Case New Holland cuts sales forecast as agricultural equipment sales slump
CNH (Case New Holland) has reported a 7pc decrease in sales of its agricultural machinery for the second quarter of 2019.
The machinery giant is blaming lower sales volume in Europe and Rest of World for the decline.
In its results today, it announced consolidated revenues of $7,567m for the second quarter of 2019, down 6pc compared to the second quarter of 2018 (down 2pc on a constant currency basis).
The company, which makes most of its profit from farming machinery, Iveco commercial vehicles, construction equipment and powertrains, confirmed it expected adjusted diluted earnings per share (EPS) of between US$0.84 and $0.88 this year.
it said while uncertainties in the agricultural end-markets related to the trade tensions remain unresolved, and negative impacts from recent weather events (in North America, Australia and Northern Europe) are persisting, which has impacted planting and harvesting patterns and market sentiment, cyclical replacement demand remains stable, with used equipment inventories at low levels supporting new equipment sales in North America.
Additional reporting Reuters
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