The plan includes precision technology, agriculture, construction, electrification and alternative fuels, sustainability and three-year financial targets
CNH Industrial announced its updated 2024 strategic plan at its Capital Markets Day event in Miami, Florida. Scott W Wine, CNH Industrial Chief Executive Officer, introduced the new company and set forth its strategic priorities, including customer-inspired innovation; technology leadership; brand and dealer strength; operational excellence; and sustainability stewardship.
Other senior members of the leadership team presented on topics including precision technology, agriculture, construction, electrification and alternative fuels, sustainability and three-year financial targets.
The company confirms its intention to be net-debt free by 2023.
Additional financial plan highlights include:
- Gross Margin over 24 per cent by 2024, more than 300bps increase by the end of the plan period
- R&D of ~$2.6 billion, a step up to ~4.5 per cent of net sales focusing on new products and new precision technology
The updated 2024 financial plan also commits to a consistent dividend policy and confirms the company’s ability to exercise appropriate share buybacks.
CNH Industrial will invest in a path to excellence in customer and dealer satisfaction, fundamental to the company’s future success. The state-of-the-art and productivity-boosting agricultural product portfolio will undergo significant expansion, with 150 product launches expected over the plan period, supporting the differentiated positioning of the Case IH and New Holland Agriculture brands.
