Revenue contracted 8.8% year-over-year in 2026Q2 to $4.8B, with gross margin down 440bps to 29.3% and operating margin down 670bps to 13.7% from 2024Q1 peaks, reflecting severe cyclical pressure.
CNH Industrial N.V. (CNH) annual income statement — 22-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 |
|---|
| Sales/Revenue | 18.18B | 18.09B | 19.84B | 24.69B | 23.55B | 19.49B | 14.78B | 28.08B | 29.71B | 27.7B | 25.09B | 25.91B | 32.55B | 33.84B | 32.8B | 19.18B | 15.61B | 13.76B | 18.48B | 15.96B | 13B | 12.57B | 12.18B |
| Revenue Growth % | 0.63% | -8.78% | -19.65% | 4.82% | 20.82% | 31.9% | -47.37% | -5.5% | 7.29% | 10.36% | -3.15% | -20.41% | -3.79% | 3.16% | 70.97% | 22.92% | 13.43% | -25.52% | 15.74% | 22.82% | 3.36% | 3.25% | - |
| Cost of Goods Sold | 12.62B | 12.39B | 13.35B | 16.84B | 16.58B | 14.1B | 11.15B | 21.76B | 23.23B | 21.83B | 19.78B | 20.36B | 26.81B | 26.55B | 25.57B | 14.74B | 12.01B | 10.86B | 14.05B | 12.15B | 9.93B | 9.93B | 9.78B |
| COGS % of Revenue | - | 68.47% | 67.3% | 68.21% | 70.39% | 72.32% | 75.46% | 77.5% | 78.18% | 78.82% | 78.8% | 78.56% | 82.35% | 78.47% | 77.95% | 76.83% | 76.95% | 78.94% | 76.07% | 76.13% | 76.42% | 79% | 80.32% |
| Gross Profit | 5.57B | 5.71B | 6.49B | 7.85B | 6.97B | 5.4B | 3.63B | 6.32B | 6.48B | 5.87B | 5.04B | 5.55B | 5.75B | 7.29B | 7.23B | 4.45B | 3.6B | 2.9B | 4.42B | 3.81B | 3.06B | 2.64B | 2.4B |
| Gross Margin % | 30.61% | 31.53% | 32.7% | 31.79% | 29.61% | 27.68% | 24.54% | 22.5% | 21.82% | 21.18% | 20.09% | 21.44% | 17.65% | 21.53% | 22.05% | 23.17% | 23.05% | 21.06% | 23.93% | 23.87% | 23.58% | 21% | 19.68% |
| Gross Profit Growth % | - | -12.03% | -17.37% | 12.55% | 29.24% | 48.77% | -42.58% | -2.58% | 10.55% | 16.35% | -9.25% | -3.32% | -21.13% | 0.73% | 62.7% | 23.58% | 24.12% | -34.46% | 16.06% | 24.31% | 16.05% | 10.18% | - |
| Operating Expenses | 3.08B | 2.92B | 2.64B | 2.9B | 2.62B | 2.1B | 1.79B | 3B | 3.16B | 2.97B | 3.12B | 3.17B | 4.03B | 4.32B | 4.17B | 2.37B | 2.15B | 1.88B | 2.12B | 1.84B | 1.61B | 1.48B | 1.38B |
| OpEx % of Revenue | - | 16.15% | 13.29% | 11.76% | 11.12% | 10.75% | 12.11% | 10.67% | 10.62% | 10.71% | 12.44% | 12.25% | 12.38% | 12.76% | 12.7% | 12.35% | 13.77% | 13.69% | 11.47% | 11.56% | 12.43% | 11.77% | 11.31% |
| Selling, General & Admin | 1.97B | 1.88B | 1.71B | 1.86B | 1.75B | 1.45B | 1.3B | 2.22B | 2.35B | 2.31B | 2.26B | 2.32B | 2.92B | 3.09B | 3.04B | 1.84B | 1.7B | 1.49B | 1.7B | 1.44B | 1.25B | 1.18B | 1.11B |
| SG&A % of Revenue | - | 10.37% | 8.63% | 7.55% | 7.44% | 7.46% | 8.77% | 7.89% | 7.91% | 8.36% | 9.01% | 8.94% | 8.98% | 9.14% | 9.26% | 9.61% | 10.88% | 10.8% | 9.19% | 9% | 9.6% | 9.42% | 9.11% |
| Research & Development | 1.08B | 1.02B | 924M | 1.04B | 866M | 642M | 493M | 1.03B | 1.06B | 957M | 860M | 856M | 1.11B | 1.22B | 1.13B | 526M | 451M | 398M | 422M | 409M | 367M | 296M | 267M |
| R&D % of Revenue | - | 5.66% | 4.66% | 4.22% | 3.68% | 3.29% | 3.34% | 3.67% | 3.57% | 3.46% | 3.43% | 3.3% | 3.4% | 3.61% | 3.44% | 2.74% | 2.89% | 2.89% | 2.28% | 2.56% | 2.82% | 2.35% | 2.19% |
