CNHI 3Q22 Revenue Up 24% Year-Over-Year

CNHI reported net sales of Industrial Activities of $5,396 million in its third quarter 2022 earnings report, up 24.4% mainly due to favorable price realization, despite more than 5% adverse currency conversion impacts.

Adjusted EBIT of Industrial Activities was $670 million ($420 million in Q3 2021), with both segments up year over year. Agriculture adjusted EBIT margin was at record 14.8% and Construction was at 2.7%.

The company reported net income of $559 million, with diluted earnings per share of $0.41 (net income of $460 million in Q3 2021, with diluted earnings per share of $0.34). Adjusted net income came in at $557 million, with adjusted diluted earnings per share of $0.41 (adjusted net income of $463 million in Q3 2021, with adjusted diluted earnings per share of $0.34).

Gross profit margin of Industrial Activities was 23%, (20.4% in Q3 2021) with improvement in Agriculture and Construction despite continued cost pressures.

Manufacturing inventories remain at high levels, although reduced from June 2022, amid supply chain constraints, and finished goods inventories continue being lean relative to sales. Total Debt of $20.9 billion at September 30, 2022 ($20.9 billion at Dec. 31, 2021).

Beginning with the reporting of third quarter 2022 financial results, the Company intends to voluntarily report its financial results under the periodic reporting forms for U.S. domestic filers (i.e., CNH Industrial will now voluntarily file annual and quarterly reports on Forms 10-K and 10-Q). Management determined that following the spin-off of the Iveco Group and the refocus as an agricultural and construction equipment leader with significant presence in the US, reporting according to the standards for US public companies is more consistent with the Company’s operating profile and its investor base.