CNH Industrial, the company formed by the merger of Fiat Industrial and CNH America, registered in the third quarter, according to Us GAAP accounting rules, a decrease of about 40% of the net profit from a year earlier to $162 million of revenues decreased by 5.2% to 7.74 billion. Excluding restructuring costs and other special items, net income shows a much smaller decline to 214 million dollars (277 million a year earlier). At the end of September, the net industrial debt was 3.9 billion (from 3.7 billion at June 30, in 2014 available liquidity down to $7.9 billion (7.7 billion), after the issuance of a bond of 700 million euro (881 million dollars) due in September 2021.
Less revenue for trucks and tractors.
The 3rd quarter saw a decline in sales of the two major divisions, agricultural machinery (-11.6%) and Iveco trucks (-6.2%); the former have seen a decrease in operating profit 582 million to 433 million, while profits Iveco grew from 15 million to 20 million; the construction equipment is back in black (39 million).
The confirmation of the target flies the title
The company, 30% owned by the Agnelli family’s Exor, has confirmed its financial targets for the full year: revenues of $ 34 billion, ordinary profit between 2.6 and 2.7 billion, net income (before restructuring costs) of 1.1 to 1.2 billion, net industrial debt at end of the year between 2.1 and 2.2 billion. The better than expected results and confirmation of the target for the whole of 2014 have pushed up the title CNHI, that gained 2.9% to €6.57 on the stock.