| Other Operating Expenses | 1000K | 22M | 0 | 0 | 0 | 0 | 0 | -250M | -256M | -305M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 2.48B | 2.78B | 3.85B | 4.95B | 4.36B | 3.3B | 1.84B | 3.32B | 3.33B | 2.9B | 1.92B | 2.38B | 2.85B | 2.86B | 3.07B | 2.08B | 1.45B | 1.01B | 2.3B | 1.97B | 1.45B | 1.16B | 1.02B |
| Operating Margin % | 13.65% | 15.38% | 19.41% | 20.03% | 18.5% | 16.93% | 12.44% | 11.83% | 11.2% | 10.46% | 7.65% | 9.19% | 8.74% | 8.45% | 9.35% | 10.82% | 9.28% | 7.37% | 12.46% | 12.31% | 11.16% | 9.23% | 8.38% |
| Operating Income Growth % | - | -27.71% | -22.14% | 13.52% | 32% | 79.54% | -44.66% | -0.21% | 14.84% | 51.02% | -19.44% | -16.3% | -0.42% | -6.81% | 47.74% | 43.37% | 42.8% | -55.95% | 17.15% | 35.52% | 24.89% | 13.82% | - |
| EBITDA | 3.14B | 3.41B | 4.46B | 5.51B | 4.89B | 3.84B | 2.38B | 4.54B | 4.67B | 4.25B | 3.18B | 3.53B | 3.99B | 3.96B | 4.11B | 2.5B | 1.86B | 1.41B | 2.68B | 2.34B | 1.77B | 1.47B | 1.34B |
| EBITDA Margin % | 17.26% | 18.86% | 22.46% | 22.32% | 20.77% | 19.68% | 16.08% | 16.15% | 15.7% | 15.34% | 12.67% | 13.62% | 12.24% | 11.71% | 12.52% | 13.04% | 11.94% | 10.21% | 14.48% | 14.64% | 13.59% | 11.69% | 11.04% |
| EBITDA Growth % | -19.79% | -23.41% | -19.13% | 12.64% | 27.47% | 61.49% | -47.62% | -2.77% | 9.82% | 33.58% | -9.86% | -11.49% | 0.63% | -3.53% | 64.11% | 34.3% | 32.6% | -47.5% | 14.51% | 32.33% | 20.14% | 9.29% | - |
| D&A (Non-Cash Add-back) | 655M | 629M | 605M | 564M | 535M | 537M | 538M | 1.22B | 1.34B | 1.35B | 1.26B | 1.15B | 1.14B | 1.1B | 1.04B | 426M | 415M | 391M | 374M | 372M | 316M | 309M | 325M |
| EBIT | 1.92B | 2.17B | 3.07B | 4.05B | 3.34B | 2.44B | 481M | 3.32B | 3.33B | 2.9B | 1.01B | 2.38B | 2.85B | 2.86B | 3.07B | 2.08B | 1.45B | 1.01B | 2.3B | 1.97B | 1.45B | 1.16B | 651M |
| Net Interest Income | -860M | -1.48B | -1.61B | -1.34B | -734M | -549M | -660M | -798M | -812M | -884M | -1.03B | -1.1B | -1.31B | -1.21B | -1.21B | -786M | -830M | -671M | -765M | -701M | -578M | -551M | -492M |
| Interest Income | 660M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 1.52B | 1.48B | 1.61B | 1.34B | 734M | 549M | 660M | 798M | 812M | 884M | 1.02B | 1.1B | 1.31B | 1.21B | 1.21B | 786M | 830M | 671M | 765M | 701M | 578M | 551M | 492M |
| Other Income/Expense | -2.08B | -2.09B | -2.25B | -2.06B | -1.57B | -1.27B | -1.95B | -2.14B | -1.81B | -2.15B | 0 | -1.77B | -1.67B | -1.36B | -1.63B | -809M | -933M | -1.14B | -1.09B | -1.04B | -977M | -856M | -861M |
| Pretax Income | 403M | 689M | 1.59B | 2.88B | 2.79B | 2.03B | -113M | 1.18B | 1.52B | 747M | 49M | 608M | 1.18B | 1.5B | 1.44B | 1.27B | 515M | -130M | 1.21B | 928M | 473M | 305M | 159M |
| Pretax Margin % | 2.22% | 3.81% | 8.04% | 11.67% | 11.83% | 10.41% | -0.76% | 4.21% | 5.1% | 2.7% | 0.2% | 2.35% | 3.61% | 4.43% | 4.39% | 6.6% | 3.3% | -0.94% | 6.54% | 5.81% | 3.64% | 2.43% | 1.31% |
