% to $866 million, with adjusted EBIT margin down 280 basis points to 1.7%.

The company said North America agriculture industry retail demand fell sharply in the quarter: unit sales of tractors under 140 horsepower dropped 16% year over year, tractors over 140 horsepower dropped 17%, and combines dropped 7%. CNH narrowed its full-year 2026 guidance, forecasting agriculture segment net sales about flat year over year with adjusted EBIT margin of 5.0% to 5.5%, and free cash flow of industrial activities between $200 million and $400 million. Management described dealer network consolidation as a continuing strategic priority and pointed to dealer inventory normalization as a constructive sign for the equipment cycle.