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CNH reveals 2030 strategy to boost market leadership, integrate smart tech, cut costs, and increase profits and cash flow.
CNH aims to be #1 or #2 in all major agriculture markets.
Targeting a 16-17% EBIT margin in Agriculture by 2030.
Plans to double Precision Tech sales share by 2030.
New tractors and combines to lower ownership costs by 15%.
25% increase in industrial cash flow with strong returns.
CNH has revealed its new Strategic Business Plan (SBP) during the Investor Day 2025 event. This new plan outlines the company’s roadmap to become the number one or two player across all major agriculture and construction markets. The strategy focuses on combining advanced machinery (Iron) with modern technology (Tech) and strengthening CNH’s go-to-market approach.
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Under the leadership of CEO Gerrit Marx, CNH is targeting five major areas of improvement that will shape the company’s future until 2030:
Market Leadership: Become the top player (#1 or #2) in all key agriculture markets.
Profit Margin Growth: Achieve 16-17% adjusted EBIT margin in Agriculture by 2030.
Cost Reduction: Save over $550 million through operational and quality improvements.
Stronger Cash Flow: Boost industrial cash generation by 25% across the cycle.
End-to-End Quality: Improve overall customer satisfaction and operational performance.
Gerrit Marx stated, “We have a clear path to achieve our goals. We’re focused on profitable growth, cost efficiency, and continuous margin improvement.”
A key part of CNH’s strategy is the combination of strong hardware (Iron) with smart technology (Tech) to improve equipment performance and user experience.
Doubling Precision Tech Sales: CNH aims to double Precision Tech’s share in total Agriculture Net Sales by 2030.
New Product Launches:
2024 saw the launch of new twin and single rotor combines with 15% lower total cost of ownership.
A complete tractor lineup refresh (20 to 700+ HP) is planned, starting from 2026.
Smart Farming Technology:
CNH’s FieldOps™ platform offers real-time satellite connectivity, autonomous features, smart implements, and advanced agronomic sensors.
To better serve farmers and reach wider audiences, CNH is updating its brand and dealer strategies:
Dual-Brand Approach:
Case IH and New Holland will continue as global brands.
STEYR will focus on the European market.
Stronger Dealer Network:
CNH will invest in dealers by adding 100 basis points of margin annually over five years.
The focus is on promoting growth-oriented dealers and enhancing customer engagement.
AI-Powered Services:
Predictive maintenance and AI-powered support systems will ensure 100% uptime and “fixed right the first time” results.
Retrofit solutions and improved connectivity will offer better post-sales service.
CNH has set a clear goal to raise its profit margins significantly by 2030.
Agriculture Segment:
Target of 16-17% adjusted EBIT margin.
This will be achieved through improved product mix, sourcing strategies, and smarter manufacturing.
Cost Saving Measures:
Over $550 million in savings are expected from operational and quality improvements.
Construction Segment:
Aim to reach 7-8% adjusted EBIT margin.
Growth will come from new product introductions, improved sourcing, and better plant efficiency.
CNH’s construction segment will also play a key role in the company’s long-term growth:
Strong Brands:
Continued development under CASE Construction, New Holland Construction, and Eurocomach.
Digital Advancements:
Integration of smart technology to deliver more efficient construction equipment.
Lower Costs:
Improved sourcing and manufacturing will lead to cost savings and room for future investments.
The new strategic plan highlights CNH’s commitment to delivering long-term value to its investors:
25% Increase in Industrial Cash Flow during the cycle.
Capital Allocation Strategy:
After paying off debt and funding potential M&A deals, CNH plans to return nearly all Industrial Free Cash Flow to shareholders.
This includes:
Regular dividends (targeting 25-35% of net income).
Share buybacks to increase shareholder returns.
CNH also plans to maintain a strong balance sheet and investment-grade credit rating, ensuring flexibility for future investments.
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CNH’s new Strategic Business Plan sets the stage for stronger market leadership, advanced technology integration, better customer service, and higher shareholder returns. With clear goals for 2030 and a strong focus on innovation and efficiency, CNH is positioning itself for sustained success across the global agriculture and construction sectors.