| Income Tax | 22M | 184M | 336M | 594M | 747M | 229M | 85M | -271M | 417M | 457M | 298M | 360M | 467M | 671M | 564M | 343M | 77M | 92M | 385M | 354M | 165M | 116M | 39M |
| Effective Tax Rate % | 5.46% | 26.71% | 21.07% | 20.62% | 26.81% | 11.28% | -75.22% | -22.91% | 27.51% | 61.18% | 608.16% | 59.21% | 39.74% | 44.76% | 39.17% | 27.07% | 14.95% | -70.77% | 31.84% | 38.15% | 34.88% | 38.03% | 24.53% |
| Net Income | 311M | 510M | 1.25B | 2.27B | 2.03B | 1.72B | -493M | 1.42B | 1.07B | 272M | -252M | 253M | 710M | 677M | 756M | 939M | 452M | -190M | 825M | 559M | 292M | 163M | 125M |
| Net Margin % | 1.71% | 2.82% | 6.28% | 9.22% | 8.62% | 8.84% | -3.34% | 5.06% | 3.59% | 0.98% | -1% | 0.98% | 2.18% | 2% | 2.3% | 4.89% | 2.9% | -1.38% | 4.47% | 3.5% | 2.25% | 1.3% | 1.03% |
| Net Income Growth % | -62.21% | -59.07% | -45.23% | 12.12% | 17.76% | 449.49% | -134.67% | 33.15% | 292.65% | 207.94% | -199.6% | -64.37% | 4.87% | -10.45% | -19.49% | 107.74% | 337.89% | -123.03% | 47.59% | 91.44% | 79.14% | 30.4% | - |
| Net Income (Continuing) | 381M | 505M | 1.26B | 2.29B | 2.04B | 1.8B | -198M | 1.45B | 1.1B | 290M | -249M | 248M | 708M | 828M | 876M | 924M | 438M | -222M | 824M | 574M | 308M | 189M | 120M |
| Discontinued Operations | -1000K | 0 | 0 | 0 | 0 | -132M | -240M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 38M | 95M | 117M | 120M | 49M | 75M | 122M | 75M | 55M | 33M | 28M | 59M | 55M | 66M | 908M | 63M | 75M | 92M | 121M | 117M | 109M | 91M | 106M |
| EPS (Diluted) | 0.25 | 0.41 | 0.99 | 1.69 | 1.49 | 1.27 | -0.36 | 1.05 | 0.78 | 0.20 | -0.19 | 0.19 | 0.52 | 0.54 | 0.16 | 1.02 | 0.49 | -0.21 | 0.91 | 0.62 | 0.32 | 0.18 | 0.00 |
| EPS Growth % | -61.78% | -58.59% | -41.42% | 13.42% | 17.32% | 452.78% | -134.29% | 34.62% | 290% | 205.26% | -200% | -63.46% | -3.7% | 237.5% | -84.31% | 108.16% | 333.33% | -123.08% | 46.77% | 93.75% | 77.78% | - | - |
| EPS (Basic) | - | 0.41 | 0.99 | 1.71 | 1.50 | 1.27 | -0.36 | 1.05 | 0.79 | 0.20 | -0.19 | 0.19 | 0.52 | 0.54 | 0.16 | 0.45 | 0.50 | -0.21 | 0.91 | 0.62 | 0.36 | 0.32 | 0.00 |
| Diluted Shares Outstanding | 1.24B | 1.25B | 1.26B | 1.35B | 1.36B | 1.36B | 1.37B | 1.35B | 1.36B | 1.37B | 1.36B | 1.36B | 1.35B | 1.26B | 4.68B | 920.25M | 913.36M | 908.77M | 908.38M | 906.47M | 907.24M | 895.75M | 0 |
| Basic Shares Outstanding | 1.24B | 1.25B | 1.25B | 1.33B | 1.35B | 1.35B | 1.37B | 1.35B | 1.36B | 1.36B | 1.36B | 1.36B | 1.37B | 1.26B | 4.68B | 1.22B | 910.3M | 908.77M | 908.38M | 906.47M | 815.36M | 512.95M | 0 |
| Dividend Payout Ratio | - | 65.29% | 48.72% | 23.65% | 20.85% | 10.91% | - | 19.9% | 22.75% | 61.76% | - | 117.39% | 53.8% | 54.36% | 81.48% | 1.17% | - | - | 14.3% | 10.55% | 20.21% | 20.86% | 26.4% |
Quick answers to the most common questions about buying CNH stock.
For fiscal year 2025, CNH Industrial N.V. (CNH) reported total revenue of $18.09B. This represents a 48.6% increase compared to $12.18B in 2004.
CNH Industrial N.V. (CNH) is profitable, generating $510.0M in net income for the fiscal year ending 2025 with a net profit margin of 2.8%.
