The generally higher industry demand for new tractors and combines helped CNH Industrial’s agricultural division (Case IH, New Holland, Steyr) to increase net sales by a third last year to US$14.7b (US$10.9b in 2020).
The markets were up in all regions. Sales of tractors below 140hp increased by 10% in North America (23% for tractors over 140hp) in 2021 and the combine market was up by quarter. In Europe, tractor and combine demand increased by 16% and 17%, respectively. The tractor and combine markets were also up in South America (+22% and +19%, respectively) and in the rest of the world (tractors +15%/combines +19%).
The positive 2021 results for CNH Industrial’s agricultural division were assisted by a strong last three months; 21% increase in net sales to $4.1b ($3.4b Q4 2020). “In Q4 we outperformed expectations by managing our supply chain, specifically microchip shortages, better than anticipated, and while these pressures are likely to persist, so is our team’s demonstrated ability to overcome them,” comments CNH Industrial CEO Scott Wine.
“With continued strength in our end markets and order books, and a comprehensive strategy for the future, CNH Industrial is excited to enter 2022 as a pure play in agricultural and construction equipment.”
When the agricultural results are added to construction, commercial and speciality vehicles, powertrains and financial services, CNH Industrial consolidated revenues of US$33.4b were up 28% on 2020. The company remains positive and forecasts a net sales growth of 10-14% this year.