CNH Industrial N.V. (CNH) reported an operating income of $2.78B, resulting in an operating profit margin of 15.4%. This margin reflects the operational efficiency of the business before interest and taxes.
CNH Industrial N.V. (CNH) generated $5.71B in gross profit for the year, representing a gross profit margin of 31.5%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Cyclical trough and high leverage
Metrics are mathematically derived from official filings.
Revenue Slide Reflects Ag Downturn
CNH's revenue contracted 8.8% year-over-year in 2026Q2, with sequential stabilization at $4.8B, suggesting the agricultural cycle may be bottoming, though demand remains weak.
The 2.0% YoY growth in 2026Q2, after several quarters of double-digit declines, hints at a possible trough, but the absolute revenue level is still well below the 2024Q2 peak of $5.5B. The deceleration in revenue growth from -28.2% in 2024Q4 to -14.2% in 2025Q2 and then to -5.5% in 2025Q3 indicates a moderating decline, yet the recovery is not yet evident. Investors should monitor order trends and dealer inventory levels to confirm a durable inflection.
Gross Margin Compression Pressures Profitability
Gross margin fell to 29.3% in 2026Q2 from 33.7% in 2024Q1, a 440bps decline, reflecting pricing pressure and unfavorable mix, though still above AGCO's 24.8%.
The gross margin erosion appears driven by a combination of lower volumes, increased discounting, and a richer mix of lower-margin construction equipment. While CNH maintains a premium over AGCO, the gap with Deere (36.5%) has widened, suggesting a competitive disadvantage in pricing power. The sequential improvement from 29.4% in 2025Q4 to 31.9% in 2026Q1 may indicate some stabilization, but the 2026Q2 dip to 29.3% warrants monitoring for sustained margin recovery.
Operating Leverage Amplifies Downturn
Operating margin contracted from 20.4% in 2024Q1 to 13.7% in 2026Q2, a 670bps decline, as fixed costs absorbed lower volumes, highlighting CNH's high operating leverage.
The decline in operating income from $984M in 2024Q1 to $656M in 2026Q2, despite only a 20% revenue drop, underscores the fixed-cost intensity of manufacturing. SG&A as a percentage of revenue has risen from roughly 8.6% in 2024Q1 to 10.3% in 2026Q2, indicating that overhead is not scaling down proportionally. Management's focus on 'disciplined execution' suggests cost actions are underway, but the full benefit may lag the cycle.
Net Income Distorted by Non-Operating Items
Net margin of 2.9% in 2026Q2 is far below operating margin of 13.7%, implying significant non-operating charges, likely interest expense, that are compressing bottom-line earnings.
The gap between operating and net margins widened from 12.8pp in 2024Q1 to 10.8pp in 2026Q2, suggesting elevated interest costs on the finance book and possibly restructuring charges. Net income fell to $138M in 2026Q2 from $399M in 2024Q2, a 65% decline, while EPS dropped 35.3% YoY, reflecting the impact of these charges. Investors should scrutinize the interest expense line and any one-time items to assess the sustainability of reported earnings.
R&D and SG&A Discipline Under Pressure
R&D spending rose to $230M in 2026Q2 from $218M in 2025Q2, while SG&A increased to $494M, indicating cost control challenges despite revenue declines.
R&D as a percentage of revenue increased from 4.6% in 2025Q2 to 4.8% in 2026Q2, reflecting continued investment in precision technology, which may be necessary for long-term competitiveness but pressures near-term margins. SG&A grew 3.3% YoY despite a 2.0% revenue increase, suggesting overhead is not being cut aggressively. The lack of stock-based compensation (reported as $0) simplifies earnings quality, but the rising cost base in a downturn is a concern.
2024Q1 Marks Peak Profitability
2024Q1 was the peak quarter with operating margin of 20.4% and net income of $368M, after which margins and earnings deteriorated sharply, signaling the onset of the downturn.
The inflection point is clear: from 2024Q1 to 2026Q2, operating income fell 33%, and net income dropped 63%, as the agricultural cycle turned. The subsequent quarters show a steady decline in margins, with operating margin halving from 20.4% to 13.7%. This suggests that CNH's earnings power is highly sensitive to the cycle, and the current trough may not yet be fully reflected in consensus estimates.
What Could Invalidate the Recovery Narrative
The apparent stabilization in revenue growth could be misleading if dealer loading inflates shipments, while high leverage and thin net margins leave little room for error.
Short-sellers might argue that the 2.0% YoY growth in 2026Q2 is not evidence of a trough but rather a result of channel stuffing, as revenue recognition occurs at factory shipment, not retail sale. Additionally, with debt-to-equity at 3.45 and net margin at 2.9%, any further downturn could severely strain financial flexibility. The gap between operating and net margins suggests that interest costs are a significant drag, and if rates remain high, earnings could remain depressed even if revenue stabilizes.